Winter 2017 ModErn SLAVErY make a statement about modern slavery Certain commercial organisations must state how they are combating modern slavery and human trafficking in their business and supply chains but is your firm one of them, and what needs to be declared? under Section 54 of the 2015 Modern Slavery Act (the Act), commercial organisations must publish an annual statement setting out the steps they have taken to prevent slavery and human trafficking from happening in their business or supply chains. the Act applies to organisations that: n Are incorporated or a partnership in the uK, or that carry on a business in the uK n Have a turnover or group turnover (for a company and its subsidiaries) of 36m or more; and n Supply goods and services the phrase carries on a business is not defined in the Act, but it is the same wording as used in the 2010 Bribery Act. Guidance issued by the Home Office suggests that a common sense approach should be applied to determine if a company carries on a business in the uK. overseas companies with subsidiaries in the uK will need to check whether the Act applies only to these subsidiaries or also to the parent company. overseas organisations that supply goods or services to uKbased customers but which do not have an office or employees in the uK will also need to work out how the Act applies to their business. Overseas organisations that supply goods or services to UKbased customers but which do not have an office or employees in the UK will also need to work out how the Act applies to their business the law came into force on 29 october 2015, but the requirement to publish an anti-slavery statement only applies for financial years ending on or after 31 March 2016. Businesses should now be considering whether they are subject to these new disclosure requirements, and prepare their approach to compliance. What needs to be included in the statement? if a business meets the above criteria, publishing an anti-slavery statement is mandatory. However, the content of this statement is not mandatory, and it would be acceptable for a business simply to state that it does not take any specific steps or that it follows the procedures of its parent company. the Act lists information that may be included in a statement, such as: n the organisations structure, its business and supply chains n policies on slavery and human trafficking n due diligence processes in relation to slavery and human trafficking in its business and supply chains n parts of the business and supply chain where there is a risk of slavery and human trafficking, and the steps taken to assess and manage this n the organisations effectiveness in ensuring slavery and human trafficking is not taking place in its business and supply chains, measured against such performance indicators as it considers appropriate n training available to its staff about slavery and human trafficking Who must approve the statement? if the organisation is a body corporate, then its anti-slavery statement must be approved by the board of directors or equivalent managing body and be signed by a director (or equivalent). if it is a partnership, the anti-slavery statement must be approved by the partners or members. Where should the statement be published? the anti-slavery statement must be published in a prominent location on the organisations website, with a link to the anti-slavery statement on the organisations homepage. What are the sanctions for non-compliance? in england and Wales, the Secretary of State can seek an injunction from the High Court requiring an organisation to publish a statement; failure to comply with the injunction is punishable by an unlimited fine. in Scotland, civil proceedings can be taken in the Court of Session for specific performance. Credit: First published on outlaw.com, a legal news and information service operated by Pinsent Masons law firm Images: iStock.com /anankkml Guidance from the Home office on the scope of the Act and the type of information to be included in the statement can be viewed here. For more information on spotting the tell-tale signs of human trafficking and modern slavery, see stay alert to exploitation in the autumn 2017 edition of TSBN For further information, please contact your local trading Standards Service