At the Starting Line: FTSE 100 & the UK Modern Slavery Act
Analysis shows only a handful of company statements are meeting the Act’s requirements, majority lack adequate information
The FTSE 100 companies who have reported under the Modern Slavery Act so far were scored by the Business & Human Rights Resource Centre on their action to eliminate slavery from their operations and supply chains and the extent of their disclosure under the Act. Companies were put into ten tiers (tier one the best performing, ten the worst performing). There was also patchy compliance with the legal requirements of the Act. Only 14 of the 27 statements fully comply with these three requirements.
Analysis shows most of the twenty-seven FTSE100 companies that have reported so far under the UK Modern Slavery Act are missing the opportunity to provide much needed leadership to eradicate forced labour from business operations and supply chains. The majority of company statements demonstrate weak risk assessment and due diligence.
The Business & Human Rights Resource Centre launched its UK Modern Slavery Act Registry in February 2016. The Resource Centre actively monitors the release of company statements and adds them to its free and open Registry to allow comparison and benchmarking of companies’ policy and practice. The Registry grows daily; investors use it to assess company risks, and consumers and activists can use it to reward leading companies and press laggards to take action. Companies also use it to learn from their peers. A live dashboard enables users to explore statements by sector and country of company headquarters.
If your company has produced a statement to comply with this legislation that you would like to appear in the Registry, please send it to Patricia Carrier ([email protected])
Joe Bardwell, [email protected], +44 (20) 7636 7774, +44 7966 636 981
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Author: Jane Croft, Financial Times
"FTSE 100 slow to report on fight against modern slavery", 15 Oct 2016
Marks and Spencer and SABMiller, now part of Anheuser-Busch InBev, were the only two FTSE 100 companies so far to issue rigorous statements on their actions to combat the risk of modern slavery in their supply chains, a study has found...
... 27 groups in the FTSE 100 have reported under the Modern Slavery Act. Their statements were analysed and the companies scored on their actions and extent of their disclosure under the legislation, in a report by the Business & Human Rights Resource Centre.
The study concluded that most companies provide too little information on the structure and complexity of their supply chains. It says that without this crucial understanding their own operations, companies are unlikely to be able to take action on slavery — especially if they are global groups with complex supply chains.
- Related stories: At the Starting Line: FTSE 100 & the UK Modern Slavery Act
- Related companies: Marks & Spencer SABMiller (part of Anheuser-Busch InBev)