Companies prepare for Canadian policy against forced and child labor

Companies prepare for Canadian policy against forced and child labor

The Canadian government will require certain businesses to make reports on their efforts to prevent forced and child labor in their supply chains. The new policy, called the "Fighting Against Forced Labor and Child Labour in Supply Chains Act," will take effect on January 1. Companies must make their first report by May 31. Failure to comply can result in fines of $250,000. Similar laws exist in the US and Germany. Germany's Act on Corporate Due Diligence Obligations in Supply Chains took effect on January 1, 2023.

Source: Link

Frequently Asked Questions

What is the new Canadian policy against forced and child labor?

Answer: The Canadian government will implement a policy requiring companies to adhere to reporting obligations to fight against forced and child labor. This policy is a part of Canada's broader efforts to ensure ethical practices in supply chains.

When will the Canadian policy come into effect?

Answer: The new policy regarding reporting on forced and child labor is slated to begin in 2024.

Who will be affected by the Canadian policy on forced and child labor?

Answer: The policy will impact companies that operate within Canada, requiring them to comply with the reporting obligations. This is likely to affect a wide range of businesses, both domestic and international, that are part of the Canadian supply chain.

What do companies need to do to comply with the new policy?

Answer: Companies will need to prepare to report on their supply chain practices, demonstrating due diligence in ensuring that they are not complicit in forced or child labor. Specific reporting requirements have not been detailed in the provided search results.

How are companies preparing for the Canadian policy against forced and child labor?

Answer: Companies are likely taking steps to review and possibly restructure their supply chain practices to ensure compliance with the upcoming policy. This could include conducting audits, implementing more stringent supplier requirements, and adopting technologies or processes for better supply chain visibility and accountability.

Why is this new policy important for supply chain management?

Answer: The policy is essential for enhancing ethical practices in supply chains and ensuring that companies engage in socially responsible operations. It also reflects an increasing trend towards transparency and corporate responsibility in business practices.

What are the consequences of non-compliance with this policy?

Answer: While the provided search results do not detail the consequences, non-compliance with government regulations typically leads to penalties, fines, and reputational damage. It may also affect a company's ability to do business in Canada.

For more information:

To get more information and specific details about the Canadian policy against forced and child labor, refer to the content from Supply Chain Quarterly (source) and DC Velocity (source).