Modern slavery is one of the most pervasive human rights abuses of our time. The Modern Slavery Index estimates that in 2021, $26 billion (£20bn) worth of goods imported into the UK were at risk of modern slavery in their manufacturing supply chain. It is so deeply engrained in global business that it can be found in practically every supply chain, whether or not it has yet been identified.

Encompassing forms of exploitation including forced labour, human trafficking and forced marriage, modern slavery affects an estimated 50 million people globally. As we have seen in recent news headlines, it is not just something that happens in foreign countries, but it is here on the high street among the most recognisable brands. Some 122,000 people live in modern slavery in the UK alone.

Occurring primarily in the private economy, with nearly nine out of every 10 (86%) instances of forced labour imposed by private actors, its prevalence means companies must take this issue seriously and act to find, fix and prevent modern slavery in their business and supply chains.

Act now to mitigate risk

Modern slavery is an egregious crime and causes immeasurable harm to victims. Whether found in a company’s own organisation or its supply chain, it is a salient and material risk to business.

Identifying cases and providing redress to victims are paramount and can help mitigate legal, financial, and operational risks. Failing to act on risks not only increases harm to victims, but also shareholder disengagement and reputational damage. Moreover, the EU is introducing mandatory due diligence and import bans for goods tainted by forced labour, which both pose material financial risk to business.

In the UK, the last government was reluctant to mandate due diligence, but many are hopeful that the new government will tighten up existing legislation on human rights.

In collaboration with more than 150 businesses, CCLA has called on the UK government to introduce legislation mirroring the EU’s Corporate Sustainability Due Diligence Directive (CSDDD). We believe that the UK must also tighten requirements for modern slavery statements. If the government does not act, the UK risks becoming a dumping ground for goods tainted by modern slavery.

What tools are available to help directors?

In 2023, CCLA launched its Modern Slavery Benchmark, a comprehensive assessment tool evaluating how UK-listed companies manage modern slavery risks. By providing comparisons over time, it shows where there has been progress and highlights areas where more work is needed. It provides an accountability mechanism, enabling investors and other stakeholders to assess whether companies are effectively managing the impacts on people’s lives from modern slavery, associated business risks, and whether they are appropriately supporting individuals affected.

Benchmarking 110 UK-listed companies, CCLA’s Modern Slavery Benchmark in 2024 found that more UK businesses are uncovering indicators of modern slavery in their operations and reporting on it.

Thirty companies reported finding evidence of modern slavery, up from 25 last year, suggesting either improved detection or greater transparency. Tesco, for example, disclosed a wide range of ways in which it identified modern slavery in its operations and supply chain, from its own site checks at UK distribution centres to work with partners such as Unseen, a charity that operates a 24/7 independent and confidential Modern Slavery & Exploitation Helpline.

This is crucial: if you don’t know it’s there and you are not looking for it, you cannot help victims and are not taking steps to mitigate future occurrences.

On the other hand, the benchmark found that corporate responses to victim support are still weak. Modern slavery can happen in different circumstances, so it is not easy to say categorically what remediation looks like: for some, having travel documents returned will suffice; others may need support to recover from trauma.

In many cases, it will be important to right the wrong financially and compensate for stolen wages. Implementing strategies for uncovering and responding to cases, such as joining initiatives including the cross-industry Seasonal Worker Scheme Taskforce or the Modern Slavery Intelligence Network (MSIN) in the UK, can help companies deliver their human rights commitments and drive real improvements.

How you can help to drive change

As a chief constable for 12 years, I know that where leaders give attention to an issue, the organisation takes note. We encourage strong governance on modern slavery, including allocating responsibility at board level and ensuring appropriate mechanisms are in place to include workers’ and relevant stakeholders’ perspectives.

From the top down, directors must encourage comprehensive human rights due diligence. This means detailed operational and supply chain risk assessments at all levels—especially lower-tier suppliers, where violations are most prevalent.

Any suspected cases must be investigated and addressed—what steps have been taken to rectify the damage done to individual victims? What are the outcomes and evidence that managing the impacts on people’s lives was satisfactory?

We understand that initially there might be a reluctance to speak openly about cases of modern slavery when they are found. However, it is present in almost every supply chain—if you are not looking and finding modern slavery, you are simply not looking hard enough. From the perspective of investors, we are encouraged to see companies disclosing cases and speaking openly about the steps they have taken to redress victims, as this shows that the company is taking steps to manage these risks responsibly.

The fight against modern slavery is more than just having the right systems and processes. It is about the way in which companies are led and the values they espouse. Company directors and their boards should set the tone from the top in the efforts to end modern slavery.

The CCLA Benchmark can serve as a catalyst for senior management to make improvements and take greater accountability to address modern slavery’s rank injustices—but it is all our efforts combined, and sustained over time, which will enable real progress towards UN Sustainable Development Goal 8.7 to eradicate forced labour and to end modern slavery and human trafficking.

Dame Sara Thornton is a consultant on modern slavery, CCLA