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What is Modern Slavery Reporting?
Modern slavery reporting enables organisations to publicly demonstrate how they identify, evaluate, and respond to human rights risks across their operations and supply chains. Preparing these disclosures typically involves gathering information from multiple business areas and assessing supply chain risks. The findings are then compiled into a structured report that clearly explains the organisation's governance, due diligence, and risk management activities.
These reports provide investors, customers, regulators, and other stakeholders with greater transparency into how risks such as forced labour, child labour, human trafficking, and debt bondage are managed. In many jurisdictions, qualifying organisations must publish an annual modern slavery statement through a government reporting portal, their corporate website, or both. Many businesses also choose to publish voluntary ethical sourcing reports or broader responsible sourcing commitments to strengthen stakeholder confidence, support procurement requirements, and demonstrate a commitment to ethical business practices.
How Do I Write a Modern Slavery Report?
Reliable modern slavery reporting is built on consistent risk information collected from both internal business operations and suppliers. Using a structured assessment approach allows organisations to examine factors such as geographic exposure, industry risk, governance maturity, and existing controls. This creates a standardised foundation for identifying and evaluating modern slavery risks across the supply chain.
Applying an assessment methodology aligned with recognised international frameworks improves the consistency and comparability of assessment results. The resulting information supports the preparation of modern slavery statements, helps organisations meet legislative requirements, responds to increasing stakeholder expectations, and promotes greater transparency across supply chain activities.
Modern Slavery Reporting Requirements
Consider the Reporting Context
The greatest benefit of modern slavery assessments comes from converting assessment data into meaningful reporting that supports better decisions. Well structured reports give organisations a clearer understanding of modern slavery risks, strengthen governance, improve oversight, and provide a practical basis for ongoing monitoring. Reporting can also be adapted to suit different audiences, ensuring the information is useful for both internal management and external disclosure.
Executive and board reporting can focus on risk indicators, performance trends, and priority areas for action, while external reports explain how modern slavery risks are identified, evaluated, and managed across operations and supply chains. This approach helps organisations meet reporting obligations, increase supply chain transparency, and build stronger confidence among stakeholders.
Internal Reports
Combining supplier assessment results into a single reporting view enables organisations to analyse modern slavery risk across their entire supply chain rather than in isolation. Consolidated reporting helps reveal recurring themes, identify suppliers or regions with elevated risk, guide engagement priorities, and direct resources towards the areas where they can have the greatest impact.
Tracking assessment outcomes over successive reporting cycles also provides a clear picture of supplier progress and the effectiveness of risk reduction initiatives. While consolidated reports support organisation wide oversight and strategic planning, individual supplier reports provide a detailed analysis of each supplier's risk profile, assessment findings, and recommended actions to drive continuous improvement.
External Reports
Organisations generally communicate their approach to modern slavery through either voluntary ethical sourcing reports or mandatory modern slavery statements. While both promote greater transparency across operations and supply chains, they are designed to meet different objectives and reporting obligations.
Ethical Sourcing Statements: These voluntary disclosures highlight an organisation's commitment to responsible sourcing and ethical supply chain practices. They often explain how modern slavery risks are evaluated, the governance and oversight measures in place, and the policies that guide labour and human rights practices. Many organisations publish these reports to meet customer expectations, strengthen commercial relationships, and support procurement processes
Modern Slavery Statements: These are legislative reporting requirements in jurisdictions including Australia, Canada, and the United Kingdom. They explain how an organisation identifies, evaluates, and responds to modern slavery risks throughout its operations and supply chains. Although the required content varies between jurisdictions, statements typically address governance, due diligence, remediation, training, and other risk management activities before being made publicly available.
National approaches also differ. Australia, Canada, and the United Kingdom primarily rely on corporate reporting and public disclosure to improve transparency, whereas the United States places greater emphasis on restricting the import of goods linked to forced labour through border enforcement measures.
What Do I Need to Include in my Modern Slavery Report?
Transparency
Modern slavery reporting enables organisations to clearly communicate the actions they take to prevent and manage human rights risks across their operations and supply chains. These disclosures describe the systems, governance arrangements, policies, and due diligence activities used to address risks including forced labour, child labour, human trafficking, slavery, and other exploitative practices. Making this information publicly available increases organisational transparency, reinforces accountability, and helps stakeholders understand how modern slavery risks are identified, controlled, and continuously improved.
Risk Management
A consistent framework is essential for managing modern slavery risks across business operations and supplier relationships. Organisations should embed due diligence into their risk management processes, regularly assess exposure to forced labour, child labour, and human trafficking, and monitor whether existing controls remain effective. Reporting on these activities demonstrates continual improvement, reinforces governance and accountability, and gives stakeholders greater confidence in the organisation's commitment to responsible supply chain management.
Continuous Improvement
Modern slavery reporting delivers the greatest value when it supports continuous improvement instead of serving as a once a year compliance activity. Each reporting period provides an opportunity to strengthen governance, enhance due diligence, and refine the policies and controls used to manage modern slavery risks. By maintaining ongoing engagement with suppliers, implementing targeted corrective actions, and promoting better labour practices, organisations can progressively reduce risk while developing a stronger, more responsible, and more resilient supply chain.
Remediation
Where forced labour or child labour is identified, organisations should implement a remediation process that both protects affected individuals and reduces the risk of future occurrences. This includes taking corrective action, addressing the root causes of the issue, and strengthening controls to prevent similar situations from arising. Remediation should prioritise the rights, safety, and wellbeing of workers and their families. It should also consider practical support to minimise financial hardship where the removal of exploitative labour results in a loss of income, while promoting sustainable long term outcomes.
Policy Implementation
Clear policies are a fundamental part of managing modern slavery risk across an organisation and its supply chain. Establishing documented standards for recruitment, wages, worker documentation, employment conditions, and other labour practices provides a consistent framework for decision making while supporting ethical business conduct. Well designed policies also set clear expectations for employees and suppliers, improving accountability, strengthening governance, and helping organisations reduce exposure to modern slavery risks throughout their supply chain.
Training
Employee training plays an important role in strengthening an organisation's approach to modern slavery risk management. By improving understanding of forced labour, child labour, human trafficking, and other exploitative practices, training enables staff to identify potential warning signs, understand their responsibilities, and respond appropriately when concerns arise. Increasing knowledge across the workforce also supports more effective due diligence, enhances organisational oversight, and contributes to the ongoing prevention and management of modern slavery risks throughout operations and supply chains.
Compliance
Modern slavery legislation varies across jurisdictions, meaning organisations must understand the different reporting, disclosure, and due diligence requirements that apply to their operations and supply chains
Canada requires eligible organisations to report on forced labour and child labour risks, together with the actions taken to identify, prevent, mitigate, and address those risks
Australia and the United Kingdom require qualifying organisations to publish modern slavery statements describing the governance, due diligence, and risk management measures implemented across their operations and supply chains
The European Union has introduced legislation that prohibits products connected to forced labour from being placed on, sold within, or exported from the EU market
California requires certain businesses to publicly disclose the policies, verification procedures, supplier oversight activities, and other measures used to manage slavery and human trafficking risks throughout their operations and supply chains.
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