The Modern Slavery Act 2015 – Do You Need to Worry?

Partner Nick Burrows, in our Corporate & Commercial team, discusses The Modern Slavery Act which came into force on 29 October 2015.

The Modern Slavery Act 2015 (the “Act”) applies to all organisations that carry out business in the UK or are incorporated in the UK and have an annual turnover of £36 million or more. Section 54 of the Act requires all applicable companies to publish a statement (anti-slavery statement) setting out the steps that they have taken in order to prevent slavery and human trafficking taking place in the organisation. 

The Act came into force on 29 October 2015; but the requirement for an organisation to publish an anti-slavery statement only applies to companies whose financial years end on or after 31 March 2016.

What businesses are subject to these requirements?  

A commercial organisation is required to publish an anti-slavery statement if:

• The organisation is incorporated or it is a partnership;
• The organisation carries out business in the UK;
• The organisation has an annual turnover of £36 million or more;
• The organisation’s parent company or subsidiaries have a combined annual turnover of £36 million or more; and
• The organisation supplies goods or services. 

What should the anti-slavery statement include? 

The Act does not state what information should be included in the statement, only that if an organisation meets the requirements, it must publish a statement. The content of the anti-slavery statement is not mandatory, for example it would be acceptable (in terms of compliance, at least) for the organisation to state that it doesn’t take any steps to prevent slavery. 

The Act does however include information that could be included in an anti-slavery statement. The following information could be included in the statement:

• The organisation’s policies in relation to slavery; 
• The training that the organisation’s employees undertake in relation to slavery;
• The organisation’s structure;
• The organisation’s supply chains;
• The organisation’s due diligence processes in relation to slavery in its structure and supply chains;
• The steps that the organisation has taken to prevent slavery from occurring in the organisation. 

Who approves the anti-slavery statement?

If the organisation is a partnership then the partners will need to sign the statement. 

If the organisation is a corporate body then the statement will need to be agreed by the board of directors and signed by a director on behalf of the board. 

Where do you publish the anti-slavery statement?

The Act states that the anti-slavery statement must be published in a “prominent location” on the organisation’s website. 

The organisation must also provide a link to the anti-slavery statement on the home page of the organisation’s website. 

What happens if you fail to publish the anti-slavery statement?

Civil proceedings may be brought for an injunction in the High Court in England and Wales or for specific performance in Scotland. 

For further information or legal advice, please contact law@blandy.co.uk or call 0118 951 6800.