What is the UK Modern Slavery Act 2015?

The UK Modern Slavery Act, passed in 2015, was a landmark piece of legislation designed to combat the evolving threat of modern slavery. You can learn more about modern slavery here. It was the first of its kind in Europe and one of the first globally, focusing on addressing slavery, human trafficking, and exploitation in the modern day. The Act introduced stringent legal measures to prosecute traffickers and protect victims while also establishing requirements for businesses to prevent exploitation in their operations and supply chains.

The Need for the Modern Slavery Act

The growing realisation that modern slavery affects tens of millions globally – with an estimated 136,000 people living in slavery in the UK alone – led to a strong push for legislative action from then Prime Minister Theresa May. The Modern Slavery Act was designed to increase accountability, prevent exploitation, and strengthen the UK’s legal responses.

Key Provisions of the Act

  1. Tougher Legal Ramifications: The Act significantly increased penalties for those found guilty of slavery and human trafficking offences. Convicted individuals can now face life imprisonment, and law enforcement agencies are empowered with broader investigative and enforcement powers.
  2. Protection for Victims: It introduced mechanisms to protect and support victims of slavery, such as providing access to legal aid, compensation, and victim support services, recognising that modern slavery victims require comprehensive and ongoing support to recover.
  3. Business Compliance Requirements: One of the Modern Slavery Act’s most significant aspects is its impact on large businesses. Companies operating in the UK with an annual turnover of £36 million or more are required to produce and publish a slavery and human trafficking statement each financial year.

Section 54: Transparency in Supply Chains

Section 54 of the Act focuses on ensuring transparency and accountability from large businesses. Companies with turnover of £36 million or more per year must assess the risk of modern slavery in their supply chains and take steps to prevent it.

The annual Modern Slavery statement businesses produce must include information such as:

  • The company’s structure and its supply chains
  • Policies in place regarding slavery and human trafficking
  • Due diligence processes to identify and mitigate the risk of slavery
  • Areas where there is a higher risk of modern slavery within the business and supply chain
  • Steps taken to assess and manage these risks
  • Effectiveness measures using performance indicators
  • Training provided to staff on modern slavery issues

Failure to produce or publish this statement can result in injunction proceedings brought by the Secretary of State. However, a significant criticism of UK modern slavery legislation is that this has never happened.

Strengths of the Modern Slavery Act

The Modern Slavery Act has been praised for several reasons:

  1. Groundbreaking Legislation: The Act marked a significant legal development, particularly in Europe, where few countries had previously addressed modern slavery with such comprehensive legislation. Countries globally have expanded upon the UK’s foundations in modern slavery legislation.
  2. Increased Accountability: The Act requires large businesses to report on their efforts to combat modern slavery, bringing corporate social responsibility to the agenda. Companies should now be more aware of the risks of slavery in their supply chains.
  3. Support for Victims: The legal protections and support mechanisms for victims are a crucial part of the Act, ensuring that individuals caught in slavery have a pathway to freedom and recovery.

Weaknesses and Criticisms

Despite its strengths, the UK Modern Slavery Act has some notable weaknesses:

  1. Lack of Enforcement: One of the most significant criticisms is the lack of serious consequences for businesses that fail to comply. Unlike other international legislation, such as Germany’s Supply Chain Act, which imposes fines of up to 2% of global turnover for non-compliant companies, the UK Act has yet to impose penalties on organisations that do not publish or adhere to their modern slavery statements. This lack of enforcement has undermined the potential effectiveness of the Act in holding businesses accountable.
  2. Limited Scope of Reporting: Another concern is the lack of standardisation in reporting requirements. Companies can disclose that they have taken no steps to address modern slavery, yet they still comply with the letter of the law. There is no mandatory requirement for companies to take action—they simply have to report on whether they have done so, leading to uneven levels of corporate responsibility.
  3. Insufficient Monitoring and Oversight: While the Act created transparency requirements, no central body has the authority to monitor compliance systematically. This has made it difficult to track how well businesses are actually performing in tackling modern slavery in their operations. Ideally, the Anti-Slavery Commissioner should be responsible for overseeing corporate reporting.

The Future of the Modern Slavery Act

While the UK Modern Slavery Act was a pioneering step in the right direction, there is significant room for improvement. Future reforms might involve harsher penalties for non-compliance, increased monitoring resources, and more comprehensive victim support programs. Additionally, continued global collaboration could help improve international standards for combatting modern slavery.

Overall,the UK Modern Slavery Act 2015 remains an essential legislative tool in the fight against modern slavery and human trafficking. It has raised awareness among businesses and the public and provided vital protections for victims. However, its weaknesses, particularly around enforcement and reporting, limit its overall impact. Strengthening the Act through reforms and increasing accountability measures for businesses could help close these gaps and make it a more robust framework for combating modern slavery. As global awareness and activism around modern slavery grow, legislation like the UK Modern Slavery Act must continue to evolve.

How Can Verisio Help?

At Verisio, we specialise in helping businesses navigate the complexities of the UK Modern Slavery Act 2015. From conducting thorough supply chain audits to developing tailored due diligence processes, our expert team ensures your business not only complies with the legal requirements but also takes proactive steps to combat modern slavery. With our support, your business can enhance transparency, minimise risk, and demonstrate a firm commitment to ethical practices. Contact us here to find out more.