The federal government has unveiled plans to strengthen Australia’s modern slavery laws, proposing a new criminal offence for large businesses that fail to prevent modern slavery in their operations and global supply chains.
Under the proposed reforms, companies with annual consolidated revenue above $100 million could face criminal prosecution if they fail to prevent forced labour, slavery or debt bondage. Businesses would have a defence if they could demonstrate they had taken reasonable steps to identify and prevent modern slavery in their operations and supply chains.
The government will also introduce civil penalties for companies that fail to comply with existing obligations under the Modern Slavery Act, replacing a regime that has largely relied on mandatory reporting.
Attorney-General Michelle Rowland said the changes would “introduce greater accountability, levelling the playing field for the majority of Australian businesses already doing the right thing.”
“Australians rightly expect that the products they buy are not made on the back of modern slavery, which is why the Albanese Government is delivering a legislative framework with teeth,” said Rowland.
The reforms follow an independent review that found Australia’s 2018 Modern Slavery Act had “not yet caused meaningful change” for victims and recommended stronger due diligence requirements. The government will now consult on how the new criminal offence should operate before introducing legislation.
