NSW companies with over $50 million in revenue TAKE NOTE - an inquiry into the NSW Modern Slavery Act has recommended the NSW Government to proceed with its state-based legislation commencing on or before 1 January 2021.
This extends the scope of Australia’s policy on modern slavery to smaller companies in NSW, capturing an additional ~1,650 companies not covered by the national scheme which has a threshold of $100 million in revenue.
Don’t have operations in NSW? Don’t look away too quickly - one of the key recommendations of the Committee is that NSW should work with Federal Government to LOWER the threshold under the national scheme to align with the NSW position.
Companies subject to modern slavery legislation are required to submit a modern slavery statement that describes the action the company has undertaken to assess and address modern slavery risks in their operations and supply chains, both in Australia and overseas (if applicable). Those that are already taking actions to comply with the national scheme know that substantial preparation is required to address all of the reporting criteria.
And there is another key difference between the NSW and national scheme – while the Commonwealth Act imposes no financial penalties, the NSW Act will impose penalties of up to $1.1 million for failure to prepare a modern slavery statement, failure to publish a statement and providing false or misleading information.
Even if your company does not have revenue of over $50 million, there are knock-on effects if you are a supplier to a company that is required to report. As larger companies incorporate ethical sourcing into their procurement practices, SME suppliers become subject to this additional layer of due diligence.
At givvable, we are developing an online anti-slavery module that helps customers digitally assess the anti-slavery risks of SME suppliers - making it quicker and easier to engage them, while also reducing the due diligence burden on suppliers. This is just one other reason you should register for givvable, the go-to platform for sustainable and social spending. If you would like to learn more, contact us at email@example.com today.