A Tale of Two Acts and the Road Ahead: Understanding Reporting Trends, Variances and Future Challenges to Enhance Corporate Actions to Combat Modern Slavery

This study examines the role that regulatory frameworks and market-based enforcement mechanisms play in shaping companies’ disclosures on labor and human rights risks. It also looks at the factors that influence the effectiveness of laws in driving change in corporate supply chain practices. The study analyzes 17 businesses operating in two high-risk industry sectors: fashion, textiles, apparel, and luxury goods; and food and beverages, agriculture, and fishing. The disclosure analysis is framed as a cross-jurisdictional analysis, while the performance of reporting entities is critically examined using an established methodology applied in public research reports to analyze business responses to modern slavery. The results indicate that reporting under the Australian Modern Slavery Act appears to have resulted in more meaningful action compared to reporting against the California Transparency in Supply Chains Act. The study examines variations in impact across sectors and jurisdictions and identifies factors that make monitoring compliance and enforcing accountability difficult. Ultimately, regulators and civil society organizations have an important role to play in promoting accountability by scrutinizing company disclosures, advocating for stronger laws and enforcement, and raising public awareness of the issues.