CAOBISCO welcomes the European Commission’s ambition to step up action to address the issue of forced labour in global supply chains. Beyond prohibiting products on the EU market, the proposed EU Regulation should be guided by the goal of driving positive outcomes for vulnerable individuals and communities at risk of forced labour and improve working conditions.
CAOBISCO members firmly believe that forced labour is an unacceptable practice and are committed to addressing forced labour risks in their operations and across their business relationships. CAOBISCO members have voluntarily started integrating human rights and environmental due diligence processes into their policies and procedures throughout their supply chains, increasing traceability and transparency.
This EU Regulation should be developed as part of a “smart mix” of mutually reinforcing measures that foster human rights protection, particularly through partnerships and multistakeholder engagement both inside and outside the EU, and in collaboration with governments, that will effectively tackle the root causes of forced labour where it occurs.
The EU Regulation must be coherent with the upcoming EU Directive on Corporate Sustainability Due Diligence and the revised EU Directive on Corporate Sustainability Reporting, which should remain the cornerstones of the EU legislative framework addressing the responsibility of companies to respect human rights, including addressing risks of forced labour.
The EU Regulation should provide legal certainty and a level playing field among all actors along the supply chains, including a harmonised approach to the implementation of enforcement and investigation obligations by Member States, the imposition of penalties as well as additional provisions for competent authorities’ mandates.
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