Attorney-General Michelle Rowland has announced that the nation’s modern slavery laws will be strengthened with substantial fines and criminal offences. The Albanese Government has announced plans for a new criminal offence and civil penalties for large companies that fail to prevent modern slavery in their supply chains. The move gives the law “some teeth” after years of a voluntary code that was able to be ignored by the worst offending companies. The announcement comes weeks after the United States threatened trade tariffs over the issue, adding international pressure on Australia to take meaningful action on human rights in global supply chains.
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The new laws will make big companies criminally liable for modern slavery in supply chains, with penalties applying to companies with revenue over Aus$100 million. Australia imports billions of dollars of goods with a high risk of slavery in their supply chains every year, including electronics, garments and agricultural products from countries with weak labour protections. Human rights advocates have welcomed the crackdown, describing it as a welcome step to ending forced labour. The Australian Council of Trade Unions also welcomed the announcement, describing it as a long-overdue reform that will improve corporate accountability and help prevent labour exploitation, particularly in industries that rely on complex global sourcing networks.
The strengthened laws respond to longstanding concerns that the existing framework, which relied on voluntary reporting, was inadequate to address the scale of modern slavery risks in global supply chains. The new criminal offence creates a powerful deterrent for companies that might otherwise turn a blind eye to labour abuses in their supply chains. The legislation is expected to have significant implications for large businesses operating in Australia, requiring them to demonstrate robust due diligence processes, including regular audits, risk assessments and transparent reporting. The government has indicated that it will provide a transition period of 12 months for companies to comply with the new requirements.
