HealthPRO Canada News

Ending forced labour in Canadian supply chains

Ending Forced Labour in Canadian Supply Chains

New federal legislation that aims to eliminate forced labour and child labour in Canadian supply chains will require large Canadian businesses – including healthcare organizations – to meet significant annual reporting obligations. 

In early May, the Canadian Parliament passed Bill S-211, the Fighting Against Forced Labour and Child Labour in Supply Chains Act. The legislation, which takes effect January 1, 2024, is an important tool to help protect human rights across the Canadian supply chain, regardless of how far it reaches around the globe. 

Under the act, large organizations will be mandated to report on parts of their supply chains where forced labour might be occurring, including measures they are taking to prevent and reduce the risk that forced labour or child labour is used by them or in their supply chains. The first report will be required to be filed on or before May 31, 2024. 

Who will be required to file these reports?    

Reporting obligations will apply to any corporation or a trust, partnership, or other unincorporated organization that:  

  • Is listed on a Canadian stock exchange. 
  • Has a place of business in Canada, does business in Canada, or has assets in Canada and that, based on its consolidated financial statements, meets at least two of the following conditions for at least one of its two most recent financial years: 
    • Had at least $20 million in assets 
    • Generated at least $40 million in revenue, or
    • Employs an average of at least 250 employees.
  • Is prescribed by regulations.  

For the full text of Bill S-211, visit here. 

The new legislation is expected to prompt many organizations to update their Environmental, Social and Governance policies. HealthPRO is committed to social equity and considers each supplier’s forced labour practices and policies when awarding contracts.