Is Canada Closer to Enacting Modern Slavery Legislation? A Brief Update.

  • March 31, 2022
  • Nicky Kim and Giovanna Di Sauro

Modern slavery is an umbrella term that encompasses practices of forced labour, including human trafficking, and debt bondage [1]. Based on current research by the International Labour Organization, there are 24.9 million people in forced labour slavery around the world [2]. Women and girls are disproportionately affected by forced labour, accounting for 99% of victims in the commercial sex industry and 58% in other sectors [3].

In this article, we outline the recent and forthcoming measures on modern slavery in Canada, including:

  1. The impact of the Canadian-United States-Mexico Agreement (“CUSMA”);
  2. Prime Minister Justin Trudeau’s mandate letter to Canada’s Minister of Labour; and
  3. The development and status of Canada’s modern slavery legislation including Bill S-211, An Act to enact the Fighting Against Forced Labour and Child Labour in Supply Chains Act and to amend the Customs Tariff (“Bill S-211”) and Bill C-243, An Act respecting the elimination of the use of forced labour and child labour in supply chains (“Bill C-243”).

The Impact of CUSMA

CUSMA, the successor to the North American Free Trade Agreement (“NAFTA”) came into effect on July 1, 2020. CUSMA’s Labour Chapter prohibits the importation of goods produced in whole or in part by forced or compulsory labour, including forced or compulsory child labour. CUSMA parties (i.e., Canada, the United States of America, and Mexico) agreed to cooperate on the identification and movement of goods produced by forced labour, and to adopt and maintain legislation relating to eliminating all forms of forced or compulsory labour.

Pursuant to its CUSMA obligation, Canada amended the Customs Tariff [4] to allow for the issuance of regulations prohibiting the commercial importation of goods that are mined, manufactured or produced wholly or in part by forced labour.  Companies are well advised not only to monitor the application of the Customs Tariff and the issuance of any regulations pertaining to forced labour but, more fundamentally, to gain a better understanding of the labour and human rights practices associated with their supply chains.