California's SB657 is an Awakening for Global Businesses

Sep 4, 2015 12:30 PM ET

Since it’s inception in 2010, the California Transparency in Supply Chains Act (SB 657) has gained the attention of the international community. It has since had an influence on regulations around the world that focus on eradicating human trafficking and forced labor within supply chains. According to Kilian Moote of, “...four other supply chain regulations with elements inspired by SB 657 have emerged: The US Executive Order 13627(EO), The EU Directive (2013/34/EU), The UK Modern Slavery Act, and the recently introduced Business Supply Chain Transparency on Trafficking and Slavery Act of 2015…”, all of which aim to address the issue that self-educated buyers are apprehensive about.

As time goes on, consumers have voiced concerns regarding products that could be affected by human rights violations. This trend is especially important among millennials. With their percentage in the consumer market growing, companies on the proactive approach are taking forward-thinking measures to address this essential demographic. The risk posed by not assessing supply chains for human rights violations could prove fatal to a company’s status in the court of public opinion.

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