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Fighting Against Forced Labour and Child Labour

Canada is part of the 8 fundamental conventions of the International Labour Organization on fundamental labour rights and is determined to contribute to the fight against modern slavery.

Keep reading to learn if you are considered an “Entity” in the “Fighting Against Forced Labour and Child Labour in Supply Chains Act” (the Act) and what your reporting obligations are.

The Act imposes an obligation on certain government institutions and private- sector entities to report on the measures taken to prevent and reduce the risk that forced labour or child labour is used by them or in their supply chains.

The Act provides for an inspection regime applicable to entities.

Gives the Minister (of Public Safety) the power to require an entity to provide certain information.

  • Government institutions producing, purchasing or distributing goods in Canada or elsewhere; and
  • Entities producing goods in Canada or elsewhere or in importing goods produced outside Canada.

The Act defines an “entity” as a corporation or a trust, partnership or other unincorporated organization that
 (a) is listed on a stock exchange in Canada;
 (b) 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:
               (i) it has at least $20 million in assets,
               (ii) it has generated at least $40 million in revenue, and
               (iii) it employs an average of at least 250 employees; or

   (c) is prescribed by regulations. 

If you meet any of the above mentioned, you are bound to comply with the Act.

If you are an “Entity” as per the Act, one must file an Annual Report on or before May 31 of each year as per section 11.

To report to the Minister (of Public Safety) on the steps the entity has taken to prevent and reduce the risk that forced labour or child labour is used at :

  • any step of the production of goods in Canada or elsewhere by the entity or
  • goods imported into Canada by the entity.

Click HERE for Guidance for Entities published by Public Safety Canada.

  • One is guilty of an offence punishable as a on summary conviction and
  • Liable to a fine of not more than $250,000.

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