to consumer and investor demands for business rea-
sons, rather than solely reacting to governmental 
prescriptions on how to conduct their business. 
SEC. 2. DISCLOSURE TO SEC RELATING TO SLAVERY CON-
DITIONS WITHIN PRODUCT SUPPLY CHAINS. 
Section 13 of the Securities Exchange Act of 1934 
(15 U.S.C. 78m), is amended by adding at the end the 
following new subsection: 
‘‘(r) DISCLOSURES RELATING TO SLAVERY CONDI-
TIONS WITHIN PRODUCT SUPPLY CHAINS.— 
‘‘(1) REGULATIONS.—Not later than 270 days 
after the date of the enactment of this subsection, 
the Commission shall promulgate regulations requir-
ing any person required to file reports with the Com-
mission under this section to include annually in 
such reports, beginning with the person’s first full 
fiscal year that begins after the date of promulga-
tion of such regulations, a disclosure of any meas-
ures such person has taken during the year for 
which such reporting is required to identify and ad-
dress conditions of forced labor, slavery, human traf-
ficking, and the worst forms of child labor within 
such person’s supply chains. Such disclosure shall 
include the following information under the heading 
‘Policies to Address Forced Labor, Slavery, Human 
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Trafficking and the Worst Forms of Child Labor’ 
describing to what extent, if any, the person con-
ducts any of the following activities: 
‘‘(A) Maintains a policy to identify and 
eliminate risks of forced labor, slavery, human 
trafficking, and the worst forms of child labor 
within its supply chain. If the person maintains 
such a policy, the disclosure shall include the 
text of the policy or a substantive description of 
the elements of the policy. 
‘‘(B) Maintains a policy prohibiting the use 
of the person’s corporate products, facilities, or 
services to obtain or maintain someone under 
conditions of forced labor, slavery, human traf-
ficking, and the worst forms of child labor. 
‘‘(C) Engages in verification of product 
supply chains to evaluate and address risks of 
forced labor, slavery, human trafficking and the 
worst forms of child labor. The disclosure 
shall— 
‘‘(i) describe the greatest risks identi-
fied within the supply chain, and the meas-
ures taken toward eliminating those risks; 
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‘‘(ii) specify whether the verification 
was or was not conducted by a third party; 
and 
‘‘(iii) specify whether the verification 
process includes consultations with inde-
pendent unions, workers’ associations, or 
workers within workplaces and incor-
porates the resulting certification or writ-
ten comments from such independent 
union, workers’ associations, or workers. 
‘‘(D) Ensures that audits of suppliers are 
conducted to evaluate supplier compliance with 
the person’s company standards for eliminating 
forced labor, slavery, human trafficking, and 
the worst forms of child labor in supply chains. 
The disclosure shall specify if the verification 
was not an independent, unannounced audit. 
‘‘(E) Assesses supply chain management 
and procurement systems of suppliers in the 
person’s supply chain, to verify whether said 
suppliers have in place appropriate systems to 
identify risks of forced labor, slavery, human 
trafficking, and the worst forms of child labor 
within their own supply chain. 
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‘‘(F) Requires suppliers in its supply chain 
to certify that materials incorporated into the 
product comply with the laws regarding forced 
labor, slavery, human trafficking, and the worst 
forms of child labor of the country or countries 
in which they are doing business. 
‘‘(G) Maintains internal accountability 
standards, supply chain management and pro-
curement systems, and procedures for employ-
ees or contractors failing to meet the person’s 
company standards regarding forced labor, slav-
ery, human trafficking, and the worst forms of 
child labor. The report shall describe such 
standards and systems. 
‘‘(H) Provides the person’s employees and 
management who have direct responsibility for 
supply chain management, training on forced 
labor, slavery, human trafficking and the worst 
forms of child labor, particularly with respect to 
mitigating risks within the supply chains of 
products. 
‘‘(I) Ensures that recruitment practices at 
all suppliers comply with the person’s company 
standards for eliminating exploitive labor prac-
tices that contribute to forced labor, slavery, 
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human trafficking, and the worst forms of child 
labor, including by conducting audits of labor 
recruiters and disclosing the results of such au-
dits. 
‘‘(J) In cases where forced labor, slavery, 
human trafficking, and the worst forms of child 
labor have been identified within the supply 
chain, ensures that remediation is provided to 
those who have been identified as victims. 
‘‘(2) INTERACTIVE DATA FORMAT.—The rules 
issued under paragraph (1) shall require that the in-
formation included in the person’s annual report be 
submitted in electronic form in an interactive data 
format. 
‘‘(3) PUBLIC AVAILABILITY OF INFORMATION.— 
To the extent practicable, the Commission shall 
make available to the public in a searchable format 
on a website, a compilation of the information re-
quired to be submitted under the rules issued under 
paragraph (1). 
‘‘(4) 
PUBLICATION
ON
THE
COMPANY’S 
WEBSITE.—Any person filing the disclosure required 
by paragraph (1) shall make available such disclo-
sure on the person’s Internet website with a con-
spicuous and easily understood link to the relevant 
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information placed on the homepage of the website. 
The link on the homepage shall be labeled ‘‘Policies 
to Address Forced Labor, Slavery, Human Traf-
ficking and the Worst Forms of Child Labor.’’ In 
the event the person does not have an Internet 
website, the person shall provide the written disclo-
sure within 30 days after receiving a written request 
for the disclosure from an investor or consumer. 
‘‘(5) DEFINITIONS.—For purposes of this sub-
section— 
‘‘(A) the term ‘‘forced labor, slavery, 
human trafficking and the worst forms of child 
labor’’ means child labor in violation of inter-
national 
standards 
including 
International 
Labor Organization Convention No. 182 and 
acts that would violate the criminal provisions 
related to slavery and human trafficking under 
chapter 77 of title 18 if they had been com-
mitted within the jurisdiction of the United 
States; 
‘‘(B) the term ‘person’ means any publicly- 
traded or private entity required to submit any 
annual report to the Commission, and having 
annual worldwide global receipts in excess of 
$100,000,000; 
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‘‘(C) the term ‘remediation’ means the ac-
tivities or systems that a company puts in place 
to address non-compliance with the standards 
identified through monitoring or verification, 
which may apply to individuals adversely af-
fected by the non-compliant conduct or address 
broader systematic processes; 
‘‘(D) the term ‘supply chain’, with respect 
to a person filing the disclosure required by 
paragraph (1), means all suppliers of products, 
component parts of products, and raw materials 
used by such person in the manufacturing of 
such person’s products or the provision of such 
person’s services, whether or not such person 
has a direct relationship with the supplier; and 
‘‘(E) the term ‘verification’ means the 
process by which a company is evaluated to de-
termine compliance with its documented pro-
gram, including standards on forced labor, slav-
ery, human trafficking, and the worst forms of 
child labor, including an evaluation of— 
‘‘(i) data gathered through monitoring 
activities to ensure results are reliable and 
process is credible; and 
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‘‘(ii) the system established to reme-
diate violations to determine if remediation 
is implemented and effective.’’. 
Æ 
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