Supply Chain Risks in 2017 Include Immigration Policy

 Maplecroft Human Rights Outlook has identified the immigration policies of the Trump administration as a critical supply chain risk for 2017. 

Hardening immigration policy in the US, which is increasing the risk of modern slavery and labor abuses against undocumented workers, has emerged as one of the top drivers of human rights risks for business in 2017, according to a new report from global risk analysis company Verisk Maplecroft.

 The Human Rights Outlook 2017 draws on Verisk Maplecroft’s portfolio of global human rights data and its interactions with multinational companies to assess the top 10 human rights issues impacting business in the year ahead. A major theme of the report is that human rights risks are now surfacing closer to home for Western companies just as legislation strengthens and scrutiny of business practices increases.

 Verisk Maplecroft’s key risks to watch in 2017

•           Undocumented migrant laborers in the US will become more vulnerable to modern slavery and human rights abuses due to White House immigration policies that will push them ‘under the radar’

 •           With a focus on production and processing, companies are susceptible to modern slavery ‘blind spots’ in areas such as shipping, cleaning, catering and security

 •           Banks and funds financing land deals in emerging markets are running an increased risk of becoming implicated in ‘land grabs’ and forced evictions

 •           New mandatory reporting requirements on modern slavery and supply chain due diligence are significantly raising the compliance stakes for business


Changing policies in other countries will also impact corporate expenditures and revenues. “Expanding legislation across Western markets means mandatory human rights due diligence on supply chains could soon become the norm for multinational companies. Failure to get it right will now come with a hefty price tag in key jurisdictions since the passing of new laws in France and the Netherlands. More countries are set to follow suit, with legislation likely to emerge in Switzerland next.”

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