CALIFORNIA SUPPLY CHAINS ACT TRANSPARANCE
The State of California has enacted legislation (The California Transparency in Supply Chains Act of 2010 – S.B. 657) (the “Act”) that requires certain retailers and manufacturers above a certain size doing business in California to disclose on their websites to what extent, if any, the company:
(1) Engages in verification of product supply chains to evaluate and address risks of human trafficking and slavery;
(2) Conducts audits of suppliers’ compliance with company standards for trafficking and slavery in supply chains;
(3) Requires suppliers to certify that materials incorporated into the product comply with the laws regarding slavery and human trafficking of the country or countries in which they are doing business;
4) Maintains internal accountability standards and procedures for employees or contractors failing to meet company standards regarding slavery and trafficking; and
(5) Provides company employees and management, who have direct responsibility for supply chain management, training on human trafficking and slavery, particularly with respect to mitigating risks within the supply chains of products.