The European Parliament, on Tuesday 23 April, voted in favour of banning the import, export and sale of products that are made using forced labour in the European Union. 555 votes were cast in favour of the regulation, with 6 against and 45 in abstention, and solely awaits final formal confirmation from the EU Council. The regulation has been going through the approval stages since September 2022, overcoming many long delays and hurdles along the legislative path. The regulation arose in the context of the significant number of adults and children that are victims of forced labour, often those in vulnerable and marginalised communities, with the International Labour Organisation predicting that around 27.6 million people were engaged in forced labour in 2021.
The regulation grants powers to both authorities in member states and the EU Commission to investigate any suspected uses of forced labour, and to remove these items from the EU. Investigations must be grounded in facts, and verifiable information from reliable sources, such as international organisations, with criteria considered including geographic areas or economic sectors where state-imposed forced labour prevails. The regulation applies for products manufactured in any country across the globe.
Once deemed to have been the product of forced labour, the item cannot be sold in the EU (physically or online), and incoming shipments will be intercepted, and will not be allowed back on the EU single market until forced labour is eliminated from the supply chains of the company. If the products are already in the EU, they will be either destroyed, recycled or donated. Should companies be found to be failing to comply, they may face fines, which are to be set by the Member States. These companies will also bear the costs of disposing of the product. Additionally, the regulation requires the EU to create a database of areas and products at risk of forced labour.
The text must receive a final formal approval by the EU Council, and then it will require EU countries to start applying the text within 3 years. Commenting on the significance of its approval in the European Parliament, Samira Rafaela, the rapporteur for the International Trade Committee commented:
“This is a historic day. We have adopted a ground-breaking piece of legislation to combat forced labour worldwide. This regulation fosters EU and international cooperation, shifts power from exploiters to consumers and employees, and offers possibilities for remedy for victims. It also transforms trade policies into a greener and fairer future.”
To read the press release by the European parliament, click here.