,i  #aafth ,,congress  #b;d ,session    
,h4 ,r4 #fbgi  ,,in ,,the ,,house ,,of  
,,representatives  ,march #ac1          
#bjbj,mrs4 ,carolyn ,b4 ,maloney of ,new
 ,york 7for herself and ,mr4 ,smith of  
,new ,jersey7 introduced the following  
bill2 which was referred to the         
,committee on ,financial ,services  ,a  
,,bill  ,to amend the ,securities       
,exchange ,act of #aicd to require      
certain companies to disclose           
information describing any measures the 
company has taken to identify and       
address conditions of forced labor1     
slavery1 human trafficking1 and the     
worst forms of child labor within the   
company's supply chains4  #a4 ,short    
title ,this ,act may be cited as the    
,business ,supply ,chain ,transparency  
on ,trafficking and ,slavery ,act of    
#bjbj4  #b4 ,findings and sense of      
,congress  7a7 ,findings ,congress finds
 the following3 7#a7 ,in #bjad1 the     
,department of ,labor identified #acf   
goods from #gd countries around the     

world made by forced labor and child    
labor4  7#b7 ,the ,united ,states is the
 world's largest importer1 and in the   
#bast century1 investors1 consumers1 and
 broader civil society increasingly     
demand information about the human      
rights impact of products in the ,united
 ,states market4  7#c7 ,courts have     
ruled that consumers do not have        
standing to bring a civil action in     
,united ,states courts for enforcement  
of a provision in the ,smoot ,hawley    
,tariff ,act of #aicj prohibiting       
importation of goods made with forced   
labor or convict labor1 and furthermore1
 the provision has a broad exception for
 goods that cannot be produced in the   
,united ,states in sufficient quantities
 to meet the demands of ,american       
consumers from tainted goods1           
consequently1 there are fewer than #dj  
enforcement actions on record in the    
past #hj years4  7#d7 ,mechanisms under 
,federal law to prevent and punish      
perpetrators of forced labor1 slavery1  

human trafficking1 and the worst forms  
of child labor in the stream of commerce
 suffer from problems of limited scope1 
broad expectations1 and lack of         
available information about goods that  
are produced along supply chains tainted
 by these crimes and imported by the    
,united ,states4  7#e7 ,the ,trafficking
 ,victims ,protection ,reauthorization  
,act of #bjjc 7,public ,law #ajh-aic7   
together with the ,trafficking ,victims 
,protection ,act of #bjje 7,public ,law 
#aji-afd7 provide for the termination of
 ,federal contracts where a ,federal    
contractor or subcontractor engages in  
severe forms of trafficking in persons  
or has procured a commercial sex act    
during the period of time that the      
grant1 contract1 or cooperative         
agreement is in effect1 or uses forced  
labor in the performance of the grant1  
contract1 or cooperative agreement4 ,the
 ,trafficking ,victims ,protection ,act 
of #bjje also provides ,united ,states  
courts with criminal jurisdiction abroad

 over ,federal employees1 contractors1  
or subcontractors who participate in    
severe forms of trafficking in persons  
or forced labor4  7#f7 ,executive ,order
 #acabf1 ,prohibition of ,acquisition of
 ,products ,produced by ,forced or      
,indentured ,child ,labor1 ,executive   
,order #acfbg1 ,strengthening           
,protections ,against ,trafficking ,in  
,persons ,in ,federal ,contracts1 and   
title ,,xvii of the ,national ,defense  
,authorization ,act for ,fiscal ,year   
#bjac 7,public ,law #aab-bci7 have      
prohibited ,federal contractors1        
subcontractors1 and their employees from
 engaging in the following              
trafficking-related activities3 charging
 labor recruitment fees2 confiscating   
passports and other identity documents  
of workers2 and using fraudulent        
recruitment practices1 including failing
 to disclose basic information or making
 material misrepresentations about the  
terms and conditions of employment4     
,such ,executive order and ,acts also   

require ,federal contractors1           
subcontractors1 and their employees to  
maintain an anti-trafficking compliance 
plan that includes1 among other         
elements1 a complaint mechanism and     
procedures to prevent subcontractors at 
any tier in the supply chain from       
engaging in trafficking in persons4  7b7
 ,sense of ,congress ,it is the sense of
 ,congress that-- 7#a7 forced labor1    
slavery1 human trafficking1 and the     
worst forms of child labor are among the
 most egregious forms of abuse that     
humans commit against each other1 for   
the sake of commercial profit2  7#b7 the
 legislative and regulatory framework to
 prevent goods produced by forced labor1
 slavery1 human trafficking1 and the    
worst forms of child labor from passing 
into the stream of commerce in the      
,united ,states is gravely inadequate2  
7#c7 legislation is necessary to provide
 consumers information on products that 
are free of child labor1 forced labor1  
slavery1 and human trafficking2 and     

7#d7 through publicly available         
disclosures1 businesses and consumers   
can avoid inadvertently promoting or    
sanctioning these crimes through        
production and purchase of raw          
materials1 goods and finished products  
that have been tainted in the supply    
chains4  #c4 ,disclosure of information 
relating to efforts to combat the use of
 forced labor1 slavery1 trafficking in  
persons1 or the worst forms of child    
labor ,section #ac of the ,securities   
,exchange ,act of #aicd 7#ae ,u4,s4,c4  
#ghm7 is amended by adding at the end   
the following new subsection3  7s7      
,disclosures relating to efforts ,to    
combat the ,use of ,forced ,labor1      
,slavery1 ,trafficking in ,persons1 or  
the ,worst ,forms of ,child ,labor  7#a7
 ,regulations ,not later than #a year   
after the date of enactment of the      
,business ,supply ,chain ,transparency  
on ,trafficking and ,slavery ,act of    
#bjbj1 the ,commission1 in consultation 
with the ,secretary of ,state1 shall    

promulgate regulations to require that  
any covered issuer required to file     
reports with the ,commission under this 
section to include annually in such     
reports1 a disclosure whether the       
covered issuer has taken any measures   
during the year for which such reporting
 is required to identify and address    
conditions of forced labor1 slavery1    
human trafficking1 and the worst forms  
of child labor within the covered       
issuer's supply chain1 and a description
 of such measures taken4 ,such          
disclosure shall include1 under the     
heading #8,policies to ,address ,forced 
,labor1 ,slavery1 ,human ,trafficking1  
and the ,worst ,forms of ,child ,labor'1
 information describing to what extent1 
if any1 the covered issuer conducts any 
of the following activities3 7,a7       
,whether the covered issuer maintains a 
policy to identify and eliminate the    
risks of forced labor1 slavery1 human   
trafficking1 and the worst forms of     
child labor within the covered issuer's 

supply chain 7such disclosure to include
 the text of the policy or substantive  
description of the elements of the      
policy71 and actions the covered issuer 
has taken pursuant to or in the absence 
of such policy4  7,b7 ,whether the      
covered issuer maintains a policy       
prohibiting its employees and employees 
of entities associated with its supply  
chain from engaging in commercial sex   
acts with a minor4  7,c7 ,the efforts of
 the covered issuer to evaluate and     
address the risks of forced labor1      
slavery1 human trafficking1 and the     
worst forms of child labor in the       
product supply chain4 ,if such efforts  
have been made1 such disclosure shall-- 
7i7 describe any risks identified within
 the supply chain1 and the measures     
taken toward eliminating those risks2   
7ii7 specify whether the evaluation was 
or was not conducted by a third party2  
7iii7 specify whether the process       
includes consultation with the          
independent labor organizations 7as such

 term is defined in section #b of the   
,national ,labor ,relations ,act 7#bi   
,u4,s4,c4 #aeb771 workers' associations1
 or workers within workplaces and       
incorporates the resulting input or     
written comments from such independent  
labor organizations1 workers'           
associations1 or workers and if so1 the 
disclosure shall describe the entities  
consulted and specify the method of such
 consultation2 and  7iv7 specify the    
extent to which the process covers      
entities within the supply chain1       
including entities upstream in the      
product supply chain and entities across
 lines of products or services          
throughout the covered issuer's product 
manufacturing4  7,d7 ,the efforts of the
 covered issuer to ensure that audits of
 suppliers within the supply chain of   
the covered issuer are conducted to--   
7i7 investigate the working conditions  
and labor practices of such suppliers2  
7ii7 verify whether such suppliers have 
in place appropriate systems to identify

 risks of forced labor1 slavery1 human  
trafficking1 and the worst forms of     
child labor within their own supply     
chain2 and  7iii7 evaluate whether such 
systems are in compliance with the      
policies of the covered issuer or       
efforts in absence of such policies4    
7,e7 ,the efforts of the covered issuer 
to-- 7i7 require suppliers in the supply
 chain to attest that the manufacture of
 materials incorporated into any product
 and the recruitment of labor are       
carried out in compliance with the laws 
regarding forced labor1 slavery1 human  
trafficking1 and the worst forms of     
child labor2  7ii7 maintain internal    
accountability standards1 supply chain  
management1 and procurement systems1 and
 reporting procedures for employees1    
suppliers1 contractors1 or other        
entities within its supply chain failing
 to meet the covered issuer's standards 
regarding forced labor1 slavery1 human  
trafficking1 and the worst forms of     
child labor1 including a description of 

such standards1 systems1 and procedures2
  7iii7 train the employees and         
management who have direct              
responsibility for supply chain         
management on issues related to forced  
labor1 slavery1 human trafficking1 and  
the worst forms of child labor1         
particularly with respect to mitigating 
risks within the supply chains of       
products2 and  7iv7 ensure that labor   
recruitment practices at all suppliers  
associated with the supply chain comply 
with the covered issuer's policies or   
efforts in absence of such policies for 
eliminating exploitive labor practices  
that contribute to forced labor1        
slavery1 human trafficking1 and the     
worst forms of child labor1 including by
 complying with audits of labor         
recruiters and disclosing the results of
 such audits4  7,f7 ,the efforts of the 
covered issuer in cases where forced    
labor1 slavery1 human trafficking1 and  
the worst forms of child labor have been
 identified within the supply chain1 to 

ensure that remedial action is provided 
to those who have identified as victims1
 including support for programs designed
 to prevent the recurrence of those     
events within the industry or sector in 
which they have been identified4  7#b7  
,requirements for availability of       
information  7,a7 ,disclosure on company
 website ,the regulations promulgated   
under paragraph 7#a7 shall require that 
the required information be disclosed by
 the covered issuer on the ,internet    
website of the covered issuer through a 
conspicuous and easily understandable   
link to the relevant information that   
shall be labeled ,global ,supply ,chain 
,transparency4  7,b7 ,disclosure on     
,commission website ,the ,commission    
shall make available to the public in a 
searchable format on the ,commission's  
website-- 7i7 a list of covered issuers 
required to disclose any measures taken 
by the company to identify and address  
conditions of forced labor1 slavery1    
human trafficking1 and the worst forms  

of child labor within the covered       
issuer's supply chain1 as required by   
this subsection2 and  7ii7 a compilation
 of the information submitted under the 
rules issued under paragraph 7#a74  7#c7
 ,definitions ,as used in this          
subsection-- 7,a7 the term covered      
issuer means an issuer that has annual  
worldwide global receipts in excess of  
#ajj1jjj1jjj2  7,b7 the terms forced    
labor1 slavery1 and human trafficking   
mean any labor practice or human        
trafficking activity in violation of    
national and international standards1   
including ,international ,labor         
,organization ,convention ,no4 #ahb1 the
 ,trafficking ,victims ,protection ,act 
of #bjjj 7,public ,law #ajf-chf71 and   
acts that would violate the criminal    
provisions related to slavery and human 
trafficking under chapter #gg of title  
#ah1 ,united ,states ,code1 if they had 
been committed within the jurisdiction  
of the ,united ,states2  7,c7 the term  
remedial action means the activities or 

systems that an issuer puts in place to 
address non-compliance identified       
through monitoring or verification1 and 
may apply to individuals adversely      
affected by the non-compliant conduct or
 address broader systematic processes2  
7,d7 the term supply chain1 with respect
 to a covered issuer disclosing the     
information required under the          
regulations promulgated under this      
section1 means all labor recruiters1    
suppliers of products1 component parts  
of products1 and raw materials used by  
such entity in the manufacturing of such
 entity's products whether or not such  
entity has a direct relationship with   
the supplier2 and  7,e7 the term the    
worst forms of child labor means child  
labor in violation of national and      
international standards1 including      
,international ,labor ,organization     
,convention ,no4 #ahb4  4