Bill Overview
Title: Slave-Free Business Certification Act of 2022
Description: 2 This bill requires businesses with annual revenue greater than $500 million to audit their supply chains for labor practices or human trafficking activities that violate specified national or international standards and report the results to the Department of Labor.
Sponsors: Sen. Hawley, Josh [R-MO]
Target Audience
Population: People working in supply chains of large businesses potentially subject to exploitative labor practices
Estimated Size: 5000000
- The bill targets large businesses with annual revenue greater than $500 million.
- The certification process focuses on supply chain audits related to labor practices or human trafficking.
- Laborers working within these audited supply chains will see potential impacts to their working conditions if non-compliance is found and corrected.
- The labor practices in these supply chains often span multiple countries, incorporating a very broad international workforce.
- Only a subset of the global working population directly relates to supply chains of large companies and labor practices.
- Efforts to eliminate slave labor and human trafficking in supply chains can substantively improve working conditions for millions worldwide.
Reasoning
- The bill targets large businesses with annual revenue greater than $500 million. Given the size, only a portion of the US population works directly in supply chains influenced by these businesses.
- The impact on American workers will vary: some in manufacturing or logistics might see direct changes due to altered supply chain practices, improving their work conditions.
- Consumers might indirectly feel the impact as cleaner supply chains potentially mean more ethically produced goods.
- The budget constraints mean that only a portion of eligible businesses can be fully audited in the initial stages, thus limiting the immediate reach of the policy in Year 1.
- Over a 10-year horizon, the gradual building of ethical supply chain practices will potentially improve national and global perception of the participating businesses, which might have broader socio-economic benefits.
- The wellbeing impact may be more evident on a global scale, as many supply chains cross borders, affecting labor conditions in numerous countries.
- Domestic improvement aligns partially with global efforts; effective policy implementation may shape US market behaviors toward more responsible consumption.
Simulated Interviews
Factory Worker (Detroit, MI)
Age: 34 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 5/20
Statement of Opinion:
- I think it's good more companies have to check if they're doing things ethically. I hope it makes my work conditions safer.
- But I'm skeptical if anything will change unless they get caught doing something bad.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 7 | 5 |
| Year 5 | 7 | 5 |
| Year 10 | 7 | 5 |
| Year 20 | 6 | 5 |
Logistics Coordinator (Los Angeles, CA)
Age: 28 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 3.0 years
Commonness: 7/20
Statement of Opinion:
- This could mean the companies I work with need to change how they get their materials more ethically.
- A lot of pressure might also fall on us coordinators to comply with new audits.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 6 |
Oil and Gas Sector Manager (Houston, TX)
Age: 52 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 5.0 years
Commonness: 3/20
Statement of Opinion:
- The oil sector should have done this years ago. Global opinion can only improve if standards are raised.
- I'm not sure how quickly my company can implement these audits, cost and time will be the big issues.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 6 | 7 |
| Year 20 | 6 | 7 |
Supply Chain Analyst (Chicago, IL)
Age: 41 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 4/20
Statement of Opinion:
- There is a lot to gain from a policy like this. It would make my job a lot more structured and add value to what we do.
- The question is whether it has teeth when it's time to enforce these standards across large corporations.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 7 | 6 |
Customer Service Representative (New York, NY)
Age: 23 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 5.0 years
Commonness: 6/20
Statement of Opinion:
- I guess it would be great to know the things we sell aren't made by exploiting people.
- With how big the company is, I'm not sure my work will change much but knowing may feel better.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 5 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 5 |
| Year 10 | 6 | 5 |
| Year 20 | 6 | 5 |
Ethical Trade Consultant (Portland, OR)
Age: 47 | Gender: other
Wellbeing Before Policy: 7
Duration of Impact: 20.0 years
Commonness: 2/20
Statement of Opinion:
- I fully support this type of legislation; it aligns with our advocacy goals and could legitimize our consulting practices even more.
- However, the effectiveness of such bills depends on enforcement and businesses genuinely committing to change.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 8 | 7 |
| Year 5 | 8 | 7 |
| Year 10 | 9 | 7 |
| Year 20 | 9 | 7 |
Tech Industry Designer (San Francisco, CA)
Age: 31 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 8/20
Statement of Opinion:
- I like that we're being held to account, particularly around international supply chains.
- I don't see this affecting design much, but maybe it'll drive us towards even more sustainable tech innovation.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 7 | 6 |
| Year 20 | 7 | 6 |
Higher Education Economics Professor (Atlanta, GA)
Age: 39 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 10.0 years
Commonness: 4/20
Statement of Opinion:
- It's a relevant step, but thorough audits require resources and this budget seems limited.
- The broader effect on the market could lead to increased costs, but this might be offset by ethical consumerism trends.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 8 | 7 |
| Year 20 | 8 | 7 |
Online Retail Business Owner (Seattle, WA)
Age: 45 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 5.0 years
Commonness: 10/20
Statement of Opinion:
- The values this bill promotes resonate with my own business ethos, but scaling up ethical sourcing can be challenging for smaller operations.
- It might make me rethink my partnerships with larger suppliers and focus more on local, known sources.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 5 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 5 |
| Year 10 | 6 | 5 |
| Year 20 | 6 | 5 |
Import/Export Administrative Manager (Miami, FL)
Age: 50 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 3/20
Statement of Opinion:
- I'm aware of the supply chain issues in international trade, this bill could really strengthen compliance and make things uniform.
- But practical application without additional financial support for these changes might be inconsistent.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 7 | 6 |
| Year 20 | 7 | 6 |
Cost Estimates
Year 1: $150000000 (Low: $120000000, High: $180000000)
Year 2: $80000000 (Low: $70000000, High: $100000000)
Year 3: $60000000 (Low: $50000000, High: $70000000)
Year 5: $50000000 (Low: $40000000, High: $60000000)
Year 10: $30000000 (Low: $20000000, High: $40000000)
Year 100: $10000000 (Low: $5000000, High: $20000000)
Key Considerations
- The initial financial burden on businesses to conduct supply chain audits could be substantial, especially for those with complex or international supply chains.
- Improvements in labor standards could enhance brand reputation but may also temporarily increase product costs.
- Automation and transparency tools could mitigate some audit expenses but require upfront investments.
- The indirect benefits to workers globally can lead to significant social improvements beyond immediate economic returns.