Firms cannot afford to overlook legal responsibilities

New pieces of legislation, such as the Modern Slavery Act 2015, which came into force last October, require employers of a certain size to reveal the steps they are taking to eliminate human trafficking in their supply chain.

However, according to the recent study, almost a third of businesses failed to analyse the full supply chain when disruption arose and this lack of awareness could potentially open the door to legislative breaches.

Nick Wildgoose, from Zurich Global Corporate, said that paying close attention to supply chains helped businesses to minimise risk as well as enabling them to forge closer connections with suppliers.

“At the end of the day, if you do not manage the risk, both sides suffer,” he said.

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