We all know that human trafficking is wrong, and we would all be shocked if we heard that a well-known company involved itself in human trafficking. Luckily, there are organizations out there that seek to prevent global human trafficking and quickly point out alleged instances of such trafficking occurring, so that large corporations monitor their activities closely. Government contractors are no exception.
In fact, government contractors will soon be subject to new rules that seek to eradicate human trafficking. A recent FAR provision released on 1/29/15 seeks to strengthen protections against human trafficking in federal contracts and aims to have government contractors subject to a zero-tolerance policy with regard to human trafficking. Specifically, new rules will take effect on March 2, 2015 that would require government contractors to:
– Develop and maintain a compliance plan for supplies contracts
– Disclose if it receives any information that alleges a contractor employee, subcontractor, or subcontractor employee has engaged in activities that would violate the new FAR provision
– Annually certify that it has an implemented compliance plan and that neither it nor its employees engaged in any human trafficking activities
Contractors that wish to have an approved purchasing system (CPSR) must document compliance with the new FAR provision.
Government contractors that choose to ignore these new rules may be subject to very severe penalties that might include:
– Contract termination
– Class action lawsuits
Be sure to read up on the new FAR provisions and make sure that you will be ready to meet the compliance requirements once they are enacted.