The big picture: Asia-Pacific nations, led by Thailand and Indonesia, are advancing mandatory human rights due diligence (mHRDD) laws to combat modern slavery in global supply chains.

Why it matters: This regional push signifies a global shift towards stricter corporate accountability, impacting how businesses manage labor practices and supply chain transparency worldwide.

Between the lines:

• Thailand and Indonesia are spearheading new mHRDD proposals to strengthen corporate oversight.
• An estimated 1.8 million people in Indonesia and 401,000 in Thailand live in modern slavery, highlighting the urgency.
• The focus is shifting from supplier-centric to worker-centric due diligence, emphasizing engagement and grievance mechanisms.

Staffing & HR impact: HR and staffing leaders must prepare for increased scrutiny of labor recruitment systems and supply chain transparency, potentially impacting compliance costs and operational due diligence. This trend will necessitate robust internal controls and ethical sourcing practices to mitigate risks.

The bottom line: Mandatory human rights due diligence is becoming the new global standard, moving beyond voluntary commitments.