Investors have called for the construction sector to act on modern slavery, with 18% of forced labour victims globally working in construction, according to a summary report from a roundtable held by the Cabinet Office, CCLA, LGT Wealth Management and the Supply Chain Sustainability School.
Delegates in attendance acknowledged the risks of modern slavery in the construction sector are significant and increasing, and that there was a pressing need for the sector to take action. According to delegates, leadership and collaboration were necessary to address the issue and preparation for finding instances of modern slavery was crucial because it was a matter of ‘when’ and not ‘if’ instances were found.
A potential collaboration with civil society and the regulators was also discussed to provide a modern slavery intelligence network for the construction sector akin to that developed by the supermarkets for food and farming.
The event was attended by 17 major UK-listed and private construction companies, some of whom are strategic suppliers to the government, along with a range of speakers working to tackle modern slavery.
CCLA instigated the event to galvanise its engagement with the sector, which tended to be low-scoring in CCLA’s 2023 Modern Slavery Benchmark. Additionally, engagement has produced a mixed response, with some firms lagging in their commitment to tackle the issue.
“There are three main reasons that the construction industry is particularly high risk compared to other sectors,” said Dr Martin Buttle, Better Work lead at CCLA.
“There are a high number of relatively low-skilled and low-wage roles and a high number of migrant workers fulfilling such roles, some with a limited right to work. There is also widespread sub-contracting with many different workers moving on- and off-site during the project lifecycle which can add complexity to monitoring efforts.”
According to the summary report, in 2023, the number of potential victims calling in to Unseen’s modern slavery helpline about construction sites increased by 269%, up from 32 in 2022 to 118 last year.
Furthermore, the Gangmasters and Labour Abuse Authority anticipated a spike in exploitative conditions in the sector due to the substantial increase in ‘shortage occupation visas’ being granted and noted that there was more than a six-fold increase in visas granted from Q2 to Q4 2023 alone.
“There is enormous value in bringing together industry leaders, government, regulators and civil society investors to tackle modern slavery. Construction industry leaders heard a strong and consistent message from investors, government and regulators about the risks and the need to take action now,” Dame Sara Thornton, a consultant on modern slavery at the CCLA, added.
“I was encouraged by the spirit of collaboration in the room and the determination to make concrete progress. We have since been working closely with key partners and will benchmark the construction sector again to assess performance.”
Meanwhile, Siobhan Archer, global stewardship lead at LGT Wealth Management – who also participated at the event, said: “Despite progress within the industry, construction remains a high-risk sector for forced exploitation and modern slavery. Recent policy announcements, such as those highlighted in the King’s Speech, underscore the critical importance of this sector. As responsible investors, we have a duty to collaborate with the built environment to deliver essential infrastructure and housing while ensuring the dignity and safety of its workers.”
