CCLA: Investment sector has to 'show leadership' to eradicate modern slavery
The vast majority of asset managers are failing to consider modern slavery issues in their investments.
In its latest Fix it, Find it, Prevent it report — part of the homonymous initiative aimed at combating modern slavery through corporate engagement with investee companies — the investment manager said UK business efforts to tackle the issue are stalling, with statements submitted to the UK government register falling sharply in 2022.
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CCLA CEO Peter Hugh Smith said while the initiative celebrates the progress being made in addressing modern slavery, «we should be under no illusion about there being more to do».
«In times like these, the investment sector has to show leadership to ensure we eradicate modern slavery,» he added.
His remarks followed Walk Free's 2023 Global Slavery index, published in June, which revealed that the vast majority of asset managers are failing to consider modern slavery issues in their investments.
More specifically, roughly a quarter claimed they conducted some form of due diligence on modern slavery issues in their portfolios, while just one in three asset managers in the UK disclosed being part of initiatives looking to tackle such issues.
Hugh Smith added: «The Global Slavery index makes for grim reading, but it also makes it very clear. The investment industry can and should do more to address modern slavery. It is not right that investors profit from this crime and we need to do everything we can to engage with the companies we own so that they are active in addressing issues and providing remedy to those affected.
»Furthermore, in an environment where we are progressing towards greater transparency and disclosure on what
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