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No industry or region is fully insulated from the social deficit which has emerged from the rise of the modern global economy.

Given the influence and impact that multinational corporations have, there is significant scope for corporate leaders to champion reform and action in this area.

However, the ILO estimates that 44% of those working in forced labour are also victims of trafficking (pdf).

The fight to eradicate the scourge of forced and child labour, sometimes referred to as modern-day slavery, has re-emerged as a defining issue in this century

The International Labour Organization (ILO) estimates that almost 21 million people are currently working in some form of forced labour, with 14.2 million in economic activities such as agriculture, construction, domestic work or manufacturing (pdf).

Beginning in California in 2012, following effective campaigning and lobbying to then-governor Arnold Schwarzenegger, mandatory corporate disclosure of a company’s non-financial activities has been on the rise.

From US President Obama’s executive order on trafficking and federal procurement, to the UK Modern Slavery Bill’s recent amendment to include supply chain disclosure provisions, to the EU’s adoption of a non-financial reporting directive, compulsory transparency around global corporate practices – including human rights, labour and social impacts and policies – is the latest tool being employed by legislators to place social expectations on corporations.

multinational corporations have grown significantly in terms of size, assets, resource control and revenue, not to mention societal influence.

This growth has been accompanied by growing expectations by society and government.

It is, of course, critical to recognise that the global corporate supply chain can be a force for good.

However, with their multiple levels of subcontracting, particularly throughout impoverished regions where labour laws are non-existent or not enforced, global labour and product supply chains also provide fertile ground for inhumane practices and working conditions.

The United States Department of Labor, for example, has produced a list of 136 goods produced in 74 countries using forced labour, child labour, or both.

Many leading companies already understand that their strategies shape the lives of millions. The most forward-thinking believe that business is an integral pillar of society and recognise that the people they rely on at home and abroad are central to building sustainable and lasting businesses.

And since mandatory disclosure requires all multinationals to take notice and action rather than just the industry leaders, this ultimately helps level the playing field.

Some believe supply chain transparency laws do not constitute any real change from the prevailing corporate-driven model for CSR, while others oppose increased regulation and oversight as unnecessary state intervention, believing that industry led efforts have the best chance of success.

it is a combination of corporate leadership and regulation in this area which will help ensure all market participants rise to acceptable standards.

The trend away from voluntary reports towards mandatory social reporting for global corporations is here to stay and may represent a first step towards increased legislative requirements

No matter where one believes the solutions lie, the ultimate goal is a global economy free from forced labour, trafficking and other abuses. For the millions of victims who go out into the world seeking work in the hope of building better lives, we must commit to seeking the best path forward.