Published by The New Zealand Initiative (Wellington), 27 May 2026 (PDF)
The New Zealand Initiative strongly opposes the Modern Slavery Bill in its current form. While eradicating modern slavery is essential, international evidence demonstrates that disclosure-based regimes fail to reduce exploitation. Reviews of similar laws in the United Kingdom and Australia reveal ‘tick-box’ corporate responses with no measurable impact on modern slavery.
The proposed Bill contains fundamental design flaws:
- Legal Uncertainty: It fails to define a supply chain.
- Unfair Penalties: It imposes personal liability on directors without requiring fault.
- Misplaced Focus: The Bill targets large entities while ignoring smaller businesses where domestic exploitation is most prevalent.
Instead of an expensive reporting regime, the government should properly resource the Labour Inspectorate, New Zealand Police, and Immigration New Zealand. Strengthening the enforcement of existing employment and criminal laws provides a proven and targeted approach to protecting vulnerable workers.