Large companies with annual revenue over A$100 million could soon pay fines and face criminal charges for failing to prevent modern slavery, under a new federal government crackdown.

These reforms come just six weeks after the United States threatened to impose trade tariffs of up to 12.5% on 60 countries – including Australia – over their alleged inaction on forced and slave labour.

The good news? These proposed reforms will finally put Australia back at the forefront of global efforts to tackle modern slavery. That’s crucial, as it can affect everything from the coffee, chocolate and clothes we buy today, to worker exploitation in big sectors in Australia such as construction, property and agriculture.

Here’s what will change, what’s still set to be decided in consultation, and what it could mean on tariffs.

Why more action is needed

Modern slavery covers a range of exploitative practices, including:

slavery, where a person is effectively owned by another

forced labour, where someone works under the threat of punishment

forced marriage, including child marriages

and debt bondage, where someone is forced to work to pay off a debt.

These practices are all crimes under Australian and international law.

An estimated 50 million people around the world are enslaved today.

Australia is estimated to have more than 41,000 people trapped in modern slavery, from........

© The Conversation