Expert Guide on Human Rights and Forced Labour in EU

The European Union has a robust legal framework addressing forced labour, modern slavery, and human rights. While there are overarching EU directives and regulations, each member state also enacts its own national laws to implement and sometimes expand upon these standards

• Charter of Fundamental Rights of the European Union: Article 5 explicitly prohibits slavery, forced labour, and human trafficking. t is a fundamental part of the EU's commitment to human rights and is binding on all member states.
• Directive 2011/36/EU on Preventing and Combating Trafficking in Human Beings: This directive aims to prevent and combat trafficking in human beings, protect victims, and enhance cooperation among member states.
• Directive 2009/52/EC: Provides for minimum standards on sanctions and measures against employers of illegally staying third-country nationals, including provisions to prevent exploitation and forced labour.
• European Convention on Human Rights (ECHR): Article 4 prohibits slavery and forced labour, binding on all EU member states. The European Court of Human Rights oversees compliance with the ECHR and can adjudicate cases brought by individuals or groups alleging violations of their rights.
• Regulation (EU) 2024/3015 (EUFLR): Prohibits products made with forced labour on the Union market.
• Corporate Sustainability Due Diligence Directive (CSDDD) - Requires companies to identify, prevent, mitigate, and account for adverse human rights and environmental impacts in their own operations, their subsidiaries, and throughout their value chains.

In general terms, all EU member states are bound by the ECHR and the Charter of Fundamental Rights, which provide broad protections against forced labour and modern slavery. National constitutions and human rights laws in each country further reinforce these protections.

The EU addresses forced labour, modern slavery, and human rights through a combination of EU-wide directives and national laws, and now, more recently, through the EUFLR - as a regulation, is directly applicable across all member states, ensuring uniform standards and enforcement - and CSDDD - directive, which means it requires transposition into national law by each member state.

More details for specific jurisdiction in the respective chapter.

The EU regulation on prohibiting products made with forced labour does not specify sector-specific rules. The prohibition applies to all products, regardless of the sector, origin, whether they are domestic or imported, or placed or made available on the Union market or exported. This includes products at any stage of their production, manufacture, harvest, or extraction, and their components.

It does not apply however to the provision of transport services

Under the EUFLR, companies must implement mandatory requirements, voluntary guidelines, recommendations, or practices to identify, prevent, mitigate, or bring to an end the use of forced labour in their supply chains. This includes adhering to applicable Union or national laws setting out due diligence and transparency requirements with respect to forced labour, as well as guidelines and recommendations from international organizations such as the UN, ILO, and OECD.

Supply Chain Transparency: Companies must provide information identifying the product, the manufacturer or producer, and the product suppliers to customs authorities.

Engagement with Competent Authorities: Companies must engage in dialogue with competent authorities throughout the course of an investigation. This includes providing information on actions taken to mitigate, prevent, bring to an end risks of forced labour, or remediate forced labour cases in their operations and supply chains with respect to the products under assessment

Compliance with Decisions: If a competent authority establishes that a product has been made with forced labour, companies must comply with decisions to prohibit the placing or making available of such products on the Union market and their export. They must also withdraw the products already made available on the market and dispose of them in accordance with the regulation's requirements.

These obligations are designed to ensure that companies actively work towards eliminating forced labour from their supply chains and contribute to the broader goal of eradicating forced labour globally.

• Designation of Competent Authorities: Each Member State must designate one or more competent authorities responsible for carrying out the obligations set out in the regulation. By 14 December 2025, Member States must provide the Commission and other Member States with the names, addresses, and contact details of these competent authorities, as well as their areas of competence. This information must be regularly updated.
• Coordination and Cooperation: Member States must ensure that their competent authorities coordinate closely and exchange information with relevant national authorities, such as labour inspection authorities, judicial and law enforcement authorities, and authorities responsible for the fight against trafficking in human beings. This coordination is essential for the effective and uniform implementation of the regulation throughout the Union.
• Union Network Against Forced Labour Products: Member States must participate in the Union Network Against Forced Labour Products, which serves as a platform for structured coordination and cooperation between competent authorities and the Commission. The network facilitates the identification of common enforcement priorities, coordination of investigations, and the exchange of information, expertise, and best practices.

Database of Forced Labour Risk Areas or Products: The Commission, with the assistance of external expertise if needed, will establish a database providing evidence-based, verifiable, and regularly updated information on forced labour risks in specific geographic areas or with respect to specific products or product groups. Member States must ensure that this database is easily accessible and made publicly available by 14 June 2026.

The EUFLR includes several enforcement mechanisms:

1. Prohibition and Withdrawal : Competent authorities can prohibit the placing or making available of products on the Union market and their export if they are found to be made with forced labour. They can also order the withdrawal of such products from the market.
2. Disposal : Economic operators must dispose of products found to be made with forced labour by recycling them or rendering them inoperable. Perishable products must be donated for charitable or public interest purposes.

This must be analysed by country. 

Member States must lay down rules on penalties applicable to economic operators for non-compliance with the regulation. These penalties must be effective, proportionate, and dissuasive.

Competent authorities can impose penalties directly, in cooperation with other authorities, or by way of an application to the competent judicial authorities.

While the EUFLR does not explicitly mention risks for directors or executives, the penalties for non-compliance can have significant implications for the leadership of companies. Directors and executives may face reputational damage, financial penalties, and legal consequences if their companies fail to comply with the regulation's requirements.

Evaluation and Review: By 14 December 2029 and every five years thereafter, the Commission will carry out an evaluation of the enforcement and implementation of the EUFLR. Member States must cooperate with the Commission in this evaluation, which will assess the effectiveness of the regulation, the cooperation between competent authorities, the impact on businesses, and the overall costs and benefits of the prohibition.