Recap on Commission FLR webinar and Expert Group

This update brings together the latest developments on the Forced Labour Regulation (FLR), including key points from the European Commission’s recent webinar for the textile sector and updates from FESI’s participation in the Commission’s Expert Group. It also brings together relevant documents and information previously shared with members for ease of reference.

‍

COMMISSION WEBINAR - FLR FOR TEXTILES

• The webinar was another overview on how the Regulation will work (PPT attached), not much more information was provided. For a recap of the Regulation guidance, please see the attached FESI overview of the guidelines and advocacy achievements shared in July.

Helpful overview of current FLR legislation worldwide: Slide 15 of the attached Commission webinar presentation provides a useful overview. The EU is currently the only region to have a market ban in place. Other countries with bans in place have import bans (e.g. the US).

• Prioritisation of investigations: The Commission reiterated that company size will be taken into account when prioritising investigations, if necessary. This prompted some discussions in other associations, but it is worth noting that this provision has always been part of the Regulation and does not imply that only large companies will be scrutinised.
• Risk database: Information published in the database will not automatically trigger investigations. Rather, the database is intended as a tool to help companies prioritise risks.
• State-imposed forced labour: Greater attention can be expected in investigations involving state-imposed forced labour, given the heightened risk. However, investigations will not focus exclusively on state-imposed forced labour. According to the Commission (slide number 4), privately imposed forced labour still accounts for 86% of all forced labour cases.

EXPERT GROUP WORK: RECAP

• ‍FESI'S agreed speaking points for the last September Expert Group meeting are attached.‍
• Investigation tools: The Commission has recently closed a tender to identify tool providers that could support investigations. Details of the tools are not yet available, but we will follow up with the Commission at the next Expert Group meeting.‍
• Risk database: No publication date has been announced yet. The Commission indicated that it wishes to prioritise accuracy over speed of publication. Most stakeholders, including FESI, emphasised the need to make the database available as soon as possible.‍
• China's decrees restricting access to supply chain information: The Commission remains hesitant to raise this issue to avoid disrupting ongoing trade talks and prefers to monitor how the decrees are implemented in practice for the moment. What appears certain, however, is that enforcement of the FLR will remain unchanged regardless of China's laws. Most stakeholders, including us, expressed worry and uncertainty over this developments.

Latest news from 28 October: 12 MEPs from the INTA committee were in China from 27-29 October to meet Chinese government officials. The agenda included discussions on issues caused by these decrees. More information on the outcome of these discussions will be shared as soon as available.

COMING NEXT

Public consultations on the implementing act setting content of forced labour decisions: These are expected to open by the end of the year.

‍