California governor Arnold Schwarzenegger signed legislation Thursday that will require California LLCs and other business entities to provide information about their efforts to end slavery and worker exploitation within the supply chains of their services. The move seeks to ensure humane practices and conditions while providing consumers with important information about California businesses.
“Human trafficking is a terrible crime that goes against basic human rights and everything our country stands for,” said the governor in a statement. “This legislation will increase transparency, allow consumers to make better, more informed choices and motivate businesses to ensure humane practices throughout the supply chain.”
The measure was approved by the governor despite opposition form several business groups, including the California Chamber of Commerce. The opposing groups stress that although they are concerned about human rights and trafficking, the measure will make businesses accountable for activities that occur far outside of U.S. borders and jurisdiction.
However, proponents maintain that the bill will not force businesses to take actions to prevent inhumane conditions in the foreign end of their supply chain, but merely to disclose what the businesses are doing voluntarily.
California LLC owners and managers are urged to research the bill to determine their own relevance to it.
Tags : ca, incorporation news
Posted: Sep 30th, 2010