Understanding the California Transparency in Supply Chains Act
The California Transparency in Supply Chains Act went into full effect this year. While companies have taken preliminary steps to comply, the more complicated portions of the act — such as auditing and verifying suppliers and training employees — will take long-term commitment and diligence.
In fact, it’s very possible that companies outside of California are just now starting to experience the reach of the act. Additionally, a similar bill has been filed in Congress, which, if passed, would mean many more manufacturers and retailers will need to examine their business-to-business (B2B) supply chain for potential human rights abuses.