17 December 2024

Centralised approach to modern slavery risk assessment working well for health services

Centralised approach to modern slavery risk assessment working well for health services2

In an expansion of HSV’s program of work to reduce modern slavery risk in healthcare supply chains, the Modern Slavery team has begun conducting risk assessments directly with health service suppliers.

Health services that participate receive a tailored modern slavery risk report based on supplier responses in addition to the annual HSV collective agreement report. Health services can use both reports to prepare their annual modern slavery statements.

Under the Modern Slavery Act 2018 (Cth), organisations that operate in Australia with an annual revenue of more than $100 million are required to report on actions they take to address modern slavery risks in their operations and supply chains each year. There are currently 29 health services in Victoria required to report annually under the legislation.

Alfred Health’s Manager of Procurement Compliance and Supply Chain Surety Joe Neill says it makes sense to centralise the risk assessment process with HSV and eliminate the need for suppliers to complete multiple risk assessments.

“I believe it’s the best way for the sector to approach its responsibilities under the Act,” he says. 

“I have a high level of confidence in the data HSV generates for Alfred Health. The job they’re doing in this space is outstanding and they should be commended for the quality of their output.

It’s a complex area and the risk assessment work saves so much time for us – it simplifies the process.”

For health services that don’t have large procurement teams, the work being done by HSV is also proving highly valuable.

At Dental Health Services Victoria, Director of Procurement and Supply David Cassar says it can be challenging to manage government reporting requirements with limited resources and a lack of subject matter expertise.

“In terms of modern slavery, the service provided by HSV is wonderful because we can use all three tiers of their service. We leverage the collective agreements knowing that HSV has taken care of modern slavery requirements for those suppliers. They also help us with modern slavery risk assessments for major procurements and more recently they’ve been carrying out risk assessments for suppliers of DHSV,” he says.

“For an entity of our size, having the resources to help with this gives us peace of mind.”

HSV’s Acting Chief Executive and Chief Financial Officer John Delinaoum says the new risk assessment program is building on the work that’s already been done with suppliers as part of HSV’s collective agreements.

He says the new risk assessment program for health services will help to provide a clearer picture of the healthcare supply chain, not just those suppliers on HSV’s collective agreements.

“Health services will be able to see what actions they can take as a result. It will improve their ability to identify and mitigate risk.”

The Modern Slavery team has also continued its engagement with suppliers throughout the year.

“In 2024 more than 700 suppliers attended our online engagement sessions which provide an introductory level of understanding on modern slavery risks,” John says.

“These sessions have been well received and we receive a lot of requests from suppliers for additional information on actions they can take to mitigate modern slavery risk as a result. They are appreciative of the work we are doing in this space.”

For further information or support, please contact the HSV Modern Slavery team at modernslavery@healthsharevic.org.au.