Human trafficking offence

A human trafficking offence is a criminal conviction under Canada's Criminal Code—specifically sections 279.01 and 279.011—that can trigger immediate consequences for government suppliers. If your organization or key personnel are convicted of such an offence in Canada or abroad, you're looking at contract termination, suspension, or permanent debarment from federal procurement. Since January 1, 2024, when the Fighting Against Forced Labour and Child Labour in Supply Chains Act came into force, these provisions have real teeth. They're being enforced.

How It Works

The federal government now includes mandatory clauses in its contracts that directly address forced labour and human trafficking. You'll find these in Annex 2.8 of the Supply Manual, which lays out the steps contractors must take to prevent and reduce the risk of forced labour or child labour in their operations and supply chains.

The consequences escalate quickly. A conviction gives contracting authorities the option to terminate your agreement immediately—no waiting period, no warnings. Beyond individual contracts, the Integrity Regime treats human trafficking offences as grounds for suspension or debarment, and this applies whether the conviction happened in Canada or in a foreign jurisdiction. PSPC maintains a public list of ineligible suppliers, and once you're on it, you're effectively locked out of federal contracts for a minimum period—typically five years for a first offence, with longer periods or permanent debarment for repeat violations.

In practice, this connects to broader ethical procurement requirements under the Treasury Board Contractor's Code of Conduct. Suppliers must comply with Canada's prohibition on importing goods produced by forced or compulsory labour. The RCMP's 2024-2025 annual report on the Fighting Against Forced Labour and Child Labour in Supply Chains Act makes clear that enforcement is active, not passive. Departments like DND, SSC, and other major procuring entities are now required to assess supplier compliance as part of their due diligence.

Key Considerations

• Foreign convictions count: Many suppliers assume only Canadian convictions matter. They don't. A human trafficking conviction anywhere in the world can disqualify you from federal contracts.

• It's not just about your direct actions: The Supply Manual clauses extend to your supply chain. You're expected to identify and mitigate risks of forced labour throughout your sourcing, not just within your own operations.

• Annual reporting requirements: Depending on your size and sector, you may need to file annual reports detailing your efforts to prevent forced labour. Missing these deadlines or providing inadequate information can raise red flags with contracting authorities.

• Pre-contract screening matters: Contracting authorities increasingly check conviction records and integrity status before awarding contracts. Address any issues proactively rather than hoping they won't surface during evaluation.

Related Terms

Integrity Regime, Debarment, Code of Conduct, Ethical Procurement

Sources

• Supply Manual - Annex 2.8 (PSPC)

• Fighting Against Forced Labour and Child Labour in Supply Chains Act Annual Report 2024-2025 (RCMP)

• A Handbook for Criminal Justice Practitioners on Trafficking in Persons (Justice Canada)

Bottom line: treat human trafficking provisions as non-negotiable compliance requirements. The reputational and financial cost of a conviction extends far beyond criminal penalties—it can shut you out of the federal marketplace entirely.