Write a 2-5 page essay, describing what you learned in this course, what it means to you, and what action can be taken in response to Human Trafficking issues. I will attach some of the powerpoint fro

Lecture 4:

Economics of Human Trafficking Economic Size of the Problem • Quantifying the size of illicit economic activity is important because it helps policy makers assess the impact of the problem • This helps them allocate resources to fight the activity Top illegal markets world - wide 1. Global drug trade = $750 billion (2013 est. by UNODC) 2. Human trafficking = $150 billion (ILO, 2014) 3. Illegal arms trafficking = $6 billion (Schroeder & Lamb, 2006) Economics of Human Trafficking  The International Labor Organization (ILO, 2014) estimated that human trafficking globally generates $150 billion in illegal profits a year  $99 billion from sex trafficking  $51 billion from labor trafficking  Exposing the economics of sex trafficking in the U.S. (PBS, 2014 – DOJ study: 5:10) ASSIGNED Video  Walk Free Foundation’s (2016) Gallup poll of 42k people in 53 languages worldwide estimated that 45.8 million people are trapped in some form of human trafficking ASSIGNED Website  57,700 people enslaved in the U.S. Consequences of trafficking for victims  The costs of human trafficking to victims are significant and often life -long  Victims often experience wage theft (Owens et al. 2014)  Victims suffer substantial economic costs due to physical, sexual, and psychological abuse (Busch et al. 2016) & due to a lack of legal work histories face diminished economic opportunity  Since commercial sex is illegal in most of the U.S., many sex trafficking victims become involved with the justice system, and are criminalized despite laws aimed at protecting victims (Barnard 2014) International Labor Organization  ILO formed after WWI to connect governments, employers, and workers to “secure the permanent peace of the world ” by promoting humane working conditions  It became a specialized United Nations agency after WWII  ILO published the first quantitative estimate of human trafficking worldwide in 2005  Estimated that 4.5 million people were sex trafficking victims worldwide  About 14.2 million people were victims of labor trafficking International Labor Organization 2  2 ways to estimate economic profits of human trafficking 1. Profit -and -loss estimation a) Based on revenues generated by each slave minus the cost of running the forced -labor operation (Kara, 2009) 2. Value -added methodology a) Looks at wages in industrial/agricultural sectors b) Discounts those wages by the percentage of a trafficked worker’s wages that was estimated NOT to have been paid to that worker Industrial characteristics that increase risk for HT activity  U.S. Dept. of State identify these as industrial risk factors:

 Hazardous/undesirable work  Vulnerable, easily replaced, and/or low -skilled workforce  Migrant workforce  Presence of labor contractors, recruiters, agents, or other middlemen in labor supply chain  Long, complex and/or non -transparent supply chains  The Hidden Reality of Labor Trafficking in the U.S. | "Trafficked in America" | FRONTLINE (5:01) - ASSIGNED Video  Watch the full length documentary here: https://to.pbs.org/2EGIzgl (this could be something you use for Paper 1 )  Agriculture  Construction  Electronics & electrical products manufacturing  Mining & basic metal production  Fishing & aquaculture  Health care  Hospitality  Housekeeping & facilities operations  Textile & apparel manufacturing  Transportation & warehousing Identified industries at higher risk for labor trafficking activity  Legal Team in Landmark Labor Trafficking Case Named Trial Lawyers of the Year (3:42) ASSIGNED Video  Who is Signal International?  How did they recruit laborers?  What coercive tactics did they use?  How did they control laborers once they got them to the work camp in Mississippi?  How did legal authorities find out about this case?  How long did it take to prosecute those involved in trafficking for Signal?

Signal International Labor Trafficking Case: 2006 - 2015 (p 125) Supply chain (nutshell)  Supply chain = the economic path a good or service travels from the point of production to its end consumer  Involves more than 1 business or group of people and multiple steps of production, transportation, marketing, and selling 1. Human traffickers – recruits and delivers groups of slave laborers to producers or manufacturers 2. Producers/manufacturers – put laborers to work making goods or providing services a) Cheap labor lowers cost of production, which can result in them selling goods for less b) This can drive out other, legal producers from market (Capitalism, neo -liberal trade policies, & globalization exacerbate this…. ) The supply chain 3. Wholesalers – act as the middlemen between producers and retailers (sometimes participate in HT enterprises by moving goods they know were made with exploited labor) 4. Retailers – they are often not aware products they purchase from wholesalers or producers were made with slave labor ( globalization exacerbates this) 5. Consumers – final link in supply chain – typically purchase goods without any knowledge of supply chain which may have been produced with slave labor The supply chain 2 Once consumers are aware that products they use/buy are produced with slave labor – THEY CAN STOP IT by BOYCOTTING retailers and producers or organizing awareness campaigns The Dark Side of Chocolate (46: 2010)  Child Labour : The Dark Side of Chocolate (8:07) - Take a look inside the slaves who are picking the cocoa for your chocolate bar Raise the Bar Hershey Campaign aims to make company certified by 2020 Conflict minerals in our electronics  I'm a Mac ... and I've Got a Dirty Secret (1:45)  Modern Slavery in Electronics: Facts About Slave -Mined Conflict Minerals from the Congo (2:13)  Special report : Inside the Congo cobalt mines that exploit children (6:16)  Conflict minerals: The truth behind your smartphone (4:23)  We all use electronic devices like mobile phones, but where do the materials that make them come from? Tin, tungsten, tantalum and gold are the four most common 'conflict minerals', known collectively as 3TGs.

Their mining causes insecurity and human rights abuses in many regions.

Armed groups clash over their illegal trade. Fairphone is one manufacturer which takes responsibility to ensure its supply chains extract minerals lawfully. The European Parliament is pushing for more transparency in supply chains through mandatory OECD due diligence systems. Fair Trade issues in labor trafficking  Sweatshop Hall of Shame highlights apparel and textile companies that use sweatshops in their global production  Hall of Shame inductees are responsible for evading fair labor standards and often are slow to respond or provide no response at all to any attempts by the International Labor Rights Forum (ILRF), workers, or others to improve working conditions.  Hall of Shame: Abercrombie & Fitch, Gymboree, Hanes, Ikea, Kohl’s, LL Bean, Pier 1 Imports, Hollister, Hershey, and Walmart  Sweatfree Communities “Push - Pull” Factors  Large supply of potential victims:

 Lack of employment opportunities, poverty, illiteracy, lack of awareness  Growing demand for women & children for sex, and for forced or exploitative labor (globalization, trade policies & capitalism )  Organized criminal networks exploit supply & demand situation:

 Trafficking in persons is regarded as a high profit – low risk crime Globalization’s role in slavery  Globalization = “ the closer integration of the countries and peoples of the world….brought about by the enormous reduction in transportation and communication costs, an the breaking down of artificial barriers to the flows of goods, services, capital, knowledge, and to a lesser extent, people across borders ” (Joseph Stiglitz , 2002, p. 9 – Nobel Prize winner in economics)  Globalization exacerbates ALL of the factors that have contributed to the supply of slave labor throughout history  Poverty  Bias/Discrimination based on gender, race/ethnicity, religion, citizenship  Lawlessness  Military conflict  Social instability  Economic breakdown Neo - liberal trade policies’ role in slavery  Neo -liberal trade: emphasize minimal state intervention in economic and social affairs, and is committed to the freedom of trade and capitalism (often despite the abuses of vulnerable people/countries)  Kamala Kempadoo (2015) argues neo -liberal trade relations imposed on less -developed countries and enforced by global economic institutions (e.g., World Bank, International Monetary Fund) have opened up once -restricted markets & purposefully destabilized the global economy for the benefit of developed countries What do you think?

 Does capitalism lead to poverty and underdevelopment?  Is slavery just an unintended consequence of the normal brutal functioning of global capitalism and neoliberalism? (McNally, 2011) The End Next Steps:

 Watch the required videos  Explore the news stories mentioned in lecture (note they are fair game for quizzes /midterm) Next module  5. The Dark Side of the Sunshine State – Human Trafficking in Florida Start on Paper 1 if you have not already!