What is forced labor?
The International Labor Organization created a list of indicators to help criminal law enforcement officials, inspectors, trade union officers, and NGO workers identify people who are possibly trapped in forced labor. Some of these include:
- Debt bondage
- Retention of identity documents
- Restriction of movement
- Withholding of wages
- Abusive working & living conditions
- Excessive overtime
- Intimidation and threats
Why is forced labor prevention important?
Forced labor victims around the world are of any age, race, religious affiliation, gender identity, or nationality. However, the following characteristics put people at a higher risk for forced labor as traffickers generally target vulnerable populations:
- Unstable immigration status
- Language barriers
- Poverty and lack of basic needs like food, shelter, and safety
- The psychological effects of a recent or past trauma
- Lack of social support systems like friends, family, and community
- Physical or developmental disabilities
What is the latest in forced labor prevention?
Similarly, on August 2, 2017, the “Countering America’s Adversaries Through Sanctions Act” (CAATSA) became law. CAATSA created a rebuttable presumption that significant goods, wares, merchandise, and articles mined, produced, or manufactured wholly or in part by North Korean nationals or North Korean citizens anywhere in the world are made with forced labor and prohibited from importation under the Tariff Act of 1930.
These laws are just two examples of steps the United States has taken to prevent forced labor. Around the world, other countries have made similar declarations. For instance, in 2020 Canada established a law that banned the import of any product from any country made with forced labor, but is now considering further legislation that would prevent imports from the Xinjiang region.
Around the world, the International Labor Organization monitors and lobbies for stricter enforcement of forced labor laws.
How can you ensure there is no forced labor in your supply chain?
Laws like the UFLPA have shifted the burden of proof to the importer. Corporations looking to import goods into the United States from regions known for their use of forced labor should take it upon themselves to audit their supply chain for any risk of forced labor involvement.
Difficult as it has been for U.S. authorities to pinpoint sources of forced labor in Xinjiang and in other regions, CBP has a list of sanctioned entities known to have committed human rights violations. Importers should cross reference their supply chain with entities on that list. In the case of the UFLPA, rebutting the assumption of forced labor requires meticulous supply chain documentation demonstrating that the goods in question are either a) unconnected with Xinjiang, or b) connected with Xinjiang but nevertheless free of forced labor.
Adding to this challenge, is that bad actors are known to hide their criminal behaviors in complex ways. Technology, such as Sayari Graph, can be used to help investigators go deeper. Sayari Graph utilizes open source records and graph technology to map out connections and establish links between illicit actors, their infrastructure, and related business structures and transactions. It can be used to help organizations look for indicators of forced labor in global public records, scan for known high-risk companies, and screen beneficial owners to ensure a supply chain is unexposed.