Its impact U S and Global Economy
Its impact U S and Global Economy
Human trafficking is one of the most shameful and heinous crime and one that robs people of their dignity and basic rights. It affects lives of millions of people across the world. Every day women, men and children are deceived and forced into exploitative situations. Human traffickers criminally exploit the victims for sexual exploitation, forced labour, child begging, or removal of organs. Trafficking victims are physically and emotionally abused. The traffickers treats their victims as a commodity that can be bought and sold in the market place, or simply taken and if required discarded (Department of Justice, 2012).
Human trafficking is highly lucrative illicit business mostly produced by organized crime generating revenue of around $32 billion annually (UNODC, 2008). It is third largest illegal industry following drugs and arm sale (Hellman & Alper, 2006). The proceeds from the illegal activities are invested in legitimate business causing further distortion of financial market.
GLOBALIZATION AND HUMAN TRAFFICKING
The human trafficking has been defined in the United Nations Convention on Transnational Organized Crime or Palermo protocol. Human trafficking and smuggling are different. Smuggling is illegal entry with consent. However, smuggled persons are easy target of exploitation as they enter without valid papers.
Globalization of economy has facilitated human trafficking. Globalization has brought in free trade, free flow of capital and employment of cheaper foreign labor. Transportation across borders has become easy. Communication can be easily held between remote locations through access to internet and cell phones. Fund can be transferred internationally by electronic money transfer. Globalization has created regional disparities leading to intra- and transnational migration of labor from less wealthy countries and regions. People facing hunger or political oppression are forced to migrate in search of better opportunities. Their migration is for survival. Migration can be from rural area to urban, interstate, or transnational. These persons are extremely vulnerable and traffickers take advantage of the opportunity to make a profit (Chuang, 2006, p-141). We can take an example. Recent global economic slowdown has lowered copper price. This has adversely affected economy of Mongolia due to loss in revenue generation from sale of copper at international market. This along with inflation has reduced real income of household, and slowed down investment resulting in loss of jobs. This condition may have forced young woman to move away from home in search of job leading to increased risk of trafficking (U.S. Department of State, 2009). Sex trafficking is mainly international with victims smuggled from less developed areas to the United States and other developed regions. However, besides international trafficking, the United States faces domestic interstate trafficking of minors. FBI in its law enforcement bulletin (Walker-Rodriguez, & Hill, 2011) reports lack of reliable data in this field and gives an estimation of 293,000 American youths at risk of becoming victims of sexual exploitation. Most of them have run away or thrown away from home and lives in streets. To support themselves financially, they get involved in prostitution. Considering their vulnerability, criminals easily trap them. They are transported far away from their home by organized crime networks (Walker-Rodriguez, & Hill, 2011). Organized crime groups involved in trafficking have undergone changes. Eastern European, Southeast Asian, and ethnically based crime groups have replaced the American Mafia or Costa Nostra. These groups are more violent and operate transnational (Hellman & Alper, 2006).
IMPACT ON U S AND GLOBAL ECONOMY
Impact of the human trafficking on individual and society is detrimental and its humanitarian and social cost is enormous. The victims experience psychological and emotional trauma. There is cost associated with treatment and support of the victims and the prosecution of the traffickers. There is cost of associated with enforcement and reforms, cost of policing and welfare measures. Trafficked persons remain hidden and underground, and do not receive normal healthcare. They cause spread of tuberculosis, HIV/AIDS, and other communicable diseases.
Human trafficking leads to loss of human resources and lower labor productivity. It results in tax evasion, money laundering, and loss of revenue to the government. Revenue generated from trafficking yields no tax. Criminal organizations invest their profit in legitimate business operations to hide their illegal activities. They are involved in tourism and entertainment industry, recruitment agencies, and agricultural sector. This affect legitimate business enterprises adversely as they have to compete with business financed from laundered proceeds of crime. Employment of trafficked labor in textile industry has been reported (UNODC, 2008). These labours come cheap as lesser wages are paid and industry does not have to bear social overhead. This impedes growth of legitimate enterprise.
As per ILO estimation of 2005, there were 12.3 million people in forced labor worldwide out of which about 2.4 million had been trafficked (UNODC, 2008). Whereas smuggling involves one time income, human trafficking results in long-term exploitation and continous income for trafficker. The regular source of income gives them opportunity to expand other profitable and illicit activities. The growth of criminal groups nationally and internationally has destabilizing effect on less developed regions. The transnational criminal network facilitates international terrorism.
Human trafficking poses considerable threat to U.S. economy, its competitiveness and strategic markets. Activities of human traffickers cause corruption and market distortion in emerging markets. This puts U.S firms at comparative disadvantage in their operation. As per World Bank estimation, around $1 trillion is spent each year to bribe public officials (NSC, n.d.). Bribery and corruption causes distortion in rule of law and damages operation of legitimate business activities. The regions affected by human trafficking have higher threat perception and requires additional expenditure on security, which adds up the cost of doing business. Human trafficking adversely affects global supply chain that in turn reduces economic competitiveness of U.S. industry and transportation sector. There have been cases of transnational criminal organizations gaining control over key commodities markets such as gas, oil, aluminum and precious metals influencing state-allied actors by corrupt means.
TACKLING HUMAN TRAFFICKING
In the 2000, United Nations adopted a multilateral convention known as Palermo protocols. The protocols provides international framework for curbing organized crime. The protocol includes measures to be taken for prevention against human trafficking (UNODC, 2015). This protocol is the only international legal instrument to combat human trafficking as a crime. It ensures that the victims get protection and receives proper assistance. It promotes cooperation among countries to tackle the crime.
The protocol has been implemented at national level by implementing domestic laws through legislation. There has been improvement in implementation. However much remains to be accomplished to tackle the crime (UNODC, 2015).
Human trafficking can be prevented by improving prosecution of traffickers, which can act as deterrence to dissuade others from engaging in this crime. Public awareness and public participation can also be an effective deterrence. Alertness, awareness and involvement of general people can be an effective tool against human trafficking. Persons from weaker section of the society are likely target of traffickers. These potential victims can be educated against exploitation of traffickers.
Conclusion
Human trafficking is curse against humanity and requires eradication. Global criminal enterprise that operates the human trafficking business is powerful and has entrenched themselves in the legitimate operations. No country or agency has power or means to tackle them individually. Global cooperation in devising effective strategy based on trends is required. Exchanging information, effective communication, intelligence sharing and combining key resources globally as well as within our governments can put an end to these crimes (Department of Justice, 2012).
References
Brewer, D. (2008). Globalization and Human Trafficking. Tropical Research Digest: Human Rights and Human Welfare. Retrieved December 29 2015, from http://www.du.edu/ korbel /hrhw/researchdigest/trafficking/Globalization.pdf
Chuang, J. (2006). Beyond a snapshot: preventing human trafficking in the global
economy’, Indiana Journal of Global Legal Studies, 13(1): 137–163. Retrieved December 30 2015, at: http://www.repository.law.indiana.edu/ijgls/vol13/iss1/5
Hellman, D.A. and Alper, N. (2006). Economics of Crime : Theory and Practice 6th ed., Pearson Learning Solutions.
The National Security Council (NSC). (n.d.). Transnational Organized Crime: A Growing Threat to National and International Security. The White House, Washington, DC. Retrieved December 30 2015, from https://www.whitehouse.gov/administration/eop/ nsc/transnational-crime/threat
U.S. Department of State. (2009). Rising Unemployment Leads to Greater Trafficking Vulnerabilities. Retrieved December 30 2015, from http://www.state.gov/j/tip/rls/tiprpt/2009/124798.htm
United Nations Office on Drugs and Crime (UNODC). (2015). Human trafficking: people for sale. Retrieved December 31 2015, from https://www.unodc.org/toc/en/crimes/human- trafficking.html
United Nations Office on Drugs and Crime (UNODC). (2008). An Introduction to Human Trafficking: Vulnerability, Impact and Action. Retrieved December 31 2015, from https://www.unodc.org/documents/human-trafficking/An_Introduction_to_ Human_Trafficking_-_Background_Paper.pdf
Walker-Rodriguez, A. & Hill, R. (2011, March). Human Sex Trafficking. FBI Law enforcement Bulletin, U.S. Department of Justice. Retrieved December 30 2015 from https://leb.fbi.gov/2011/march/human-sex-trafficking
