Forced Labor Conference Draws High Interest in Fujian

UNCLAS SECTION 01 OF 02 GUANGZHOU 000008

SENSITIVE
SIPDIS
STATE FOR EAP/CM, DRL

E.O. 12958: N/A
TAGS: ELAB KTIP PHUM CH
SUBJECT: Forced Labor Conference Draws High Interest in Fujian


1. (SBU) Summary: For local labor associations eager to learn more
about combating forced labor in China, a recent International Labor
Office (ILO) sponsored conference should have been just the right
venue. However, for them, as for many officials, a lack of relevant
legislation and legal precedent creates complications about how best
to address an issue with so many seemingly gray areas. ILO
officials -- undoubtedly aware that U.S. law prohibits the
importation of prison-labor products into the United States and that
Chinese regulations ban any export of prison-made products -- urged
companies to do their best to steer clear of prison-made goods.
While promoting a new handbook to assist employers and business
combat forced labor, one ILO official lamented that current economic
difficulties make it more difficult to convince employers to take a
serious look at forced labor issues. End summary.

Awareness Rising, but Answers Elusive
--------------


2. (U) More than 100 industry and labor representatives packed into
the aisles December 11 to attend the China Enterprise Confederation
and International Labor Office (ILO) sponsored workshop on
Addressing Forced Labor. The meetings, held in Xiamen, one of our
Virtual Presence Posts, were similar to the previous day's
activities that had been held in Zhangzhou, also in Fujian Province.
ILO Special Action Program to Combat Forced Labor Head Roger Plant
said that the Zhangzhou meetings had involved government labor and
social security bureaus and employers organizations, while the
Xiamen event consisted of employers, trade associations and some
labor NGOs.

China's Legal System at the Crux of the Problem
-------------- --


3. (SBU) Shortcomings in China's legal system can make it difficult
to define forced labor conditions, according to ILO International
Labor Standards Specialist Tim de Meyer. After several attendees
asked what practices constituted forced labor, de Meyer noted that
clear-cut incidents of forced labor -- such as the Shanxi brick kiln
case -- were easy to distinguish, but that in borderline cases
UN/ILO language relies heavily on the host-country's legislation and
legal framework to make a determination. The challenge, said de
Meyer, is that China's legal system often lacks the necessary
legislation or legal precedent to clearly differentiate between
conditions of forced labor and other illegal labor practices.

ILO: Stay away from Prison Labor
--------------


4. (SBU) Plant gave one clear piece of advice to private company
executives attending the conference: make every effort to keep
supply chains free from prison labor. (Note: U.S. law prohibits
goods produced by prison labor into the United States, and a 1991
Chinese declaration bans the export of prison-made goods from China.
End note.) The only exception from an ILO perspective, according
to Plant, is work performed by prisoners under "normal conditions,"
which the ILO defines as voluntary work done in "conditions
approximating those of free workers," including issues of reasonable
remuneration, conditions of work and contributions to social
security programs. (Comment: Because China's prison labor system
includes individuals who have not been convicted by a court --
people who, by definition, are engaged in forced labor -- it
presumably would be difficult for companies to be confident they
were not benefiting from forced labor. Because information about
China's prisons, including associated labor camps and factories, is
viewed as a state secret and is tightly controlled, the ILO
distinctions -- though perhaps useful in other countries -- are
generally unhelpful in this case. End comment.)

New Resource: A Handbook for Employers and Business
-------------- --------------


5. (SBU) ILO officials urged employers to consult the ILO's new
publication, "Combating Forced Labor: A Handbook for Employers &
Business," to aid in compliance with international standards.
Described by ILO Research and Projects Officer Philip Hunter as "hot
off the press," the handbook includes sections on frequently asked
questions, a checklist and guidance for assessing compliance, a
guide for taking action and several case studies. Hunter noted that
the ILO does not have the ability to accredit companies as compliant
in the avoidance of forced labor practices, but said that employers
following the guidelines contained in the handbook basically would
be compliant with the ILO's guiding principles. The handbook may be
accessed online at

GUANGZHOU 00000008 002 OF 002


http://www.ilo.org/sapfl/News/lang-- en/WCMS_099621/index.htm.
Hunter lamented that convincing employers to take a serious look at
forced labor issues was especially difficult under current economic
conditions, but said he hoped that multinationals -- especially
large U.S. companies operating in China -- would find the handbook
useful and lead the way for their suppliers to integrate ILO labor
principles.

GOLDBERG