Topic 1 (team of two): International Labor Migration and Cross-Border Mobility -

Mitra, Ian and Morillo, Aaron

(a) theory/determinants/causes of International Migration
THEORIES OF INTERNATIONAL MIGRATION:
The Economic Approach

1. The Neoclassical Theory of migration

2. The New Economic of Migration

3. The Dual Labour Market Theory
4. The World System Theory

5. The Network Theory

(a.1) Neoclassical Theory of Migration

 Neoclassical approaches focus on differentials in wages and employment conditions in different countries; and on migration costs and benefits.
 Migration is viewed as an individual decision to maximise income.

This is the newest theory of migration and states that the main reason for labor migration is wage difference between two geographic locations. These wage differences are usually linked to
geographic labor demand and supply. It can be said that areas with a shortage of labor but an excess of capital have a high relative wage while areas with a high labor supply and a dearth of capital
have a low relative wage. Labor tends to flow from low-wage areas to high-wage areas. Often, with this flow of labor comes changes in the sending as well as the receiving country. Neoclassical
theory is best used to describe transnational migration, because it is not confined by international immigration laws and similar governmental regulations.
The resulting differentials in wages cause workers to move from low-wage, labour-surplus regions to high-wage, labour-scarce regions. Migration will cause labor to become less scarce at the
destination and scarcer at the sending end. Capital is expected to move in the opposite direction. In a perfectly neo-classical world, this process of "factor price equalization" (the Heckscher-Ohlin
model) will eventually result in growing convergence between wages at the sending and receiving end.
At the micro-level, neo-classical migration theory views migrants as individual, rational actors, who decide to move on the basis of a cost-benefit calculation. Assuming free choice and full
access to information, they are expected to go where they can be the most productive, that is, able to earn the highest wages. This capacity obviously depends on the specific skills a person
possesses and the specific structure of labour markets.
Neoclassical: Shortage of Labor >> Excess Capital >> High Relative Wage
Labor Suplus >> Dearth/Scarcity of Capital >> Low Relative Wage
Labor Flow from Low wage to High wage areas
2. Dual labor market theory
Dual labor market theory states that migration is mainly caused by pull factors in more developed countries. This theory assumes that the labor markets in these developed countries consist of
two segments: primary, which requires high-skilled labor, and secondary, which is very labor-intensive but requires low-skilled workers. This theory assumes that migration from less developed
countries into more developed countries is a result of a pull created by a need for labor in the developed countries in their secondary market. Migrant workers are needed to fill the lowest
rung of the labor market because the native laborers do not want to do these jobs as they present a lack of mobility/flexibility. This creates a need for migrant workers. Furthermore, the initial
dearth/scarcity in available labor pushes wages up, making migration even more enticing. [25]
3. The new economics of labor migration
 New economics of migration views migration as a rational family decision to minimise risks and maximise income.
This theory states that migration flows and patterns cannot be explained solely at the level of individual workers and their economic incentives, but those wider social entities must be
considered as well. One such social entity is the household. Migration can be viewed as a result of risk aversion on the part of a household that has insufficient income. The household, in this
case, is in need of extra capital that can be achieved through remittances sent back by family members who participate in migrant labor abroad. These remittances can also have a broader effect on
the economy of the sending country as a whole as they bring in capital. Other researchers find that the location-specific nature of housing is more important than moving costs in determining labor
reallocation.
The neo-classical economics and the new economy of migration approaches differ from one another insofar as they posit contrasting sets of interpretations regarding return migration.
When neo-classical economists argue that people move permanently to raise and maximize their wages in receiving countries, return migration is viewed as a failure, if not an anomaly. When
the new economy of migration contends that people move on a temporary basis to achieve their goals or targets in receiving countries, as a prerequisite to returning home, return migration is
viewed as a success story, if not a logical outcome. The new economy of migration theorists are adamant about breaking away from the neo-classical image of the failed returnee (Abreu, 2012:
48). The duration of stay abroad is calculated with reference to the need of the household, in terms of insurance, purchasing power and savings. Once such needs are fulfilled, return migration
occurs. In other words, the new economy of migration approach to return migration goes “beyond a response to negative wage differential” (Stark, 1991: 11). When they are organized in
households, the individuals have the ability to control the risks regarding their economic welfare, by dividing their resources to various destinations, in order to overcome economically difficult
moments. By doing so, some of the family members can work in the local economy, while others emigrate, hoping to obtain income in a market that has nothing to do with the national one,
thus being shielded from the risks that may appear in their country of origin (Sandu, 2000: 102). If such risks or economic problems appear, the household can rely on the remittances
sent by immigrants in order to overcome difficult times. In the economically developed countries, the possibility of such risky situations to appear is being handled by the insurance companies
or governmental programs, while in the poor countries there are no such institutional mechanisms to handle risks, or the small incomes of each family do not allow them to have private insurance,
thus creating even more reasons to migrate. Furthermore, in the economically developed countries the credit systems are efficient, allowing families to obtain supplementary incomes needed to
fund various projects, such as the acquisition of new production technologies (CDMG, 1996: 85). On the other hand, in the developing countries, the credits are generally hardly accessed, or very
expensive. Therefore, in the absence of efficient and accessible insurance and credit systems, the market failures are being perceived more intensely at an individual level, causing increased social
pressure, and favouring external migration.
Relative deprivation theory
Relative deprivation theory states that awareness of the income difference between neighbors or other households in the migrant-sending community is an important factor in migration. The
incentive to migrate is a lot higher in areas that have a high level of economic inequality. In the short run, remittances may increase inequality, but in the long run, they may actually decrease it.
There are two stages of migration for a worker: first, they invest in human capital formation, and then they try to capitalize on their investments. In this way, successful migrants may use their new
capital to provide for better schooling for their children and better homes for their families. Successful high-skilled emigrants may serve as an example for neighbors and potential migrants who
hope to achieve that level of success. [25]
4. World systems theory
World systems theory sees migration as a natural consequence of economic globalization whereby companies now operate across national boundaries (Wallerstein, 1974). In later
approaches to migration, alongside economic factors, cultural factors are also considered very important. For example, people increasingly consume common cultural forms such
as music or films and share cultural values across the world, and therefore this cultural globalisation leads people to perceive economic imbalances and they migrate as a
consequence.
Suggests there is a world economic system in which some countries benefit while others are exploited.
World systems theory looks at migration from a global perspective. It explains that interaction between different societies can be an important factor in social change within societies. Trade with
one country, which causes economic decline in another, may create incentive to migrate to a country with a more vibrant economy. It can be argued that even after decolonization, the economic
dependence of former colonies still remains on mother countries. This view of international trade is controversial, however, and some argue that free trade can actually reduce migration between
developing and developed countries. It can be argued that the developed countries import labor-intensive goods, which causes an increase in employment of unskilled workers in the less developed
countries, decreasing the outflow of migrant workers. The export of capital-intensive goods from rich countries to poor countries also equalizes income and employment conditions, thus also
slowing migration. In either direction, this theory can be used to explain migration between countries that are geographically far apart.
5. Network theory

Network connections constitute a form of social capital that people can draw upon a gain access to foreign employment. Migrant networks are set of interpersonal ties that connect migrants,
former migrants, and non-migrants in origin and destination areas through ties of kinship, friendship, and shared community origin.

It suggests that migratory movements arise in response to prior existence of links between sending and receiving states, such as colonial ties, trade or investment flows.

Types of Overseas Economic Migration by Filipinos:

a. Permanent – migrants residing abroad permanently; also known as Emigrants
b. Temporary – Documented Filipinos temporarily stays abroad
c. Irregular – Undocumented Filipino migrants who stay abroad

Determinants of Labor Migration

Neoclassical: Shortage of Labor >> Excess Capital >> High Relative Wage
Labor Suplus >> Dearth/Scarcity of Capital >> Low Relative Wage
Labor Flow from Low wage to High wage areas
Push Factor Pull Factors
Caused by variety of reasons: Caused by a variety of reasons:
• Poor economic activity • Place utility [desirability of a place]
• Lack of job opportunities • Better jobs
• Low wages • Higher wages
• Demographic Causes • Segmented Demand labour market – low skilled (secondary segmented workers –
PLEASE SEE DUAL LABOR MARKET THEORY)
• Political Changes/Intolerance
• Migratory chain, Family reunification
• Overpopulation
• Weak immigration law system (no boundaries control)
• Attractive environments
• Natural disasters

(b) the extent, the characteristics and profile of Migrants

(c) positive and negative outcomes of Labor Migration

OVERSEAS MIGRATION
Positive
1. Take pressure out of the domestic market. By decreasing the labor pool in the local market, migration may help alleviate unemployment and increase the salary of remaining workers. It
relieves pressure in an overcrowded market.
2. Reduced poverty. Helps reduce poverty.
3. Increased human quality. People who go abroad enrol to educational courses they like to improve their marketability.

Negative
1. Labor Shortages. It generates labor shortages. An increase in labor migration decreases the skilled laborers in the host country.
2. Dysfunctional Families. An absence of one family member affects the children. When one parent goes abroad, the children have a tendency to rebel from the former leaving more
dysfunctional families.
 3. Higher Death Rate. Elderly population remains so there is a higher death rate.

REMITTANCES
Positive
1. Reduced poverty rate. An increase in international remittances [10%] result to a decline in the share of people living in poverty [average 3.5%].
2. Higher GDP. Lower share of people in poverty means higher country’s GDP.
3. Improved infant mortality and child health by raising household incomes and health knowledge of mothers.
4. Reduced mortality rate. International remittance reduces mortality rate by improving housing conditions
5. Reduced Illiteracy. Increase in household receiving remittances reduces illiteracy among children but reduces school attendance among children. When a child has a silver spoon in his
mouth and becomes too spoiled, he becomes lazy and doesn’t see the importance of schooling anymore. He feels confident of having someone to depend on at any moment of his life.

Negative

1. Increased inequality. High international remittances, increased inequality. The middle or upper class who work abroad or has family abroad can afford.
2. High spending on “status-oriented” products. People who have family abroad sometimes tend to buy expensive or luxurious products even not necessary. They acquire these materials
things in order satisfy their wants and to feed their egos.
3. Household receiving remittances are likely to have members with high wages, therefore, they hesitate to find a local job with lower salary.

(d) assessment of efficacy or deficiency of Migrants

(d.1) C-143 Migrant Workers. Convention concerning Migrations in Abusive Conditions and the Promotion of Equality of Opportunity and Treatment of Migrant Workers (Entry into force: 09
December 1978)
(d.2) RA10022 Migrant Workers and Overseas Filipinos Act Of 1995 (an act amending republic act no. 8042). States that the principal employer and the recruitment/placement agency are
liable jointly and severally towards claims arising out of employee-employer relationship or by virtue of any law or contract involving Filipino workers for overseas deployment including claims
for moral, actual, exemplary and other forms of damages.
An act to institute the policies of overseas employment and establish a higher standard of protection and promotion of the welfare of migrant workers, their families and overseas Filipinos in
distress and for other purposes.

Deployment of Migrant Workers. The State shall deploy overseas Filipino workers only in countries where the rights of Filipino migrant workers are protected. The government recognizes any of
the following as a guarantee on the part of the receiving country for the protection and the rights of overseas Filipino workers:
Neoclassical: Shortage of Labor >> Excess Capital >> High Relative Wage
Labor Suplus >> Dearth/Scarcity of Capital >> Low Relative Wage
Labor Flow from Low wage to High wage areas
(a) It has existing labor and social laws protecting the rights of migrant workers;

(b) It is a signatory to multilateral conventions, declarations or resolutions relating to the protection of migrant workers;
(c) It has concluded a bilateral agreement or arrangement with the government protecting the rights of overseas Filipino workers; and
(d) It is taking positive, concrete measures to protect the rights of migrant workers.

(d.2) Efficacy
State Authorizing POEA to Formulate Labor Standards
 Extending protection and support of the State to migrant workers by authorizing POEA to establish employment policies and formulate labor standards. The law requires that the POEA
evaluate and approve the employment contract to insure that employees are not placed to disadvantageous position and that the same are within the minimum standards of the terms and
conditions prescribed by the POEA.

(d.3) Deficiency
Contract Substitution. A standard overseas employment contract must reflect the names and details of the contracting parties which includes but not limited to foreign employer, monthly salary,
position, regular working hours, etc. However, despite how good it looks on paper, the reality is that they are not implemented. Workers, having spent a lot of effort, time and money during the
application process have no choice but sign a contract with less benefits or salary when they reach the host country. The government has no concrete means to fully monitor the
implementation of contracts. Many OFWs claim that POLO officers in the host country are not much of assistance in helping them file cases for contractual violations in the host
country.
 One case of contract substitution is that of nineteen (19) OFWs who were deployed as construction workers in Tripoli, Libya on 2008. The victims signed a contract during
their application, however, hours before their departure they were asked to sign another contract US$100 lower than their original contract. The poor OFW’s, left with no other choice,
were forced to sign the contract since they are already at the airport. When they asked for assistance at POLO offices, they were advised to repatriate and file claims at the NLRC against
their employers. POLO officers, being on the front line in the host countries, should be more effective in informing OFWs of the legal mechanisms through which they can
recover unpaid wages and other benefits and assist OFWs in availing of these mechanisms in the host country.
 POLO officers should not confine OFWs to the option of returning to the Philippines and filing money claims before the NLRC when legal mechanisms for claiming
unpaid wages and other benefits are available to them in the host country.
Topic 2 (team of two): Precarious and Informal Sector Employment - Clamosa,
Debie and Cotas, Joseph
a) theory/determinants/causes of Precarious Work
 Precarious work is a blend of two words precarious and proletariat describing persons comprising the poorest social class, paying no taxes and offering nothing but their offspring to the
state. People without access to different forms of security associated with employment.
 Precarious work can be composed of workers both from formal and informal sector which may be contradicting from older views that the precarious work solely exists in the latter.
(b) the extent, the characteristics and profile of Precarious workers
(b.1) Informal Employment in the Formal Sector. Non-standard, atypical, alternative, irregular, precarious. Companies are shirking their legal obligations to workers by replacing
permanent jobs with contract and temporary work.  Precarious workers are those who fill permanent job needs but are denied permanent employee rights [casual, contractual, project-based,
seasonal, apprentice/learners]. In these jobs, workers are supposed to receive established social benefits, like unemployment compensation or pensions, and work conditions are supposed to be
covered by established health and safety regulations.
(b.2) Informal sector workers are normally not entitled to benefits or protected by regulations. Persons employed in the informal employed is around 2.49 million.
Informal sector is now referred to by the more encompassing phrase “informal economy," which includes “all economic activities by workers and economic units that are -in law or in practice-not
covered or insufficiently covered by formal arrangements."
(b.3) The informal economy is the backbone of economies around the world. Those who cannot find a livelihood as part of the organized economic activities often end up as participants in this
low income sector. Workers in this sector are for the most part not covered by the country’s labour laws and regulations.
Self-employed [Own Account Workers]
 Include persons who operate their own businesses or trades and do not employ paid workers in the conduct of their economic activities. This category includes workers who worked purely
on commission basis and who may not have regular working hours. 
 12.8 M or 30.6 of the Labor force
Employer in Own Family Business [Own Account Workers]
 Holds self-employment jobs (i.e. whose remuneration depends directly on the (expectation of) profits derived from the goods and services produced) and engage one or more person to
work for them as ‘employees’, on a continuous basis.

Neoclassical: Shortage of Labor >> Excess Capital >> High Relative Wage
Labor Suplus >> Dearth/Scarcity of Capital >> Low Relative Wage
Labor Flow from Low wage to High wage areas
Unpaid Family Workers
 refer to family members who work without pay in a farm or business operated by the family.
 3.6 M or 8.6% of the Labor Force
(c) positive and negative outcomes of Precarious work
Has adverse effects on Labor Standards [non-remittance of contribution, diminution of benefits like leaves etc.] and restrict worker’s freedom to organize [cannot form union, to whom will they
negotiate? With the agency?]
(d) assessment of efficacy or deficiency of programs to fight against Precarious work
(d.1) DO 174
(d.2) Republic Act No. 10361 Batas Kasambahay or Domestic Workers Act
Efficacy
 Higher salary for Kasambahay
 Additional benefits e.g. PHIC, SSS, etc.
Deficiency
 Awareness
 Few Kasambahay will have the courage to report
 Weak implementation

Topic 3 (team of two): Forced Labor: Human Trafficking - Fetalco, Gretchen and Galera, Plinky

(a) theory/determinants/causes of Forced Labor: Human Trafficking

 Human Trafficking is a form of slavery in which human beings are sold and traded for profit, sexual exploitation and many other purposes.
 The three elements of trafficking include:
a. THE ACT (what is done).This the operational concept of movement and transportation for
example recruitment, transportation, transfer, harbouring or receipt of persons.
 b. THE MEANS (how is it done). This means the intervention of an intermediary noting that most
 often the means is present before the act could take place namely threat or use of force, coercion, abduction, fraud, deception, abuse of power, of vulnerability or giving payments or
benefits of a person in control of the victim
c. THE PURPOSE (why it is done). For the purpose of exploitation which includes exploiting the prostitution of others, sexual exploitation, forced labour, slavery or similar practices and
the removal of organs.
(a.1) Currently human trafficking is the second largest source of illegal income worldwide.

Process of recruiting people from a community/country of original wherein they will be transported to the destination where they are being exploited for labor, prostitution, domestic servitude and
other forms of exploitation.

According to the Palermo Protocol:

a. Trafficking in persons shall mean recruitment, transportation, harbouring, or receipt of persons by means of the threat or use of force or other forms of coercion, of abduction, of fraud, of
deception, of abuse of power or abuse of position of vulnerability or benefits to achieve the consent of a person having control over another person for the purpose of exploitation.

Human trafficking and Migrant Smuggling – often confused with each other BUT:
a. Human trafficking can cross international borders but can be within the one country (known as internal human trafficking)

b. Migrant smuggling occurs with the consent of the person being smuggled

c. Persons who undergo migrant smuggling agree to cross the borders illegally and pay large sums of money to smugglers for the service

d. Upon arrival at the destination, persons who undergo migrant smuggling are FREE TO GO

Human Trafficking Human Smuggling

Legal, illegal or no border crossing Illegal border crossing
Legal or illegal documents, documents taken Illegal [false or stolen documents]
Coercion and repeated exploitation Voluntary
Restricted movement, control Commodity, a service movement
Crime against an individual Crime against the state

(a.2) Determinants of Forced Labor: Human Trafficking

POVERTY. Poverty is a major characteristic of a developing country and is seen as a major cause of human trafficking. The quest to improve the standard of living in these families makes them
accept whatever promises the traffickers offer them. It is also an issue in cases of internal and external trafficking.
Neoclassical: Shortage of Labor >> Excess Capital >> High Relative Wage
Labor Suplus >> Dearth/Scarcity of Capital >> Low Relative Wage
Labor Flow from Low wage to High wage areas
LACK OF OPPORTUNITIES/UNEMPLOYMENT. There is no gain saying the fact that most people who give their consent to be trafficked did so believing there are better opportunities at
destination which goes to say that the origin countries had limited or no opportunities for its citizenry.

IGNORANCE/ILLITERACY. It is said that knowledge is power. Those who are not aware of the ills and effects of human trafficking are more susceptible to fall prey to the traffickers than the
others. Information on trafficking empowers people to be on guide and take measures to avoid being a victim.

SITUATION OF ARMED CONFLICT. Armed conflict is a two edged sword. On the part of origin
or source victims would be willing to escape from the conflict area thereby becoming vulnerable. On the other hand, destination countries in conflict or war would demand for victims to help
them.

GLOBALISATION. The world they say is a global village and as such recruitment has been made easy.
The vulnerable only knows that his chance of survival economically is higher in developed societies.

GREED. The get rich quick syndrome has eaten deep into the minds of the young people in developing countries. Unfortunately, the society pays little emphasis on the source of wealth of their
people making the youths eager to find ways to acquire wealth and be celebrated.

DESIRE TO EARN A LIVING. In Nigeria and most other African countries for instance, where person will graduate from the university and remain unemployed for 3 to 4 years without any form
of employment would not want to miss any opportunity that he feels will eliminate his desire to earn a meaningful living.

 Poverty
 Gender
 Illiteracy
 Age
o Trafficked minors are all the more vulnerable due to their age. Trafficking may greatly impact children’s emotional, physical, and overall psychological development.
 Trafficking Ignorance
 Lack of Policy Enforcement
(b) the extent, the characteristics and profile of Forced Labor: Human Trafficking
Stat ILO – 21M people trapped in forced all over the world in one way or another with a really low change of getting out. Trafficked, held in debt bondage, work in slavery like conditions

(c) positive and negative outcomes of Forced Labor: Human Trafficking

Human trafficking is evil and will not have any positive effect on the victims who are exploited, their families, communities and states of origin. Granted that human trafficking is a money making
machine using human beings, only the perpetrator and in some cases the destination benefit from this obnoxious crime.
(c.1) Emotional Effect. Oftentimes victims have heard ugly experiences for instance those who were trafficked into the commercial sex industry and are forced to have sex with close to 20 men if
not more in a day while others are forced to have sex with dogs. This experience removes the humanity in the individual especially when it is prolonged. They are broken with very low self-
esteem, ashamed, very angry if the perpetrator is trusted. In some cases the health conditions may lead to feeling of severe guilt, depression, anxiety, use of substance abuseand attempted suicide.
(c.2) Physical/Health Effects. Victims are physically abused by the trafficker to gain control over the victim. They are susceptible to contracting sexually transmitted infections including
HIV/AIDS. Those in the begging industry are maimed to ensure they attract more to almsgiving. Physical torture and deprivation are also used on the victims to take charge of them and ensure
they escape is minimized
(c.3) Social Effect. The victim of trafficking are deprived of a family life and cut-off from normal social activities for a prolonged period, possible adjustment would be difficult. Even when all is
in place for their rehabilitation and reintegration, the stigma the society puts on them tend to delay their progress.
(c.4) Economic Effects. Although human trafficking is a high profit and low risk adventure, the lives of adults and children have been mortgaged for the selfish gains of the perpetrator. Any
individual who is enriched from the proceeds of human trafficking a large number of adults and children have been grossly exploited. Human trafficking destroys the future of any society where a
portion of its members cannot function effectively due to the trauma of human trafficking. The situation worsens when women and children are the most affected.

(c.5) Psychological Effect. Most traffickers recruit their victims between the ages of 6 to 24, because a young victim will easily succumb to force and give in. They are forced into heavy physical
labor in hazardous environment. Many are also taught the use of weapons and are recruited as 'soldiers' in armed conflicts. According to statistics by the U.S. Department of State, globally, 2
million children are trafficked into the sex trade each year. The children suffer from lack of self-esteem, emotional disturbance, disorientation, and depression and are scarred for life. They develop
deep psychological disorders that they struggle with for the rest of their lives even if they have been rescued. Psychological vulnerability hinders them from having a healthy state of mind in the
future. The children are likely to become withdrawn and tend to be suicidal. Any children born to the victims of prostitution are taken away at the time of birth causing further mental agony to the
mothers. In fact, the longer the victims have been enslaved, greater will be their traumatic experience.

(c.5) Health Effects

 'Human Trafficking, Human Misery', a book written by Alexis Aronowitz, states that an estimated 80% victims of trafficking are sexually exploited, abused or forced into prostitution as
most victims are young women and children. Such a victim probably might have to cater to anywhere between 8 to 15 clients in a day. The use of sexual protection is negligible in this
industry, leaving the exploited at a high risk of contracting various sexually transmitted diseases and HIV/AIDS that they further pass on to the men and their partners. In some cases,
victims are also subjected to substance abuse by being forced to take drugs. Such individuals also have to constantly battle with drug addiction. Improper supply of meals and the lack of
nutritious food causes malnourishment in these entrapped victims. Poor living conditions also contribute to the development of various diseases that these victims suffer from in later years.
The victims are not given any medical aid to cure these ailments. Those recruited in chemical factories are treated like modern-day slaves and when they succumb to occupational diseases,
are quickly replaced by another batch of victims.

(c.6) Societal Effects

Neoclassical: Shortage of Labor >> Excess Capital >> High Relative Wage
Labor Suplus >> Dearth/Scarcity of Capital >> Low Relative Wage
Labor Flow from Low wage to High wage areas
  The victims may be used as bonded labor in their own country or transported to another country whereupon arrival, their passports and migration documents are taken away from them,
leaving them helpless and immobile. Sadly, they are often charged as collaborators of the crimes rather than being seen as victims. They are kept in very poor conditions with sub-standard
clothing and food, unhygienic living conditions and no provision for healthcare. They are also often physically and sexually abused by their employers and 'clients' for non-compliance
with demands. This is a very gruesome picture of the face of our society, hiding behind a wall. Another point to be noted here is that the victims are deprived of education and all human
rights. The victims always struggle to gain acceptance in society from the stigma after being rescued. This illegal trafficking often intermingles with other crimes such as smuggling of
drugs and ammunition. Corruption is so widespread in our world that the greed for wealth only further encourages trafficking of humans to flourish, with no barriers. In such a scenario,
the development of a stable and robust society seems like a distant dream.

(c.7) Economic Effects

 According to the International Labor Organization (ILO), human trafficking generates $31.6 billion estimated illicit profit worldwide! As calculated by the CIA, a trafficker earns up to
$250,000 per victim of the sex trade in a year. Of this sum, the victim is paid a trivial amount or nothing at all on the pretext of clearing up debts and paying for expenses such as food,
clothing and lodging. The victims of slavery are also paid very meager wages for strenuous physical labor which prevents them from fleeing. Availability of such cheap labor hinders
employment opportunities and subsequently, reduces per capita income of the nation. The financial repercussions cannot be overlooked. In fact, the network of traffickers has gained
immense financial strength which allows such illegal activities to thrive without the fear of law. Illegal immigration is also a threat to national security and a cause of concern for
governments worldwide. It gives rise to other ills such as terrorism, poverty, poor standard of living, unemployment, expanding population, wastage of resources, high crime rates, and
lack of enforcement of law and order in the country. These factors slow down the economic growth of the nation.

(d) assessment of efficacy or deficiency of programs to fight against Forced Labor: Human Trafficking
(d.1) ILO Convention C029 – Forced Labour Convention, 1930. Defines compulsory labor as all work or service which is exacted from any person under the menace of any penalty and for
which the said person has not offered himself voluntarily. Members that ratified this convention suppress the use of forced or compulsory labour in all its forms within the shortest possible period.
(d.2) R. A. 9208, or the Anti-Trafficking in Persons Act of 2003. The law mandates the Philippine government, through the Inter-Agency Council Against Trafficking in Persons (IACAT), to
ensure that mechanisms for the protection and support of trafficked persons are in place, as well as ensure the timely, coordinated, and effective response to cases of trafficking in persons.
The penalty structure set up by R.A. 9208 is as follows:
• Qualified Trafficking in Persons
• Promoting Trafficking in Persons
• Use of Trafficked Persons for Prostitution
Ending Statement: In conclusion, human trafficking is a form of modern day slavery, an ill wind that blows no body any good. It is a violation of the fundamental human rights of the
victim and affects his/her normal functioning in the society. It is a global issue that must be addressed by all. We should do our bit as individuals, families, communities and the larger
society to fight and eliminate this evil in our society and world.

Topic 4 (team of two): Discrimination in the Labor Market - Sabino, Michael and Salcedo, Jovelyn

(a) theory/determinants/causes of Discrimination in the labor market

(a.1) Discrimination is a situation in which equally materially productive persons are treated unequally on the basis of an observable characteristic. While laws are in place, many people still
find themselves discriminated at work because of their race, sex, religion, disability, age etc. Discrimination may be direct or indirect. Direct discrimination happens when a person, or a group of
people, is treated less favourably than another person or group because of their background or certain personal characteristics. On the other hand, the latter occurs when there is unreasonable rule
or policy that is the same for everyone but has an unfair effect on people who share a particular attribute. It’s often less obvious e.g. minimum height requirement, not allowing to work part-time,
10 year work experience requirement. “Sometimes, a policy, rule or practice seems fair because it applies to everyone equally, but a closer look shows that some people are being treated unfairly.
This is because some people or groups of people, are unable or less able to comply with the rule or are disadvantaged because of it. If this policy or practice is not reasonable, it may be indirect
discrimination.”

(b) the extent, the characteristics and profile of Discrimination in the Labor Market
Gender-based disadvantage/Discrimination based on Gender
 Gender wage gap - Average wages for men and women differ sometimes by 30% or more. This is due to difference in the low productivity level due to lack of skills. It is an inferior
perception of women and a lack of appreciation of their achievements, capabilities and performance. It gives an impression that a woman’s work is secondary even if she has equal
responsibilities and competencies as her male colleagues in the same institution.
 Occupational segregation by gender - Feminized occupations tend to have lower salary. Women’s jobs tend to concentrate on services and care activities while men in managerial roles.
Therefore, gender wage gap arise because of occupational segregation.
 Pay discrimination - Not paying someone a fair wage, whether male or female when compared to another employee who holds a position of similar level and performs the same duties.
 LGBT discrimination

Discrimination based on Age

 Young workers have difficulty getting a job because companies tend to look for workers with years of experience and therefore excluding those graduates without being given the chance
to prove themselves.
Neoclassical: Shortage of Labor >> Excess Capital >> High Relative Wage
Labor Suplus >> Dearth/Scarcity of Capital >> Low Relative Wage
Labor Flow from Low wage to High wage areas
  On the other hand, the older workers are faced with problems of obtaining a job that have become an increasing cause of concern for years. Studies also show that the jobs available for
older workers are often paid lower compared to the previous wage that they were receiving.
 Companies are prohibited in specifying age preferences in job advertisements.

Discrimination based on Disability

 Physically impaired persons suffer from discrimination at work from hiring and even during employment. In fact, this is evident on the salary ceiling required by law which is to give them
not lower than 75% of the normal wage.

Religious Discrimination
 It is illegal for employers to discriminate workers based on their religion. Businesses are required to reasonably accommodate an employee’s religious beliefs as long as it doesn’t have
negative consequences for the employer.

(c) positive and negative outcomes of Discrimination in the Labor Market

“Returning OFWs experience age discrimination in their attempts to try to rejoin the mainstream workforce after being away for so long,”

 Poor Work Atmosphere

The biggest negative effects of workplace discrimination is the poor working atmosphere it creates. The workplace of the 21st Century is increasingly multicultural, and instances of discrimination demoralize not just
the victim, but also a significant number of workers who affiliate with the victim’s group. This leads to a culture of mistrust, suspicious, resentment, hostility, and rivalry among the workers, and formation of cliques.
All these developments spread negative vibes and harm relationships at work, especially free flow of communications and teamwork, hampering the smooth functioning of the organization.
A 2005 Gallup poll showed that job satisfaction was at its lowest when employees experienced discrimination.

 Loss of Focus and Productivity

Another negative effect of workplace employee discrimination is loss of focus and wasting of time. Discrimination in the workplace is not just the focus of the victim, but also tends to take priority in various
meetings. The time and resources spend on discussing discrimination, pondering over it, and implementing remedial measures, could be better spent focusing on core activities.

The loss of morale as a result of discrimination directly translates to loss of productivity. Discrimination also un-motivates employees, again leading to loss of productivity.
Employees who feel wronged also tend to switch jobs, forcing the organization to spend more time and resources on hiring and training new employees, besides coping with the low productivity of a new employee.
 Loss of Patronage
News of workplace discrimination tends to spread fast, and this can hurt the company’s reputation and lead to backlashes with customers having affinity to the victim shunning the company’s products and services,
thereby having a direct impact on the company’s bottom-line.

 Impact on Individuals
Workplace discrimination usually has a debilitating effect on the employee’s psyche. The victim feels unworthy and at fault, and with advancement opportunities turning elusive, falls into a rut of depression.

There have been many instances of workplace discrimination victims indulging in domestic violence and even murder due to the anger caused by loss of self esteem.

 Impact on Society
Workplace discrimination is also a major cause for the nation's skyrocketing unemployment rate. Many people remain unemployed not because they are unemployable, but because companies refuse to hire them due
to certain biases. Many companies, for instance do not hire women, and with no other suitable candidates, do not hire at all.

Workplace discrimination spreads all round negativity and has a debilitating effect on any organization, the individual, and society.

(d) assessment of efficacy or deficiency of programs that promote better protection of the rights of Filipino overseas migrant workers and to reintegrate returning migrant workers to the economy
Here in the Philippines, age discrimination is the 800-pound gorilla in the workplace that no one talks about but thousands of job applicants and employees experience every day.

(d.1) Labor Code and Protection of Women

 Labor Code prohibits any form of discrimination against women i.e. lesser wages/benefits, favor a male employee over a female employee with respect to promotion, training
opportunities, study etc.
 Article 134 of the Labor Code declares unlawful for an employer to require, as a condition for employment, or for continuation of employment that a woman employee shall not
get married or to stipulate implicitly or explicitly that upon getting married, a woman employee shall be deemed resigned, prejudiced or discriminate merely by reason of
marriage.
 Criminal offense to dismiss a woman employee because of pregnancy. Unlawful to refuse female employees from reporting to work after maternity leave
 Special leaves granted to women employees e.g. RA 9262 – VAWC 10 days leave; 60 days; Solo Parent leave 7 days
(d.2) ILO Convention 111 – Anti Age Discrimination 1958

Neoclassical: Shortage of Labor >> Excess Capital >> High Relative Wage
Labor Suplus >> Dearth/Scarcity of Capital >> Low Relative Wage
Labor Flow from Low wage to High wage areas
(d.3) The Equal Remuneration Convention (No. 100), adopted by the International Labour Conference in 1951, promotes equal pay for work of equal value between men and women. It was the
first ever international labour instrument adopted to eliminate discrimination in employment, addressing pay discrimination on the ground of sex.

(d.4) RA 10911 Anti Age Discrimination in Employment Act

 Weakness in implementation and monitoring
 Employers can implicitly avoid the law
 Applicants have no means/proof to report the employer who violate the law
(d.5) RA 9262 Anti-Violence against Women and their Children Act

(d.6) RA 9710 Magna Carta of Women. The State condemns discrimination against women in all its forms and pursues by all appropriate means and without delay the policy of eliminating
discrimination against women in keeping with the Convention on the Elimination of All Forms of Discrimination Against Women (CEDAW) and other international instruments consistent with
Philippine law.
 Weakness in implementation and monitoring
(d.7) Republic Act 9442 Magna Carta for Disabled Persons (act amending 7277). Ensures equal opportunities for suitable employment to PWDs as their able-bodied counterparts.

 Not less than 75% of the applicable minimum wage.

 Despite the efforts of the government in promoting anti-discriminatory practices in the area of employment and providing various employment-related programs and services for PWDs, it
seems that employment for this segment of the population still need improvement. Schelzig (2005) estimated that only less than 10 percent of more than 100,000 employable PWDs
registered with the DOLE were wage employed.

(d.8) Republic Act 7877 Anti-Sexual Harassment

 Only few women will take the courage to report the sexual harassment experience due to shame and humiliation.

Concluding Statement: It’s a wife being equal with her husband. It’s a sister being equal with his brother. It’s not about being better or worse — but it’s equality.
Neoclassical: Shortage of Labor >> Excess Capital >> High Relative Wage
Labor Suplus >> Dearth/Scarcity of Capital >> Low Relative Wage
Labor Flow from Low wage to High wage areas