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A DYNAMIC GLOBAL PICTUREadvances and non-payment of the minimum wage,as specified in national legislation against bonded labour,potentially extends coverage of the law to manymillions of agricultural labourers, sharecroppers andinformal sector workers indebted in some way to theirlandowners or employers.176. This is why, while action against the entiregamut of bonded labour systems is essential, itwould appear necessary to focus urgent attention onthe most acute cases. These can include long-termand inter-generational bondage, especially affectingwomen and children; cases of outright physical abuseand coercion; or economic sectors or geographicalareas where bonded labour has driven families furthestbelow the poverty line. The priorities will haveto be determined at the national level by governments,together with employers’ and workers’ organizationsand other civil society actors. But arguably, for the nationaland international agencies concerned with theeradication of extreme poverty by the year 2015, therecan be no greater challenge in the world today.Latin America: Focus on debt bondageand indigenous peoples177. The first Global Report on the subject alreadydrew attention to forced labour abuses against, inparticular, Latin America’s indigenous peoples. 80 Anumber of Latin American governments have sincedecided to confront forced labour, notably in their agriculturalsectors. Following the experience in Brazil,the Governments of Bolivia, Guatemala, Paraguayand Peru have undertaken preliminary research in cooperationwith the ILO. Of these, the Governmentsof Bolivia and Peru in particular have decided to develop,jointly with workers’ and employers’ organizations,new policies to tackle forced labour.178. This is not to suggest that contemporaryforced labour affects only Latin America’s indigenouspeoples or remote rural areas. Indeed, at a series ofworkshops held in Central American and Andeancountries in 2002 to provoke reflection on contemporaryproblems of forced labour and their root causes,other concerns were also identified. These includedcoercive conditions in privatized mines; abuse ofcompulsory military service; coercive conditions (includingforced overtime) in the maquiladora assemblyindustries in export processing zones; forced labouraffecting domestic workers; and, more generally,causal links between extreme poverty, discrimination,a loosening of labour laws, and new patterns offorced labour. The following paragraphs neverthelessfocus on forced labour situations affecting indigenouspeoples in selected countries where the knowledgebase has expanded during the period under review.179. Indigenous peoples in Latin America oftenface both discrimination and poverty. The ILO’s2003 Global Report on discrimination at work alreadypointed out that “in Latin America, indi genouspoverty can be traced to the discrimination indigenouspeople face in the labour market and to theconstraints in access to, and control over, land”. 81 In2001, Bolivia’s PRSP also pointed to the presence ofa “high degree of discrimination and probably segregation”in a country where the proportion of thosebelow the poverty line was over 80 per cent for amainly indigenous rural population. 82180. Despite the many positive measures taken insome of these countries towards reducing poverty anddiscrimination, significant pockets of forced labourpersist in rural areas. Substantial numbers of mainlyindigenous agricultural workers are in conditions ofdebt bondage, mostly as a result of wage advancesmade to workers by private labour contractors. In particular,this is the case in the Chaco region of bothParaguay and Bolivia, and in the Amazon forest regionof both Bolivia and Peru. The extent to whichindigenous peoples of these regions are subjected toforced labour clearly depends on the degree of contactwith outside settlers in their areas of traditional habitation,and also on the labour requirements for diverseeconomic activities. For well over a century, therehave been reports of indigenous enslavement in partsof the Amazon, for example during the rubber boom.In other instances, however, the growth of forced labourappears to be a more recent phenomenon.181. There are fairly clear reasons why indigenouspeoples in remote areas are particularly susceptibleto coercive recruitment and debt bondage. A weakstate presence, together with low investment in educationalservices and other facilities (not to mentionculturally biased curricula) means that, with poorliteracy and numeracy, they are usually ill equippedto deal with outsiders, who can easily deceive theminto debt bondage. Another important source of indigenousvulnerability is the lack of official identity80. Stopping forced labour, op. cit. (especially pp. 22-23).81. ILO: Time for equality at work, Global Report under the Follow-up to the ILO Declaration on Fundamental Principles and Rights at Work,Report I(B), International Labour Conference, 91st Session, Geneva, 2003, p. 30, para. 96.82. Republic of Bolivia: Poverty Reduction Strategy Paper (PRSP) (La Paz, March 2001), paras. 81 and 91. A similar correlation between ethnicity,discrimination and poverty has been detected in other Latin American countries with substantial indigenous populations. In Peru, theWorld Bank found that poverty rates in the highlands and forest are nearly double that of coastal regions and that indigenous peoples have avery high poverty rate of 70 per cent. In Paraguay, although the World Bank’s Country Assistance Strategy avoids using the term “discrimination”,it indicates that “those who speak only Guaraní tend to have much lower incomes” (World Bank: Country Assistance Strategy for theRepublic of Paraguay 2004/2007 (Washington, DC, 2003), p. 18). Finally, the Guatemala poverty assessment (GUAPA) found that 76 percent of indigenous people were poor, and that poverty could be explained by ethnic exclusion (World Bank: Poverty in Guatemala, ReportNo. 24221-GU (20 Feb. 2003), pp. ii-iii).39
A GLOBAL ALLIANCE AGAINST FORCED LABOURdocuments, rendering them “invisible” to national authorities,and making it virtually impossible for themto denounce forced labour abuse and seek remedialaction. Although many Latin American States haveamended their Constitutions or adopted special lawsin order to demarcate indigenous land or territorialareas and to safeguard the natural and environmentalresources within them, there have been severe difficultiesin implementing such ambitious legislation.At the same time, increasing exposure to a monetaryeconomy can make indigenous peoples, especially the“isolated communities” of the Amazonian lowlands,easy prey for unscrupulous contractors.182. A study carried out in Paraguay focused onconditions of employment and work of indigenouspeople in the Chaco region. 83 The authors interviewedkey informants and held meetings with smallindigenous groups. Data were also obtained througha review of anthropological studies and of the 2002Indigenous Census. Overall, indigenous people reportpoor working conditions and salaries below theminimum wage, with many claiming to be paid muchless than their “white” colleagues for the same work.Discrimination is most acute in the large and remotecattle farms of the Chaco region, where farms employboth casual and permanent labour. Interviews suggestthat the provisions of the Labour Code are seldomimplemented, and it is not unusual for indigenousworkers to be remunerated for a few months of workwith a pair of trousers, a shirt, and a pair of boots.Women are sometimes not remunerated at all.183. Discrimination explains the persistence of debtpeonage in the large cattle farms of the Chaco. TheLabour Code requires that farmers provide workerswith a minimum wage as well as with “meat, milk,and other basic food in sufficient quality, quantity andvariety to ensure adequate nutrition for the worker andhis family” (section 169). In practice, however, the foodprovided by employers is often insufficient and its priceinflated. Workers have no other option but to buy additionalfood from the ranch’s supply store (almacén).Because wages are so low and the prices in the storeso artificially high, indigenous workers have to buy oncredit and continue working on the farms to pay offtheir debts. Forced labour in the Chaco is also rootedin unequal land distribution and weak institutional capacity,contributing to impunity for the perpetrators.In the absence of any significant labour union to defendworkers’ interests, employers have complete discretionover the implementation of labour regulations.184. In Bolivia, the research focused on agriculturalforced labour in the Chaco region, and in tropicalareas of Santa Cruz and the northern Amazon. 84In the Bolivian Chaco, the living and working conditionsof Guaraní indigenous people are similar tothose in Paraguay. Men are typically paid betweenUS$1 and US$2 per day; women receive half thisamount, and working children nothing at all. An officialreport of an Inter-Ministerial Commission hadalready documented servitude and other labour exploitationin the Chaco in 1999, finding extensiveevidence of indigenous debt bondage following thepayment of advances in cash and in kind. Altogether,there could be several thousand indigenous Guaranístill in forced labour situations today in the largefarms of the Chaco, with sometimes entire communitiesheld captive by regional caciques through debtbondage and open violence. Recently, however, certainmeasures have begun to have a positive impact.First, the Permanent Assembly for Human Rights ofBolivia and the Vice-Ministry of Human Rights haveopened an office in the region with the assistance ofthe Swiss Agency for Development and Cooperation(SDC). Second, NGOs and indigenous organizationshave started a campaign to free the most exploitedworkers, provide them with small plots of land, andinform indigenous workers of their rights.185. The most acute forms of forced labour havebeen documented in the Chaco, but the study showedthat debt bondage also exists in other parts of thecountry, possibly affecting much larger numbers thanin the Chaco itself. In the region of Santa Cruz andin the northern Amazon, the study has revealed thatsome intermediaries recruit workers in their placesof origin, before the start of the harvest, by offeringwage advances which have to be repaid through labourduring the harvest. This bonds workers for arelatively short period of time. In many instances,however, wages are below the promised level and alsopartly retained on an arbitrary basis by the employer,meaning that workers incur a fraudulent debt as theyare obliged to buy tools and subsistence goods at inflatedprices. Those unable to repay fully are forcedeither to return the following year or to continueworking until their debts are considered as paid.186. In Peru, research has concentrated on forcedlabour in the Amazon basin, again the result of theillegal enganche system of labour contracting. 85 Thepatrones (subcontractors) establish their labour campsin the forest and typically recruit between ten and40 workers, mostly from distant cities, who receivewage advances of between 10 and 20 per cent of theirtotal pay. Once at the camp, they incur a continuousstream of expenses, as necessary tools and livingitems are added to their bill at inflated prices. Whenworkers become aware of the deception and try to83. E. Bedoya Garland; A. Bedoya Silva-Santisteban: Peonaje por deudas y marginación en las estancias ganaderas del Paraguay (unpublisheddocument, 2004), study commissioned by the Government following a request by the ILO Committee of Experts on the Application ofConventions and Recommendations for information on the possible use of forced labour against indigenous people in the Chaco.84. idem: Enganche y servidumbre por deudas en Bolivia, DECLARATION Working Paper (forthcoming).85. idem: El trabajo forzoso en la extracción de la madera en la Amazonía peruana, DECLARATION Working Paper (forthcoming).40
Page 1 and 2: A Global AllianceAgainst Forced Lab
Page 4 and 5: REPORT OF THE DIRECTOR-GENERALA glo
Page 6 and 7: ContentsIntroduction . . . . . . .
Page 8 and 9: Introduction1. Four years ago, the
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Page 14 and 15: UNDERSTANDING AND MEASURING FORCED
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Page 74 and 75: PART IIIGlobal actionto combat forc
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