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During 2003, the ILO initiated a long-term action to assist to the Government of Pakistan in tackling the bonded labor issue.
A priority need of the Government is research on the nature and significance of bonded labor. As a first step towards meeting this need, researchers have completed a series of rapid assessments of bonded labor in ten key sectors of the economy. The research project was conducted under the Bonded Labor Research Forum (BLRF), convened by the Federal Ministry of Labor and actively supported by the ILO. The Forum comprises government functionaries, members of the research and development communities in Pakistan, and the ILO.
Overview of Rapid Assessment Studies
The rapid assessments were conducted from October 2002 to January 2003. These studies were done to help the government to devise effective plans and polices for dealing with the issue. Research on bonded labor is an important element of the National Policy and Plan of Action for the Abolition of Bonded Labor and Rehabilitation of Freed Bonded Laborers (2001).
The studies were also intended to explore whether bonded labor existed in the ten sectors, and the nature, impact and implications of the phenomenon; and to seek preliminary conclusions and recommendations. This was the first phase in a research program, to be followed by detailed sector studies and a national survey to determine the incidence of bonded labor across the country.
The Ten Sectors
The national definition of “bonded labor” in Pakistan focuses on debt bondage. The rapid assessments looked primarily at debt bondage, but also at other forms of bonded and forced labor without debt. The rapid assessments have thrown new light on the nature and significance of the problem in Pakistan. Between them, the sectors involve a large proportion of the output, employment and exports of the Pakistani economy. The sectors are:
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Agriculture: the backbone of the economy, employing 45% of the labor force. |
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Construction: employing 7% of the labor force. |
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Carpet-weaving: largely conducted in small sheds or individual homes, and roughly estimated to employ 1.5 million people (3% of the labor force). |
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Brick-making: another informal and largely unregistered sector, with an estimated 6,000 kilns, each having 100-200 workers. |
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Marine fisheries: concentrated on the coasts of Sindh and Balochistan, and estimated to employ 130,000 workers directly. |
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Mining: probably employing about 100,000 workers. |
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Glass bangles: concentrated in Hyderabad, Sindh, and estimated to employ 30,000 workers. |
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Tanneries: focused largely in Kasur, Punjab and in selected parts of Karachi: may be employing up to 25,000 workers. |
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Domestic work: an almost undocumented sector of large, but indeterminate, size. |
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Begging: another large sector that is totally unexplored and undocumented.. |
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Reasons for Taking Loans |
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The research shows that laborers take loans for three main purposes: |
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Small subsistence loans, usually up to Rs. 1,000, are taken and returned on a regular basis. These are generally benign and help workers tide over small consumption needs when wages are insufficient. Indeed, they can be helpful to workers. Generally, these small loans do not have the serious implications associated with long-term indebtedness, though there are cases in which small loans accumulate to become larger loans that cannot easily be repaid and involve the worker in greater restrictions. |
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