NEW ECONOMIC SLAVERY IN THE PRACTICE OF MODERN COMPANIES AND COUNTERACTING IT IN THE FRAMEWORK OF SOCIAL RESPONSIBILITY OF BUSINESS

Keywords: social responsibility of business, human rights, human trafficking, economic slavery, labor market

Abstract

The article considers the actual issue of socially responsible business within the framework of human rights protection. Namely, in terms of combating human trafficking and economic slavery in accordance with the UN Global Compact principle that businesses should not be complicit in human rights violations. It was shown that today's human trafficking has an economic basis and a wide range of forms, clearly described in international and national normative acts. It was reasonable to define economic slavery as a form of human rights violation. Economic slavery can be considered any exploitation of one person by another, even without the exploiter having ownership rights over the exploited, in other words, it is dependence on money. Modern "slaves" are forced to work nonstop because the money they earn is enough to meet their basic needs, usually for no more than a month. Based on this, the components of economic slavery and the benefits that a socially irresponsible enterprise receives from such work organization are analyzed, including: continuous work, because the worker's money is always in short supply; imposed demand for novelty goods; the credit system; lagging income growth compared to inflation growth; depriving the worker of funds to move and buy property in another city. Many modern companies practice approaches to hired labor and their personnel in general on the basis of the new economic slavery. In the article this phenomenon was considered on the example of the international company Glovo. On the one hand, the company provided an opportunity for young people to start earning quite good money, working at a convenient time. On the other hand, this work is deprived of opportunities for professional and personal growth. These schemes allow the employee not to pay taxes and the employer not to hire people, saving on sick leave, vacation pay and social packages. Ukrainian legislation does not prescribe the processes of registration of workers employed on the principles of crowdsourcing. Turning their skills into the basis of their own future business is practically unrealistic for couriers, as they have no prospects and opportunities to capitalize on their skills and abilities. Based on the SWOT analysis of crowdsourcing employment offerings, Glovo provides recommendations to counteract economic slavery by companies with similar behavior in the labor market.

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Published
2022-01-25
How to Cite
Dziuba, O., Levishchenko, O., & Velychko, A. (2022). NEW ECONOMIC SLAVERY IN THE PRACTICE OF MODERN COMPANIES AND COUNTERACTING IT IN THE FRAMEWORK OF SOCIAL RESPONSIBILITY OF BUSINESS. Economy and Society, (35). https://doi.org/10.32782/2524-0072/2022-35-46
Section
ECONOMICS