This document discusses the impact of globalization on labor markets. It notes that since the 1940s, barriers to international trade have reduced, integrating labor markets around the world. While consumers benefit from greater choice, workers face increased insecurity as jobs become more mobile. The growth of free market capitalism and trade liberalization has shifted control over economic policies from nations to markets. Globalization affects countries differently depending on factors like education levels and economic development. While it can increase productivity and growth, it also risks worsening inequality and lowering wages for less skilled workers.

1. The United Nations Economic and Financial Committee
The Republic of Guinea on the Globalization of Labour
Labour markets around the world have become increasingly integrated. With
the removal of trade barriers, it allowed markets to expand and become unified for
the circulation of goods and services. Since the 1940s, after the General Agreement
on Tarrif and Trade (GATT) was created, the nations of the world benefited from the
open economies of their trade partners. The creation of the GAAT led to the
establishment of the World Trade Organization, the global organization who
administers rules of trade between nations. According to Stiglitz and Charlton (2005),
“the world of trade has averaged 6 percent per year, twice as fast as output during
1980-2000.”1
This will in turn cause a huge shift in the influence and control of
macroeconomic policies in various nations due to markets being integrated. The
ideology of free market capitalism is the driving force behind the globalization of
world economies. A significant and evident development due to changes in
economic thinking and policy implementations is the government and businesses’
approach to employment and labour conducts. During these times, the focus of
macroeconomic policies is to maintain low fiscal deficits and price stability.2
In this neoliberal era, the public views the
globalization of labour in different lights; on one hand, consumers benefit from the
freedom of trade; but on the other hand, they are at the same time concerned by its
impact on job security and workers’ policies. Many fear that globalization will worsen
1
Stiglitz, Joseph E. And Andrew Charlton. 2005. Fair Trade for All: How Trade can Promote Development.
Oxford: Oxford University Press, pp. 315.
2
Jaumotte, Florence and Irina Tytell. How has the Globalization of Labour affected the Labour Income Share in
Advance Countries? International Monetary Fund. 2007. Web. January 2, 2015.

2. their future outlook on the labour market. Workers who lose their jobs due to the
liberalization of trade will have to go through a period of unemployment before a new
job opportunity arises. With growing competition in markets, jobs are becoming more
difficult to obtain, requiring more qualifications than before.3
Trade liberalization improves or worsens labour market depends on how it
affects average productivity. Although, the rate of economic productivity worldwide is
increasing alongside the growth of labour, it is not always the case. The scarcity of
job opportunities of citizens due to outsourcing is becoming a major issue in many
underdeveloped countries. Wage curves in markets are shifted as a result. Those in
the labour force who are unable to qualify for higher paying jobs will have no choice
but to settle to employment with lower wages. For more developed countries,
globalization has a more poisitive impact. With increasing competition and proper
education programs, its citizens have less problems in acquiring jobs. Globalization
drives a country’s movements, which in turns increases its economical growth.4
Economic
globalization is an irreverisble process of world economic development, which is
essentially the worldwide spread of market economy. It remains an integral part of
today’s societies, supporting the optimization of resources and increasing profits of
enterprises. Naturally, free market structures do not benefit the economically weaker
labourers. In the midst of economic globalization and adjustments of market
structures, trade unions should be protected at all costs, and the rights and interests
of minorities must be acknowledged. Therefore, it is necessary for nations to
3
Haque, Irfan. Globalization, Neoliberalism and Labour. United Nations Conference on Trade and
Development. 2004. Web. January 3, 2015.
4
Kurniawan, Ahmad Yousuf. Trade Liberalization, Poverty and Income Inequality: An Overview. Justus Liebig
Universitat Giessen. October, 2012. Web. 3 January, 2015.

3. cooperate with one another to promote economic and social development in a
interdependent and collegial way.5
CURRENT CONDITION
A study was conducted by World Bank’s Development Research Group led by
Dollar and Kraay in 2001 aimed to expose weaknesses of trade liberalization. The
study concluded that globalization is generally beneficial. It shows how globalization
leads to accelerated growth and poverty reduction in poorer countries. However, the
study is heavily influenced by the ensuing economic growth of China and India,
which accounts for one third of the world population, who have taken steps to
lowering trade barriers and deregulating their economic policies. Therefore, the study
does not encompass all nations. Data from the study showed an alarmingly widening
income disparity in developing and under-developed nations during the period of
globalization. Comparisms of numerous countries that adopted neoliberal policies in
differing degrees had contrasting outcomes. Countries showed diversity in their
economic policies.6
The increased reliance on freely functioning markets is the core of neoliberal
policies. The aims of these policies is to lower income taxes and reinforce flexible
labor markets to encourage investment and economic growth while eliminating
unemployment. However, in the process of achieving their goals, developed
countries are continously pressuring underdeveloped nations to lower their wages,
squash labour unions and evinornmental safeguards in efforts to open up these
countries’ economies to foreign goods. The greatest challenge for extremely
5
Rongshu, Chen. Impacts of Globalization on the Trade Union Movement. All China Federation of Trade
Unions. 2004. Web. January 4, 2015.
6
Dollar, David and Aart Kraay. Trade, Growth and Poverty. Development Research Group of World Bank. June,
2001. Web. 4 January, 2015.

4. underpaid workers in developing countries is that the global market allows the
circumstances of cutting the wages of the less skilled workers.7
Collective bargaining
refers to the negotiations between employers and their employees aimed to reach
agreements in regulating working conditions. It remains an internationally recognized
human rights; article 23 (4) of the United Nations Universal Declaration of Human
Rights “everyone has the right to form and to join trade unions for the protection of
his interest.”8
The prioritization of growth over the protection and rights of the workers are
the core problems of implementing neo-liberal agendas as the policies work more
towards the favor of capital instead of labour. The ideology seeks to integrate world
economics by breaking down trade barriers, tarrifs and the regulation of labour,
safety and evnrionment; no matter how much damage they cause socially. Social
problems such as the unequal distribution of income, causes increased disparity
between the rich and poor. Neoliberal structural adjustment policies by the
International Monetary Fund and World Bank are enforced in its member states in
exchanged for loans to further develop their respective economic countries. While
foriegn investments increased, local businesses are replaced by transnational
companies due to the inability to compete, which leads to unemployment in rural
communities.9
Structural Adjustment Programs are economic policies for developing
countries that have been promoted by the World Bank and International Monetary
Fund since the early 1980s by the provision of loans conditional on the adoption of
7
Ibid.
8
United Nations. The Universal Delcaration of Human Rights. Article 23. Web. 6 January, 2015.
9
Mohamed, Seeraj. Economic Policy, Globalization and the Labour Movement: Changes in the Global Economy
from the Golden Age to the Neoliberal Era. Global Labour University. 2008. Web. 8 January, 2015.

5. these policies. The Structural Adjustment Programs are designed to reassure the
structural adjustment of an economy by removing government excess or control over
markets to promote competition as part of a neo-liberal agenda pursued by the
World Bank. Countries who are desperately in need of financial aid would comply to
these policies in exchanged for loans to rebuild their respective economies, however
what they are doing is isolating groups of underqualified workers within countries. 10
HISTORY OF THE REPUBLIC OF GUINEA AND POSITION
For over six decades, Guinea has suffered immensly because of economic
and political instability due to its decision to be independent from France. In 1958,
the inhabitants of France’s colonies were asked to choose between being a
completely independent nation or an autonomous republic within the French
Community, a new organization created in respects to the choices given. Guinea
was the first country to separate from the French. Overnight, the French seemed to
disappear, leaving textbooks destroyed from schools and hospitals. Afterwards,
Sekou-Toure took over as President on October, 1958. Due to this sudden change,
the nation struggled to adapt to its new situation and foreign investment dropped
drastically as corruption rates heightened.11
After the
death of its President in 1984, control was seized by a military coup led by Lansana
Conte, who remained in power until his death in 2008. This coup led to violent
outbreaks throughout the nation. The National Commission for Development
Planning took over, and the implementation of key projects supporting the PRS such
as village communities support programs slowed while Poverty Reduction and
10
The IMF and the World Bank: Puppets of the Neoliberal Onslaught. N.p. 2000. Web. 10 January, 2015.
11
Stokes, Jamie and Anthony Gorman, et al. 2009. Encylopedia of the Peoples of Africa and the Middle East.
United Kingdom: Facts on File. pp 271-273.

6. Growth Facility programs were suspended. Guinea resorted to central planning of its
economy, resulting in dreadful development outcomes.12
Since its independence,
Guinea’s government system seems to be running dictatorships after dictatorships
until 2010, when a nationwide democratic election was held. Alpha Conde was
elected president in 2010, however the social and political climate is still tense. The
tension surged and came to its climax when an attempt to assassinate the president
was carried out in July, 2011.13
Government efforts to promote political stability is
realized by the returning to a constitutional government. Guinea follows the French
welfare state model which enforces the protection of employees by the state’s
welfare legislation where the employer is required to declare its employees in order
to recieve social insurance.14
In the developing world, urbanization takes the form of population explosions
in major cities. Globalization attracts citizens to industrialized cities, with the intention
to become employed. There is no future for rural poverty. As once said by Gandhi, “a
village, normally speaking, is backward intellectually and culturally and no progress
can be made from a backward environment.”15
With a population of 11.75 million
lives, there seems to be a surplus of workers with about 4.7 million people in the
labour force as of 2012. The total GDP of Guinea in 2013 reached 6.193 billion USD.
The primary sector employs about a one fourth of the workforce, yet only provides a
fifth of the nation’s GDP. Twenty percent of the total GDP is 1.238 Billion USD and a
fourth of the workforce is around 1.175 million lives. It is evident that Guinea’s
12
Military takes control in Guinea. British Broadcasting Company. 2008. Web. 5 January, 2015.
13
Page, Michael. Working in Guinea. Michael Page Africa. N.d. Web. 20 January, 2015.
14
Ibid.
15
Das, Gurcharan. 2002. The Elephant Paradigm: India Wrestles with Change. Penguin Books: New Delhi. pp
183.

7. productivity is especially low.16
The World Bank and International Monetary Fund did
not take labour conditions and the rights of workers into consideration when creating
the Structural Adjustment Policies. The approach of these organizations are
ineffective if they are aiming to promote an open economy as the welfare of workers
are the core of the issue at hand. 17
The most vulnerable individuals in the population include the elderly, the
young and the poor. Since they are already so marginalized, they cannot possibly
benefit from globalization. The numbers of vulnerable individuals rise constantly as
globalization increases the gap between the rich and poor.18
As of today, the Government of Guinea still has yet to implement minimum
wage laws. There has been no policy for a mandatory minimum rate of pay for
workers, as rates are agreed to directly with the employer through collective
bargaining. However, with the force of Globalization driving competition, collectve
bargaining has little to no effects in determining salary. A personal tax income of
10% to 40%, depending on income group, every month is applied to Guinea’s
workers. This cut makes it nearly imposible for its people to meet their daily needs.
Labour standards are not strictly reinforced by Guinean government due to
challenges in maintaining political, social and economic stability. 19
In the sub-sahara African regions, children as young as 5 to 14 years old are
engaged in labour, which has shown to be damaging to their health and
development. The enforcement of anti-child labour laws are especially difficult
16
The World Bank. Guinea. 2014. Web. 15 January, 2015.
17
Lensink, Robert. Structural Adjustment in Sub-Saharan Africa. 1996. Michigan: Longman. pp 59-63.
18
World Health Organization. Vulnerable Groups. N.d. Web. 19 January, 2015.
19
Guinea’s Minimum Wage. International Minimum Wage Rates. 2015. Web. 15 January, 2015.

8. because many of these children bring income to their households; even so, their
minimum wage is non-existant in Guinea. Education plays a big role in the quality of
one’s working conditions and salary. Under-qualified workers earn less than those
more qualified, as non-skilled workers perform tasks that does not require skill and
can be carried out by anyone.20
This shows a correlation between access to
education and higher wages. As of 2009, the literacy rate of Guinea is at 39.5% as
reported by the CIA Facebook. 21
PROPOSED ACTIONS AND RESOLUTIONS
1. Recognizing the dangers of child labour and the importance of education
towards economic equality through social justice, programs regarding
socialization of this issue would deter the population from allowing child
labour practices in nations. Additionally, improve school standards to equip
the younger generation with the skills and the competence that they need to
ensure job security and economic stability with befitting socioeconomic
standing in the future, seeing as children are the future leaders of the world.
Encourages members of states to work urgently and collaborate with global
education partners to ensure all children have access to quality education;
providing at the very least nine years of education and professional support
they need to learn and thrive. Governments must remove barriers to
education and address the needs of the most marginalized. Specifically
emphasizing support towards poorer children, orphans, child labourers and
slaves in disadvantaged areas.
20
Op. Cit. Haque, Irfan. Globalization, Neoliberalism and Labour. 2004.
21
Sung, Hung En. A Coverage Approach to the Analysis of political corruption: A cross national study. 2002.
Web. 13 January, 2015.

9. 2. Noting with serious concern the priority of streghtening workforce education
and training, being aware of the current education and training of the
workforce needing urgent attention for improvement to produce competent
workers to match the market needs of the population; by reviewing national
workforce training policies, strategies and develop plans to optimize results as
well as building up a training curriculum relevant to the needs of each
respective country. Ensure resources and supporting medias are accesible to
educators with appropriate accerditation.
3. Strenghten international standards and guidelines for corporate social
responsiblity to promote better integration of responsiblity in industrial,
development and trade policies. Globalization is introducing new international
rules to countries, seeking to ensure a level playing field and augment social
justice. It is creating issues which present risks to core labour standards,
human rights and the environment. Entreprenuers are assimilating greater
importance to responsible conduct and ethics. With the cooperation of central
governments with foreign and local enterprises, the creation of a worldwide
action plan to set targets of CSR’s social impacts and assessment of results
in the form of dialogue with stakeholders, such as consumers, customers,
contractual partners, local communities and amongst business owners should
be enforced. Revision of the current global benchmark for sustainable
development is needed to suit the ever evolving needs of the global market.
4. Further deploring the need for more opportunities for local entreprenuers to
gain experience, recommends the implementation of policies to bring in at

10. least one Guinean on the directive team for training to learn and gain
experience.
5. Reaffirming that labour rights are basic human rights, the workers’ rights to
freedom of trade unionization and the engagement of collective bargaining
should be respected and enforced in democratic socities. Recognizing that
socioeconomic justice and human rights cannot be maintained without
freedom of association and expression; where labour rights are suppressed,
abused and denied. Supports the violators of labourers’ rights to be branded
internationally by categorizing these individuals and develop a means of
media to publicly expose them and the violations they have committed against
the workers in an effort to explore effective solutions in determining penalities.

11. The United Nations Economic and Financial Committee
The Republic of Guinea on Money Laundering
The day a leader abuses his power is when a nation falls. The misuse of
power has become a growing concern in today’s governments; known mostly as
corruption. Corruption leads to more organized crimes such as money laundering,
which essentially means the method of “cleaning” illegal money. Money laundering is
done to avoid detection and prosecution but at the same time allows the corruptor to
retain their material value of the goods. The objective of any corrupt transaction is to
generate a profit for the individual or its group.22
Money laundering disguises their
illegal origin by configuring the appearance of the profits by settling them in places
where it is less likely to attract the attention of the law enforcement.23
Furthermore,
bribery is also known as a form of corruption usually found in criminal activities with a
high risk of detection. For example, criminals who operate in drug trafficking require
assurances that their goods are secure and are protected against losses. To assure
that their goods are not to be confiscated, they resort to bribery. Police and security
forces are specifically vulnerable because they directly operate at the front lines
without any mediator between them and the criminals. Additionally, unlawful
monitoring of security activities lead to bribery and corruption.24
22
Guinea: Reputation for Corruption worsens. N.p. Integrated Regional Information Networks. 2008. Web. 21
January, 2015.
23
Money Laundering. Cornell University Law School. N.d. Web. 18 January, 2015.
24
Organization for Economic Cooperation and Development. An Analysis of the Crime and Bribery of Foreign
Public Officials. 2014. OECD Publishing: Paris.

12. CURRENT CONDITION
Globalization encourages the creation of free trade zones in countries
worldwide, however this attracts financial crimes. By attracting businesses and
investments, free trade zones becomes a place of safety for money launderers.
These free trade zones work to the advantage of launderers as financial regulations
are not as enforced in places elsewhere. It yields high profits for its culprits and
results in high risks for individuals who fall victim to it. In today’s world integrated
markets, there are more than 3,000 free trade zones in 135 different countries. The
worldwide financial system is at stake. It may not seem like it, but money laundering
decreases the productivity of markets. Launderers reinvest their money not to gain
profit, but to disguise the origin of their money. Money laundering does not only
affect its origin’s country as it has become a transnational organized crime.25
The act of money laundering does not only cover offences in more than
one state, but also those that take place in one state but are planned or controlled in
another. The world’s biggest trading partners over time have also become the
world’s biggest markets for illicit goods and services. This is a result of the huge
increase in the volume of trade. In vulnerable countries, this trasnational crime has a
huge impact on its political stability where violence and corruption pose a serious
challenge to the rule of law. Crime is fuelling corruption in rogue jurisdictions,
infiltrating business and politics in a climate of bad governance which hinders a
nation’s development.26
25
Shah, Angela. Free Trade Zones Attract Criminals. The New York Times. 2010. Web. 21 January, 2015.
26
Op. Cit. Haque, Irfan. Globalization, Neoliberalism and Labour. 2004.

13. HISTORY OF THE REPUBLIC OF GUINEA AND POSITION
Guinea is highly reliant on generating revenue from customs, its mining
industry and international aid. From its independence in 1958, the country has been
led by leaders with military backgrounds, each of whom had severly weakened the
already fragile economy. To this day, despite its first democratic election in 2010,
corruption along with fraud, nepotism and collusion remains an ongoing challenge for
Guinea. This negatively affected the consumer sector as well as the Industrial sector.
Industries lost millions upon millions to political figures as they try to maintain a
stable production rate. Nevertheless, the consumer sector suffers as the production
rates drastically drops due to financial instability of the industries. Under the
decentralization of Guinea’s governing body, bribery inside the nation has been
rapidly increasing in numbers. As more laws and regulations are created involving all
members of government official, the magnitude of bribe-taking only kept growing.27
The laws are clearly not applied well and the assertion of
law execution is still poor. Business uncertainties also followed as more and more
bureaucrats become involved in collecting bribes, causing foreign investment to
drop. Corruption has a long term impact on Guinea’s economic growth and
development in its other aspects. As reported by the International Transparency
Organization, Guinea’s Corruption Perception Index (CPI) equates to 25 out of 100;
the higher index, the cleaner a country is. In efforts to reduce the corruption rate, an
anti-corruption organization is established in 2004 called the National Agency for
Fight against Corruption (ANLC), they cover all public and private players throughout
the nation. Last reported in 2012 by the International Association of Anti-Corruption
27
Guinea. 2012. African Economic Outlook. Web. 13 January, 2015.

14. Authorities, the ANLC is still lacking in manpower and funding. In the years 2004-
2005, the organization recieved 33 complaints and only managed to settle 3 of them.
The complaints were mostly regarding power abuse by officials.28
Money laundering undermines the integrity of Guinea’s domestic market in
addition to the international market, which puts legitimate companies out of business.
Foreign investors lose confidence in the Guinean economy because of the alarming
financial crime rates and the increasing number of cases regarding other forms of
fraud. Guinea’s economy is mostly cash-based since credit cards are not widely
used. This is an efficient way to combat money laundering as detection of stolen
money would be easier to expose. Money laundering and other crimes are closely
related. Guinea is especially vulnerable with the presence of drug cartels spreading
violence in most of Western Africa, collusion between insurgents and criminal groups
fuels that terrorism and plunders natural resources as well as the counterfeited
goods that undermine licit trade. 29
With foriegn companies entering Guinea’s market, as many as 26
companies,30
local businesses are driven to bankruptcy due to increasing
competition and covert acts of financial crimes. Guinea’s Investment Code of 1987
gurantees complete foreign ownership in commercial, industrial, mining, agriculture
and service sectors. However, companies in the telecommunication sector are
legally restricted from having a majority foreign ownership. Later revised in 1992, the
28
National Agency for Fight Against Corruption. International Association of Anti-Corruption Authorities. 2012.
Web. 17 January, 2015.
29
Op. Cit. Guinea. 2012. African Economic Outlook.
30
World Investment Directory 2008: Africa. United Nations Conference on Trade and Development. 2008.
Web. 10 January, 2015.

15. code authorizies private investments of all types including foreign private, mixed
foreign and local as well as mixed public and private.31
PROPOSED ACTIONS AND RESOLUTIONS
1. Encourages laws concerning the protection and regulation of businesses,
governing bodies and consumers to be enforced by Government to
prevent corruption from happening. Taxes are not being paid,
investments are disrupted and widespread declining productivity of
businesses and market competitions are exacerbating. The regulations on
the protection of businesses, consumers and governments should be
created in order to protect their rights and emphasize their individual
responsibilities. Should their duties go unfulfilled or do not correspond with
the existing rules, the law enforcement agencies will administer penalties
accordingly based on the law they violate. The enforcement of law can be
reinforced with the establishment of anti-corruption agencies, who are
tasked with investigating corruption cases and monitoring suspicious
economic activities. Corruption prevention and prosecution is a part of
their responsibilities. Further plans to improve the organization’s
operations can be developed in the form of strategical reports that are
compiled at the end of every year known as “Poverty Reduction
Programs”.32
In the process of creating the regulations, the lawmakers are
required to consider all of the busineses sectors’ needs and that of the
people as well as the governing body, to ensure that the enacted law will
be fair to all the parties.
31
Openness to Foreign Invesment. Bureau of Economic and Business Affairs. 2012. Web. 18 January, 2015.
32
International Monetary Fund. Guinea: Poverty Reduction Strategy Paper. 2013. Web. 19 January, 2015.

16. 2. Trusts that by strenghtening the governing body, recovery from financial
crimes can be possible. Beyond the establishment of anti-corruption
organizations, one must acknowledge that the root of the solution lies
within the governing body, specifically the ethics and performance of
public officials. Corruption thrives in an environment of bad governance.
Systems for hiring and promoting civil servants need to be strengthened to
ensure that they are qualified and chosen based on merit. Their quality of
performance can be improved with access to education and training
programs. Additionally, measures to prevent corruption in the private
sector should include clarification of the indetitity of the real people behind
corporate entities. The government should have clear procedures to
regulate private entities regarding subsidies and licences. The monitoring
of cash flow in and out of each business should be taken seriously and
morever, implementing internal auditing controls to detect acts of
corruption should be prioritized.
3. Considers job opportunities to be essential in combating financial frauds.
In efforts to prevent corruption, the creation of more job opportunities is
integral to this process. Countries lacking technological development, such
as Guinea, should invite private companies from overseas to help them
build their technological infrastructure. When the infrastructure is
equitable, the work force will be able to generate more profit, master more
competencies as employees and start their own businesses. In addition,
the government must encourage skill-acquisition programs and
employment seminars. Within the respective companies, mentorship

17. programs will ensure that the skills and knowledge are passed onto the
inexperienced employees.
4. Endorses the establishment of an International Monitoring Body to
monitor the global market as a whole. Calls upon the United Nations
Economic and Financial committee to strongly condemn the practice of
corruption by establishing international monitoring bodies without the need
to answer to rich and powerful bodies within a corrupt society. Guinea
strongly advises the countries of the world to recognize the importance of
international cooperation in enhancing domestic efforts to combat
corruption. To further equip the monitoring bodies, supporting media is
needed such as electronic monitors, computer programs and other
technologies that enable them to monitor corrution in government and
businesses. In corrupt countries, the use of technology would be
preferable in contrast to relying on the anti-corruption agencies that may
also be corrupt. The implementation of these technologies must be done
without the company’s awareness to prevent it from being tampered with.
5. Requests increased government transparency. Lastly, accountability of the
government cannot be ensured without transparency. Systematic efforts
are required to ensure policies, and draft laws and regulations. A standard
operating procedure should be incorperated in all government ministries
and agencies. A law that gurantees transparency is necessary for anti-
corruption reform to be successful in Guinea.
6. Draws attention towards the need for impunity systems to be reviewed
and evaluated. Corruption flourished in Guinea as a result of the

18. inefficiency of the corruption eradication system. There was little likelihood
of being caught. Since the establishment of the National Agency Against
Corruption (ANLC), they were able to arrest wrongdoers who have been
convicted and jailed. However, the effect of these deterent efforts have
been unyielding, as many of the convicted have been granted remissions.
Therefore, the government of the Republic of Guniea would like to suggest
the implementation of capital punishment.