The illegal trade of counterfeit products and forced labor are two phenomena "closely interconnected," according to a joint report by the Organisation for Economic Co-operation and Development (OECD) and the European Union Intellectual Property Office (EUIPO). The study does not mention specific countries, but establishes a statistical correlation between product counterfeiting and economies with a higher prevalence of forced and child labor, including dangerous work, as well as high informality.
OECD economist Morgane Gaudiau, co-author of the study, highlights that the countries where product counterfeiting is most intense are precisely those with the lowest labor protection. The report points to a higher incidence of fatal accidents, longer working hours, fewer guarantees for workers, and low union representation in these locations.
This combination of conditions is exactly what product counterfeiters are interested in. The fewer labor rights and the weaker the enforcement, the lower the production cost tends to be, making the environment more attractive for the illegal manufacturing of goods.
