A Blueprint for protecting US companies from unfair competition fueled by forced labor

In today's high-stakes global economy, companies face fierce competition. Success no longer hinges purely on price, quality, and innovation but is also driven by compliance with applicable labor standards.

Unfortunately, companies in the United States and elsewhere that play by the rules and respect their employees' human rights increasingly find themselves at a distinct disadvantage. These businesses are often undercut by foreign competitors who either knowingly exploit forced labor or turn a blind eye to it in their supply chains. This not only seriously undermines fundamental human rights but also distorts fair competition in the global marketplace.

The second Trump administration, like its predecessors going back to the Clinton administration, has consistently voiced its commitment to fighting all forms of forced labor (an umbrella term that encompasses child and trafficked labor, as well as debt bondage). The Department of Justice's guidance linked antibribery enforcement to a broader mission: protecting U.S. businesses from corrupt foreign competitors who gain an edge through unlawful practices (see this Client Alert for additional background)

In this Essay, White & Case partner T.Markus Funk and Northern District of Illinois Chief Judge Virginia M. Kendall argue that this guidance lays the groundwork for public policy and administration priorities regarding a similar initiative in the forced labor context. They propose a strategic blueprint for protecting U.S. businesses from the corrosive effects forced labor has on fair competition in the marketplace, while also upholding the important values of integrity and human dignity.

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