Evaluating the effectiveness of labour provisions in trade agreements: An analytical and methodological framework

Abstract

This article puts forward an analytical and methodological framework for examining the effectiveness of labour provisions in trade agreements, illustrated by indicative case studies. Developing the notion of capacity at three levels (state, civil society and firms), the authors differentiate between proximate outcomes (legal, institutional and political) and distant, socio‐economic outcomes (improving labour rights and working conditions). They thus consider labour provisions in trade agreements as a multifaceted “policy mix” to be evaluated through qualitative and/or quantitative methods, depending on the aspect of capacity that is of interest, and on the available data. Some policy recommendations are also provided.

Smart Mixes in International Supply Chains: A Definition and Analytical Tool, Illustrated with the Example of Organic Imports into Switzerland

“…An advantage that market-based instruments have over legislative instruments is their economic efficiency (Bishop 1993). Trade arrangements are a key measure for improving social and environmental standards in global value chains (Aissi et al 2017;Myant 2017). The EU has promoted labor standards in several recent trade agreements and the approach is particularly used by the U.S.…”

“…While trade benefits, such as exemption from, or reduction of, duties are provided, the respect of the desired social or environmental standards by the counterpart can be required. These requirements often address the state level, such as to undertake legal and institutional changes or to strengthen trade union rights (Aissi et al 2017). The U.S. model of market-based coercion in foreign trade agreements is described as "conditional" and links compliance with a desired behavior to trade privilege (Harrison et al 2019).…”

Deep Integration in Trade Agreements: Labor Clauses, Tariffs, and Trade Flows

“…8 Aissi et al (2018) explain how to evaluate this hypothesis and Kamata (2016) and Martinez-Zarzoso and Kruse ( 2019) are examples of the debate over whether trade agreements improve working conditions.…”

Pursuing Environmental and Social Objectives through Trade Agreements

“…Much of the economic and political science literature adopts a cross-PTA approach combined with a focus on a specific NTPO of interest when seeking to identify causal relationships. Examples include Baghdadi et al (2013), Abman and Lundberg (2020), Abman et al (2021), and Abman et al (2022) on environmental and air quality; Van den Putte (2015), Aissi et al (2018), andLundberg et al (2022) on labor and workers' rights and Zerk (2019) on civil and human rights. More recent studies focus on even more specific and narrowly defined non-trade outcome or performance measures, such as geolocated tree coverage (Abman et al, 2021).…”