Understanding the Intersection of Forced Scamming and Child Labor in Southeast Asia

Request for Information (RFI): Understanding the Intersection of Forced Scamming and Child Labor in Southeast Asia

The U.S. Department of Labor’s (DOL) Bureau of International Labor Affairs (ILAB) is seeking input in response to this Request for Information (RFI) to better inform future programming focused on the linkage between forced scamming and child labor. This request is for information purposes only to help ILAB gain a better understanding of the intersection of online scam operations, trafficking for forced criminality, and child labor in Southeast Asia. ILAB may use feedback and comments from this RFI to refine the focus of future funding opportunities. This is not a funding opportunity announcement.

Responses to this RFI are voluntary. Respondents are not required to respond to all questions but may choose to do so. Responding to this RFI will not give an advantage to any organization or individual for any possible subsequent procurement action and will also not lead to a future organizational conflict of interest related to a procurement action. Not responding to this RFI does not preclude participation in any future funding opportunity announcement, if any is issued. If a funding opportunity announcement is issued, it will be posted on www.grants.gov, and all interested parties must respond to that funding opportunity announcement separately from any response to this RFI. At its discretion, ILAB may use any, all, or none of the information submitted in response to this RFI. Respondents must identify any information they consider to be sensitive or proprietary. Any information submitted will not be returned, and no payment will be made by the Government for information provided in response to this RFI. 

Responses to this RFI should be sent by email to Carter Quinley quinley.carter.k@dol.gov with a copy to Peltzer.angela.k@dol.gov no later than 01/15/2024 at 11:59 PM EST. Please include RFI Number RFI-ILAB-24-01 in the subject line. All inquiries concerning this RFI must be directed only to the email addresses identified above. Only electronic responses will be accepted.

Thank you for your interest in ILAB programs and we look forward to your comments.

Sincerely,

Carter Quinley | quinley.carter.k@dol.gov

Request for Information (RFI)

ISSUANCE DATE: 11/14/2024

CLOSING DATE: 01/15/2025 at 11:59PM EDT

SUBJECT: Request for Information (RFI): Understanding the Intersection of Forced Scamming and Child Labor in Southeast Asia

Background:

Southeast Asia has become a hotspot for transnational criminal networks engaging in sophisticated forced scamming operations, targeting millions globally[1]. Forced scamming is one of the most fast-growing and complex forms of human trafficking in the world[2]. The rise of rapid digital transformation during the Covid-19 pandemic led to an increase in trafficking of individuals for the purpose of forced criminality[3] in Special Economic Zones (SEZs) and other targeted areas in Myanmar, the Lao People's Democratic Republic (PDR), Cambodia, Malaysia and the Philippines[4]. Organized crime syndicates, often connected to Chinese mafia, force their victims to conduct scams, also known as “pig-butchering”, which refers to the idea of "fattening up" the victim before "slaughtering" them by stealing their money. Victims of forced scamming are made to target unsuspecting individuals and organizations across the globe, using digital platforms and financial systems, and deploying tactics such as romance, gambling, and cryptocurrency scams. These criminal networks have expanded significantly throughout Southeast Asia, exploiting hundreds of thousands of migrants and vulnerable laborers who are lured by promises of high-paying jobs but are then subjected to trafficking for forced criminality, including physical abuse and isolation.  

These cyber-scam operations are often facilitated by recruiters who target victims based on their origin, education, language skills, and their familiarity with social media and cryptocurrency[5]. Victims are lured through false job advertisements posted on social media, or contacted by fake “recruiters” looking to fill job positions. Weak law enforcement and pervasive corruption enable these fraudulent schemes to operate with impunity[6]. Victims, often educated with technological skills, are coerced into illegal activities and face severe physical and psychological abuse, with their freedoms severely restricted[7]. Victims of forced scamming have cited being forced to conduct scams for up to 20 hours a day, six days a week[8]. Victims’ passports are withheld, and they are held in large-scale scam compounds, or scam centers, often protected by armed groups and involve forced labor from over 60 countries[9]. The industry is deeply entrenched with complex money-laundering operations and connections to local elites.

In parallel, child labor remains a significant issue in the region, with children engaged in labor-intensive and hazardous activities that undermine their development and safety. Anecdotal evidence has highlighted a troubling intersection between online scam operations and child labor. There are growing concerns that children, particularly in underserved and economically disadvantaged communities, are being exploited peripherally and/or indirectly by these illicit activities. Due to highly unregulated and unlawful areas surrounding the online scam center compounds, children may be forced into child labor situations in these SEZs and surrounding areas. Additionally, scammers and criminal networks may use children for a variety of purposes, including in fraudulent schemes, and other illicit activities, often under coercive or deceptive conditions.

Understanding the scope and nature of this intersection is crucial for developing effective strategies to combat the intersection of trafficking for forced criminality in online scam operations and child labor. This RFI seeks to inform ILAB’s future programming on the relationship between online scam operations, forced criminality, and child labor. The RFI will be used to identify research gaps, promising approaches, and practices. ILAB seeks input, advice, knowledge, and recommendations for potential strategies and remedies to the issues emerging at the intersection of online scam operations, trafficking for forced criminality, and child labor.

INSTRUCTIONS:

ILAB seeks to collect feedback on the following questions related to the intersection of forced scamming and child labor. When preparing your response to the following questions, please:

·        Send responses to this RFI to Carter Quinley at quinley.carter.k@dol.gov no later than 01/15/2025 at 11:59PM EDT;

·        Responses must be provided as attachments to an email;

·        Include “RFI-ILAB-24-01: Understanding the Intersection of Forced Scamming and Child Labor in Southeast Asia” in the subject line;

·        Do not submit requests for funding or proposals in response to this request;

·        Be concise and specific;

·        It is recommended that attachments with file sizes exceeding 25MB be compressed ( i.e., zipped) to ensure message delivery; however, no email shall exceed a total of 45MB, including all attachments.

·        Responses must be provided as a Microsoft Word (.docx) or Portable Document Format (.pdf) attachment to the email and may be no more than 25 pages in length, in 12-point font, with 1-inch margins.

·        Please provide the following information in a cover letter:

• Community, organization, or company (if applicable);
• Contact name;
• Contact's address, phone number, and email address.
• Include organization type (e.g., non-profit organizations (including faith-based and community-based organizations), for-profit organizations, public and private academic institutions of higher education, and public international organizations);
• Please identify any information that is considered sensitive or proprietary.

Guiding Questions for Public Input:

Responses will be reviewed to inform the development of targeted policies and interventions aimed at addressing the intersectional challenges of trafficking for forced criminality, online scam operations, and child labor in Southeast Asia.

Understanding the Context

• What are the primary types of online scams and associated industries where children are involved?
• What evidence is there to support a linkage between online scam operations, trafficking for forced criminality, and child labor in specific countries and sectors?
• What factors (e.g., education access, legal status, and discrimination) increase children’s vulnerability to forced scamming and other forms of forced illicit work?  
• Do the experience of boys and girls differ in their involvement in online scam operations and associated industries? If so, how?
• What are the common methods used by scam operations to exploit children, including recruitment, training, and operational roles?
• What role do digital platforms play in facilitating and mitigating the involvement of children in these scams?
• How prevalent is the involvement of children in online scam operations and other forms of illicit work, including as a result of trafficking, in Southeast Asia? How prevalent are children engaged in illicit work in SEZs and areas with scam compounds? 
• How effective are existing laws and regulations in Southeast Asia in addressing the intersection of online scams operations, trafficking for forced criminality, and child labor? What legal and regulatory gaps exist that may allow online scam operations to exploit children?

           

Opportunities

• What recommendations do you have for improving the enforcement of laws related to online scams operations, trafficking for forced criminality, and child labor?
• What role might governments play to positively impact the wellbeing of children in SEZs and regions where trafficking for forced criminality and online scam center compounds are present?
• What are the key research and data gaps in understanding the relationship between online scams operations, forced criminality, and child labor? Are there existing studies or reports that provide valuable insights or case studies related to this issue?
• What role can technology companies and online platforms play in preventing the exploitation of children in online scams operations and trafficking for forced criminality?
• Where are the biggest opportunities to invest in strategies at the intersection of child labor and online scam centers?

Promising Practices

• What are some good examples of national policies on child labor that address risk factors that make children vulnerable to child labor/forced labor/labor exploitation?
• What are effective ways to engage children (and those that are most vulnerable) in the design, implementation, and monitoring of efforts that address the intersection of child labor and online scam centers?
• What strategies and remedies could be proposed to combat the intersection of forced criminality, online scams, and child labor? What interventions have proven effective in preventing or removing children from online scam operations and providing them with support services?
• How could course material provided in schools and vocational training facilities be more targeted to vulnerable children?
• What other questions should we be asking?

Responses to this RFI should be sent by email to Carter Quinley at quinley.carter.k@dol.gov with a copy to Angie Peltzer at Peltzer.angela.k@dol.gov no later than 01/15/2025 at 11:59 PM EST. Please include RFI Number RFI-ILAB-24-01 in the subject line. All inquiries concerning this RFI must be directed only to the email addresses identified above. A response to this RFI will not be viewed as a binding commitment to develop or pursue the project or ideas discussed.

Contact Information:

For any questions or further information regarding this RFI, please contact quinley.carter.k@dol.gov.

[1] https://www.usip.org/publications/2024/05/transnational-crime-southeast-asia-growing-threat-global-peace-and-security

[2] https://www.ijm.org/our-work/trafficking-slavery/forced-scamming

[3] Human trafficking for criminal exploitation, or forced criminality, is a type of trafficking in which the victim is exploited by being forced to engage in illegal activities. National Institute of Justice.

[4] https://www.unodc.org/roseap/uploads/documents/Publications/2023/TiP_for_FC_Policy_Report.pdf

[5] https://www.unodc.org/roseap/uploads/documents/Publications/2023/TiP_for_FC_Policy_Report.pdf

[6] https://www.usip.org/publications/2024/05/transnational-crime-southeast-asia-growing-threat-global-peace-and-security

[7] https://www.wsj.com/podcasts/tech-news-briefing/enslaved-in-asia-and-forced-to-scam-strangers-online/399f2a3d-0f6d-4ae6-8d5f-27beecdbb880

[8] https://www.ijmuk.org/forced-online-scamming-slavery

[9] https://www.usip.org/publications/2024/05/transnational-crime-southeast-asia-growing-threat-global-peace-and-security