Paper short abstract:

Taking into account the Rawlsian theory, the author presents the linkage between the global trade and labour standards, and identifies opportunities to improve the regulation of global processes towards providing economic growth and social justice.

Paper long abstract:

Exploitative working conditions within the global labour market form what Rawls named "conditions of background injustice". The author refers the Rawlsian definition of "social practice" to institutions and rules regulating labour relations on national and supranational levels. She employs an interpretation of the social practice of labour that justifies extending the scope of justice worldwide.

Supporters of the linkage between labour and trade argue that countries which do not respect the ILO core labour standards gain competitive advantage what can result in a "race to the bottom". Critics claim that protectionism and "false humanitarianism" is hidden behind this concept. Despite a long debate, there is still a need to respond to the plight of many workers, and to identify opportunities to improve the regulation of global processes towards providing not only economic growth, but also social justice and the effectiveness of fundamental labour rights. Thus, the author focuses on some attempts to do so, mainly: whether labour standards should be left to the ILO, included in the WTO agenda or both forces should be combined; whether the inclusion of a social clause in trade agreements could improve the situation of workers; whether the imposition of trade sanctions on countries which do not adhere to the core labour standards could ensure the extension of fundamental rights of workers on their citizens; whether the concept of a global labour and trade framework agreement (GLTFA), i.e. the proposal based on international framework agreements and ILO tripartite system, may solve the problem.