BUSINESS AND ISLAMIC ETHICS

ACKNOWLEDGEMENTS
In the name of ALMIGHTY ALLAH the most beneficent and the most merciful. First of
all we thank to ALMIGHTY ALLAH who enabled us the capability, power, opportunity and
intelligence to make this report. All words of gratitude seem insufficient to express the
indebtedness to our PARENTS their prayers, faith, patience and constant co-operation.

We are thankful to acknowledge the constant guidance and encouragement by our

supervisor, SIR PERVAIZ MAHMOOD. He made the course a valuable learning experience
for all of us and made us grow as learned individuals. We will always be in debt for her
affectionate attitude. We are also grateful to BAHRIA UNIVERSITY, which helps students to
engage in extra – curricular activities to enhance their experiences.

Lastly we would like to thank our fellow classmates for making this learning experience a
thoroughly productive and enjoyable one.

Hopefully this report will serve a good purpose.

THANK YOU,

USMAN NAJAM

ISRAR FAIZ

REHAN SHAFIQ

ABDUL BASIT

NASEER SHABBIR

MALIK AHMED RAZA

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LETTER OF AUTHORIZATION

This report was assigned to us by our“BUSINESS AND ISLAMIC

ETHICS” course instructor “ SIR PERVAIZ MAHMOOD”. This report was

assigned to us to know the effect of CHILD LABOR on our society and its

impact on human nature. It future discuss about the wayz in which we can

stop this growing issue.

So this report provides us an opportunity to practically understand the

entire concept learned in this course and leads to better understanding of our

course and the topic.

Yours sincerely,

USMAN NAJAM

ISRAR FAIZ

REHAN SHAFIQ

ABDUL BASIT

NASEER SHABBIR

MALIK AHMED RAZA

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LETTER OF TRANSMITTAL

SIR PERVAIZ MAHMOOD,

COURSE INSTRUCTOR,
BUSINESS AND ISLAMIC ETHICS,
BAHRIA UNIVERSITY ,
STADIUM ROAD,
KARACHI.

RESPECTED SIR PERVAIZ MAHMOOD ,

We are pleased to inform you that the final report you assigned for has been

completed and is ready for your examination. This report as per your instruction has

covered all the authentic areas of concern and contains all the relevant information. We

would dearly like to thank you for the faith you showed in our capabilities and the

encouragement you gave us when assigning us the report

YOURS SINCERELY,

USMAN NAJAM

ISRAR FAIZ

REHAN SHAFIQ

ABDUL BASIT

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NASEER SHABBIR

MALIK AHMED RAZA

ABSTRACT

T he Executive Summary of the Child Labour Resource Guide provides

an introduction to the issue of child labour, highlighting the reasons why children
work, the types of work they do and the numbers believed to be working. It goes
on to present the business case for managing child labour responsibly and provides
a step-by-step strategy for taking action. Finally, it explains a socially responsible
investment (SRI) approach to child labour with reference to SRI funds and indices.

WHAT IS CHILD LABOUR?

It is not easy to clearly distinguish between work that is acceptable and that which
is deemed “child labour”. Issues such as the child’s age, the type of work in
question and cultural attitudes shape this distinction. Gauging child labour is
further complicated by the millions of “invisible” child labourers, mainly girls,
working in the home as domestic servants or home-workers.

A general benchmark of child labour would include all children that are engaged in
work that could be harmful to them.

The ILO Convention No 182 defines the worst forms of child labour as slavery and
forced labour, commercial sexual exploitation, illicit activities and hazardous work.

Globally, it is estimated that:

 211 million children (aged between 5 and 14) are engaged in some type of work
 1 in 12 children (180 million young people under 18) are involved in the worst
forms of child labour

WHY DO CHILDREN WORK?

The main factor ‘pushing’ children to work is poverty. This is often compounded by
a lack of access to, or poor quality, education, the effects of HIV/AIDS and
discrimination based on gender or social grouping. In addition, the demand for

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child workers is high because they are usually cheaper, less demanding and more
easily intimidated.

MANAGING THE RISK OF CHILD LABOUR

Increasingly NGOs, trade unions, governments and businesses are broaching the
question of corporate responsibility and more specifically the issue of child labour.

Early calls for the elimination of child labour sometimes resulted in large numbers
of young workers being summarily dismissed with no recourse to an alternative
income. Since then corporate strategies to deal with child labour have evolved
from a “cut and run” response to more responsible engagement with the
community where child labour is present.

MANAGING THE SUPPLY CHAIN

In a global economy, companies form part of a complex supply network of goods

and services and consequently the potential for child labour to occur in the supply
chain is very real. This can significantly affect corporate reputations and brand
values.

BUSINESS BENEFITS

However, there are clear benefits for companies that address child labour in their
supply chains, which include, amongst others:

 Increased brand capital

 Higher consumer/customer reputation and loyalty
 Higher quality of goods
 Reduced health and safety risks
 Reduced risk of “anti” campaigning
 Support of global socially responsible investors

A STEP-BY-STEP STRATEGY FOR TAKING ACTION WOULD INVOLVE:

 Developing a policy statement or code of conduct

 Risk assessment and analysis
 Management process and systems
 What to do if child labour is found
 Reporting and communication

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G OD HAS GIVEN HUMAN BEINGS THE BOON OF WISDOM

AND DISCRETION TO THINK UPON THE SIGNS OF THE UNIVERSE AND TO
DRAW CONCLUSIONS. THAT IS THE REASON WHY THEY DISCLOSE THE
HIDDEN FACTS OF IT AND ITS STRUCTURE AND HAVE MADE REMARKABLE
PROGRESS IN MANY WALKS OF LIFE. CHILDREN ARE THE FLOWERS OF
HEAVEN. THEY ARE THE MOST BEAUTIFUL AND PUREST CREATION OF
GOD. THEY ARE INNOCENT BOTH INWARDLY AND OUTWARDLY. NO DOUBT,
THEY ARE THE BEAUTY OF THIS WORLD. EARLY IN THE MORNING WHEN
THE CHILDREN PUT ON DIFFERENT KINDS OF CLOTHES AND BEGIN TO GO
TO SCHOOLS FOR THE SAKE OF KNOWLEDGE, WE FEEL A SPECIFIC KIND OF
JOY THROUGH THEIR INNOCENCE.

B UT THERE ARE ALSO OTHER CHILDREN, THOSE WHO CANNOT GO TO

SCHOOLS DUE TO FINANCIAL PROBLEMS, THEY ONLY WATCH OTHERS GO TO SCHOOLS
AND CAN MERELY WISH TO SEEK KNOWLEDGE.IT IS DUE TO MANY HINDRANCES AND
DIFFICULTIES; DESPERATE CONDITIONS THAT THEY FACE IN LIFE. HAVING BEEN
FORCED TO KILL THEIR ASPIRATIONS, DREAMS AND OTHER WISHES, THEY ARE
PRESSED TO EARN A LIVING FOR THEMSELVES AND FOR THEIR FAMILIES. IT IS ALSO A
FACT THAT THERE ARE MANY CHILDREN WHO PLAY A KEY ROLE IN SUSTAINING THE
ECONOMICALLY LIFE OF THEIR FAMILY WITHOUT WHICH, THEIR FAMILIES WOULD
NOT BE ABLE TO MAKE ENDS MEET. THESE ARE ALSO PART OF OUR SOCIETY WHO
HAVE FORGOTTEN THE PLEASURES OF THEIR CHILDHOOD. WHEN A CHILD IN
ADDITION TO GETTING EDUCATION, EARNS HIS LIVELIHOOD, THIS ACT OF EARNING A
LIVELIHOOD IS CALLED AS CHILD LABOUR. THE CONCEPT OF CHILD LABOUR GOT
MUCH ATTENTION DURING THE 1990S WHEN EUROPEAN COUNTRIES ANNOUNCED A
BAN ON THE GOODS OF THE LESS-DEVELOPED COUNTRIES BECAUSE OF CHILD
LABOUR.

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