Globalization and Labor Conditions

Abstract

AbstractThis book explains how the three main mechanisms of globalization — international trade, international migration, and international capital flows — alter working conditions (particularly wages, work hours, and job safety) and labor rights (freedom of association, nondiscrimination, and the elimination of forced and child labor). An important sub-theme is the relative importance of international markets and international regulation in providing improvements in labor conditions around the world. The book presents evidence on how labor conditions changed during the late 20th-century globalization, and on how economic growth, international trade, migration, and multinational companies influence labor conditions around the world. Drawing on analyses of an international database on labor conditions prepared for this study and on numerous research studies, the book finds a general improvement in labor conditions during the late 20th century and documents the positive influence of economic development on those conditions. Chapters on the role of trade, migration, and multinational companies find that each mechanism of globalization is associated with the improvements in working conditions and with improvements in most labor rights. In contrast, the evidence does not support the view that increasing economic integration initiates an international race to the bottom that produces sweatshop labor conditions. The book also considers the influence of national and international labor regulations on working conditions and labor rights around the world. The evidence indicates that in contrast with trade, migration, and international capital flows, labor standards regulation has had a limited role in advancing labor conditions. The book concludes by showing how several policies that create opportunities for targeted worker groups show promise for supplementing the positive effects of globalization on labor conditions.