International Segmentation of Labor

Abstract

The relationship between migration and labor markets can be approached from different conceptual and philosophical angles. In this chapter, I draw on labor market segmentation theory to examine how the international mobility of workers interlinks with the international segmentation of labor. In addition, I highlight two aspects of this relationship that have been sidelined in the existing literature but that are important to understanding how this relationship works. The first aspect is the notion of citizenship. Although this notion has received considerable attention in the social sciences in recent years, it has been neglected as a driving force of the segmentation of labor. The second aspect is the cultural representation of migrating populations and workers, which contributes vitally to the regulation of labor markets. The structure of this chapter follows the intention to convey a particular theoretical perspective and to highlight particular aspects of this perspective. First, I present segmentation theory as an entry point into a discussion of the relationship between international migration and labor market regulation. Second, I introduce the notion of citizenship to this discussion. Third, I present cultural representations as critical components in the international segmentation of labor markets. To explain labor market segmentation theory one may begin with Karl Marx. Marx ([1867] 2001) called labor “variable capital” and the means of production “constant capital.” Labor is variable because workers can be hired and fired in response to business and seasonal cycles. The means of production, on the other hand, are constant because they constitute a fixed investment and stay idle in periods of economic slowdown. Segmentation theory begins with the premise that the idleness of machinery and other fixed investments can be prevented or reduced by dividing production into two distinct segments. The primary segment is capital-intensive; high levels of technology ensure the efficient use of the workforce. In times of economic contraction, this primary sector keeps operating to satisfy the basic demand that still exists for products. The secondary segment, on the other hand, is labor-intensive, with only minimal investments in machinery and technology.