The impact of external constraints on labour rights: the case of the Philippines

Abstract

Today, conventional wisdom suggests that integration into the global economy provides the best opportunity for economic growth and that such growth will, inevitably, benefit all sectors in society. However, if one looks beyond the economic indicators, the project of integrating into the global economy, particularly through export-oriented industrialization, carries high social costs in terms of violations of labour rights. This article argues that external constraints in the global economy prevent national governments from pursuing both integration through export-oriented industrialization and satisfactorily protecting workers. By focusing on the case of the Philippines, this study demonstrates how external constraints lead to specific violations of labour rights. The evidence suggests that practices such as labour-only contracting and 'no union, no strike' policies are best explained in terms of external constraints emanating from the global economy.