THE IPACT OF GLOBALISATION AND ITS IMPACT ON WORKERS.ppt

THE IMPACT OF GLOBALISATION AND ITS IMPACT ON WORKERS Main Challenges for the Labour Movement QUOTE…No.1 “Globalization reduces poverty because integrated economies tend to grow faster and this growth is usually widely diffused” By World Bank WB Report in 2001 QUOTE…No.2 “To allow the market mechanism to be sole director of the fate of human beings and their natural environment…would result in the demolition of society” By Karl Polanyi in 1944 AGENDA FOR DISCUSSION How do you change “globalization” to better serve for workers and ordinary people in the world? Activity 1 Take a piece of paper, and write a list of FIVE THINGS (reforms) you will implement as President or Prime Minister of your country to improve “globalization” Activity 2 For each of the five things you identified in Activity 1, list THREE THINGS you should do to achieve the best success GLOBALISATION: HISTORICAL DEVELOPMENT Continuous and radical changes in: Means of Transportation Information Technology Political (Regulatory) Framework. GLOBALISATION OF: Trade Production Finance (investment, capital) Company (MNEs) Cultures Politics GLOBALISATION IS… Process of economic, social, political and cultural integration of nation-states into a global market/community/standard, with much increased inter-dependence CHANGE OF WHEELS and ENGINES for GLOBALIZATION NEO-LIBERALISM “If you free up the flow of private capital, goods and services across national borders then this will lead to raised levels of productivity, GDP growth, employment and real income.” GLOBALISATION OFTRADE Increase in trade volume (1950-2001): International trade grew twice as fast as GDP, or world production However, the growth rate was much higher during 1950’s and 1960’s than in 1990’s Until 1980’s, production was still based in few industrialised countries: Fordism (mass production system) Standardisation of products. GLOBAL ASSEMBLY LINE Garments designed in the USA - Manufactured under contract in China By a company owned in