Impacts of Globalisation Hashim Lobe Director Trade Union Develoment Activities, UNI APRO
Jan 04, 2016
Impacts of Globalisation
Hashim Lobe
Director Trade Union Develoment Activities, UNI APRO
It’s a GLOBALIZING WORLD
Free flow of
-- goods, capital, technology in a borderless economy (without frontiers)
-- global connectivity : internet/cellphone can put you connected everywhere
Drivers of globalization
Technology
Triumph of free trade philosophy everywhere(collapse of Eastern Europe, market
economy in China, etc.) Role of IMF-WB (policy conditionalities)
And WTO to promote borderless economyThrough privatization, liberalization, deregulation
For global economy, yes, greater growth, greater integration, greater connectivity
But also greater role for TNCs and elite people
(wealth of 3 richest men equal to 60 developing countries)
Hence, greater inequalities within and among countries/industries -- there are winners/losers
UNDP: globalization a power to do good; also a power to do harm
Negative more than Positive Outcome
Rise of China as export champion (from light to more sophisticated products)
Decline of industries in other Asian countries
Decline of manufacturing in Japan, Taiwan, SK
Rise of India as another China
Failure of development in some countries – Philippines, Indonesia
Uneven/unequal growth w/n and across countries
But TNCs are everywhere, triumphant
Globalization Trends in Asia
-- jobless growth (esp. for developed countries)
-- disruptive growth (esp. for developing countries)
-- job insecurities (due to footloose industries, outsourcing, competition, technology,
endless reorganization, privatization)
-- race to the bottom -- (eroded bargaining power, lower labor standards)
Impact on trade unions – generally negative almost everywhere
Busisiness flexibility means flexibile
Responsibility
global competition = search for higher productivityand lower cost of production = search for cheap and productive labor – paying workers as low as possible, lowering working conditions, hiring casual workerincreasing productivity, work intensification
Impact Summary Declining number of regular jobs
Declining union members
Declining bargaining rights
Declining labor rights
Global challenges
Union action
• global• new alliances• urgent
Organising Wal-Mart
Wal-Martisation
Offshore world map
Source: BusinessWeek February 3, 2003
ChinaChina
PhilippinesPhilippines
CEECEE
RussiaRussia
IndiaIndiaLatin AmericaLatin America
IrelandIreland
IsraelIsrael
8.3
3.71.1 3.0
Ireland Canada China
7.7 8.2
Israel India RoW(Source: McKinsey&Company 2004; Billion US$)
• UNI Postal
Global union
• UNI Commerce
Global union
• UNI Property Services
Global union
Recruitment
Recognition
Rights
Results
Multinational framework agreements
1. Telefónica (2000)
2. Carrefour (2001)
3. OTE (2001)
4. ISS (2003)
5. H&M (2004)
Multinational framework agreements
Quebecor, Amcor, Kimberly Clark, SCA, Smurfit, British Telecom,
Deutsche Telekom, France Telecom, Singtel, Vivendi Universal,
Auchan, Casino, Ikea, Metro, Rewe, Tesco, Group 4 Securicor,
Securitas, Axa, Deutsche Bank, Westfield, Banco Santander, Banco
de Bilbao, HSBC, Barclays …
Targets
Global and regional
UNI-Africa• African Union• NEPAD• SADC• COMESA• ECOWAS
UNI-Europa• European Union
UNI-Asia&Pacific• APEC
• ASEAN
• ASEM
• SAARC
UNI-Americas• FTAA
• NAFTA
• Mercosur
• Economic integration• Social dimension• Social dialogue
A new organising world
UNI-Africa• North Africa• Middle East• Nigeria• South Africa
UNI-Europa• Central and
Eastern Europe• Mediterranean
UNI-Asia&Pacific• China• India• Indonesia
UNI-Americas• USA• Mexico• Brazil
Solidarity
• 24 hours• Global support• The global chain
Communications
• Web-based• Info• Bulletin• Mailings• Virtual committees• Video conferences• Conference calls• Publications• Press conferences• Communicators’ forum
UNI supporting change in global labour movement
• ICFTU/WCL unification
• Global Unions’ Council