Why is Rosa doing Annie’s Job? By Henry Ward

Annie’s Profile Annie is married with 2 children. Annie is currently unemployed. Annie is a skilled sewing machinist. But she is now looking for a job outside the clothing business. Annie lives in Cheshire, UK. Annie used to work for Dewhirst Fabrics. At one time 90% of Dewhirst Fabric’s trade was with M&S.

Rosa’s Profile Rosa is 16, and she left her home village 5 months ago. She now works in a factory with 500 other machinists. Rosa has moved because her village is 310 miles away from Manila. Manila is the capital of the Philippines. Rosa sews clothing for a living. She works for Manila Fabrics, 6 days a week. She earns £4 for a 12-hour day and is struggling to live.

Dewhirst Fabrics To survive, Dewhirst Fabrics has now moved it’s production overseas, where costs are cheaper. Dewhirst Fabrics in Cheshire closed in 2000. The factory had made jackets, skirts, and trousers for M&S.

Marks & Spencer In 1990, 75% of clothes sold in M&S were made in the U.K. Now it’s only 30% and still dropping M&S needs to keep it’s prices lower, so more of it’s clothes are made in LEDC’s like the Philippines. M&S’ profits were steadily dropping for years and their stockholders were getting annoyed. But now, M&S clothes are cheaper, sales are increasing and the company is rising in profit.

The U.K & Work Conditions The U.K is an MEDC. Most solid employment is now founded in tertiary & quaternary industry. There are very stringent minimum wage laws, making workers expensive. People are not desperate and will not work for tiny amounts of money. Office/Factories are healthier and safer. Health and Safety laws make workplaces safe.

The Philippines & Working Conditions The Philippines is an LEDC. People still work in primary/ secondary industry which make less money. There are less laws on Safety, Wages, Child Labour etc. Companies are more free and corrupt and workers are treated badly. Pay is much less and work is harder and more dangerous.

Why did Dewhirst close British branches? As we can see, Dewhirst were wise (from a business perspective) to close the British branches. The labour in LEDCs is a lot cheaper. This way they can make a bigger profit themselves.

Why are Dewhirst buying clothes for M&S from Manila Fabrics Inc? Dewhirst are now buying clothes from Manila Fabrics Inc. in the Philippines and selling them to M&S. Manila Fabrics get cheap labour from people like Rosa. This way all the companies ranging Manila Fabrics, Dewhirst Fabrics and then M&S make bigger profits.

So, Why is Rosa doing Annie’s Job? The reason is because companies exploit the workers in LEDCs for their own benefit. Because they can pay less to workers. There costs are reduced, which increases profit. Annie and other worker’s were costing more money for their work. Now however, they are making use of the desperation and under-development of these LEDCs.

Examples of other REAL exploitation. Nike: Nike has been criticized for contracting with factories that allegedly use sweatshop labour in countries such as China, Vietnam, Indonesia and Mexico. The company has been subject to much critical coverage of the often poor working conditions and exploitation of cheap overseas labour employed in the free trade zones where their goods are typically manufactured. Sources of this criticism include Naomi Klein's book No Logo and Michael Moore's documentaries. Nike has been criticised for the working conditions and production methods in the overseas factories with which it contracts. These campaigns have been taken up by many college and universities, especially anti-globalisation groups as well as several anti-sweatshop groups such as the United Students Against Sweatshops.

My View I feel that the current recurring system is an unfair one. Both sides are adversely affected. More and more unemployed people appear in MEDCs, while more and more very bad, laborious jobs appear in the LEDCs. People in the LEDCs are exploited. But in some ways, it benefits the poorer people in giving them jobs (however bad). Solving the problem is very difficult though. Doing as much as possible to help the problem is the best course of action. Fair-trade and Child protection laws can do something to please both sides of the problem.