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Globalisation and employment

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Presentation on theme: "Globalisation and employment"— Presentation transcript:

1 Globalisation and employment
By Alex Lawlor

2 Facts Globalisation can cause many people to lose their jobs as the big corporations want to make them more profit so they often out source their work abroad where the labour is cheaper. However globalisation also creates lots of jobs as it spreads out across the globe; the companies settle in lots of different countries giving them more opportunities. Globalisation also helps in creating the global village as it spreads westernised culture around the world and helps connect so places that otherwise wouldn’t have been touched by globalisation.

3 Evidence There is a high demand by TNC’s (transnational corporations) to make more profit at reduced labour costs. For example in January 2008 Nokia announced that they would be moving their factories in Germany to Romania axing 2,300 jobs. This was due to the raising competition from other companies wanting to make more profit, so they would have to lose out on local jobs to make way for cheaper labour. Another example is the coal industry in Britain that went out of business due to coal manufactures in different parts of the world extracting the coal for cheaper in turn putting the coal mines in Britain out of business. Another more recent example is when Dyson vacuums moved manufacturing from Wiltshire, England to Malaysia in He moved because sales were much better in Malaysia than Britain. In 2004 they also sent washing machine production to Malaysia too.

4 Marxist view Taylor (1997) argues that by giving free reign to large companies it creates greater inequality as the TNC can switch to lower wage countries to gain more profits. This produces job insecurity , unemployment and poverty. This means that this system is unfair as it means that even though the TNC’s are creating more jobs for the people; they are paying them less wages to do so and are also creating unemployment where their previous factories were.

5 Postmodernist view Giddens says that the influence of the TNC’s on development world countries is rapidly changing their culture as it brings in influence from western culture making them forget their old traditions in favour of newer more generalised culture. However it doesn’t completely ignore the older traditional factors like religion. They still have influence over them just not as much when the newer culture allows them to pick and choose what they ingest but only to a certain extent. This is due to us not being in complete control of our identities. This would have an influence on employment as it would change the way there identity is shaped and it changes how the community is formed around the new place of employment.


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