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Globalisation and Employment: A Prelude

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  • Majumder, Rajarshi

Abstract

Globalisation has proceeded at an unimagined pace in the last few decades. While it has resulted in high growth of global income, questions are raised about the equity of such growth. Disparity seems to be aggravating, as globalisation seems to be depressing the labour market. Unemployment is rising, both absolutely and as proportion of labour force, especially in developing regions. Elasticity of employment is low and falling further. Whatever little employment expansion is occurring is mostly vulnerable in nature, remuneration levels are scanty, and working poverty is substantially high. Using a Globalisation Index, it is observed that except the developed countries, pace and levels of globalisation are affecting the labour market negatively. Employment growth and elasticities are lower in regions that have had rapid globalisation. Institutional mechanism and improving social security for workers must therefore precede global integration of the economy.

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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 12814.

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Date of creation: Dec 2008
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Handle: RePEc:pra:mprapa:12814

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Keywords: Globalisation; Labour; Employment; Unemployment; Wages; Working Poverty;

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