The Effects of Globalisation
Sociology: AQA A Level, topic 6.3.4
The Effects of Globalisation on Work
A globalised economy, including competition for worker and customers, has had a major impact on the way people work and the opportunities available to them.
The globalised economy
- Globalisation refers to the interconnected nature of the modern world.
- Globalisation reflects the uncertainties of the postmodern world some sociologists say we inhabit.
Apple
- For example, Apple products are for sale in the vast majority of countries across the globe, these are global products.
- Apple is also a Transnational Company as it has head offices across the globe, employing people across a variety of countries.
Non-standard jobs
- Beck (2000) argues the above has serious implications because globalisation creates considerably more non-standard jobs.
- Non-standard jobs are those which are poorly paid, zero hours contracts, short-term contracts, poorly paid and insecure.
- This is due to global competition and a global marketplace requiring manufacturers to be more responsive to the needs of consumers (flexible specialisation).
'Wage penalty’
- Edgell (2011) argues this causes a ‘wage penalty’ for the worker.
- Wage penalty refers to non-standard workers not being entitled to sick or holiday pay, being susceptible to inflexible work patterns, night and weekend shifts.
The Effects of Globalisation on Work 2
Sociologists, including Castells and Beck, suggest that globalisation has affected work in the following ways.
Increase in non-standard jobs
- There are fewer standard jobs and more non-standard jobs because global competition means companies require a more flexible approach to employment, resulting in fewer well paid, permanent jobs and more low paid, temporary jobs.
Outsourcing
- Globalisation has led to an increase in outsourcing, where jobs that were once based in the UK have now moved to countries with lower labour costs.
Reduced workers rights
- Because multinational corporations are organised and located across many countries and the workforce is organised locally, there has been a strengthening of the power in favour of owners and weakening power of workers, making it more difficult for workers to protect their rights and jobs.
Devaluation
- Globalisation leads to more migrant workers to and from the UK, potentially devaluing low paid jobs and making these positions hard to fill.
Test yourself on The Effects of Globalisation
What does Beck (2000) argue is a serious implication of globalisation?