Introduction
The globalization of labor refers to the process through which societies, economies, and different cultures interact mutually through transportation, communication, and technology in terms of labor search worldwide. The globalization of labor offers an opportunity for the flow of foreign income around the globe. The globalization of labor opens investment opportunities for individuals and countries, which creates international business relations.
Description
The globalization of labor opens the job market opportunities for young people looking for jobs. For instance, foreign workers earn high income from other countries like the United States and Norway, among others, which offer high wages. Moreover, globalization removes labor and economic barriers, and thus foreigners enjoy the benefits of their expertise and skills. According to Qaulman (2010), regional and international agreements, together with conditions of work, have created employment opportunities in the modern labor market. In fact, regional intra and inter-country movements in search of job opportunities have increased, thus resulting in improved living standards in different places across the world.
The globalization of labor creates online jobs like distance web development, freelancing, and other online transactions. In addition, the globalization of labor presents organizations with the opportunity to choose cost-friendly clients to deal with, even without personal contact (Webster, Lambert & Beziudenhout 2008). Specific jobs require technological skills, which might be demanding in information technology.
Impacts of Globalization
The globalization of labor presents the opportunity for different people at the workplace to interact freely. The different languages and origins culminate in the exchange of cultures and traditions, which results in mutual understanding (Fairbrother & Rainnie 2006). In fact, cultural diversity may create business opportunities in industries like clothing, foods, and beverages because people from different backgrounds bring value to such sectors.
In addition, the globalization of labor presents economies with a much-needed experienced workforce. For instance, currently, the UAE is one of the fastest-growing economies across the world. This aspect has been occasioned by the availability of experienced expatriates. According to BQ Magazine (2015, par. 2), ‘the UAE is relying heavily on foreign labor to keep its projects and economy running.’ The number of expatriates in the UAE stood at 11.32 % of the total population in 2015 (BQ Magazine 2015). The globalization of labor has occasioned this occurrence, and the AUE is benefiting hugely.
The globalization of labor leads to several negative effects in a given economy. For instance, it leads to unemployment. A good example is the UAE, whereby the growing number of unemployed native citizens keeps increasing. Through globalization, foreign workers may create unemployment in a country by occupying jobs that should be filled by the natives. Moreover, some of the foreign workers accept minimal wages and salaries, thus leading to unfair competition for the citizens of a given nation, who decline to work for such low-paying job offers. For instance, in 2014, the rate of unemployed youths in the UAE rose to 8 percent, despite the fact that the economy is growing (Croucher 2014).
The possible explanation of this scenario is that expatriates are occupying jobs that should be going to youths. Currently, South Africa is battling a wave of xenophobic attacks where the natives are attacking foreigners. The foreigners are allegedly accused of taking jobs from native South Africans (The Economist 2015).
The United Arab Emirates (UAE) is one of the countries with great positive and negative effects of globalization of labor. However, the positive effects outweigh the negative effects. The country relies heavily on foreign laborers for development. For instance, the UAE is one of the most developed countries, but foreign investors in governmental posts control the main investment sectors. The positive effects of labor globalization include cheap labor, cultural diversity, technological development, and the creation of room for foreign investments.
Conclusion
The globalization of labor leads to the availability of much-needed expert workers in an economy. The globalization of labor connects people, provides an income to foreign workers, opens up opportunities for international investments, and provides cheap labor for development. The UAE is one of the best case studies of the positive and negative effects of labor globalization.
Reference List
Qualman, E 2010, Socialnomics: How Social media transforms the way we live and do Business, John Wiley & Sons, New York.
Webster, E, Lambert, R & Bezuidenhout, A 2008, Grounding Globalisation: Labour in the Age of Insecurity, Wiley-Blackwell, New Jersey.
Fairbrother, & Rainnie, 2006, Globalisation, State and Labour, Routledge, London.
Croucher, M 2014, Unemployment rates among young Emiratis increasing but national service can help. Web.
The Economist: Blood at the end of the rainbow South Africa’s poor are turning on those even more downtrodden 2015. Web.