Labour Opportunities and Challenges in Global Production Networks
The dynamics of labour in Global Production Networks (GPNs) with insights on economic and social upgrading/downgrading, research challenges, policy implications, and the impact on global trade. Delve into case studies and statistics highlighting the role of GPNs in job creation, value added trade, and labour market dynamics. Understand the institutional and socio-economic embeddedness affecting GPNs and labour regulation. Gain valuable perspectives on the complexities of GPN analysis and the need for empirical data to drive comparative cross-sector and cross-country studies.
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Presentation Transcript
Upgrading in GPNs: Labour Opportunities and Challenges Stephanie Barrientos University of Manchester s.barrientos@manchester.ac.uk www.capturingthegains.org
Overview 1. Labour in GPNs 2. Economic & Social Upgrading and Downgrading in GPNs 3. Research challenges: analytical/empirical 4. Policy Challenges
GPN Estimates Global Production Networks 60-80% World Trade (WTO/OECD UNCTAD 2013) Trade in Value Added (TiVA) Jobs ..? (OECD/ILO 2015) Indicators of nos. workers 40 m jobs in apparel, 70% female (Hales and Wills 2004) 43 m jobs in 3000 EPZs, 80% female in Asia (ILO 2002; ITC 2011 Estimated value capture (% of retail price) IPhone: 1-2% assembly workers, 52% brand/retail Jeans: 2-3% garment workers, 65% brand/retail South Africa Fruit: 10% workers, 42% retail )
Simplified GPN and Labour Regulation GVC Governance Standards Inputs Production Distribution Brand/Retail Consumer Labour Market Labour Market Labour Market Labour Market INSTITIONAL & SOCIO-ECONOMIC EMBEDDEDNESS
Research Challenges Analytical GPN and GVC Analysis Labour Analysis Definitional Social upgrading and downgrading (indicators) Empirical Data availability/access Comparative analysis x-country x-sector
Economic and Social Upgrading in GPNs - Economic Upgrading + + Social Upgrading - Economic Downgrading/ Social Upgrading Upgrading Economic Downgrading/ Social Economic & Social Upgrading Economic Upgrading/ Social Downgrading Economic & Social Downgrading Source: Millberg and Bernhardt 2011 Capturing the Gains: www.capturingthegains.org and www.cggc.duke.edu
300 Fresh Fruit, Vegetables, Flowers Uganda (7,385% / 529%) 200 Ethiopia (656% / 176%) Ecuador India Kenya 100 %-change export unit values (1990-2009) Nicaragua El Salvador Chile South Africa Bangladesh Panama Honduras 0 Costa Rica -300 -150 0 150 300 China Mexico Brazil Thailand Colombia Guatemala Belize (2,148% / -43%) Tanzania Vietnam (550% / -75%) -100 -200 -300 %-change export market shares (1990-2009) Source: Bernhardt and Milberg 2011
Opportunities vs. Challenges Social Upgrading and Downgrading Commercial Drivers: Quality, cost, flexibility, JIT Upgrading for some workers: quality/efficiency drivers Downgrading for other workers: cost/flexibility drivers Promoting Decent Work (ILO) Workers: Skills upgrading legal rights, living wage enforcement for casual/informal/migrant workers Gender equity: linking quality and cost/flexibility drivers SME suppliers: capacity building to upgrade & comply
Policy Challenges Global Governance Deficits Private, Public, Social Upgrading Strategies Capacity building: suppliers and workers Promoting Decent Work for all workers Alliances public/private, national/international Linking: public and private interventions
