Global Labour And Economic Development - PART 4 Isokratia Global
Advanced economies have long been exploiting the skill labour market. They will offer attractive packages to the skilful labour of poorer countries which will be un matchable by the local market industry. As such we have seen the brains of the undeveloped world and some developed countries for that matter, to be poached by advance Economies such as the USA. Again we must credit the USA for their innovating investment in the human resource. Something which still many countries do not see the value of the human resource and do not invest on it even today.
The demand and use of global labour, for technical and managerial skills, is rapidly expanding. The know-how of the skilled and advanced skills population within the developing and undeveloped economies, or so called low-cost labour economies, is expanding very fast. The gap is closing by the hour.
This pool of global labour resources, will eventually enable emerging economies, to speed up their own economic advancement. For example, multi-national high-tech computer companies and organisations with their utilisation of the advanced technological means of communications use and employ, the top skilled labour from around the globe.
Through the World Wide Web, teams in various countries and various continents can now group and work together on the same project, whilst remaining stationed in their own country or region of origin. With the new technological advances, such labour no longer has to relocate or emigrate. They can operate from within the physical boundaries of their own countries or continents. Which is wonderful. With improvements and lower cost of communication and transportation we can expand this to other industries.
Examples of this are in abundance. In my IT company I am inundated with small groups, offering their technical services, in sophisticated design and data programming projects, on a by project, or even on a by part of a project basis. I can assign the web page design of a project to a team in India and the data interrogation programming for the same project to another team in Siberia. I can then have my London designers join the various parts together to form a finished product. Many UK companies have already transferred much, or part of their service works, such as accounting, to other countries such as India. Live example I believe here is British Airways. The same is happening in other countries.
Another excellent and specific example of this global utilisation of labour, is that of NAI (Network Associate International). An American computer software company, specialising in anti-virus and security programmes, now expanded to full network solutions. Through their “follow the sun” policy, they operate six research teams, one in each continent under the umbrella of AVERT (Anti Virus Emergency Research Team). The so called “follow the sun” system, means that their customers, wherever they may be around the globe, can make contact with any of the six research laboratories; make contact with a team which is working, even if the local team is asleep.
The technicians of each of these teams, work on the same project, either simultaneously, or at different times. One team can progress up to a point, and then as they finish work, the other team in another continent miles away, carry on working from the point from which the previous team have left it.
These research teams are made out of local and regional personnel. An American company directly employing skilled labour, located around the globe. Such phenomena are not isolated. We will find them in sectors from Finance to Manufacturing across the globe. Such globalise market-driven activities, are creating the know-how, for local skilled employees to venture into their own businesses, and become competitors of their ex-employers.
Brains are the investment of every global enterprise. Brains, however, cannot be copyrighted. Where will this leave the advanced economies? How many of today’s economic powers, will be overcome and perhaps become the colonies of new economic powers? The great shortage of skilled personnel, in the advanced economies is already hindering the pace of advancement.
As a result, we see countries, who traditionally closed their doors to migrating labour not to just open, but to use high rewards, to lure skilled labour into their markets. America in 2000 issued over 30000 visas for such skilled IT personnel. Canada 20000, Germany 20000, Italy 15000, UK 20,000. Most of the skilled labour to migrate will come from developing and undeveloped countries pools of skilled labour. The National borders closures, are being lifted for thousands of people to relocate around the globe. Couldn’t we classify this as the first step to an open border globe? Couldn’t this be the first step towards a global freedom of movement and right of relocation around the globe?
This sudden opening of the doors, may be seen as a threat, since it can deprive the developing world of necessary skilled labour. This to some extent is correct. I am not sure, however, whether I see this as a threat to the development of undeveloped countries who lose their skilled labour to the advance countries.
In contrast, this could be, another opportunity for the economic colonies, to expand faster. For such demand for skilled labour from outside countries, will fuel the further supply of such skilful labour within these countries. Look at the investment in India on the IT industry know how. The external demand for such skills through local set ups is fuelling the drive and further supply of such skills.
In addition finance will be injected into the labour exporting countries as the emigrating skill labour send money back home. As we get used to the movement of labour, we move closer and closer, to an open global market for labour. This could contribute or be the first road, to the true globalisation, of our world, where entry restrictions will be abolished in all countries.
4th August 2002 1239
5th January 2003 16.11
back to writing 18th August 2002 23.14 and 5th January 2003 16.11
Enough for tonight 22 September 04 23.49 Sofia Bulgaria
Back to work 24 September 2004 10.34 Sofia Bulgaria