Neo-Liberal Globalization & Deepening Inequality

1. International Conference on Racism & Globalization/Chicago, IL./Radisson Hotel/June 27th-29th/08 Racism and Globalization: A Focus on Employment & Labor IssuesPaul Nehru TennasseeDirector of International Affairs/University of the District of Columbia/Washington DCPtennassee@udc.eduPh.(202) 274 6277/Research Assistant: Suresh Regmi /UDC

2. Neo-Liberal Globalization & Deepening Inequality “The current process of globalization is generating unbalanced outcomes, both between and within countries. Wealth is being created, but too many countries and people are not sharing its benefits. They also have little or no voice in shaping the process. Seen through the eyes of the vast majority of women and men, globalization has not met their simple and legitimate aspirations for decent jobs and a better future for their children.” (World Commission on the Social Dimension of Globalization)

3. Source:www.agriculturalmissions.org/image003.gif

4. INTRODUCTION • This presentation will advance the position that there is a link between Globalization, Racism & Employment. The present model of neo-liberal globalization is deepening inequality within and between nations large and small. As long as this reality continues, the conditions for deepening racial insecurities and their manifestations in conflicts and instability, in many societies across the globe, will persist. The Labor Unions which in principle are essentially class organizations but have always faced difficulties dealing with the race question are presently engaged with new contemporary challenges.

5. INTRODUCTION Cntd. • Globalization, however, is not the mother of racism and the single causal factor for unemployment, underemployment & discrimination at the workplace. Racism existed in pre-capitalist societies. Capitalist globalization assumed various models and unique characteristics in different eras. The rise of capitalism in Europe was accompanied by the development of racist theories (White-Caucasian Supremacy) and institutional racism that was used to justify conquest, colonialism and neo-colonialism.

6. INTRODUCTION Cntd. • Racism as a hegemonic ideology today exists in both predominantly White-Caucasian societies and societies of peoples of color. • One issue worthy of discussion in the context of the subject of this presentation is whether the prevailing model of globalization contributes to the construction of a Post Racist World.

7. Neo-Liberal Globalization & Employment • Global: A reduced role of the state around the world: transition from 20th Century to 21st Century: Technological Advances & Reforms of Labor Laws • Potential grounds for discrimination in the workplace: migration, age, HIV status, disability, gender, race & ethnicity, religious etc.

8. Neo-Liberal Globalization & Employment Cntd. • Developed Countries: Outsourcing to developing countries with lower labor standards. • Competition between firms within and between nation- states: flexibility to hire and fire on short notice; adjust pay to short term performance results; redeploy workers within firms or production partners; retain workers with particular skills on as-needed basis; no protection for job security, steady incomes, social insurance & other benefits. Source: Panos Briefing: Globalization and Employment

9. IT Worker in Mumbai • Microsoft • Tech • Support

10. Neo-Liberal Globalization & Employment • Developing Countries: Least Developed Countries (LDCs) & Middle Income Countries (MDCs) and /or Emerging Economy Countries (EECs): LDCs less integrated into global trade and minimum access to foreign direct investment: marginalized. • MDCs & LDCs: growth of the informal economy: Low level of skill & productivity; low or irregular incomes; long working hours; small or undefined workplaces, unsafe & unhealthy working conditions, lack of access to information, markets, finance, training & technology. • World wide 27 million-90% women-EPZs.

11. Neo-Liberal Globalization & Employment Cntd. • Visible street force, shops, work shops, homes, casual workers in restaurants, hotels, subcontracted employees of firms such as janitors & guards, casual workers & day laborers in agriculture & construction & temporary office workers & off site data processors. • IMF/WBG Policies: dismiss state employees including educational & health workers.

12. Neo-Liberal Globalization & Employment: Modern Slavery • Over 27 million slaves today (anti-slavery international)/UNICEF: 200,000 children sold in West & Central Africa/the Dinkas in Southern Sudan/90,000 owned by North African Arabs/$15 per human Source:www.antislavery.org

13. Neo-Liberal Globalization & Employment: Modern Slavery • Modern Slavery: 160 M Dalits-Scheduled Castes in India 16% population/untouchables/affirmative action/article 17 of Constitution abolishes untouchability/Problem is practice! • Approximately 1 Million persons are trafficked world wide/40,000 in USA/Trafficking in SE Asia/Japan/Russia/Europe (www.antislavery.org) • To what extent can we attribute these realities to neo-Liberal Globalization?

14. The Global Human Trafficking • Source:nochildpornography.blogspot.com/2008/05/human...

15. GLOBAL HUMAN TRAFFICKING • Source:www.worldrevolution.org/.../humantrafficking.jpg/www.jrwoodward.net/.../26/human_trafficking.png

16. Neo-Liberal Globalization & Employment: Migration • Top immigration country USA 2005-38.4 million/Russian Federation 12.1 M/Germany 10.1M/India 5.7 M & Pakistan 3.3M • 2007-worldwide remittances $318 B/$ 240B towards developing countries • 13.5 Million refugees & asylum seekers • Mexico-USA largest migration corridor 2005-10.4M/next Russia Ukraine/Bangladesh-India. Source:World Bank/mtuckprimdahl@worldbank.org

17. Workers in Asia/Africa Meet To NegotiateMigration to Various Destinations • Source:www2.ohchr.org/.../issues/images/migration3.gif

18. The American “Great Wall” • Source:flapsblog.com/wp-trackback.php?p=2837 / www.politopics.com/.../trythis-700942.JPG

19. USA: Perceptions of Equal Opportunity • When asked if every American be they Black, Hispanic, Asian or White-has an equal opportunity to succeed those strongly agreeing were: • Hispanics: 59% • African Americans: 30% • Asians: 43 % • (EMP-PEW) (www.economicmobility.org)

20. USA: Perceptions of Discrimination • Another PEW poll in answer to whether there is a lot of discrimination against minority communities in the USA revealed that: • 92% African Americans Agreed • 85% Hispanic Americans Agreed • 57% Asian Americans Agreed • Can Hispanics & Asians be categorized from a Race or Nationality perspective?

21. Neo-Liberal Globalization & Deepening Inequality • “Richest 2% of adults own half of global household wealth…90% total world’s wealth in North America, Europe & high income Asia-Pacific countries..”(United Nations University) • 1.3 Billion people live on less than $1 per day • “ Organization of Economic Cooperation & Development (OECD)/30 richest countries have 19% global population but control 71% global trade in goods & services and consume 16% times more than poorest 1/5th of the globe” Source: UNHDR/Michael Conachy/www.wsws.org/articles)

22. Neo-Liberal Globalization & Deepening Inequality • 1998:10 companies in pesticides controlled 85% of $431 Billion global market/top 10 telecommunications-86% of $262 Billion market • 10 Corporations control market shares-70% computers/60% Vetinerary medicine/35% pharmaceuticals etc (UN HD Report) • “1978-2005 CEO pay increased from 35% to 262 times average worker’s pay. The typical CEO made more in an hour than a minimum wage worker made in a month..” Source: EMP/PEW www.economicmobility.org

23. TNCs & Investments • The USA/France/UK/Germany/Japan & others in developed countries own 93% of all investments in the world. • 70% to 80% in each other headquartered country/75% in Triad: EU/USA/Japan • Shift since 1989: 40% of TNCs investment outside triad • The Re-Emergence of India & China

24. Globalization/Racism/EmploymentQuestions • Kenya/ South Africa • France • USA: Hispanics/Nationality or Race? The Hispanic Worker & Chinese Take Out • Thailand/The English Teacher & Color • LAC: Afro Latinos/Indigenous Latinos/Guyana/Trinidad & Tobago

25. Globalization/Racism & The Labor Unions: A Focus On USA • To protect the workers in their inalienable rights to a higher and better life; to protect, not only as equals before the law, but also in their health, their homes, their firesides, their liberties as men, as workers, and as citizens; to overcome and conquer prejudices andantagonism; to secure to them the right to life, and the opportunity to maintain that life; the right to be full sharers in the abundance which is the result of their brain and brawn, and the civilization of which they are the founders and the mainstay. . . . The attainment ofthese is the glorious mission of the trade unions. Samuel Gompers (1850-1924), speech in 1898 • American Unions for a long period denied membership to African Americans.

26. USA: The Struggle for Equal Employment Opportunity • African Americans: Separate or Independent unions • Henry L. Mims/Alliance/EEO/ and Asa Philip Randolph/Brotherhood of Sleeping Car Porters • The Story of the Alliance (National Alliance of Postal & Federal Employees) & Equal Employment Opportunity • Alliance filed 873 appeal cases with EEOC February 2007-2008/Race-Sex- Color

27. Alliance’s Mims & Colleagues:1913

28. Labor Unions & Global Labor Standards • The Seattle Debate: Unresolved • Labor Standards/North Vs South/Global Union Solidarity/Conflicts with Global South Nation States • Northern & Southern Unions Positions on migrant workers: documented & undocumented?

29. Labor Unions & Global Labor Standards Cntd. • Will northern unions support the free movement of labor to match the free movement of capital? • Can the labor movement overcome race contradictions when the strongest & wealthiest unions are located in the Global North? • What is the future of unions in the Global South with expanding informal economies that undermine unionism & financial independence? • ITUC/GUF/Independent Union: Challenges ?

30. Neo-Liberal Globalization & The Post Racist World • Evidence is that inequality is growing within and between nations large and small/ particularly over the last two decades/period of Neo-Liberal Globalization • If this persists: will it contribute to the escalation of racism & undermine the possibility of a post racist world?

31. Neo-Liberal Globalization & The Post Racist World Cntd. • On the other hand can this be counter-balanced by global transacculturation in music, dance, sports, fashion, dance and technology? • Since young people are in the vanguard of global transacculturation, how will persisting high youth unemployment & underemployment undermine the impact of that process?

32. Summary • The present Neo-Liberal Globalization deepens inequality within and between nations in the north and the south. • Societies across the Globe that are multi racial/ethnic & multicultural are more susceptible to racial/ethnic divisions and conflicts. • Perceptions of race divide between Global South & Global North linked to deepening inequality. • The links between Globalization/racism/employment are not overtly evident in all societies. • The jury still out as to whether in this Neo-Liberal era of globalization, we are moving towards the construction of a Post Racist World