Exploitation, Economic Performance & Global Value Chains Dr - - PowerPoint PPT Presentation

Exploitation, Economic Performance & Global Value Chains

Dr Stephanie Ware Barrientos ODI Conference ODI Conference February 2009

Introduction Introduction

• How is labour positioned within Global

How is labour positioned within Global Value Chains?

• What are the changing dynamics of GVCs
• What are the changing dynamics of GVCs

and implications for workers? R fl ti i t f l b l i i

• Reflections on impact of global crisis

Global Value Chains Global Value Chains

• Changing dynamics of southern trade

Changing dynamics of southern trade through GVCs

• GVC

GPN analysis:

• GVC – GPN analysis:

– social embeddedness of firms; i l – commercial power

• Civil society campaigns:

– poor working conditions – codes of labour practice

Changing Dynamics of GVCs Changing Dynamics of GVCs

• Financialisation of GVCs

Financialisation of GVCs

• Expansion in low-price high volume

markets markets

• Exploiting bi-lateral trade agreements
• Competitive pressures – value chain

rationalisation

• China repositioning

Implications for Workers Implications for Workers

• Labour supply post China/India opening

Labour supply post China/India opening

• Global labour sourcing/labour contractors
• Buyer purchasing practices vs codes of
• Buyer purchasing practices vs. codes of

labour practice (double standards?)

• Expansion beyond niche brands: Price
• Expansion beyond niche brands: Price

point over workers’ rights

• Expansion within south:
• Expansion within south:

– Low vs. high road – Commercial vs developmental tensions – Commercial vs. developmental tensions

Impact of Global Recession Impact of Global Recession

• Speed of impact

Speed of impact

• Consequences for vulnerable workers

D l t i t

• Development impacts

– poor rural & urban households – gender impact – vulnerability, risk of exploitation – lack of protection

• China – highest profile example

g p p

Reflections Now? Reflections Now?

• Impact of global crisis on workers – ‘social

Impact of global crisis on workers social time bomb’

• Waged work key to poverty reduction
• Waged work key to poverty reduction
• Reflections:

– Protectionism? – Voluntary vs. regulatory approach? – Pressure for more ‘moral’ ‘regulated’ financial markets?