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The American definition of globalization or “outsourcing” is the action of “obtaining of goods or services needed by a business or organization under contract with an outside supplier”. This definition seems pretty clear and concise but what it fails to include are the countless other factors that this fad has introduced into American lives.
Some see outsourcing as a way to help other countries build their own society and economic wealth but this action causes more harm than good to those countries. Not only is outsourcing non beneficial to our country because it gives away countless jobs that we desperately need during these hard economic times, but we are also limiting the rights of the people within these deprived countries.
By outsourcing, the United States and its companies are stripping not only ourselves of our own culture by not influencing the output of products that read the label “ Made in USA” but also other countries of their own individual culture. Globalization is just another way for big companies to manufacture their products with cheaper labor, goods and services.
Over decades American families have helped build our nation to what it is today, and now we don’t even have the resources to support these workers that have helped make our country the “super power” it is. Why should people overseas reap the benefits from our economic hardships? Is it because the government wants to keep the rich richer?
Is it because the government wants to keep the rich richer and the poor poorer? Or is it because companies don’t want to take on the accountability that comes with having American citizens working in their factories?
On the surface, globalization seems like a good idea to spread knowledge and technology to less fortunate countries but what we may not realize is that people in these countries suffer under safety and health violation and the possibility of discrimination and illegal behavior, since developing countries do not have the same level of labor rights making it easy for them to be exploited.
Thus safety hazards and unsafe labor conditions are created. Not all labor laws in the U.S. exist in these countries and if they do they are certainly not enforced the way they are in the United States, with that in mind companies can contract and make their own labor laws to which they feel are ethical.
Since these countries aren’t as well developed as the U.S. children and women are able to work long stressful hours, in an unsanitary environment for very little pay to help support their family. Companies are also exempt from paying as much for their workers health benefits.
Along with the disadvantages of the people in these undeveloped countries are the people in the hometown of these big corporate companies. According to an American Union report by AFL-CIO “Goldman Sachs estimates 400,000–600,000 professional services and information sector jobs moved overseas in the past few years, accounting for about half of the total net job loss in the sector over the period.”
The report also states “Forrester Research Inc. predicts U.S. employers will move 3.4 million white-collar jobs and $136 billion in wages overseas by 2015.” Not only are Americans struggling with looking for work during this almost Depression-esc time the work that we do have were giving away billions of dollars to countries at a cheaper price and cheaper value.
By not circulating the money within our own country, companies are benefitting to the economic hardship by not hiring Americans to run their businesses and work in their factories. Companies are at fault by not providing a solution to the country that are assisting the problem.
In reference to the loss of jobs due to globalization, according to the CRS Report for Congress both physical and emotional factors have begin to come into play within our society people are scared that they may eventually lose their job and this creates “worker anxiety”, “The current, highly publicized wave of offshore outsourcing has caused considerable anxiety among both unemployed and employed workers….
Domestic outsourcing and offshore outsourcing result in job losses for those employees who no longer are required to produce the goods and services that their employers decided to purchase. Some displaced workers must seek jobs in other fields because the domestic firms that specialize in providing outsourced functions do so more efficiently than their former employers.
Others who lose their jobs to domestic outsourcing can continue to perform similar work — perhaps for lower wages and fewer benefits,” the CRS Report for Congress states on page 5. Americans are taking pay cuts and receiving less health benefits due to outsourcing and are made to believe that globalization is good for the country, our America.
The question is who’s America we’re speaking off and if we really want to live in ‘that’ America. Outsourcing could be detrimental to our country especially during these financial times where companies need to promote as much revenue as possible. We cannot successfully help others if we cannot help ourselves.
As it was so eloquently put in the textbook The New World Reader “The essence of globalization is a subordination of human rights, of labor rights, consumer rights, environmental rights, democracy rights, to the imperatives of global trade and investments.”