Transfer of industries to low-wage countries

Many commercial organizations are continually looking around to see if off-shore production can increase their profitability. This can result in exploitation of unprotected workers in low wage countries and abandonment of economies and workers in the countries they depart from.

1. Most reductions in available jobs and cuts in wages arise because of technological improvements and a change of organizational ethos that are much more to do with competition with and between rich countries than between richer and poorer countries.

1. Delocalization of production facilities

1. Export of hazardous industries

1. Reduction of workforce in enterprises
2. Inappropriate employment incentives

1. Prohibitive labour costs
2. Prohibitive costs for businesses
3. Prohibitive cost of land
4. Prohibitive cost of basic services
5. Prohibitive construction costs
6. Increase in operating costs
7. Excessive growth of social expenditure
8. Evasion of social costs by companies
9. Differential labour costs among countries

1. Reducing transfer of industries to low-wage countries
2. Reducing cost of social security
3. Increasing transfer of industries to low-wage countries
4. Encouraging productive skills development through promotion of transnational corporate activity
5. Developing backyard enterprises

1. Unemployment
2. Underemployment
3. Lowness
4. Displacement
5. Costliness