American industrialists often use free-trade pacts as an opportunity to settle their factory works outside the country. They always prefer destinations like South American and South East Asia as place of their manufacturing outlets. These countries not only provide cheap labor resource, but also extend benefit of their inefficient labor laws. This practice has worsened demand for factory labor back home and can be considered as an ill effect of globalization on American working class.
Few days back President Bush in his speech declared that “I know some of our citizens worry about the fact that our dynamic economy is leaving working people behind. ...Income inequality is real.” This confession is quite spectacular considering Republicans’ reputation regarding apathy with the word ‘income inequality’. They never feel comfortable with the idea that their pro-globalization stance can make way for depressed domestic labor demand.
But recent take over of Congress by Democrats has complicated the easy working of Bush administration. They are increasingly demanding for tougher labor law, more power for workers’ union and go-slow policy for globalization process. Many of the US states do not comply with ILO conventions regarding fair labor practice. And this is a matter of international debate. With that, Bush administration is carrying on their globalization projects steadily.
But Democrats are looking committed to forcing government to subscribe their concern and in that case Bush administration and Republicans’ will remain with no option but to accept the Democrat-pressure otherwise they may not succeed in acquiring support of Democrat-infested Congress for their forthcoming free-trade treaties.
Source: Washington Post
