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Unlock This CourseGlobalisation has completely transformed how and where people work around the world. Over the past 50 years, we've seen massive changes in employment patterns as countries have become more connected through trade, technology and communication. These changes have affected every country differently, creating winners and losers in the global economy.
Key Definitions:
Manufacturing jobs have moved from High Income Countries (HICs) like the UK and USA to Low Income Countries (LICs) and Newly Industrialised Countries (NICs) like China, India and Bangladesh. This happened because companies wanted to reduce costs by paying lower wages and having fewer regulations.
Countries typically go through three stages of economic development, each with different employment patterns. This is called the Clark-Fisher model and it shows how employment shifts between sectors as countries develop.
Understanding these three sectors is crucial for seeing how globalisation has changed employment patterns worldwide.
Jobs that extract raw materials from the earth - farming, fishing, mining and forestry. These jobs dominated in pre-industrial times but now employ fewer people in developed countries.
Manufacturing and construction jobs that turn raw materials into finished products. These grew during industrialisation but are now declining in HICs due to globalisation.
Service jobs like retail, healthcare, education and finance. These now dominate employment in developed countries and are growing rapidly worldwide.
Globalisation has accelerated changes in employment structure, but the effects have been very different in different types of countries. Let's explore how this has happened.
Countries like the UK, Germany and Japan have experienced deindustrialisation. Manufacturing jobs have moved abroad, but this has been replaced by growth in high-skilled service jobs like finance, technology and research. However, this has also created unemployment for some workers whose skills don't match the new economy.
Countries like China, South Korea and Taiwan have seen massive growth in manufacturing employment. Millions of people have moved from rural farming to urban factory work, dramatically changing their economies and living standards.
Technology has been a major driver of employment changes during globalisation. It has made it easier for companies to operate across borders and has created entirely new types of jobs while making others obsolete.
The digital revolution has transformed how we work and what jobs are available. This has both positive and negative effects on employment.
Job Creation: New industries like software development, digital marketing and e-commerce have created millions of jobs worldwide.
Job Displacement: Automation has replaced many manufacturing and clerical jobs, particularly affecting middle-skilled workers.
Remote Work: Technology now allows people to work from anywhere, creating global competition for some jobs but also new opportunities.
Let's examine specific examples of how globalisation has changed employment in different countries.
1970s-1980s: The UK had a large manufacturing sector employing millions in industries like steel, coal and textiles. Cities like Manchester, Birmingham and Sheffield were major industrial centres.
1990s-2000s: Globalisation led to the decline of these industries as production moved to countries with lower costs. This caused high unemployment in former industrial areas.
2000s-Present: The UK economy has shifted to services, particularly financial services in London. The city became a global financial centre, but this created regional inequality as benefits were concentrated in the south.
1980s: China began opening its economy and attracting foreign investment. Special Economic Zones were created to encourage manufacturing.
1990s-2000s: Massive migration from rural to urban areas as factories expanded. Cities like Shenzhen grew from fishing villages to major industrial centres.
Present: China is now moving towards higher-value manufacturing and services as wages rise and the economy develops.
Globalisation has created both opportunities and challenges for different groups of workers around the world.
Skilled workers in HICs: Professionals in finance, technology and creative industries have benefited from global markets.
Factory workers in LICs: Millions have gained employment in manufacturing, improving their living standards.
Consumers globally: Lower prices for manufactured goods due to global competition.
Manufacturing workers in HICs: Job losses due to factory closures and outsourcing.
Some rural communities: Young people leaving for urban jobs, leading to population decline.
Environment: Increased pollution and resource use from expanded global production.
Employment patterns continue to evolve as globalisation deepens and new technologies emerge. Understanding these trends is important for planning future careers and economic policies.
Several key trends are shaping the future of work in our globalised world.
Robots and AI are replacing more jobs, but also creating new ones. This affects both manufacturing and service jobs.
The internet allows more jobs to be done from anywhere, increasing global competition but also opportunities.
Climate change is creating new employment in renewable energy, environmental protection and sustainable industries.
Globalisation has fundamentally changed employment patterns worldwide, with manufacturing moving from HICs to LICs while service jobs have grown in developed countries. This process has created both opportunities and challenges and continues to evolve with new technologies and global trends. Understanding these changes is crucial for making sense of our modern global economy.