"However I cannot see how this trend will change until all countries reach the same level of prosperity and have the same values and expectations when it comes to the rights of the workers."
This is everyone's wish, but I don't see it happening in our lifetime. What believe is certain however is the will of the people of China will eventually prevail. Its a matter of time, the country will evetually erupt into labor unrest.
If the Chinese Govt would have let the Yuan float freely (against the USD/EUR and JPY);then it would have been able to absorb all the liquidity by strengthening upwards.
For sure this would make it difficult for exporters to compete/dump their products on the rest of the world but it would consequently also create a richer class of Consumers in china who would then be free to buy products from all over the world-Thereby leading to a rebalancing of the world economy-Something which is long overdue.
I don't think its fair to put India and China in the same bracket when it comes to freedom of expression/speech.
India is by far one of the freest countries on the planet-In fact most people say you got too much freedom there.
India has the freest press in the world-Much freer than America as well....
As far as enforcing workers rights is concerned.You will be amazed at how far this factor has gone in India.Workers have taken things into their own hands to get what is rightly theirs.Oppression exists only in the remotest backwaters of the country[Even there somehow or the other the byte hungry media manages to reach and turn ordinary people into total celebrities..]
The biggest mistake that Western Investors/Bloggers/pundits make is underestimating the will and ability of the Communist Party to do whatever it takes to hold onto Power in China.
They will do whatever it takes and mind you-Don't expect them to sit around waiting for approval from Western Observers before they clamp down dissent bigtime.
Its not going to be a pretty sight when it happens-Remember Tianmen Square anyone??
I used to think that all major international brands (all of those that has 'made in china' label) own a production unit (or tie-up with a major firm) in China. And China is progressing as a country by means of its labour force and they are paid well in terms of their local cost of living.
Surprised that the trained people working day and night are paid low. I am sure that rest of the world including me (are forced to) buy brand China because of the competitive pricing but still I am sure we are paying enough to pay a labour more than $5 a day. I have seen that in other Asian countries like India even untrained labour makes sure that they get more than $5 if they are working.
I beleive that these are middle men or agents who exploit labour force. And people have to come out of such production units and look for better prospects.
just a thought: When cost of living is going up anyways and cost of everything is going up I dont think consumers will have probelm paying a bit more for the good of all. And electronics industry can loosen their grip a bit (in terms of rates and marjins) so that they wont kill their labour in the process of making big bucks.
Every company is trying to cut cost and drive profit margin up. That'd why there will always be demand fo workers in china to manufacture cheaper goods. Until one day the wage will increase due to decrease of supply. So this will problem will persist. China merchants is making alot of money while the workers probably work for $5 per day. The rich and poor separation becomes bigger gap
As long as there is an insatiable demand for low cost disposable goods I fear workers in places like China and India will not be treated as fairly as workers in other countries. This problem is exacerbated in countries where freedom of movement and speech is limited. Personally I would rather consume less and pay more for goods to ensure workers across the world get a fair deal. I wish companies did not continually chase the cheap labor markets and instead thought more locally. However I cannot see how this trend will change until all countries reach the same level of prosperity and have the same values and expectations when it comes to the rights of the workers. This will take generations to happen.
Chinese labor advocates will use the heightened investor nervousness to increase pressure on manufacturers.
Seems like finally international pressure is working. But just wondering if this will stop here or will it lead to another uprising, similar to the one we saw in Arab ?
I do agree that labor unrest in China is something that the government and the businesses have to address to. If the issue is not addressed at the correct time, it may lead to further disturbances and turmoil. Assuming the manufacturers and OEMs decide to accept the demands of the labor force, what impact would it have? It makes sense to assume that the manufacturing would go up. Would that be such a significant increase that China is no longer able to keep its competitive advantage?
EBN Dialogue enables and encourages you to participate in live chats with notable leaders and luminaries. Not only editors and journalists, but the entire EBN community is able to comment and ask questions. Listed below are upcoming and archived chats.
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Thailand Stages a Comeback Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Euro-Crisis: What It Means for High-Tech Firms Join EBN Editor in Chief Bolaji Ojo and Contributing Editor Jennifer Baljko on Thursday, July 12, at 10:00 a.m. EDT for a Live Chat on high-tech and Europe's economic difficulties.
Microsoft Surface: Potential Winners & Losers What are the implications for the electronics industry supply chain of Microsoft Corp.'s decision to launch its own tablet PC? Join industry veteran and EE Times' systems and OEM expert Rick Merritt on Tuesday, July 3, at 12:00 pm EDT for a Live Chat on this subject.
Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Peter Drucker famously said "Trying to predict the future is like trying to drive down a country road at night with no lights while looking out the back window." Yet in the razor's-edge world of electronics—with a lean supply chain and just-in-time demands—the need to know the future is vital.
While no one really can accurately predict the future, we can take guidance from another Drucker saying which is the best way to predict the future is to create it.
You've heard the saying "the No. 1 supply chain risk is your people." That hasn't always been the case. But today's complex global supply chain requires a new type of multitalented employee. It's one who understands, finance, marketing, economics, is savvy with technology, graceful with relationships and can think analytically.
Where are these people? Are universities properly preparing the next generation supply chain professionals? How do train your existing workforce for these new, demanding positions?
Brian Fuller, editor-in-chief of EBN, will lead a 60-minute Avnet Velocity panel discussion that will ask and answer these and other questions swirling around today's supply-chain talent challenges.
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