Question

It is very easy to fault MNCs with exploitative labor conditions in Free Trade Zones throughout the developing world. However, some critical theorists put the blame with those who blindly buy their products. Which position do you think is more accurate and why? Support your position with evidence

Answer 1

Putting blame on buyers may be good in the name of blaming, but actually buyers are just exercising their very fundamental right of buying better for cheaper. Expecting the buyer communities across the world to exercise their moral sense and not buy the products of those countries who are allegedly involved in labour-exploitative practices, will be just a 'high talk' without a practicality.

It is true the exploitative practices against labor is bad but it's worse if such practices are allowed or even endorsed by the state legislation. The countries, mostly the developing ones, which are in the race of producing commodities in big numbers and trying to create a dominating place for themselves in the world ranking, often fall prey to exploiting the labor with terribly low wage rates and working conditions, and thus be able to produce goods at a competitively low cost. This has to be addressed, rather urgently.

For example, we have seen the labour policies in China (a unique example of developing countries) getting too liberal to be justified at times. State laws may turn blind to the unhealthy labor practices in certain cases. How can this be cured when the state itself is allowing it to go like that? If we expect the international forums like United Nations Organization (UNO) and WTO to act upon and play savior, we end up finding that these international forums are again nothing more than the international political platforms influenced and dominated by the countries like China itself. These countries, somehow to an extent, have been successful to use these forums for activating their personal agenda of ruling the world.

So, what is the rescue for labor? Is it asking the buyers to discourage by way of not buying the products from such countries? This idea may not have lasting results, we already spoke about it. Then what is the real solution.

Hard, but it must be accepted. It has been really difficult in the past. In future also, we hope, except the stronger and unbiased international trade forums (like UN and WTO), we do not see a ray of light. All economies of the world must come together and agree about the urgent need of making these international forums really strong and free from the individual biases, lobbying and influential practices.