In: Accounting
Complete a one page paper on globalization and how it effects workplace diversity.
The full impact of globalization in the workplace has yet to be realized, but as more companies embrace this trend and become more diverse, certain changes are emerging. While many of these changes are good, others may not be as positive. Small business owners are learning that they have to adopt new policies and new guidelines to keep up with these changes.
Increased Cultural Diversity
As globalization becomes more prevalent, companies deal with increased cultural diversity within the workforce. These changes require small and large businesses adopt new policies and guidelines for workers. This increased cultural diversity also has produced many benefits as companies gain new insights into different cultures from a management and a marketing standpoint.
Earnings Changes for Workers
As more companies have access to overseas companies that offer outsourcing, wages have changed for many workers. With lower standards of living, third world companies can offer their services at a rate greatly reduced from those in countries with higher standards of living. This has affected many workers in the United States as well as other large countries as more companies embrace the outsourcing trend. While it means a greater profit margin for the companies, it can also lead to reduced earning potential for employees.
Employee Diversity Training
Cultural, religious and ethnic diversity in the workplace presents a need for more employee training. In order to protect their companies and their new employees from discrimination, managers have had to implement policies and offer training to existing employees to make sure everyone can accept one another. This has led to a greater appreciation of other cultures and viewpoints in some companies, while irritating some employees who prefer a less culturally diverse work environment.
Increased Workplace Standards
Companies in foreign countries, particularly in the third world, have had to adopt a more Western standard in terms of providing better workplace safety and increasing workplace condition standards. This directly benefits the employees who may have been previously working in unsafe or unsanitary conditions. While conditions still remain poor in some areas, an increase in concern over worker safety is apparent, particularly in larger companies. Additionally, concerns over child labor has improved the conditions for young workers in these poorer countries.
Job Losses in the United States
As more products become available at lower prices from oversees markets less of the same products are being sold by U.S. companies. Lower demand has led to decreases in manufacturing, which in turn has resulted in manufacturing job losses across the board. Much of the loss has been a result of increased trade with China. Markets that have been especially affected have been manufacturers of electronics, textiles, clothing and furniture.