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New International Division of Labour. (NIDL). NIDL. 1. FW Countries: Segmented/split labour market Failing industries used cheap immigrant labour in deskilled, fragmented, repetitive jobs on a temporary basis during labour shortage BUT. NIDL.
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NIDL 1.FW Countries: Segmented/split labour market • Failing industries used cheap immigrant labour in deskilled, fragmented, repetitive jobs on a temporary basis during labour shortage BUT
NIDL • Immigration labour became organised, permanent • Indigenous workers refused to do this work THEREFORE • Use of TW women in electronics and textile industries • “ Bloody Taylorist” Management THEREFORE
NIDL • Rising employment in TW countries • Falling employment in FW countries
NIDL 2.NIDL as part of Fordism: Production • Mass production – mass consumption • Large batches, long runs • Conveyor belt mechanism
NIDL THEREFORE • Low production cost 3. Fordism: Labour Organisation (Taylorism) • Detailed supervision • Deskilling and fragmentation of jobs • Creation of repetitive tasks
NIDL Theory SURPLUS LABOUR • Suppression of unions • Few environmental & welfare laws TW Rural Areas Destruction of subsistence farming TW Cities
NIDL Theory • TNC moves to urban areas • Urban employment more lucrative than farming • Women move to cities • Women with traditional values (subservient to men) work in factories hence cheap labour • Better profit if you move to TW from FW
NIDL Theory • TW Countries: Surplus Labour • Destruction of subsistence farming • Rural migration to urban areas • High level of unemployment • Traditional family values on position of women, therefore excess labour
NIDL Theory 2. TW Countries: Politics • Suppression of opposition parties and unions • Underdevelopment of labour, welfare and environmental laws THEREFORE Cheap labour
NIDL Theory • TW Countries: Economics • Encouragement of foreign investment by tax, tariff and capital repatriation concessions • EPZ’s set up by TW goverments • THEREFORE Cheap Capital
NIDL Theory BUT • Few forward or backward linkages into the local economy THEREFORE Enclave development