The Global Labour Market has been to some changes the past 20 years. Befor the cold war, countries like the United States of America and other high-income countries did not had to cope with low-wage Chinese or Indian workers. But at the begin of the 1990s alot changed. The soviet empire joined the global labour market and India and China also started to work towards modern capialism. From that time on the entire world became a one big economical market based on the greedy system called capitalism.
Because of these dramatic changes the global labour pool went from approximatley 1.46 billion to 2.93 billion workers. This change brings also drastic change in de place of investment for the companies. Alot of companies are now more interested in low-wage workers from the East-Europe and China. So we are witnesing a great shift of labour workers. The west-europeans are not very interesting for companis now because they can get the same labour in east-european countries or India for less money with the same quality. This can be very dangerouse for some countries. For example US is loosing labour because of the low-wage countries. The companies will move eventually to these countries, witch results in American low-wage workers loosing their job. We are not talking about hondreds but thousands en in some cases milions of people loosing their job. This will also resulte in alot of people not being able to insure them selfs and not being able to pay for their health-care. So countries like the US should acctually already start to search for a solution.
As eacht story has two sides this one has also two sides. The participation of India,China and the formar Soviet Empire, is on one hand very good for their own economi. Because Great international comanies will invest in these countries, wich will lead to a great groth of the living standard in these countries and new opportunities for these low-wage countries.
The other side of the story is not so optimistic. The fact is that these countries enter the the global labour/capitalism market with very poor capital. So that means that they were able to offer cheap workers, but they did not enter as countries with alot of money. So the contries that already were a member of the global labour market could only profit from the cheap workers. Money is allways of great importance so also even if you can offer cheap workers thats not enough. This is what makes capitalism so dangerous, its all about the money. The fresh members of the labour market will need at least 30 years to get their capital on the same level as other countries that were already in the global labour market.
The conclusion of this article is that the world is witnessing a great transition towards a great global labour market. This transition brings new opportunities for low-wage countries and new important changes within the global market policies. But this transition brings also great fear to the already advanced and rich cointries, because they are starting to loos low-wage workers to the new comers.