- Posted by Vidcruiter
- On November 18, 2012
- 0 Comments
- applicant recruiting system, automated reference checking, recruiting platform, talent hiring system
Globalization is here to stay and its practice will only expand as more and more countries and organizations are getting warmer to the idea of growing internationally. Globalization also made outsourcing a more viable labor solution enabling companies to get labor at a cheaper price all over the world. Telecommuting also enables companies to exploit the advantages of globalization and outsourcing enabling off site workers to interact and serve local customers and clients.
Efficient hiring can also be executed with no regard to distance. Thanks to online job interviews and the wide application of online recruiting tools globalization can be sustained for a long time. This might all be good news from where outsourced labor is tapped from, but this can be bad news for people from the country where the outsourced jobs are moved away from. The local workforce can pay a heavy price by limiting career options and getting little leverage in initiating and negotiating higher wages over time.
Worries can also arise from working in more culturally diverse work environments because of globalization. Some positions or functions are eventually outsourced and this means higher cultural diversity at work as employees have no choice but to work with other people from other parts of the world. This is especially true with tech companies, organizations engaged in online marketing and SEO, and even with BPO industries where outsourced call center agents make up a big chunk of its workforce. This can make collaboration more complicated as language barriers, cultural mix, religious differences, and work ethics come into play. The local workforce is forced to get into the middle of it all and has to work doubly hard to handle this new employment dimension.
Employee training on cultural diversity
To answer cultural diversity issues the local workforce need to be equipped with enough training to handle differences in culture better. This can prove important to prevent friction within the organization. Policies must also be adopted to protect people from getting in trouble due to cultural differences. All these added measures can strain the local workforce and can be another source of workplace stress if not handled well. Globalization can literally make work more complicated.
Changes in wages
Changes in wages
Globalization and outsourcing allows organizations to get the same productivity at a lower cost. The different standards of living all over the world allows for lower wages on key corporate functions. This can dramatically diminish the earning potential of the local workforce with jobs at home cannibalized by cheaper labor on the other side of the world. These differences in wages and what it means to the affected parties is another dimension of globalization that is highly debated to this very day. In fact this the leading issue of the many union movements in industrialized countries, campaigning for jobs to stay at home and provide better opportunities to those who originally wield it. This strife is often won by organizations and not by the local workforce simply because globalization means better business sense.
Globalization and outsourcing can detrimentally affect the local workforce simply because opportunities erodes at home and are being offered elsewhere where leveraging is more attractive as far as labor cost and productivity is concerned. As the world get used to the idea the trend of globalization will move forward and can change the labor outlook forever.