DMPQ: What is globalisation? Examine its impact on the pattern of employment.

Globalisation means integration of economies and societies through cross country flows of information ,ideas ,technologies , goods, services, capital finance and people. The current wave of globalisation, which started after 1991had profound effects on the labour market and the employment situation of workers all over the world.

The changes in pattern of employment and labour market are described as below:

  • The rate of growth of the labour force has been in tune with the growth of population but there are low female work participation.
  • The post reform period has witnessed an increasing tendency towards flexible employment. The process of informalisation has become entrenched.
  • More job creation in service sector and construction for the skilled and semi skilled population but the main employing sectors such as agriculture and manufacturing are characterised by sluggish growth in employment.
  • The new employment opportunities have been created mostly in selected regions where globalisation has brought investment.
  • More earnings for white color job as compared to blue color job. The pay inequality has increased. Only silver lining is the rise in real wage.
  • New kind of jobs creation like BPO, Opportunities in the overseas market have increased.


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