Who Says Labor Laws Are “Luxuries”?


Naked Capitalism has the article Who Says Labor Laws Are “Luxuries”?

A standard recommendation given to late-industrializing economies by the economic advisors of the World Bank and the International Monetary Fund has been to refrain from imposing regulations on the labor market, or if such regulations are already in place, to abolish them.

In discussions with a friend of mine from India, I finally came to the conclusion that the workers in each country should have a say in what labor laws they want to see in their own country. It is unfair of us to insist on our labor standards in other countries. Workers in other countries could conclude that trying to impose our standards on them is just an excuse for preventing our jobs to go to their workers. So let the workers in these countries decide if they think it is to their advantage to have jobs at the wages and working conditions that would prevail in their countries if they had labor laws to their liking.

You can have all the economic theory you want, but democracy might be the more important principle. Not our style democracy, but whatever style of democracy that suits the people in their own country.

Leave a comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.