The current wave of globalization has profound labour market effects, accentuated, in many cases, by the current financial and economic crisis. This paper reviews general labour market trends and country examples, arguing that the current globalization process makes labour’s position more precarious, a trend magnified by the current crisis. This is consistent with the policy reactions to the crisis: governments have (rightly) acted as a banker of last resort to avoid the collapse of the financial system, but, despite stimulus plans and monetary easing and some labour market policies, have not really acted as an employer of last resort.

Employment, Financial Crisis, Financial Globalization, Globalization, Income inequality
Employment; Unemployment; Wages (jel E24), Incomes Policy; Price Policy (jel E64), International Policy Coordination and Transmission (jel F42), Labor Force and Employment, Size, and Structure (jel J21)
United Nations, Department of Economic and Social Affairs (DESA)
hdl.handle.net/1765/22372
ISS Staff Group 3: Human Resources and Local Development
International Institute of Social Studies of Erasmus University (ISS)

van der Hoeven, R.E. (2010). Labour Markets Trends, Financial Globalization and the current crisis in Developing Countries. ISS Staff Group 3: Human Resources and Local Development. United Nations, Department of Economic and Social Affairs (DESA). Retrieved from http://hdl.handle.net/1765/22372