Canada and the Developing World -A comparative framework Thesis on children/youth: Increasing global corporatization has integrated children/ youth in the Core and Peripheral countries into a global commodity chain. • Most children/youth in the Core help extract a major share of surpluses (corporate profits) through their consumption within a stable political economy. Thus, a majority of the children/youth in the affluent Canada (Core) have been transformed into conspicuous consumers or service sector commodities, while a minority of them (1 in 10 (circa 2010)) live in poverty Thesis (cont’d) • In contrast, through poorly paid or unpaid household labour children/youth in the Peripheries are exploited through surplus extraction for profit for and consumption in the Core. In the Periphery, those children/youth who are from the rich and middle classes, become comprador consumers. But most of the peripheral countries’ children are absolutely poor and must work for their livelihood. Thus they become labour commodities Comparative arguments using WST: 1. 2. 3. Global corporatization has integrated children/ youth in the Core and Peripheral countries into a global commodity chain. Most children/youth in the Core help extract a major share of surpluses (corporate profits) through their consumption within a stable political economy. Thus, a majority of the children/youth in the affluent Canada (Core) have been transformed into conspicuous consumers or service sector commodities, while a minority of them (1 in 10 (circa 2010)) live in poverty In contrast, through poorly paid or unpaid household labour children/youth in the Peripheries are exploited through surplus extraction for profit for and consumption in the Core. In the Periphery, those children/youth who are from the rich and middle classes become comprador consumers. But most of the DWs’ children are absolutely poor and must work for their livelihood. Thus they become labour commodities WST concepts that explain the reasons for the increase in child poverty in the Core and in the Peripheries: Neoliberalism: • Declining role of the State • Deregulation results in Financial Meltdown (2008) • Global Commodity Chain (GCC) Neoliberalism & its result: GCC in Core: Declining role of the State Financial Deregulation Dismantling of Social Welfare Privatization of child care Youth integration into GCC • Weakening of social policy towards children • State is unable to compensate the impact on child poverty generated by the shocks • Declining funding for youth programs & educ. • Youth unemployment WST concepts that explain the reasons for the increase in child poverty in the Core and in the Peripheries: Neoliberalism: • Declining role of the State • Deregulation resulted in Financial Meltdown (2008) • Global Commodity Chain (GCC) 1. Global corporatization has integrated children/ youth in the Core and Peripheral countries into a global commodity chain. CHILD LABOR/SLAVERY: NIKE, APPLE, GAP, MICROSOFT -- CHINA, INDIA, PAK http://www.youtube.com/watch?v=57v_v6oSGZI 2010 4min • Single division of labor: core accumulates capital as periphery supplies labour WST & Global Commodity Chain (GCC): Commodity Chain Research HD http://www.youtube.com/watch?v=bs65dIcRKXE Core: Capital rich MNCs’ corporate Head Office: R&D Product design Customization Market distribution Products Retail Ads Inequitable Impacts of global Commodity Chains on workers in Canada (Core): Wilma A. Dunaway, Wealth & Capital Concentration Economic Costs In Commodity Production, lower wages for the workers Low Remuneration for Non-Wage Labor (e.g. household work) Educational & cultural costs Critical individual costs Conspicuous Consumption Devaluation of Arts & Humanities Commodification of Youth, child, women as Ads, Logo Health Civic freedoms Discrimination: gender & Age Human rights Law & Order (prejudice against the poor) GCC Peripheries: Labour surplus Production process: • • Vertically integrated GCC Vertically integrated Model: MNCs’ GCC Foreign subsidiary or Subcontracting local company Manufacturing factories or Sweatshops Extract raw materials from resource rich areas Extract surplus from labour Household labour of the poor (low/no wage or slavery): Men, Women, Youth & Children GCC (contd.) Peripheries: Labour surplus Production process: • Vertically integrated • GCC Hidden Inputs of the Peripheries’ child & women in the global Commodity Chain Typical Production Node of a Capitalist Commodity Chain Cheap Labor Working class child & women subsidize the Production Process Capitalist Costs that are Externalized to Households Inequitable Impacts on children & women Economic Costs to the Periphery Surplus extraction from labour: No-wage, Unpaid & Low-wage subsidize commodity production State Subsidies: in providing societal Infrastructure of maintaining stable social order State Subsidies to Capitalist Enterprises External costs: http://www.youtube.com/watch?v=yC5R9WPId0s (7.39min) Inequitable Impacts of global Commodity Chains on Children/youth workers: in the Periphery: Wilma A. Dunaway, Economic costs: • Negative impact of loss of education years on a country’s development • Country loses skill development in its future population Health costs • Children in hazardous work: Life span, health and welfare irrecoverably affected Social costs • Cycle of Poverty – destitution becomes endemic Comparative conceptual arguments: 1. 2. 3. Global corporatization has integrated children/ youth in the Core and Peripheral countries into a global commodity chain. Most children/youth in the Core help extract a major share of surpluses (corporate profits) through their consumption within a stable political economy. Thus, a majority of the children/youth in the affluent Canada (Core) have been transformed into conspicuous consumers or service sector commodities, while a minority of them (1 in 10 (circa 2010)) live in poverty In contrast, through poorly paid or unpaid household labour children/youth in the Peripheries are exploited through surplus extraction for profit for and consumption in the Core. In the Periphery, those children/youth who are from the rich and middle classes become comprador consumers. But most of the DWs’ children are absolutely poor and must work for their livelihood. Thus they become labour commodities Canada: Core country’s children/youth: Most are higher or middle income classes (80% all children in Canada): • Children at school • Youth at school/work • Consumers: Conspicuous Consumption Canada: Child/youth are transformed into: • Conspicuous consumers (endless consumption) • Service sector commodities Conspicuous consumers Rich Kids for Romney http://www.youtube.com/watch?v=fit79MQwyeY 50sec 2012 • Creation of artificial wants • Persuaded to consume endlessly • Ads & Peer pressure lure the young Core’s Child/ Youth conspicuous consumption: manufactured and manipulated by: •Adult-led army of advertisers • Marketing consultants • Youth researchers Child/youth in the Core transformed into: • Conspicuous consumers (endless consumption) • Commodified in the Service sector Core: youth work is: • Low-end service work • Low in status, value and skill • Not “real” work • Corporations view youth work as hobby Consumerism - Commodification Link: • Circularity in youth employment Service sector employers: • Hire young workers because ‘youth’ sells product • Youth/child often is the real product being sold e.g.: Ads of child/youth in jeans or t-shirts, sneakers or snowboards, soft drinks or CDs • Youth as consumers http://www.time.com/time/magazine/article/0,9171,1587254,00.ht e.g.: Retail and food service companies: • Exploit the sexuality of young workers (esp. women) to attract customers and increase sales • Staff stores by hiring youth as workers with the right “look” • Hire by screening for an appearance, attitude and demeanor based on age, gender, race and class The company hires “brand representatives”: • Not cashiers or clerks • Exhibiting the “A&F Look” (to experience Abercrombie & Fitch stores) • Selling an experience for customer to experience again and again through the Brand Commodification of Youth Youth workers: • wear brand name perfumes as directed. But, in Starbucks: no colognes and perfumes – only the “romance of coffee” aroma • Faces freshly scrubbed with Body Shop Blue Corn Mask • Apartments furnished with Ikea self-assembled bookcases and coffee tables Circularity in youth employment: • MNCs created mass consumerism (in post-WW II era) • Commodification of youth in mass advertising • Demand for youth as service sector workers • Canadian youth want stable economy: why? (Jobs & MNCs’ profits will remain stable) Globally Integrated conspicuous consumption •Kinko’s, Starbucks and Blockbuster clerks buy their uniforms of khakis and white or blue shirts at the Gap • “Hi! Welcome to the Gap!” greeting cheer is fueled by Starbucks double espressos • Résumés that got them the jobs were designed at Kinko’s on friendly Macs, in 12-point Helvetica on MS Word. Why Commodity Chains are created by global corporation? How does it work? • NDL: International division of labour (post colonial) • Endless accumulation: economic growth to maximize profits • Commodification of everything; • Global search for surplus extraction • Repeated cycles of innovation, change, and expansion Nike World Headquarters in Oregon Profits & Patents Research Lab: tests in biomechanics, physiology, sensory Customise to suit the interest of clients’ geography, age, gender e.g., Runners - in the United States prefer hard surfaces - in Europe prefer trails Ads (consumerism): e.g.: 2001 the Nike Goddess outlets Profit percolates up Commodification of the Young: child & youth workers consumers Extraction of Raw materials (mostly from peripheries): Rubber, leather and plastic Extracted from places located in close proximity Household labour Women Youth Children Peripheral states: Subcontracts the production process: 900 contract factories Independent private contractors in China, Indonesia and Vietnam Vertically integrated model Sent to the factories or “Sweatshops” for manufacturing Comparative conceptual arguments: 1. 2. 3. Global corporatization has integrated children/ youth in the Core and Peripheral countries into a global commodity chain. Most children/youth in the Core help extract a major share of surpluses (corporate profits) through their consumption within a stable political economy. Thus, a majority of the children/youth in the affluent Canada (Core) have been transformed into conspicuous consumers or service sector commodities, while a minority of them (1 in 10 (circa 2010)) live in poverty In contrast, through poorly paid or unpaid household labour children/youth in the Peripheries are exploited through surplus extraction for profit for and consumption in the Core. In the Periphery, those children/youth who are from the rich and middle classes become comprador consumers. But most of the DWs’ children are absolutely poor and must work for their livelihood. Thus they become labour commodities Peripheral states: MNCs’ Subcontractors (owner class): Upper income class (global Elite class) •luxury goods consumer household Rich Kids Gone Wild? http://www.youtube.com/watch?v=tW_VDMYxhvc 4.37 min 2011 Who made our shirt child lab in china http://www.youtube.com/watch?v=K2KCYsmWFP8 3min 2009 Educated & skilled workers: Middle income class (White or Blue collar) • Children & youth at school • Formal sector: Working men/women • Consumer household (beyond basic goods) Peripheral states: Lower income and Poorer classes: •Working Men •Working Children •Working youth •Working women Fourth World: Indigenous population: • Unemployed & discriminated men • Children exploited in boarding schools • Culturally alienated youth • Working and abused women Child/youth Poverty in Peripheral countries: International Labor Organization (ILO) reports: 2010 Global total of Children (age 5-17): 1.586 billion 20 mil. more than in 2004 (1.3% increase) In the Developing World (2010): Working children. (age 5 - 17): 306 mil. Child labour (5-17): 215 million http://www.ilo.org/wcmsp5/groups/public/@dgreports/@dcomm/documents/publication/wcms_126752.pdf Source for 2004: http://www.ilo.org/global/Themes/Child_Labour/lang--en/index.htm Child labourers are defined as those: •Under the minimum age for work, or • Engaged in work that poses a threat to their health, safety or morals, or are subject to conditions of forced labour. Source: http://www.ilo.org/wcmsp5/groups/public/@dgreports/@dcomm/documents/publication/wcms_126752.pdf Child Labour: Breaking the Cycle of Poverty 2010 (5 min) http://www.youtube.com/watch?v=B1cZFgJwzYM *Child Labour http://www.youtube.com/watch?v=ruh0O_mj1v0 5.20min 2006 Children in hazardous work: 115 million 2004 - 2010: 20% Increase in child labour in the 15-17 years age group: (from 52 million to 62 million) http://www.ilo.org/wcmsp5/groups/public/---dgreports/---dcomm/documents/publication/wcms_126685.pdf India: children working Mexico: children working (pop:363 m. (31%) Age<14) (pop: 32m. (29%) Age <14) (2009) (2009) https://www.cia.gov/library/publications/the-worldfactbook/print/in.html) • 13.6 million (Indian census) in 1981 • 20 million children in hazardous condition (Labour Ministry) in 1994 • 77 million computed on basis of # below poverty line in 1995 (Commission on Labour Standards) • 8-11 million children under the age of 15 years are working in Mexico in 1994 (US Dept of Labor, Sweat and Toil of Children, 1994, citing US Dept of State, Human Rights Report, 1993) • 16 % of children (age 5-14) -15% of male & 16% female - in child labour (1999-2003) http://www.unicef.org/infobycountry/mexico_statistic s.html Working Children India (cont’d) : L Am (Mexico) (cont’d) • 40 million children (total pop. 500 mil in • 60-115 million (Human LAm) living or working Rights Watch) (1996) on the streets of Latin • Child Economic Activity America rate: 13.5% (Male) • 20% begging to 10.3% (Female) survive • Largest number of working children in the • 24% by selling goods world - Child labour • rest by doing productivity accounts subcontracting work. (Xinhua: Comtex , 2000) for 20% of India’s GNP India (cont’d) • 85% of rural child laborers work in cultivation and agriculture, e.g., tea plantations, • 40% of urban child laborers work in manufacturing and repair • Also in carpet making, gem polishing, fireworks http://www.indianchild.in/Child_Expl oitation/ (acc. April 09) L.Am (Mexico) (cont’d) (2000) • L.Am children working in the streets, markets, tourist & other areas of 108 cities 70% are boys and 30% girls • work as cart-pushers, kitchen help, and vendors • children in the age group of 7 to 14 make up 30% of day laborers in the agriculture sector http://www.globalmarch.org/resourcecent re/world/mexico.pdf (acc. Ap 09) http://www.hrw.org/children/labor.htm 2004 Why is child labour bad for the children? • Four-year-olds tied to rug looms to keep them from running away - Working at rug looms, for example, has left children disabled with eye damage, lung disease, stunted growth, and a susceptibility to arthritis as they grow older • Work prevents the child from going to school • Work long hours, often in dangerous and unhealthy conditions, are exposed to lasting physical and psychological harm … bad for children: • Children work for too many hours and too many days, for too little, or no pay • subject often to physical abuse • exposed to dangerous pesticides • work with dangerous tools What did World Bank and the Swiss Agency for Development and Cooperation do? • financing sericulture projects dependent on child labor ( Human Rights Watch, 2004) … bad for children: Children making silk thread in India • dip their hands into boiling water that burns & blisters • breathe smoke and fumes from machinery handle dead worms that cause infections guide twisting threads that cut their fingers Children harvesting sugar cane in El Salvador: • use machetes to cut cane for up to nine hours a day in the hot sun • injures their hands and legs • medical care often not available 1999-2004 http://www.unicef.org/publications/index_30398.html 2012: (source: http://www.globalissues.org/article/26/poverty-facts-andstats Number of children in the world 2.2 billion Number in poverty 1 billion (every second child) Total Global/ Regional Children/Youth in ’000 (March 2012) Countries <18 <5 Africa 477,383 Middle East and North Africa 156,444 Asia 1,151,806 Latin America and Caribbean 195,713 155,135 47,524 316,151 53,461 Industrialized countries 203,008 57,212 Developing countries 1,953,940 563,545 Least developed countries 389,258 122,520 World 2,201,180 633,933 http://www.unicef.org/sowc2012/ accessed jan26,2013 Concepts Comparing on Children & poverty Core: Canada & children in poverty • Affluent country • Child benefits • Social institutions & financial support for children Periphery: Mexico & India: Child Poverty • Poorer countries • Child poverty leads to child labour • Basic needs not met Contrasts between Canada & DW Children’s poverty Children’s poverty in DW: 2004 in Canada: 2005 •1.2 million • Relative poverty • Generational welfare trap • Poverty cycle • Social Security • Publicly funded schools • Universal medical care • 250 million •Absolute poverty • Lack basic needs • Hunger and death • AIDS & blindness • Severe disabilities •Violence and orphans Affluent Canada (2005): Child poverty • 1.2 million children, or (1 in 6) children live in poverty. • # in poverty- 20% rise (1989-2004) • 18% increase in (rate of) poverty 2002- 2005 • 41% users of food banks, are children Child Poverty in Canada: Why are 10 percent of kids poor? 1hr April 2010 http://www.youtube.com/watch?v=qt6s1maEMtw Peripheries or DW (2004) Child poverty : • 674 million in poverty (2005) • 70% poor in rural (agriculture) Gordon, D, et al (2003) "Child poverty in the developing world" Child labour (2004) • 250 million working • 120 million work full time • 61% in Asia, 32 % in Africa, 7% in Latin Am http://www.hrw.org/children/labor.htm accessed oct 2010 Income Inequality and Child Poverty in Canada: from Poor No More, a Canadian fe 2.53min oct 2009 http://www.youtube.com/watch?v=GIWroI1wymg Canada: http://www.campaign2000.ca/rc/rc04/04NationalReportCard.pdf accessed Jan 2010 Canada (cont’d) (groups that are in worse situation) • Child poverty rates for Aboriginal, immigrant & visible minority groups are more than double the average of that of all children First Nation Children are Living in Poverty 5.16 min 2012 http://www.youtube.com/watch?v=zI1D9k4Adwo Support for First Nations' Children 2010 3 min 2010 http://www.youtube.com/watch?v=p2AqunAgY2A • child poverty rate among children with disabilities is 28% Developing countries (cont’d) (work) • work as domestics • work in trade & services • work in manufacturing & construction Canada: 2009 Child Poverty: declined since 2005 • 639,000 children live in poverty • Poverty rate: 9.5% • Youth unemployment • 14.1% unemployment rate • Aged 15-24: 408,000 youth unemployed in Oct. 2011. • weekly wage $398.74 $525.90 less than those aged 25 and over • 30% of these youth find themselves in precarious jobs REVISITING FAMILY SECURITY IN INSECURE TIMES 2011 Report Card on Child and Family Poverty in Canada Peripheries or DW (2011) Child poverty : • 1 out of 6 infants are born with a low birth weight in developing countries. • A third of all childhood death in sub-Saharan Africa is caused by hunger. • Every five seconds, a child dies from hunger-related diseases. • 22,000 children die each day due to conditions of poverty http://www.thp.org/learn_more/issues/know_your_world_facts_a bout_hunger_and_poverty Know Your World: Facts About Hunger and Poverty 2011 Canada: Child poverty is defined in the 2011 Society report as “The proportion of children 17 years and under living in households where disposable income is less than half of the median in a given country.” Ref: 2011 Society report (2011). The Conference Board of Canada, Ottawa Child poverty in BC 2011 http://www.youtube.com/watch?v=xVXzsxc4ikY 1.37min April 2011 . http://www.globalissues.org/article/26/poverty-facts-and-stats Child Poverty in Canada LIC: Low income cut-off LIM: low income measure http://www.statcan.gc.ca/pub/75f0002m/2012002/lico-sfr-eng.htm 2011 Report Card on Child and Family Poverty in Canada Canada’s Children in Poverty http://www.campaign2000.ca/reportCards/national/2011EnglishRreportCard.pdf http://www.campaign2000.ca/reportCards/national/2011EnglishRreportCard.pdf Child/youth Poverty in Peripheral countries: International Labor Organization (ILO) reports: 2010 Global total of Children (age 5-17): 1.586 billion 20 mil. more than in 2004 (1.3% increase) In the Developing World (2010): Working children. (age 5 - 17): 306 mil. Child labour (5-17): 215 million http://www.ilo.org/wcmsp5/groups/public/@dgreports/@dcomm/documents/publication/wcms_126752.pdf Source for 2004: http://www.ilo.org/global/Themes/Child_Labour/lang--en/index.htm http://www.ilo.org/wcmsp5/groups/public/@dgreports/@dcomm/documents/publication/wcms_126752.pdf http://www.ilo.org/wcmsp5/groups/public/@dgreports/@dcomm/documents/publication/wcms_126752.pdf http://www.ilo.org/wcmsp5/groups/public/@dgreports/@dcomm/documents/publication/wcms_126752.pdf http://www.ilo.org/wcmsp5/groups/public/@dgreports/@dcomm/documents/publication/wcms_126752.pdf http://www.ilo.org/wcmsp5/groups/public/@dgreports/@dcomm/documents/publication/wcms_126752.pdf Children in hazardous work: 115 million 2004 - 2010: 20% Increase in child labour in the 15-17 years age group: (from 52 million to 62 million) http://www.ilo.org/wcmsp5/groups/public/---dgreports/---dcomm/documents/publication/wcms_126685.pdf % Children in Poverty in OECD: Impact of State’s decline? (2000) Poverty Poverty Poverty http://www.tagg.org/rants/OECDChildPov.html INDIA (2004): • Conditions of ‘real’ poverty (worse than ‘monetary’ measure) – 26% of children are education poor; (cf. 52 % of adults) – 70% of children <13 years old are undernourished, 44% severely; – 7% of individuals aged 7 to 59 suffered from chronic illness. hdr.undp.org/.../presentations/2004/topic_3/Approaches%20to%20Measuring%20poverty,%20Fran ces%20Stewart.ppt PERU: (2004) •Condition of poverty (better than monetary measure) –7 % of children are education poor.(cf. 20 % of adults –29 % of children < 5 years were undernourished. (10 % of adults were health poor). hdr.undp.org/.../presentations/2004/topic_3/Approaches %20to%20Measuring%20poverty,%20Frances%20Stew art.ppt