For a world having cut throat competition, outsourcing of work due to globalization exists and neglecting the rights of workers is a common problem in many countries. Worker entitlements have become a crucial point of debate and concern, not only in textile manufacturing companies but the corporate world as whole. Over the past several years, companies and NGO's together strive to ensure that workers receive their entitlements.
With the onset of globalization, new employment openings have come up like outsourcing and subcontracting in the last few decades. The pressure to survive in a competitive and open market has increased the need of outsourcing or subcontracting agreements. Outsourcing means allocation of service or business process to an external service provider. These methods are favored as it is cost effective for the manufacturer. Outsourcing ensures that the company receives higher profit margin and delivers uninterrupted and quick services to their customers.
There has been a spectacular change in the working environment of various countries in the last two decades. This is because the companies are forced to follow certain rules which create favorable conditions for workers in the organization. The traditional views of working have changed. Today, only achieving the objectives and goals of a company and maximizing profit will not help an organization to flourish. Apart from profits and goals, it is essential for companies to ensure that the workers are given their rights and they are not exploited.
An organization that outsources its work needs to ensure that the outsourced workers are not deprived of their fundamental rights and benefits. They need to create a healthy working environment where both the parties enjoy concrete benefits. Due to globalization there has been a significant shift of processing units to developing countries globally.
It has become imperative for industries to give standardized goods and services on time at an affordable price and still earn better profits. Hence, outsourcing has a strong demand. These industries rely on cheap, unskilled labor and women laborers which often comprises of 70-90% of the total workforce in Asian, Latin American and African countries.
On the positive side, this has led to more employment opportunities in the developing nations but most of these workplaces are unregulated, unsafe and deny basic rights to workers. Though strong international labor laws exist, but it is not implemented properly in many countries. Moreover, each country follows their own rules and regulations set for workers.
Employees should know that they have the right to get a written statement of the main terms and conditions of the employment. This includes work profile, wages, and hours of work, holiday entitlements, job hazards, sick leaves and overtime payment. If there are any illegal deductions in the pay, the worker has the right to ask about the deductions and get a detailed payment slip.