The Shift in Manufacturing Jobs to Emerging Markets
In the last ten years, many manufacturing jobs have been shifting from Western Europe and North America to emerging countries, particularly in Asia Pacific. Carrie Lennard, Government, Labour and Education Manager at Euromonitor, explains that one reason for the job shift is that hourly wage is cheaper in emerging markets. The decline of manufacturing jobs in advanced economies has led to unemployment and a mismatch of population skill to jobs that the economy needs. As a result of the decline, advanced economies are focusing on research and development to gain economic ground, since they can’t compete with low cost manufacturing in emerging markets.