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Women workers in export processing zones in Asia : a political economy perspective Nakamura, Miyako 1992

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WOMEN WORKERS IN EXPORT PROCESSING ZONES IN ASIAA POLITICAL ECONOMY PERSPECTIVEbyNAKAMURA, MIYAKOB.A., Doshisha University, 1981LL.B.,LL.M.,OsakaOsakaUniversity,University,19881991A THESIS SUBMITTED IN PARTIAL FULFILLMENT OFTHE REQUIREMENTS FOR THE DEGREE OFMASTER OF LAWSinTHE FACULTY OF GRADUATE STUDIES(Faculty of Law)We accept this thesis as conformingto the required standardTHE UNIVERSITY OF BRITISH COLUMBIAApril 1992© Nakamura Miyako, 1992In presenting this thesis in partial fulfilment of the requirements for an advanceddegree at the University of British Columbia, I agree that the Library shall make itfreely available for reference and study. I further agree that permission for extensivecopying of this thesis for scholarly purposes may be granted by the head of mydepartment or by his or her representatives. It is understood that copying orpublication of this thesis for financial gain shall not be allowed without my writtenpermission.Faculty of LawThe University of British . ColumbiaVancouver, CanadaDateDE-6 (2/88)AbstractAn important characteristic of export processingzones (EPZs) in East, Southeast and South Asia is that70% to 90% of the workforce is comprised of young, singlewomen. In view of this, the success of EPZs as anindustrialization strategy would not be adequatelyassessed without taking into account the physical andsocial impact on women workers. Most discussions ofEPZs, however, have focused only on the economicadvantages and benefits of this development strategywithout any consideration of the effects on the women whowork in them. This thesis investigates the social,political, economic and legal forces operative in thecreation and maintenance of oppressive and exploitativeconditions for women workers in EPZs.In the countries under review, the integration ofyoung, single women into the paid workforce in EPZs was anew phenomenon. The selection of this particular groupof workers is the result of corporate and state policiesdirected to the maintenance of a comparative advantagewithin the current structure of export-ledindustrialization. Patriarchal ideology reinforces boththe selection and management of women workers. The stateiialso plays an important role in creating and maintainingconditions favourable to investment through the selectiveenforcement of investment, tax, labour and environmentallaws. The domestic legal protections that exist are, forthe most part, for the benefit of corporations, ratherthan for the protection of women workers.Employment in EPZs, as a result, has some benefitsbut mostly costs for women. On the one hand, womenworkers gain a measure of economic independence and arethereby liberated from some of the patriarchal forces oftheir family structures. On the other hand, they aresubject to health hazards and employment insecurity, andare provided little opportunity for advancement. Womenalso suffer public stigmatization as a result of theiremployment as factory workers. Even the familialpatriarchal control they escape is replaced bypatriarchal control by the corporation, local communitiesand the state.It is possible that international human rights lawmight be relied upon to address some of the problemsfaced by women who work in EPZs. In view of the lowratification rates of the countries under review,however, this does not seem likely. To this point,international conventions directed to improving workiiiconditions have had little effect. Still, increasedinternational attention, in particular, bynon-governmental organizations (NGOs), might help tobetter the working environment of women in EPZs.ivTABLE OF CONTENTSABSTRACTTABLE OF CONTENTS 	 .vACKNOWLEDGEMENT 	 iXCHAPTER I 	 INTRODUCTION 	 1CHAPTER II 	 ESTABLISHMENT AND DEVELOPMENT OFEXPORT PROCESSING ZONES IN ASIA 	 132.1. The Industrialization Process Geared toExport Promotion 	 132.1.1. Development strategy I	132.1.2. Development strategy II 	 142.1.3. Transnational corporations in theglobal economic order 	 162.1.4. The new international division of 	 17labour2.1.5. Assessing the success of the EPZ 	 18strategy2.2. The Main Characteristics of Export ProcessingZones	 202.2.1. Proliferation of EPZs Policy-based initiative Corporation-based initiative	 212.2.2. Definitions of EPZs 	 222.2.3. The legal background	 232.2.4. Application of a wider definition ofEPZ 	 242.2.5. Human aspects of the EPZ	 252.2.6. The labour force of the EPZ as "givin"	 27CHAPTER III 	 THE SOCIO-ECONOMIC DIMENSIONS ANDWORKING ENVIRONMENT OF WOMEN WORKERSIN EPZS	 303.1. Assessing the Impact of EPZs on Women	 303.2. The Laws Pertaining to EPZs	 313.3. The Employment of Women in EPZs: General	 333.4. Hiring Practices and Requirements	 343.5. Wages 	 403.5.1. Overall wages levels	 413.5.1.1. Minimum wage legislation	 433.5.2. Wages in comparison	 493.4.2.1. Comparison with male workers	 493.4.2.2. Comparison with industrializednations	 553.5.3. Socioeconomics of wages	 583.6. Hours of Work	 603.6.1. Hours actually worked	 603.6.2. Legal framework	 623.6.3. Quality of the hours of work	 63vi3.7. Shift and Night Work 	 643.7.1. Prevalance of shift and night work	 643.7.2. Legal regulations	 663.7.3. Effect of shift and night work	 713.8. Maternity Protection	 723.8.1. Legal framework	 723.8.2. Maternity protection at work	 743.8.3. Effect of "protective" legislation	 753.9. Employment Security	 783.9.1. Employment stability in practice	 783.9.2. Legal framework	 813.9.3. Employment instability	 843.10. Occupational Health and Safety	 863.10.1. The health status of workers	 863.10.2. Laws of industrial hygiene and safety	 953.10.3. The perspective of occupational healthand safety 	 993.11. Non-Wage Entitlements	 1013.12. Labour Management	 1043.13. Industrial Relations	 1103.13.1. International legal framework	 1113.13.2. The position of labour and trade unionsunder domestic law	 1143.13.3. Politics of industrial relations	 131viiCHAPTER IV 	 SUMMARY AND CONCLUSION 	 135FOOTNOTES 	 144REFERENCES 	 180viiiAknowledgementI am deeply indebted to my supervisor, ProfessorMarlee Kline for her continuting support, encouragementfor and careful attention to detail of this thesis. I amalso wholeheartedly appreciative of the expert assistanceoffered by my co-supervisor, Professor KarenMickelSon.I, also, would like to acknowledge the invaluableassistance extended to me by the UBC Libraries,particularly, the Inter-Library Loan Division of the UBCMain Library, in gathering some important materials formy research.The Rotary Foundation of the Rotary Internationaldeserves award of my gratitude. My study at UBC would nothave been possible without its generous financial support.Finally, I would like to dedicate this thesis to mysupervisor, the late Professor Bamba Nobuya at OsakaUniversity, whose inspiration has been behind my study atUBC.i xCHAPTER I 	 INTRODUCTIONThe PurposeThe purpose of this thesis is to assess change aswell as continuity in the position of women who work inexport processing zones (EPZs)' in South, Southeast andEast Asia. The focus will be on the socio-economicchanges on women wrought by the development strategy ofexport-oriented industrialization since the late-1960s indeveloping countries• 2The General SettingEPZs are industrial areas which are separated fromthe rest of a country and designated almost exclusivelyfor world market oriented industry. They are located inplaces where labour is cheap, with the result thatproduction processes are transferred from advancedindustrial nations to EPZs in underdeveloped countries.The majority of the workers employed in EPZs are young,unmarried women (FrObel, Heinrichs and Kreye1980, 344-346; Maex 1983, 49-50; Edgren 1984, 32-33, ILO1988, 58-59). 3 But for the presence of employmentopportunities in EPZs, these women would have remainedoutside of the industrial sector• (Edgren 1984, 34; ILO1988, 59). This is a radical departure from theemployment 	 structure 	 prior 	 to 	 the 	 export-led1industrialization phase (ILO 1985a, 11) as well as thegeneral employment patterns of multinational enterprisess(FrObel, Heinrichs and Kreye 1980, 15; ILO 1985a, 13). Inother words, a transnational reorganization ofproduction processes has produced in the Third world agroup of young women workers who would not have otherwiseentered the salaried labour force.The PerspectiveIn the labour market as in the EPZ, women areoverrepresented in some industries and occupations. Theyalso occupy lower occupational positions and receivelower wages than their male counterparts.s A number oftheories have been developed to explain women's positionin paid employment (Walby 1990): the human capitaltheory, the labour market segmentation theory,' theMarxist feminist theory, the "housewifization" theory andthe socialist feminist theory. 8The orthodox human capital theory holds that wagelevels of workers are related to "human capital"(education, training and skill) (Mincer 1980). Becauseof their role in the family, women are recognized ashaving a lower average level of human capital than men.They are, as a result, less productive than men, which,in turn, leads to relatively lower wages for women thanthose for men. Under market conditions, it is argued that2women choose amongst paid work, housework and leisure° inorder to best meet their family's needs (Mincer andPolachek 1974).This neo-classical perspective suffers someproblems. Firstly, it does not address the fact that themajority of women's lives are not divided in the way thatit assumes. There is, for example, no end to housework'°for many women, nor can women be unquestionablyidentified with domestic work. Secondly and relatedly,the formulation of women's "free choice" ignores powerrelationships within the family" which limit women's"free choice" (Walby 1986). The demand side of thelabour market is also ignored (Blau and Jusenius 1976),thereby taking little account of an important factor inthe unemployment of women (Walby 1986). Thirdly, thelevel of women's human capital both causes and results inconstraints for women in the labour market: lower wagesfor women may discourage women from investing in humancapital and low investment in human capital maycontribute to women's lower earnings (Amsden 1980).Fourthly, as will be discussed later,' 2 human capitaldoes not necessarily correspond to wage levels (Gordon1972; Craig, Rubery, Tarling and Wilkinson 1982).' 3The segmented labour market theory or the duallabour market theory was developed as a challenge to thehuman capital theory which fails to'account for the ways3in which the labour market is stratified, and also as aresponse to the political imperatives created by theemphasis on the eradication of poverty in the 1960s(Harrison 1971; Cain 1976). The central thesis is thatthe labour market is divided into two segments, theprimary which offers stable employment and opportunitiesfor advancement, and the secondary which consists ofinsecure, lowly paid and unskilled jobs with almostnon-existent advancement opportunities (Doeringer andPiore 1971; Barron and Norris 1976). According to Barronand Norris (1976, 53), employers believe women possessattributes which make them, as as a social group, a"likely source of secondary workers": dispensability(whether voluntary or involuntary), clearly visiblesocial differences (sex, race, and ethnicity), littleinterest in acquiring training and experience, lessconcern with monetary rewards than men, and lack ofsolidarity. Women are recognized as having theappropriate characteristics for the secondary labourmarket due to their primary role in the family. The duallabour market theory focuses on the demand factor of thelabour market'4 and problematizes occupationalsegregation between female and male workers.However, the fact that not all women possess suchcharacteristics as described above can amount to"statistical discrimination"'s (Blau and Jusenius 1976;4Phelps 1980) on the part of employers when decisionsregarding individuals are not made on a case-by-casebasis, but are based on group-based probabilities.Moreover, employment insecurity is not only accepted butis encouraged by employers: jobs in the secondary labourmarket with almost no career ladders lead to workforceinstability and high turnover rates" (Barron and Norris1976; Sokoloff 1980). Furthermore, skill becomesundervalued simply through participation in the secondarysector (Phillips and Taylor 1980; Coyle 1982; Barrett1988).More fundamental criticisms can also be directed atthe dualist model. The recent literature explains theprocess of segmentation from various points of view, forinstance, on the basis of technological requirements(Berger and Piore 1980). This can be contrasted withearlier monocausal explanations such as segmentationresulting from skill and stability as valued by bothcapital and labour (Doeringer and Piore 1971). But thedualist model does not take into consideration commonlyheld ideas about the role of women and theirrelationship to labour force participation (Walby 1986).It also fails to consider the role of the state in theregulation of the labour market (De Brunhoff 1978; Offeand Lenhardt 1984), in such areas as welfare andpopulation policies for the supply side and public5expenditures for the demand side."As regards labour market segmentation, Stanko(1988) argues that sexual harassment's at the workplaceis one of the contributing factors, since it becomes ameans for male workers to keep women out of maleoccupations."The idea of married women as the "reserve army oflabour" was developed by Marxist feminists to explain thedisadvantaged position of women in the labour market.This theory is based on the gender-blind classicalMarxist 2 ° concept of industrial reserve army. 2 ' VeronicaBeechy (1977, 1978) argues that as a result of theirrole in the family, married women function as a cheap,unskilled, flexible and disposable labour force. As forsingle women wage labourers, she suggests that theireconomic position is similar to that of young single maleworkers in that they do not have to bear the cost oftheir own and generational reproduction, and on theseassumptions they are paid less and depressed intopoverty (Beechy 1977). This approach explains women'sposition in the labour market based on the needs ofcapitalism.The criticisms mounted against this theory aretheoretical as well as empirical. Empirical evidencesuggests that as a whole women do not constitute areserve army of labour drawn during economic upturns and6discarded during recessions (Milkman 1976; Bruegel 1979).To the contrary, as Barrett (1988) suggests, the Japaneseexperience in the 1980s was that women were drawn on intimes of recession as part-timers, while full-time maleworkers were discarded (Ueno 1990). The assumption thatwomen are dependent on male wages is another problem, notonly from statistical evidence of household incomesources, bUt also from critical importance of women'swages to the whole income of the family. Putdifferently, Beechy's treatment of the idea of "familywages" 22 and of the form of family" raise issues(Anthias 1980; Redclift 1985). On a more theoreticallevel, as Walby (1986) has pointed out, this theory doesnot adequately explain the reason why "cheaper" women arenot constantly employed. Moreover, the sex-stereotypedallocation of work remains unquestioned (Milkman1976).A line of argument similar to that advanced byBeechy, but on a global scale, is the "housewifization"theory (Mies 1986, 1988; Bennholdt-Thomsen 1988). Thistheory suggests that it is the global construction ofwomen as dependent housewives, which has contributed tothe creation of a cheap gender-based source of labour inboth developing and developed countries. 24 It alsosuggests that the state has played a major part in theconstruction of the "housewife."'7The problem with this conceptualization is, however,that the ideologically constructed similarity of women as"housewives" is divided along the lines of race,ethnicity and class." As long as social relations arebased not only on ideological factors but also materialfactors, differences among peoples such as where theylive and how race and ethnicity affect their livesacross state boundaries, should be taken intoconsideration in analyzing their positions andinterconnections on a global scale.Meanwhile, socialist feminists approach occupationalsegregation by sex from a perspective attentive to theunequal distribution of power between men and women inboth the family and the labour market. They focus, inother words, on both social relations of sex(patriarchy) 27 and social relations of class(capitalism). The central argument of socialist feministsin this context is that job segregation by sex undercapitalism maintains the superiority of men over womenbecause it enforces lower wages for women in the labourmarket which, in turn, keeps women dependent on men.Women are encouraged by their lower wages to marry inorder to take advantage of a husband's "family wages"(Hartmann 1976). Within this structure, moreover, maleworkers have organized to limit the participation ofwomen in the labour market by lobbying for protective8legislation, for example (ibid.). 28 Hartman concludesthat patriarchy and capitalim are interlocking and theirmutual accomodation has historically created a viciouscircle for women (ibid.).One of the major criticisms against Hartmann's dualsystems approach concerns the analytical possibility ofseparation between capitalism and patriarchy which arein fact mutually influential (Young 1981). Yet, women'soppression cannot be confined to one sphere. Sylvia Walby(1986, 1990) also critiques Hartmann's idea (1976) thatpatriarchy and capitalism share interests. Walby seesboth harmony and contradiction between the two structuresand emphasizes that they are historically specific.Moreover, she suggests that women's inferior position inwaged work constructs their subordinated position in thehome, not the other way around. Patriarchal relations inpaid work maintain capitalist system. Furthermore,Hartmann (1976) does not fully address the significanceof race and ethnicity in analyzing gender relations(Walby 1986, 1990). 29Explanations for women's disadvantaged position inthe labour market vary. In order to avoid a one-sideddescription or understanding of the conditions of womenworkers in the EPZ, however, it is necessary to analyzetheir positions in terms of institutionalized powerexercised in the form of law, state policy and family9relationships with their underlying ideology. Instead ofrelying on one of the theories described above, theperspective adopted here of women's employment in EPZs isone which recognizes interplay and contradition betweencapitalism and patriarchy in the changing world economy.It also incorporates the role of the state inestablishing and reinforcing the position of women inpaid employment in the context of the pursuit of economicdevelopment through export-oriented industrialization.Attention will also be paid to the socio-cultural andethnic/racial dimensions of women in the context of EPZs.Once it is recognized that women are differentlylocated than men in the labour market, the relationshipproposed between gender and labour in some of the abovetheories becomes much more problematic. It then becomespossible, for instance, to investigate in more concretecircumstances the factors giving rise to thedisproportionate performance of cheap labour by women.Similarly, the confinement of women to a few occupationalareas or to "female" occupations becomes a topic ofinvestigation. For, as the increasing literature on womenand work has revealed, gender is related to economic andpolitical spheres of life (Hartmann 1976; Sokoloff 1980;Seguret 1983; MacKintosh 1984; Phillips and Taylor 1980;Elson and Pearson 1980, 1981, 1984; Heyzer 1986; Mies1986; Walby 1986, 1990; Humphrey 1987). Likewise,1 0development of legal relations between women and mencannot be separated from the process of industrialization(Polan 1982; Taub and Schneider 1982).The Central IssuesThe purpose of this thesis, therefore, is to examinethe impact of world market-oriented industrialization onwomen in paid employment, in a way which recognizeswomen's social position not as natural, but as sociallyconstructed by patriarchal, capitalist and state relations.More specifically, this thesis begins byinvestigating the reasons why workers characterized by aspecific age, sex and marital status have recently joinedthe labour force in Southeast Asian countries. It strivesto identify, in other words, the grounds on whichemployers selected a specific cohort of women forindustrialized work. Secondly, this thesis examines theconditions that women EPZ workers encounter and cope withboth inside and outside the factory. The focus of theapproach taken in this part is not only economic, butalso social and political. Thirdly, this thesisinvestigates the forces operative in the creation andmaintainance of oppressive and exploitative conditionsfaced by women workers in EPZs.The structureChapter II describes the establishment anddevelopment of EPZs in the changing world economy. Thefocus here will be on changes in the development strategyof less developed countries and of internationaldevelopment agencies, and on the concurrent defensivedeployment of multinational enterprises into newlyindustrializing areas as a response to the end of the eraof their rapid economic expansion.The next chapter explores the socio-economicposition and working environment of women workers in EPZsin Asian countries under review, in the context of thelegal status accorded and observed under international aswell as domesic laws, particularly in the field of labourand industrial relations. After discussing their rights,remuneration,	 participation,	 occupational distributionpractices,effects ofworkforceand educational backgroundemployment 	 on 	 theareconsidered.In the last chapter, argument developed in theand trainingtreatment of the workers at EPZs and thenew 	 industrialpreceding chapter is summarized. Conclusion includesfeasibility of using law towards change in workingconditions in a wider framework of political economy. Itis women workers themselves who have to bear the truecost of employment.1 2CHAPTER II	ESTABLISHMENT AND DEVELOPMENT OF EXPORTPROCESSING ZONES IN ASIAEmployers in EPZs hire almost exclusively young,unmarried females, as noted earlier. In order to betterassess the impact of industrial employment of women,this chapter examines the role and position of EPZs inthe process of development at both national andtransnational levels.2.1. The Industrialization Process Geared to ExportPromotionThe EPZ is a recent phenomenon.	 It arose first inIreland' and was quickly promoted by a number ofpolitical leaders 2 and neo-classical economists withconsiderable influence over international banking andfinancial institutions, as one of the most promising waysto facilitate economic development throughindustrialization.2.1.1. Development strategy IAfter the 1950s, developing countries, seeking tocatch up with industrialized countries, adopted a policyof industrialization through import substitution.' Importsubstitution industrialization is a strategy by which1 3light industries are developed first, with a view tofreeing non-industrialized countries from greatdependence on developed areas. For that purpose domesticinfant light industries are protected against competitionwith foreign capital through protectionist legislationand selective allowance of the importation of machineryequipment for industrial use.This development strategy, however, soon encounteredsetbacks. The consequences were accumulation of debts,increase in unemployment, and uneven distribution ofincome, which offset positive effects, such as reductionof imports of manufactured goods, in particular, consumergoods. In order for light industries to survive,dependence on primary products for export, which underthe colonial rule they were forced to introduce andaccept, was increased (Leaver 1985, 12). Even RaulPrebisch, an Argentine economist and later SecretaryGeneral of the United Nations Conference on Trade andDevelopment (UNCTAD) 4 who, in the 1950s, prescribed thispolicy on the basis of Latin American experience,conceded, in 1964, that this domestic-orientedindustrialization	 strategy 	 had 	 failed 	 to 	 fostercompetitive industries (Cited in Muto 1977: 13).2.1.2. Development strategy IIIn the mid-1960s, after an impasse had been reached1 4in 	 import 	 substitution 	 industrialization,5 	 anotherindustrialization 	 strategy 	 developed: 	 that 	 ofexport-oriented industrialization. This industrialstrategy relies on local labour and imported material andpromotes the export of intermediate or final products todeveloped countries. In adopting such a policy, statesoften facilitated the introduction of foreign investmentand export through measures such as redenomination ofcurrency, the provision of physical infrastructureincluding low-cost buildings, telecommunication equipmentand so forth. It is at this point that the comparativeadvantage in industrialization in underdevelopedcountries came to light-namely, the abundance ofinexpensive local labour. The International Bank forReconstruction and Development (the World Bank) and theInternational Monetary Fund (IMF) 6 strongly supportedthis new policy orientation (Enloe 1983, 411; Fuentes andEhrenreich 1983, 9; Mitter 1986, 70). 7 It should benoted, however, that both are managed by member stateswhich hold voting rights proportional to theirshareholdings, i.e., capital-exporting countries such asthe United States, the United Kingdom, Germany, Franceand Japan. Both organizations have, as a result, servedthe interests of those already in power, through keepingtheir borrowing countries open to foreign investment andensuring that conditions within those countries are1 5attractive to foreign investors (Payer 1982).2.1.3. Transnational corporations in the global economicorderDuring the same period, transnational corporationsin competition with each other began to make inroadsinto the Third world.a Full-scale development ofunderdeveloped areas was embarked upon in the 1970s inorder to maintain profit margins by minimizing productioncosts. Higher labour cost is the main constraint in thedeveloped countries as the UNIDO acknowledges (Vittal1977, 3). This trend was encouraged by the existence ofthe special tariff provisions for offshore assembly fornearly all industrial countries (Finger 1975). Thesetariff provisions allowed for the reimportation of goodsprocessed outside of the originating country withreference only to the value added abroad. 9 Above all, theexample of Japan's industrial growth and its success inexporting to the United States and Western Europe loomedlarge in those countries and facilitated this newdeployment of transnational corporations (Hart-Landsberg1984, 183).Technological development and refinement in themeans of production, transportation and communicationalso made it possible for production processess to beautomated and/or divided into units, to be carried out in1 6different locations. New developments in containerizationof cargoes also contributed to easier handling andshipment of materials and products, and thus to reductionin freight costs.' 0As a result of these factors, industrial processeswhich are labour-intensive and harder to completelymechanize were relocated to areas where labour is cheapand more readily available. At the same time developingcountries facilitated export-oriented industrializationthrough changes in domestic development policy assistedby international financial and development organizations.FrObel and his associates have labelled the resultantglobal relocation of production processes a newinternational division of labour" (Fritibel, Heinrichs andKreye 1976).2.1.4. The new international division of labourThe new aspects of this world-wide utilization oflabour forces for world market oriented manufacturing liein the way in which the division of labour is organized.In previous periods, developing countries had, for themost part, exported primary products to theindustrialized world, or rather, international capitalhad financed the extraction of primary products from lessdeveloped areas. At the same time, Third world countries .had imported manufactured goods from industrialized1 7nations. In the present period, production processes areorganized transnationally such that goods can bemanufactured as cheaply and sold with as much profit aspossible. Central to such export-orientedindustrialization is the EPZ, which provides the meansfor investors to achieve high economic growth throughexportation (Fujimori 1978, 60; Shoesmith, ed. 1986, 24).2.1.5. Assessing the success of the EPZ strategyThe establishment of EPZs for industrialization andthus economic growth and development has been advancedand supported by mainstream or neo-classical economistsand policy makers. They argue that the benefits of EPZs,in the short run, will be increased investments,employment generation and export promotion. In the longrun, it is argued that EPZs will have a "spread effect"which may take the form of linkages and technologytransfer (ESCAP & UNCTC 1985, 69).' 2The evaluation of the EPZ has thus far beenconcentrated on economic aspects (Dror 1984: 705).The next section is devoted to the socio-economicconditions and working environment of women workers inEPZs.1 82.2. THE MAIN CHARACTERISTICS OF EXPORT PROCESSING ZONES2.2.1. Proliferation of EPZsThe EPZ constitutes the core of national developmentstrategy of export-oriented industrialization, asdescribed earlier. The number of EPZs in operationincreased from 11 as of 1970 to 96 as of 1981 (Basileand Germidis 1984, 22), and to 176 as of 1986 (ILO 1988,165). The breakdown by area is: 25 in Africa, 95 in Asiaand the Pacific, and 56 in Latin America and theCaribbean (ibid.). The number under construction is 86and at the planning stage is 24, as of 1986 (ibid.)." Policy-based initiativeThe concept of EPZs has been propagated followingthe clear success of Shannon experiences (Basile andGermidis 1984, 22; ILO 1988, 2),' 4 not only by the WorldBank and the IMF, but also the United Nations Conferenceon Trade and Development (UNCTAD) and the United NationsIndustrial Development Organization (UNIDO) (Tsuchiya1977a, 4; FrObel, Heinrichs and Kreye 1980, 295-297;Fuentes and Ehrenreich 1983, 7; Basile and Germidis1984, 23). The UNCTAD was established in 1964 to promotetrade beween industrialized and non-industrializedcountries as a response to the mounting pressure fromthe Third world to seek some solution to the aggravating1 9"North-South Problem." The slogan was 'trade, instead ofaid.' The UNIDO, founded in 1967, has as its purpose theacceleration of the industrialization of developingcountries. The perspective towards the zone which FrObeland his associates develop is constructed around thefunction of the valorization process of capital (FrObel,Heinrichs and Kreye 1980, 296). The UNIDO recommendationsas to the basic structure of EPZs are in almost all casesrealized in the zones (ibid., 301). In the Asian region,the Asian Productivity Organization (APO) 1 " with itsheadquarters in Tokyo also played a significant roleduring this phase (Tsuchiya 1977a, 4).Other factors also account for the rapidproliferation of EPZs throughout the world. For thoseinvolved in policy- and decision-making or industrialdevelopment, whether in the framework of internationaldevelopment organizations or of national developmentinstitutions, this concept seemed to be ideal formaterializing sustained industrial development. Toestablish production sites in the zone, incomingcapital had to observe the condition: of exporting allvalue-added products, except in some cases where localsales are permitted," which seemed to guarantee a sourceof foreign exchange earnings.In addition, the type of industries arelabour-intensive in nature, which seemed to create more2 0employment than other types of investment. The fact thatin developing countries the labour supply has grownrapidly due to the continued high rate of populationgrowth has created an unemployment problem,' 7 to thoseindustries were expected to offer solution. Nonetheless,according to FrObel andothers, there is noapparentcorrelation between the size of populationand/or the percapita income and the establishment of facilities toaccelerate exportation, including EPZs, (FrObel,Heinrichs and Kreye 1980, 317),in spite of thefact thatthe government expressed hope for resolving their"unemployment problem" by establishing EPZs.The Free Export Zone Establishment Law of theRepublic of Korea, enacted on January 1, 1970, forinstance, clearly states the aim of the EPZ in article 1:it serves "the promotion of exports, increase inemployment opportunity and the anticipated transfer oftechnology thereby contributing to growth of the nationaleconomy" (Tsuchiya 1977b, 54). Corporation-based initiativeFor transnational corporations, three factorscontributed to the relocation of some productionprocesses: the utilization of "comparative advantage" ofless developed countries, the withholding of certainworkers' rights so as to ensure smooth operation, and the2 1provision of means of circumventing trade restrictionsthrough having production sites where no multilateraltrade agreement interferes with their export quota of theproducts concerned" (ILO 1988, 3). As Wall (1976) haspointed out, however, this "comparative advantage" doesnot accompany the establishment of EPZs itself, but iscreated with other fiscal and administrative incentivesto reduce barriers against foreign investment."2.2.2. Definitions of the EPZsIt might be useful here, before discussing the maincharacteristics of EPZs, to refer to the definition.The UNCTC and ILO joint study defines the EPZ asfollows (ILO 1988, 4):a clearly delineated industrial estate whichconstitutes a free trade enclave in the customs andtrade regime of a country, and where foreignmanufacturing firms producing mainly for exportbenefit from a certain number of fiscal andfinancial incentives.A more detailed definition given by the UNCTAD is(UNCTAD 1975, 2):an export-processing free zone (i.e. EPZ)* isan enclave within a national customs territory,usually situated near an international airport and/orport, into which foreign capital goods, componentsand materials are brought without being subject tocustoms requirements. The imported products areprocessed within the zone, then exported elsewhere,without intervention from the customs authorities ofthe host country. The payment of customs duties isnot required unless these products - or the finalgoods in which they are incorporated - enter thenational customs territory of the host country (thisis the exception rather than the rule, insofar as2 2the entire production of such zones is normallyexport-oriented.*parentheses addedThe World Bank offers a more detailed version of thedefinition which distinguishes the EPZ from the freetrade zone (Gonderez 1981, 7-8).'The export processing zone is a relativelyrecent variant of the widely used free trade zone -a designated area, usually in or next to a portarea, to and from which unrestricted trade ispermitted with the rest of the world. Merchandisemay be moved in and out of free trade zones free ofcustoms, stored in warehouses for varying periods andrepackaged as needed. Goods imported from the freetrade zone into the host country pay the requisiteduty;their prior storage in free trade zone warehousespermits rapid delivery to order, meanwhile savinginterest on customs payments.Free export processing zones (i.e. EPZs)*,more specifically, also provide buildings andservices for manufacturing, i.e., transformation ofimported raw and intermediate materials into finishedproducts, usually for export but sometimes partly fordomestic sale subject to the normal duty. The EPZzone is thus a specialized industrial estate locatedphysically and/or administratively outside thecustoms barrier, oriented to export production. Itsfacilities serve as a showcase to attract investorsand a convenience for their getting established andare usually associated with other incentives.' 2 °*parentheses addedThe 	 definitions	 focus 	 on 	 the 	 territorialcharacteristics which amount to 'a country within acountry' (Tsuchiya 1977a, 1) combined with financial andother privileges for export promotion.2.2.3. The legal backgroundThe legal perspective offers a more concretecharacterization of the EPZ as defined above.2 3The extraterritorial status mentioned above, thatEPZs enjoy economically as well as administratively,consists of in an official, i.e. de jure exemption fromdomestic civil laws such as tax laws, company laws, andforeign exchange laws, 2 ' and from bureaucratic red tape,with which the EPZ investors operate efficiently andrapidly both in terms of time and cost. Thenon-applicability of civil laws is also reinforced byspecial investment incentives laws which aim to attractforeign capital in export-oriented manufacturingindustries. 22Moreover, the non-fiscal investment incentives arelegally institutionalized, arranged and guaranteed throughthe establishment of governing institutions dealingspecifically with the EPZ firms. 2 3 The EPZ authoritiesare administratively separate from the government andhave power to act as an intermediary between the EPZcompanies and most of the rest of the government. Theyare entitled to negotiate with foreign governments andcorporations overriding the authority of other governmentinstitutions. Accordingly they streamline administrativeprocedures, for instance, in contracting leasing andgranting licences. These administratively powerful EPZauthorities are one of the strategic measures of hostcountries for the creation of a favourable climate forforeign investment and at the same time one of the most2 4significant advantages to foreign firms that considerrelocating or already located inside the zone (Leinbach1982, 462; Warr 1985, 13).Furthermore, many governments give legal guaranteesnot to nationalize foreign-owned firms. 242.2.4. Application of a wider definition of the EPZThe definition of the EPZ as a special zonesupported by domestic legal arrangements cannot, however,deal with cases where free trade applies throughout thecountry or the area, for instance, in Singapore and HongKong. In the cases of Singapore, Hong Kong and Macao, nodistinct physical zone is necessary and therefore thenarrow definition excludes those areas which exhibit thesame features such as no tariff provisions or importrestrictions as in the strictly defined EPZs. Althoughthe territories mentioned above do not in fact encompassthe entire areas but specifically designated industrialparks, for the purpose of research here, Singapore andHong Kong are covered by adopting a wider definition. 252.2.5. Human aspects of the EPZThe definitions of export processing zones do not,or rather cannot mention the human aspects, that is, theutilization of labour. It is absolutely necessary,however, to take the labour force into account as a2 5pivotal factor in the appraisal of the zone, as FrObeland his associates pointed out (FrObel, Heinrichs andKreye 1980, 301), although with a decisive flaw that theydid not analyze critically nor emphasize suffiently thecommon feature the labour forces in EPZs share.Otherwise, the problems of export processing zones as adevelopment strategy cannot be grasped in perspective. Acase in point as to the main characteristics of EPZs isthe nature of the labour force which relates to theindustries transferred, and which constitutes the corefactor in international competition, that is, the costof production (FrObel, Heinrichs and Kreye 1980, 322;Nash 1983, 7; Basile and Germidis 1984, 26-28). Theprinciple of international competition cannot escape fromthe intensified phase of export-orientedindustrialization. It is the production cost that showsthe biggestdifference between industrialized anddeveloping countries, which gives "comparative advantage"to industrializing areas. The inexpensiveabour is thustranslated into their "comparative advantage." Women arethe one that have been employed cheaper than men,and they can be changed into the "comparative advantage"per se with other investmentincentives. Productionprocesses which are relocated is those that cannotmaintain competitive edge in advanced industrializednations due to its labour-intensive nature. A cheap and2 6abundant female workforce is available in developingcountries. This cannot, however, explain the reason forspecific age group and marital status pertaining tothe women workers. Relocation of production processes isparticularly keen in textile, garment and electronicsindustries, although the sectoral distribution ofenterprises among countries is uneven (Maex 1983, 28-29).They are the so-called "industrial monoculture" in EPZs.Manufacturing sectors of toys and sporting goods tend tobe relocated for the same consideration at the stage ofthis global sourcing.2.2.6. The labour force of the EPZ as "given"Prime factors identified by FrObel and his associatesin the decision to relocate are as follows (FrObel,Heinrichs, and Kreye 1980, 327-328): 1) availability of apractically unlimited supply of labour, 2) the utilizationof an extremely productive labour force, 3) theutilization of an extremely cheap labour force, and4) the uilization of an extremely "compliant" labourforce.The criteria for selection are, according to theirstudy, those who 1) work for the lowest wages, 2) are themost productive (can be expected to work at a highintensity) and 3) unskilled and semiskilled (ibid., 347).Following these findings, they offer plausible2 7explanations as to the decision of relocation andemployment. Unfortunately however, they areunsatisfactory and inadequate in that they giveexplanations from the point of the view of the ways theyhave been or have been supposed to be. It is not too muchto say that they reasoned a posteriori."Women have to sell their laboui-power at thelowest possible price because under the conditionsof underdevelopment women have even less possibilitythan men to change their living conditions: or toputit more bluntly, they have fewer possibilitiesof guaranteeing their day to day physical survival.In addition to the great wage differentials anothermajor reason for the employment of women is thehigher intensiy at which they will work." (ibid.).As is evident from this excerpt, they do not give anysubstantial reasons for the correlation between the"characteristics" women workers are supposed to have andthe de facto manifestation in the labour market. Why arethose women productive, inexpensive and docile at thesame time?	 Are not they contradictory even bythemselves? 	 Are they really willing to work for lowerwages? How can those labelled as un- or semi-skilled bemore competent than men who are not labelled alike in thelabour market? Some positive, not descriptive,explanations linking the women's position in the labourmarket and their supposed characteristics should be givento these facts.It could be inferred then from the factors inrelocating part of the production process and the2 8criteria used for selection of the workers that someeconomic and social conditions that are prevalent inthose developing countries and to some degree that havebeen legally institutionalized and politically supportedhave some influence on the specificity of the workforcecomposition.The next chapter examines the ways in which the womenworkers are incorporated into the industries in EPZs.General descriptions of the women workers and theirworking environment in the industrial estate arereinforced by refererence to the legal aspects, inparticular, labour-related laws and regulations.2 9CHAPTER III 	 THE SOCIO-ECONOMIC DIMENSIONS AND WORKINGENVIRONMENT OF WOMEN WORKERS IN EPZSThis chapter considers the socio-economic aspects oflaw with a focus on the ways in which labour andindustrial policies of each country, as expressed inEPZs, are related to the new international divison oflabour. It also addresses the ways in which the resultingworking conditions and environment affect women workersindividually as well as collectively, whether at theworkplace or outside the labour market. The focus is onhow development policy can change the quality of life ofthe people affected by it. This differs from theneo-classical point of view that attests development canbe measured in quantity, i.e., the GNP (gross nationalproduct) which is still the most influential one at thepolicy level (Higgott and Robison with Hewison and Rodan1985, 16).3.1. Assessing the Impact of EPZs on WomenThe working conditions and the environment of womenworkers, including factors such as occupational status,remuneration, job security and industrial relations, showstriking similarities among EPZs rather than bigdifferences, as will be examined in this chapter.3 0The purpose of establishing EPZs as a developmentstrategy could be an explanatory variable for thesimilarities of working conditions. It has been pointedout that in most EPZs the UNIDO guidelines for thelegislation and infrastructure for the EPZ are observed(FrObel, Heinrichs and Kreye 1980, 296). This is, however,at best, circular reasoning.The aim here is to abstract similar aspects fromsome EPZs of different countries, to arrive at commonlyheld characteristics of the labour force, and by so doingto assess the costs and benefits of the participation ofwomen workers. In other words, terms and conditions ofemployment of women, vis-a-vis men where possible, arediscussed from the perspective of not only economic, asis usually the case (Dror 1984, 705),' but also social,political and legal treatments and consequences.Particular attention is paid to factors underlying,creating and reinforcing the practice of workingconditions in EPZs.Specific policy would be better understood,assessed, and analysed if broader implications of itsimpact were taken into account. Implications of a policyshould not be construed only in a narrowly definedcontext, in this case, economic development.3.2. The Laws pertaining to EPZs3 1There is no international EPZ law. Rather, EPZs aregoverned by the domestic laws of each country. There are,however, international standards, which are applicable tothe states examined here, which also provide a legalframework within which EPZs might be governed.In some cases, domestic laws and regulations areapplied selectively or specifically developed to apply tothe EPZ, with a view to facilitating the introduction offoreign capital. Examples which fall into this categoryinclude exemptions from customs duties and income taxes,duty-free importation of raw materials, equipment andcomponents, and the establishment of special departmentsdealing exclusively with EPZ administration so as tominimize red tape.Labour, safety and environment laws and regulations,for example, will usually apply to an EPZ in the same waythey do to the rest of a country. Sometimes, however,special administrative orders will limit theirapplication or they will not be enforced within an EPZ.For example, bans are sometimes placed on strikes, orregulations regarding overtime work are not enforced, orselective employment of women with a specific maritalstatus is allowed. Working conditions in the EPZ areattributable, in part, to the laws and regulationsactually applied and/or evaded within each particular3 2country.3.3. The Employment of Women in EPZs: GeneralThere are no sustained theories developed as to therelation between female labour participation 2 and economicand non-economic variables (Psacharopoulos and Tzannatos1989).The influx of these women into the EPZ industries ispartly explained by factors which accompany economicdevelopment, such as the expansion of cash economy whichincreases the need to earn money and the decrease inemployment opportunities in the wage labour market inrural areas resulting from increasing population (Heyzer1986; Shoesmith, ed. 1986). For the majority of women,remunerated employment is considerably related toeconomic necessity (Snow 1979; Sasahara 1980; Djao 1981;Salaff 1981; Heyzer 1986; Shoesmith, ed. 1986;Goonatilake and Goonesekere 1988).Reasons which flOw from the supply side of thelabour market, i.e., economic necessity, however, cannotadequately explain the consistent age and marital statusof women workers nor the fact that they usually continueas factory floor workers up to the time they leave thewaged labour force (Maex 1983, 53; ILO 1985a, 28) whichlargely coincides with the mean age of marriage (Maex3 31983, 50).It is accordingly necessary to comprehend thereasons for those characteristics of the workforce fromthe demand side of employers. Demand factors for almostexclusive use of specific segments of the female labourforce are the key reasons for this pattern of employment.3.4. Hiring Practices and RequirementsEmployers in EPZs prefer to hire young, single womenfresh out of school, 3 particularly those in their lateteens or early twenties. 	 It is thought these women aremore likely to be amenable to discipline, less likely tobe soon married, and thus less likely to require maternityleave and other maternity benefits. 4The following are examples of statements bypersonnel managers which help explain the desire for"disciplined" or "submissive" women workers."Young male workers are too restless andimpatient to be doing monotonous work with nocareer value. If displeased, they sabotage themachines and even threaten the foreman. But girls,as [sic] most they cry a little" (Cantwell, Luceand Weinglass n.d., 14)."We hire girls because they have lessenergy, and [sic] more disciplined, and areeasier to control" (Grossman 1979, 2)."Workers in the United States don't tolerateas much discipline.. • • • The girls here aregreat, because even under the gun they hardly ever.complain" (Shapiro 1981, 13).3 4Women are also considered by employers, Asiangovernments and researchers to be more efficient bynature than men. Women are considered by personnelmanagers to have "better eyesight and more agile hands andnimble fingers, i.e., in short, a higher degree ofmanual dexterity than their male counterparts" (Maex1983, 52). Asian women, in particular, are thought tohave innate manual dexterity. This belief in innatemanual dexterity of women in Asia is reflected inadvertisements recruiting foreign investment in EPZs; Forexample, an investment brochure issued by the Malaysiangovernment in the U.S. reads as follows (cited in Lim1978, 7; Ho Kwon Ping* 1979, 76; Elson and Pearson* 1980,14; ibid. 1981, 93; ibid. 1984, 23)(*Ho Kwong Ping andElson and Pearson do not cite "(n)o need to---themselves."):"The manual dexterity of the oriental femaleis famous the world over. Her hands are small andshe works with extreme care.... Who, therefore, couldbe better qualified by nature and inheritance, tocontribute to the efficiency of a bench-assemblyproduction line than the oriental girl? No need fora Zero Defects program here! By nature, they"quality control" themselves."In effect, the government of Malaysia is hereexploiting, and thereby reinforcing, a Western stereotypeof Oriental women, in order to attract foreigninvestment.Some researchers (Elson and Pearson 1980, 1981, 1984)3 5have analyzed the impact of such advertising byconsidering how they rely on and reinforce genderstereotypes. 5 As Carby (1982, 220) has pointed out,however, it is important also to recognize theimplications of the specific focus on "Oriental" women insuch brochures. The treatment of Asian women as thoughthey were naturally adept at EPZ-type work contributes tocommonly held racist attitudes.The educational levels of women workers varyaccording to the industry in question. The electronicsindustry, for example, has a tendency to employ thosewith higher educational levels. English languagecommunication skills are also regarded as an asset bysuch employers, particularly by the U.S.-basedmultinationals (Lim 1978, 13). 6 Workers with higher thannecessary educational qualifications, however, have beenfound to be rejected (ibid.), because management findsthem harder to control (ibid.; Ong 1983, 437 f7).While the upper age limit set and observed byemployers is around 24, 7 the lower age limit is fixed bylaw (Lim 1978, 12). 6 For example, in the Philippines,under article 59 of the 1974 Labour Code" only people ator above the age of 14 years of age can qualify for anapprenticeship.'° As regards ILO standards, the minimumage for admission to employment is set at present at 15years of age." Although formerly the ILO Conventions' 23 6laid down the general standard of 14 years of age, it wasraised to 15 years of age' 3 to provide greater protectionfor young persons as well as a solution to unemployment(Valticos 1979, 183). As of December 31, 1989, however,none of the countries covered here had ratified theMinimum Age for Admission to Employment (No.138)Convention (ILO 1990).As far as marital status requirements go, they aresometimes relaxed, depending on labour market conditions.In Singapore, for example, where labour shortages havebeen a problem it has become necessary to hire marriedwomen (Lim 1978, 12). Perhaps as a result of this,married women have been recognized as more reliable thanunmarried women, because they tend not to quit as soon(Fuentes and Ehrenreich 1983, 13).In addition to sex, age, and marital statusrequirements, potential employees in EPZs have to passmedical examinations, pregnancy tests, and vocationalaptitude tests as well as interviews (ibid.). In the caseof the electronics industry, perfect vision is required(Grossman 1979, 12). In the Bataan EPZ, the applicantsmust also ensure they do not have any criminal record(Shoesmith, ed. 1986, 212).This specific cohort of women, defined by age,race,`" marital status and educational attainment, isfound and hired by firms in EPZs through placing3 7advertisements, in local and national newspapers 15 or atfactory entrances, sending recruiters into thecountryside, and relying on relatives or acquaintancesof present employees (Sasahara 1980, 77; Kung 1976, 39;Lim 1978, 13; Fitting 1982, 737; Fuentes and Ehrenreich1983, 16; Heyzer 1986, 100; Ogle 1990, 81).Prospective workers appear to be attracted most bythe offer of benefits and services. The following is anexmple of an advertisement placed by an electronicscompany in Singapore in a nation-wide English newspaperThe Star in Malaysia (Cited in Lin 1986a, 456).Join a giant US multinational Company as anOPERATOR.You'll enjoy the following benefits when youbecome a part of us.LOOK AT THE BENEFITS!- 2 increments a year- 1 month bonus at end of year- shift allowance will be paid in addition- free transport will be provided- good recreational, sports, and social activities- paid annual/sick/compassionate/marriage/maternityleave- medical and hospitalisation schemeAnd of course, cool air-conditioned comfort andsoothing piped-in music for a pleasant workingenvironment.Experience not necessary-training will be provided.JOIN THE COMPANY THAT CARES FOR YOU.We're more than just a working place, we're yourfriend!Another example is one found at the entrance of aJapanese factory in the Bataan EPZ in the Philippines(Sasahara 1980, 77).Type of Work:	 Watch Assembly3 8Qualifications:Urgently Needed:Female, Single, 16-20 years oldHighschool Graduate, Morality.Female, Single, 20-23 years oldBachelor's Degree from a Com-mercial School, MoralityOnce selected by firms in EPZs, women are alwayshired on a probational basis (CJPSK 1976, 65; Grossman1979, 22; Ong 1983, 431; Dror 1984, 709; Fazila BanuLily 1985, 45). During probation, employees must maintaintheir health, attendance, efficiency and docility. Theyare also paid 1/2 to 3/4 less than the formaly employedduring the probationary period which usually lasts forabout half a year (Fuentes and Ehrenreich 1983, 22;Shoesmith, ed. 1986, 88-89).The Philippine Labour Code," for example,stipulates in articles 61 and 72 that an apprentice caneither be paid a wage below the minimum or no wage at alldepending upon the agreement of the Minister of Labor andthe party handling the apprenticeship program. The LabourCode does not stipulate that an apprentice must beaccepted as a regular worker upon successful completionof an apprenticeship, nor does it specify whenapprenticeship is supposed to terminate. The minimumperiod of apprenticeship though, is set at as threemonths.As another example, in Bangladesh, part of thepayment is held up until the end of the probationalperiod for reasons of security to ensure the employee3 9will stay (Fazila Banu Lily 1985, 45). The ratio of thoseon probation in the total workforce goes up to 30 to40%, according to a 1984 OECD survey (Mitter 1986, 49)."Most importantly, reliance on probation helps reducewages and thus production costs. It is not surprising,therefore, that its use is so widespread.3.5. WagesWages are one of the most significant elements ofworking conditions. For the employer, they account for alarge part of the cost of production. Beginning from 1919with the Treaty of Versailles (article 427), wageprotections have also constituted an important aspect ofinternational labour laws.There is no uniform definition of wages (ILO 1979,21). Rather, "wages" is variously defined to include suchthings as payments made regularly to the worker by theemployer, either in cash or in kind, amounts earned bypiece-workers, supplementary earnings under incentiveplans, cost-of-living allowances, and regular bonuses.Payments for overtime and for work on those days whichare normally non-working days are also included withinthe concept of wages (ibid., 21-22).On the other hand, fringe benefits and socialcharges are usually not included with the concept of4 0wages. These include such things as employers'contributions to social security schemes such assickness, unemployment and maternity benefits, severancebenefits, and retirement allowances (ibid., 22).3.5.1. Overall Wage LevelsWages for women workers in EPZs tend to be low andinadequate even by local standards. They are usually paidsubsistence level wages (Paglaban 1978, 5; Siegel andGrossman 1978, 7; Grossman 1979, 10; Sasahara 1980, 78;Fuentes and Ehrenreich 1983, 17; Edgren 1984, 36; Hing AiYun 1985b, 270; Lin 1986b, 462; Shoesmith, ed. 1986, 119;Heyzer 1987, 73; ILO 1988, 91). Income arising fromovertime work, as a result, is usually indispensable(Shoesmith, ed, 1986, 83, 103; Goonatileke andGoonesekere 1988, 198). Women workers have to make bothends meet by doing overtime work, by cutting living costthrough the means of living together as described below,by walking to work instead of using transportationservices (Hossain, Jahan and Sobhan 1988, 125), or byselling goods bought slightly cheaper outside the zonethan at the workplace.Moreover, wages are individualized in order to makeworkers compete for higher productivity and therebyreduce the overall payment of wages. To promote this, EPZfirms set strict standards in relation to quality,4 1quotas, punctuality, and attendance, and workers competeto qualify for monetary incentives to earn adequateincome (Paglaban 1978, 8, 20; Grossman 1979, 11;Cantwell, Luce and Weinglass n.d., 14)."In the case of the Philippines, for example, allfringe benefits and overtime pay are computed accordingto the minimum daily basic pay which accounts for littlemore than half of the daily minimum wage (Shoesmith, ed.1986, 89). Then wages are deducted and performancebonuses denied, for arriving a few minutes late for work,taking sick leave and taking leave for personal reasons(Arrigo 1980, 32; Cantwell, Luce and Weinglass n.d., 14;Goonatilake and Goonesekere 1988, 197). Payment of wagesis not always on time (Shoesmith, ed. 1986, 89). Overtimepayment is not necessarily calculated according to legalprovisions (Edgren 1984, 35; Goonatilake and Goonesekere1988, 198; Ogle 1990, 76), although it is usually 150% ofthe basic pay (Lim 1978, 15; Kim 1982, 280; Goonatilakeand Goonesekere 1988, 198).Although some analysts maintain that their wages arenot significantly lower or are higher than those outsidethe EPZ (David Lim 1977, 1978; Basile and Germidas 1984,30; ILO 1985a, 44; Warr 1984, 179; Warr 1985, 25; FongChan Onn 1989, 94), there is ample evidence that this isnot the case.Evidence exists that several people share a room,4 2for example, a four-metre by four-metre room, occupyingbeds in turn in accordance with their shifts (Matsuo1977, 71; Sasahara 1980, 77; Fuentes and Ehrenreich 1983,17; Shoesmith, ed. 1986, 104; Ogle 1990, 81). It is notuncommon either that they cannot afford any "luxury"such as going to the movies and drinking much-advertisedcola, nor can they assist their families financially, letalone save something for their own needs (Sasahara 1980,78; Fuentes and Ehrenreich 1983, 18; Shoesmith, ed. 1986,104). Minimum wage legislationAs regards the level of wages, the minimum wagelegislation is pertinent. There have been many legalstandards and instruments concerning the minimum wageproduced so far at the international level" in additionto the Constitution of the International LabourOrganisation (ILO). 20 In particular, the 1970 MinimumWage Fixing Convention (No.131) 2 and Recommendation(No.135) 22 refer specifically to developing countries.The Convention contributed to introduce general minimumwages rather than previous industry- or occupation-wideminimum wages in those countries, although theeffectiveness is mixed (Starr 1981b).It is to be noted in particular, however, that theILO itself is established under the premise that4 3slavery-like labour which is characterized by lower wagesand longer working hours contributes to the production ofcheaper goods and accordingly constitutes "unfair"international competition for market share (Kataoka 1986,19). Legislation for improvement in working conditionswas initially suggested at the end of the last century,for improved working conditions in a country wouldnegatively affect the price of products of the country onthe international market and therefore the legislationshould be implemented on a worldwide scale (ibid.)The purpose of minimum wage fixing published by ILOis as follows (Starr 1981a, 17).Official declarations of the objectives ofminimum wage fixing frequently stress its use inensuring that wage earners receive what at aparticular time and place are considered to be decentwages. At the same time a host of other relatedobjectives are pursued. Those most frequentlymentioned are the elimination of "sweating" orexploitation, the preservation of purchasingpower, the reduction of poverty, the removal ofunfair competition, the ensuring of equal pay forequal work, the prevention of industrial conflict,as well as the promotion of economic growth andstability.Following these purposes, the ILO study identifiesfour basic roles that minimum wage fixing may play in thenational system of wage determination (Starr 1981a,17-18).Minimum wage fixing may serve(1) as a means of protecting a small number ofcarefully delineated low-paid workers who, because oftheir special characteristics, are considered tooccupy an especialy vulnerable position in the labourmarket;4 4(2) as a means of fixing separate minimum wagesfor particular groups, those not being necessarilyconfined to lowest-paid or most vulnerable workers,but including those for whom it is judged necessaryto ensure the maintenance of wages at "appropriatelevels," or "equal pay for equal work";(3) as a basic floor to the wage structure-amodest contribution to the reduction of poverty byproviding for all or almost all workers a "safetynet";(4) as an instrument of macro-economic policyfor achieving broad national objectives, such aseconomic stability and growth, or major shifts indistribution of income. 23As to the minimum wage fixation as a social policy,an earlier ILO study shows that it has been used as oneof the measures "in the strategy of the fight againstpoverty" (ILO 1968, 148).There are, however, continuing disagreements overthe need for fixing the minimum wage (Starr 1981b, 545).On the one hand, it is considered more or less necessarydue to the imperfect functioning of the labour market. Onthe other hand, particularly by neo-classical economistswho presupposes the perfect functioning of the labourmarket, it is regarded as an unnecessary policy. From theperspective of developing countries, minimum wages areregarded as constituting a barrier against realization ofthe ultimate goal of economic development (Quadra 1979).On a more practical level, it must be recognizedthat it is almost impossible to enforce minimum wagelegislation in the developing world (Starr 1981b, 545).For instance, in the Philippines which has perhaps4 5the most comprehensive minimum wage legislation 24 amongdeveloping countries in Asia (ILO 1974, 344), on theaverage, wages do not reach the stipulated level(Sasahara 1980, 77; Castro 1984, 178; Edgren 1984, 37).Presidential Decrees Nos.928 of 1978 and 1614 of 1979,for instance, provided that the minimum wage be raised inconsideration of inflation, but they did not have anysubstantial effect due to the very small rate of increase(Sasahara 1980, 77). Further, EPZ firms may apply for anexemption from the legislation (Warr 1985, 23).The Philippine government, in trying to accelerateexport-oriented industrialisation by facilitating thecreation of a low wage labour force, for instance, by notimposing a legal requirement of hiring those onprobation," effectively undermines one of the purposesof establishing minimum wage, that is, the protection ofworkers against inadequate wages.While in Sri Lanka, the minimum wage law is largelyobserved except for trainees (Ramanayake 1984, 225), therate is calculated so low that it is not enough tosupport the workers (Shoesmith, ed. 1986, 120). It is ofconsequence here to note that the legal minimum wages forwomen is established differently and lower than that ofmen" (ILO 1985b, 226), 27 although the principle ofequality between women and men is enshrined in theConstitution of Sri Lanka 28 (article 12). As well,4 6employers can violate the regulatory controls on minimumwages with impunity due to official apathy (Goonatilakeand Goonesekere 1988, 205). The legislation also has tobe qualified because Sri Lanka does not have specificcriteria for the minimum wage fixing (Starr 1981a,93). 29 They closely relate to the legislativeobjective(s) (ibid., 95) and include, for example, costof living and prevailing wage levels. Criteria specifiedin national legislation vary from brief statements ofgeneral principles to quite lengthy listings of factorsto be taken into consideration (ibid., 93).As regards Singapore, Malaysia and Hong Kong, nolegislation provides for minimum wages. (Starr 1981b, 561f2; Basile and Germidas 1984, 33; England 1989, 168). 3 °In the case of Singapore, however, wages are guidedby the tripartite National Wage Council (NWC) 3 ' which wasestablished by the government on February 7, 1972 torecommend wage changes annually. Although the NWCrecommendations are not made mandatory throughlegislation, they are widely adopted by labour andmanagement (Pang 1981a, 10; Kim Seah Teck Kim 1981, 69,71). It is to be noted, however, that other legislativeprocesses such as amendments to the Employment Act 32 andto the Industrial Relations Act 33 are used to give effectto them (Kim Seah Teck Kim 1981, 70). 34 The EmploymentAct, for example, was amended to permit implementation4 7of the alternative wage increase measures recommended bythe NWC (ibid., 70).Between 1975 and 1978, the NWC adopted a policy ofwage restraint to remain competitive in the world market.In 1979, the NWC in recognition of the underpricing andoverutilization of labour reverted to high wage policyto restore wages to market levels and with the view torestructuring industries away from labour-intensiveindustries 35 (Pang 1981a, 10). The NWC thus has twoconflicting objectives: ensuring industrialcompetitiveness on the world market and ensuring thatwages not be eroded considerably by inflation. The wagepolicy of the NWC has structured Singporean labour marketand thus its economy in ways to meet the objectivessought by the government. In 1973, for instance, aninsufficient increase in wages recommended by the NWCresulted in a decrease in real income (Ngiam Peng Teck1977, 147).While the level of wages in Singapore is one of thehighest in developing Asia, state intervention in wageseffectively attracted foreign investment by stabilizingwage increases along with other actions of the state inthe area of industrial relations such as restrictiveregulation of unions- 35In the Republic of Korea, minimum wage legislationwas enacted in 1986 (Kim 1987). Prior to that, beginning4 8in the 1970s, an executive order based on the LaborStandards Law prohibited excessively low wages, but ithas rarely been enforced (ibid., 17).3.5.2. Wages in Comparison3.5.2.1. Comparison with male workersCompared to the wages paid to men in thesedeveloping countries, women's wages are in general 20% to50% lower per hour (FrObel, Heinrich and Kreye 1980, 351-352). In the Bataan EPZ in the Philippines, for instance,40% of female workers had a basic wage below the minimumwage, whereas this held true for only 17% of the maleworkers (Castro 1982, 35). In Singapore, average womenworkers in production earn around 63% of male workers'wages, which is slightly lower than the average of 73% inall occupations (Lai Ah Eng and Yeoh Lam Keong 1988,366). The fact that women's earnings are lower than menfor a comparable work are not unusual in most sectors andoccupations nor limited to EPZs. It is too much to say,however, that, as Dror (1984, 713) says, lower wages forwomen is not as important as getting and keeping a job.For women, the fact is that even finding a job andsecuring it is not easy under the circumstances oftraditionally imposed family responsibilities and of fewalternative employment opportunities, particularly in timesof recession.4 9There are international legal instruments pertainingto equal remuneration for work of equal value: the EqualRemuneration Convention (No.100) 37 of 1951 and the EqualRemuneration Recommendation (No.90) 38 of 1951. 38The Equal Remuneration Convention (No.100) lays downthe general principle that each State which ratifies itshall promote and, in so far as consistent with themethods in operation in its country for determining ratesof remuneration, ensure the application to all workersof the principle of equal remuneration for men and womenworkers for work of equal value.The main difficulties regarding equal remunerationare the difficulty of comparing different types of workand the difficulty of determining the value of workexclusively reserved for women. As of December 31, 1989,however, none of the countries covered in this studyexcept for the Philippines covered in this study hadratified the Covention (ILO 1990).At the national level, in some countries such asSingapore, Malaysia, and the Philippines, women arelegally entitled to receive equal pay for equal work (Lim1978, 14; Legislative Series. 1974-Phi.1A)The Philippine Labour Code, for instance, providesas follows (article 135) (Labour Law Documents. 1989-PHL 3):Discrimination prohibited. It shall beunlawful for any employer to discriminate againstany woman employee with respect to terms andconditions of employment solely on account of5 0her sex.The following are acts of discrimination;(a) Payment of a lesser compensation,including wage, salary or other form of remunerationand fringe benefits, to a female employee as againsta male employee, for work of equal value; and(b) favoring a male employee over a femaleemployee with respct to promotion, trainingopportunities, study and scholarship grants solelyon account of their sex. 4 °However, women workers are always assigned to"women's jobs" to which men are not assigned. This jobsegregation on the ground of gender has the effect ofobscuring the generally lower wages paid to women.The lower remuneration for women is mainly justifiedby the claim that women are considered to be secondaryworkers in the labour market (Grossman 1979, 10; Fuentesand Ehrenreich 1983, 12). The underlying idea is thatwomen are always economically supported by other membersof the family, particularly fathers and husbands, and arenaturally fit for monotonous and repetitive jobs whichare considered to demand less skills. A number of studiessuggest, however, as discussed above, that women do notwork for pocket money. Other evidence from Hong Kong, theRepublic of China, Malaysia and Sri Lanka suggests thatthey remit or contribute 20% to 60% oftheir wages totheir homes, which is not insignificant for both sidesof the workers and their families (Salaff 1976, 446; Snow1979, 28; Fuentes and Ehrenreich 1983, 18; Goonatilakeand Goonesekere 1988, 199). However, this does notnecessarily mean that workers in EPZs in those countries5 1are paid well. Rather, they have to get money back totheir homes in order to support other members of thefamily, for the local family structure has been organizedaround mutual support (Salaff 1976, 446-448; Diamond1979, 324-327; Grossman 1979, 13; Arrigo 1980,29; Stivens1987, 100; Hossain, Jahan and Sobhan 1988,117;Goonatilake and Goonesekere 1988,199). 4 ' Stivens (1987)called this form "remittance family economy."There are also many cases where women workers arestrongly urged by the family to postpone marriage or notto quit the job due to the importance of theircontribution to family welfare (Grossmann 1979, 16;Ariggo 1980, 29; Salaff 1981, 91).42The result is that the decision to participate orremain in the labour market is not left entirely to thediscretion of the individual worker. In spite of this,the assumption which regards women as auxiliary workersleads to the situation in which in almost all cases womencannot help but take "un-skilled" or "semi-skilled" jobswhich are accordingly paid less than those performed bymen, even where they exhibit no difference inqualification as compared with their male counterparts.In the textile and garment industries, forinstance, while men are responsible for cutting andironing which are classified as "skilled" jobs and thusbettek paid, women are responsible for sewing which is5 2considered to require fewer skills and is thus paid less(Elson and Pearson 1984, 33; Heyzer 1986, 109; Mitter1986, 61).This sex-stereotyping of jobs has been explained onthe basis of supposedly innate characteristics ofwomen. 43 The deskilling argument-the declining level ofskill in all jobs on average with the advancement oftechnology explains the increase in employment of womenwith fewer skills- produced by Braverman (1974) do notdiffer from the conventional gender stereo-typedexplanation. Recent studies on women's work, however,have revealed that women acquire those skills during theprocess of socialization (Sharpston 1976; Heyzer 1986).Basics of sewing can be effectively and efficientlytranslated into the know-how required for industrialsewing and soldering silicon chips with wires. The"training" process women go through is sociallyinvisible, because it is taken for granted for women. Itis also invisible sociologically, because traditionalsociology recognizes the role affiliated with gender as astarting point for its analysis. Skills acquired throughinformal processes at home are not fully recognized inthe labour market. It is impossible, moreover, to proveall women have more manual dexterity than all men(Messing 1982). Altogether, due to the socially invisibleand informal "training" in the home during childhood,5 3women are more easily trained for "women's jobs."For this reason, along with the scarcity ofalternative job opportunities open to women, they canbecome easily available for the jobs in EPZ industries.The demand for a female labour force cannot beclassified as unskilled or semi-skilled. "Skill" is usedas a way of justifying differences between women's andmen's jobs. Ong (1987, 158) noted that Malay men foundit unacceptable to work in semi-skilled assembly work,since this category had been defined as "female." Jobswhich are identified as "women's work" tend to beclassified as "unskilled" or "semi-skilled," whereastechnically similar jobs identified as "men's work" tendto be classified as "skilled" (Phillips and Taylor1980). 44 Supervisory positions at any level are, with afew exceptions at the lowest leve1 45 set aside for menonly (Paglaban 1978, 21) due to the traditional ideathat women are better fit for being given orders and notfor giving them, which also helps keep women's wageslower than those of men.Lower remuneration for women is also legitimized andfacilitated by national legislation and regulations. Inthe Republic of China, for example, the Investors'Guidepublished by the EPZ administration provides a strongincentive for the hiring of female by informing investorsthat women's wages are fixed at a rate of some 10% to 20%5 4lower than men's for comparable work (Fitting 1982,737). 46 This occurs even though the Factory Law, 47promulgated in 1929, provides that women and menperforming the same work with equal efficiency must bepaid the same wage (Winn 1987, 54). The Labor StandardsLaw, promulgated in 1984, provides that an employer maynot discriminate against any worker because of sex(ibid.). That guarantees through the Labor Standards Lawremain largely formal is identified as one of thegreatest shortcomings of such legislation (Winn 1987, 51).When it comes to Sri Lanka, there is also greatgender disparity in wages (Jose 1987, 68). 46 It is arguedthat the fact that lower wages for women than men relateswell to increased employment of women in labour-intensivemanufacturing industries (ibid., 38).In the Republic of Korea, average wages for femaleworkers are well below those for males-less than 50%(CJPSK 1976, 63; Matsuo 1977, 69; Warr 1984, 175), duemainly to job segregation by sex (Warr1984, 175). In onecase, when male workers were in short supply, women werehired because of their lower wages, as an alternative tointroducing expensive machinery (Phongpaichit 1988,160-161). Comparison with industrialized nationsWages for identical work is five to ten times lower5 5in develoing countries than in industrialised countries(FrObel, Heinriches and Kreye 1980, 360). One plantmanager in the electronics industry explained theprofitability of moving from the United States toMalaysia as due to the fact that one worker working onehour in the United States would receive the same pay asone shift of 10 workers in a developing country includingthe cost of materials and transport (Grossman 1979, 7).The wage differentials cannot be narrowedsignificantly and remain very substantial evenwhere they are adjusted as correctly as possible bytaking into account purchasing power, productivitydifferentials and so forth (Maex 1983, 45). They becomeseven clearer when compared with those of jobs that cannotbe transferred, for instance, accountants (Basile andGermidas 1984, 29). In the case of Hong Kong in 1981,annual wages for electronics engineers were 60% lowerthan they were for their counterparts in the UnitedStates three years earlier, i.e., in 1978 (Henderson1989, 121).Labour productivity for the same labour-intensiveproduction is as good as and even higher than that indeveloped countries (Lim 1978, 24; FrObel, Heinrichs andKreye 1980, 357; Basile and Germidas 1984, 30; Ong 1987,163). 49 Socio-environmental factors such as the pace oflife play a more siginificant role than racial and5 6cultural characteristics in explaining differences inproductivity (Lim 1978, 24). This is clear becauseworkers of the same ethnic origin, sharing a similarcultural tradition and heritage show differencesin productivity in different settings. For example,productivity in Malaysia is lower than that in Singaporedue to difference in the pace of life.Even within Southeast Asia, there is a considerabledifference in wages. For example, Singaporeans earnfive times more than Sri Lankans (Ho Kwong Ping 1980,12), 2.5 times more than Filipinos and twice as much asMalaysians around 1980 (Cited in Clad 1985, 81).Sri Lanka offers the cheapest labour costs in thecountries under review (Ahooja-Patel 1986, 196; Business America. February 25, 1991, 34). This contributes tohigh investment levels (Wijesekera 1987, 22), along withthe fact that Sri Lanka has one of the highest levels oflabour productivity among developing countries (Business America. op.cit.) and the most generous of investmentincentives in EPZs in Asia (Jayawardena 1983, 441). Forinstance, firms relocate here from Hong Kong,5°Singapore, the Republic of China and the Republic ofKorea where wages creep upward 5 ' (Ho Kwon Ping 1979, 79).Another example of how companies rely to theiradvantage on disparity in wages between differentSoutheast Asian countries was reported from Singapore5 7(Far Eastern Economic Review. August 23, 1974): a U.S.electronics firm in Singapore retrenched 1,000 employeesand for those from Malaysia promised that the affiliatedcompanies in Malaysia would offer positions. Theretrenched lost their Singporean work permits at thesame time and therefore had no choice but to acceptlower wages at home. 523.5.3. Socioeconomics of wagesAlthough a number of women accept those inadequatewages, this should not be interpreted to mean, as Maex(1983, 55) claims, that they do so because they aresecondary wage earners.It cannot be denied that women workers in the EPZsare not treated favourably in terms of wages paid. Thisis so in light of the local standards of wages forwomen, although the local standards must by no meansjustify any unfavourable working conditions. Women'swages are invariably lower than those of men.Nonetheless, it is recognized even on the employer'sside that women's productivity is higher than men for thesame type of work (Elson and Pearson 1984, 22).It is true that the employment of women workers inthe EPZ is in part a result of the mutual interestsbetween the women workers and their families, and theemployers. It is also true, however, that the mutual5 8interests are absolutely in favour of the employers.Therefore, it is inappropriate to say that the EPZenterprises provide good opportunities of employmentfor women of working conditions.As for the difference between sexes, Maex (1983, 53)explains lower wages for women workers as a reflection ofthe composition of the workforce, i.e., young, female andunmarried who are the lowest paid in the local labourmarket. This is, however, at best a circular argument.The fact is that discrimination in wages paid is notobvious, due to job segregation along the lines of sex inthe labour market. Male workers are not assigned to thejobs which their female counterparts are assigned to. Jobopenings, in other words, are differentiated according tosex. Thus, women cannot compare their wages with thoseof men doing similar jobs. Prevailing ideas pertainingto gender roles are also operative. Women are constractedas less skilled than men, naturally fit for monotonouswork and as secondary earners in the labour market.Though these constructions have little basis, asdiscussed above, they nonetheless play a significant rolein justifying the assignment of dead-end jobs to womenand justifying lower wages for women. Some nationallegislation also expressly discriminates against womenworkers, for instance, by setting lower minimum wages forwomen, which in turn provides EPZ industries which are in5 9constant search of low-cost labour incentives torelocate.It appears as well that neither domestic orinternational minimum wage legislation, where applicable,protects women industrial workers. This is because thelevel of minimum wages where existent are in most casesvery low as in the case of Sri Lanka (Shoesmith, ed.1986, 120) and the Republic of China (Basile and Germidas1984, 33). Even where it does exist, minimum wagelegislation is not often enforced. In some cases, such asin the Philippines, non-compliance is even allowed forEPZ industries. Altogether, these factors serve to makeminimum wage legislative protections only formal asopposed to substantive.3.6. Hours of WorkThe number of hours worked per week is also animportant aspect of working conditions. One of the mostconstant demands of the labour movement since the middleof the 19th century has been the reduction of hours ofwork (Valticos 1979, 134).3.6.1. Hours actually worked53Hours actually worked in EPZs are generally longerthan the maximum hours of work fixed by laws or6 0regulations 54 (FrObel, Heinrichs and Kreye 1980, 353).The standard working week is 48 hours (ibid., 353),subject to cyclical and seasonal variations.In the Republic of China, almost two thirds of theworkers are not required to work overtime nor forced todo so, although they seem to be "accustomed" to doing"freely" what the management wants (Shoesmith, ed. 1986,253). This has to be considered in light of the fact thatextra income constitutes a large part of their wholeearnings (ibid., 83). 55In the Philippines, 70% of the EPZ firms mandatorilyrequire workers to do overtime work ranging from 8 to 16hours per week (ibid., 175). In the Bataan EPZ whereovertime is an everyday practice except on Saturdays(Sasahara 1980, 74), the time recorder is fixed 15minutes fast in the morning and 15 minutes late in theevening. Women workers have no choice but to comply withthis set-up and call the "overtime" "T.Y. Time (Thank YouTime)" (ibid., 78). The result is that they have to workwithout being paid.One Malaysian case study reveals that nine out often employees work overtime" (Shoesmith, ed. 1986, 175).A similar tendency is observed in Hong Kong, the Republicof Korea, Sri Lanka and Bangladesh (Matsuo 1977, 69;FrObel, Heinrichs and Kreye 1980, 353; Englandand Rear 1981, 371; Ng 1983, 346; Ramanayake 1984, 225;6 1Fazila Banu Lily 1985, 44; Goonetilake and Goonesekere1988, 198; Hossain, Jahan and Sobhan 1988, 123; Ogle1990, 82).Overtime work is often required to finish productionquotas. Such quotas, however, are almost invariably setupwards to boost production output, or are calculated tomeet production requirements ahead of schedule. Thelatter practice enables EPZ firms to shut downtemporarily, thereby saving on labour costs and overhead(Shoesmith, ed. 1986, 89). Thus, overtime work is prettymuch the norm in EPZs (ILO 1988, 86).3.6.2. Legal framework"From the outset, the principle of the eight-hour dayor the 48-hour week was on the international legalagenda. The Hours of Work (Industry) Convention (No.1) 58of 1919 provides that the working hours shall not exceedeight in the day and 48 in the week.The general standards of the eight-hour day or the48-hour week set by the ILO Conventions" is considered astep towards a work week of 40 hours in the Reduction ofHours of Work Recommendations (No.116) 8 ° of 1962. ThisRecommendation also provides for the reduction of hoursof work to forty per week," and requires that immediatesteps should be taken where the duration of the normalworking week exceeds the 48-hour level.6 2Recommendation No.116 recognizes factors whichshould be taken into account in reducing the hours ofwork. Some of the factors are the level of economicdevelopment and various economic factors such as the needto improve the standard of living and maintenance ofcompetitive position in international trade.Unfortunately, none of the countries beingconsidered here, except for Bangladesh which has ratifiedthe No.1 Convention, had ratified the ILO Conventionsrelating to hours of work as of December 31, 1989 (ILO1990). 62Domestically, 48 hours of work week is legislated inthe Philippines (Castro 1984, 179), the Republic of Korea(Kim 1982, 280), Malaysia (Legislative Series.1982-Ma1.2., section 60A), Bangladesh (Hossain, Jahan andSobhan 1988, 124) and Hong Kong (England 1989, 180) withlegally permissible overtime work of two hours per dayand 200 hours in a year under the Women and Young Persons(Industry) Regulations (Ng 1983, 345; England 1989, 181).3.6.3. Quality of the hours of workThe hours of work established in EPZs is influencedmore by economic considerations than by legalrequirements or concern for the physical well-being ofworkers. The prevalence of overtime work which wellexceeds legal provision is evidence of this. Legislation6 3concerning hours of work domestically as well asinternationally does not seem to have influence on thehours actually worked in EPZs. Here too laws andregulations do not protect workers.Even where working hours in EPZs do not appear tobe substantially different from the norm prevalent inlocal economies, this has to be considered alongsideother working conditions such as wages, shift and nightwork, intensity of work and occupational safety. Thesefactors also serve to increase the work burden.3.7. Shift and Night Work3.7.1. Prevalance of shift and night workIt is not unusual in EPZs that shift and night workconstitute an important part of normal production (Lim1978, 15; Maex 1983, 57; Lee 1984, 13; Shoesmith, ed.1986, 211). 63 In Malaysia, for example, the percentage ofworkers on shifts is as high as 64% (cited in ILO 1985a,51) with the highest incidence found in the electronicsindustry. In the Bataan EPZ in the Philippines, theincidence of shift work is equally high (Maex 1983, 57)and changes in shift assignment is not infrequent(Shoesmith, ed. 1986, 215). In the case of Singapore,three times more women than men do night shift work(Wong 1981, 450; ILO 1985a, 52). 64 In Singpore and theRepublic of Korea, housewives are selected for the night6 4shift to allow them enough time for housework andfamilies (Lim 1978, 12; Fuentes and Ehrenreich 1983, 13).In the Republic of China, Hong Kong, and Malaysia,refusal of night work may result in denial of bonuses ordismissal (ibid., 23).Firms typically operate on a two- or three-shiftsystem and workers do two continuous weeks of night shiftand are allowed only a 36-hour rest in between(Shoesmith, ed. 1986, 175). The result is that workersoften fall asleep from fatigue (ibid., 98). Management,in turn, will often provide pep pills and amphetamineinjections to keep workers awake and working (Cited inFuentes and Ehrenreich 1983, 23).The necessity of shift work for industry is usuallyattributed to the economic factors, such as fluctuatingmarket conditions which occasionally require increasedoutput in a limited amount of time, maximum utilizationof the production capacity, and expansion of employmentunder the circumstances of labour force abundanceresulting in increasing unemployment."It is recognized, however, that for women as well asmen, shift work, particularly at inconvenient hours or atnight, is undesirable, from a physiological point of view(Maurice 1975; Carpentier and Cazamian 1978; Messing1982). The firms with work rotation claim that multipleshifts give workers an opportunity for social life during6 5both daytime and evening (Grossman 1979, 5; Lim 1978, 32;Cited in Lin 1986b, 462). According to some studies, EPZworkers prefer night work (ILO 1985a, 41). This must betempered, however, by the consideration that employeeson night shift have to trade off additional pay66 againstthe inconvenience they suffer socially as well asbiologically. Shift work dictates the total life of theworkers. The workers cannot enroll in classes outside thefactory (Grossman 1979, 5). Poor transportation servicesalso expose women to unnecessary danger at night (Lim1978, 34; Ahooja-Patel 1986, 223). 67Therefore, it would be safe to conclude contrary tothe above that, as other studies show (Lim 1978, 32;Shoesmith, ed. 1986, 175; Goonatilake and Goonesekere1988, 198), workers prefer not to work on shift, inparticular, at night.3.7.2. Legal regulationsThe ILO has been interested since its establishmentin night work by women. The relevant initial Conventionwas the Night Work (Women) Convention (No.4) 68 whichprovided that women without distinction of age shall notbe employed during the night in any public or privateindustrial undertaking. This Convention was revised twicein 1934 (No.41) 69 and 1948 (No.89). 7 °These revisions took the Convention more towards a6 6greater flexibility in defining inight' 7 ' and exclusionfrom its scope women holding responsible positions of amanagerial or technical character, as well as thoseemployed in health and welfare services who are notordinarily engaged in manual work (article 8).The new provisions, on the one hand, enabled womento pursue further their careers, but on the other hand,exposed them to more difficult working conditions thatoperate to the benefit of the employer.The Night Work (Women) Convention (Revised) (No.89)of 1948 was ratified by 62 states as of January 1, 1988.In 1990, partial revision to this Convention was adoptedas the Protocol" of 1990 to the Night Work (Women)Convention (Revised)." This allowed for greaterflexibility by providing that national laws orregulations could permit women to perform night workunder strictly defined conditions.It is to be noted, however, that Singapore, Malaysiaand the Philippines are not bound by the No.89Convention, nor are the Republic of Korea and theRepublic of China.In 1990, however, the General Conference of the ILOestablished the first international standards regardingthe conditions of night work for any category of workers:the Convention concerning Night Work (No.171) 74 and theRecommendation concerning Night Work (No.178). 75 The6 7Convention does not prohibit night work by all employedpersons with a few exceptions (article 2). It redefinesnight which is shorter than the previous standards(article 1). It provides for occupational safety andhealth, transfer to day - work, maternity protection,compensation, social services and consultation ofworkers' representatives (articles 4-10).Convention No.171 and Recommendation No.178 are thefirst general standards concerning night work in thatthey cover all employed persons" with limitedexceptions and also address working conditions such assafety at work which were not previously mentioned."Sri Lanka denounced in 1982 its ratification ofthe No.89 Convention on the grounds that the prohibitionof work by women through the night would discourage theestablishment of foreign enterprises in its EPZs. At thesame time, provision of the Shops and Offices Act whichprohibited night work by women was deleted (Ahooja-Patel1986, 222). It was the employers that requested thegovernment to lift the ban (ibid.). Moreover, three ofthe five major trade unions welcomed the decision (ibid.,223). The structure of the trade unions is male-dominatedeven where most of the membership is made up of women(Jayakody and Goonatilake 1988, 293).This measure did facilitate the entry of women intothe EPZ workforce (Ahooja-Patel 1986, 223). For the6 8employer it was perceived as a means of recruitingcheaper labour, and for women it enabled them to getadditional financial income although most of them hadpractical difficulties with transportation and security(ibid., 222). Several other countries includingNetherlands, Luxembourg, New Zealand, Ireland, and Urguayalso denounced one of these Conventions without ratifyinga revised one. However, Sri Lanka was the only countryto articulate its purpose as maximum utilization oflabour in the EPZ for international competitiveness (Dror1984, 721 f21).This, together with recent criticisms againstprohibition of night work by women, call into questionthe continuing appropriateness of a prohibition againstnight work. First of all, working conditions are fairlyimproved compared with the past. Secondly, the principleof equality between women and men, in this case, inemployment opportunities and remuneration, provides somesupport for allowing women to work night shifts. However,overall limited employment opportunities and unfairremuneration for women cannot be offset by allowingwomen to work at night.There is the further argument that in light of theabsence of medical evidence suggesting that night work ismore harmful to women than to men, except during theperiod of pregnancy and nursing (Carpentier and Cazamian6 91978, 37-38, 41; ILO 1985b, 229), night work should notbe prohibited.In response to such criticisms and evidence, the ILOadopted the Protocol of 1990 to the Night Work (Women)Convention (Revised). The Protocol allows women to beemployed at night under strictly defined conditionsprovided by national legislation (articles 1 and 2). Theunderlying objective is to give countries bound byConvention No.89 an opportunity with this ratification toachieve the principle of equality between women and menof opportunity and competitiveness while giving specialprotection to women (Labour Law Documents. 1990/3, 10).Domestically, in Singapore, legislation prohibitingnight work for women was waived for the electronicsindustry, which is central to industrialization of thecountry, allowing it to operate 24 hours a day (Lim 1978,7). It is possible to introduce 12-hour shifts as long asthe total hours worked per week do not exceed thestatutory maximum of 48 hours (Lim 1978, 13-14).In Malaysia, provisions exist in the EmploymentAct" of 1955 which prohibit workers from working betweenthe hours of 10 p.m. and 5 a.m. The government invitedin 1970 foreign electronics firms and made circumventionof this restriction against night work easily availableto them-upon application made to the Director General ofLabour • (the Ministry of Labour) (Shoesmith, ed. 1986,7 0175). 79In Hong Kong, the prohibition of night work of womenwas relaxed in 1970, with employers and factoriesemploying a certain number of women (now 300) withminimum shifts of a certain number of women (now 20)being authorized to have night shifts for women (England1989, 181). Women with supervisory positions are alsoexempted from prohibition of night work (ibid.).In the Republic of Korea, 'exceptions' toprohibotory laws are constructed to enable women to worknight shifts (Matsuo 1977, 69).3.7.3. Effect of shift and night workWhere shift work, and night work, in particular,is legally instituted by the state, its legalizationcould provide EPZ industries with advantage regardingproduction cost over those in countries which prohibitnight work by women through national and internationallabour codes (ILO 1988, 89). At the same time, such lawsand regulations or government-sanctioned exceptionsthereto in practice provide a legal basis forexploitative working conditions and facilitatedeterioration in the quality of workers, in particular,women workers' lives.Another effect of shift and night work is that ithelps to tie workers to the companies they work for,7 1since they cannot help but arrange their lives aroundtheir work schedules. Once this is done, it is difficultfor women to break such patterns.3.8. MATERNITY PROTECTIONThe issue of maternity protection seems to be ratherirrelavant to the workforce in EPZs, for most of thewomen workers are unmarried and are not supposed to havechildren before marriage according to local norms. Casestudies suggest, however, that legislation as regardsmaternity protection has considerable impact on womenworkers in EPZs.3.8.1. Legal frameworkThe first international standard adopted by the ILOwas the Maternity Protection Convention (No.3) 8 ° of 1919.This was revised in 1952 as the Maternity ProtectionConvention (No.103), 81 with the Maternity ProtectionRecommendation (No.95). 82The Conventions provide that the period of maternityleave shall be at least twelve weeks and that during awoman's leave, she is entitled to receive cash andmedical benefit. In order to guard against employersfailing to hire women to avoid paying maternity benefitsor failing to pay such benefits, liability is shifted7 2away from individual employers. As well, employers areprohibited from dismissing a woman during her maternityleave (ILO 1982). As of December 31, 1989, however, nocountries covered in this study had ratified the ILONo.103 Convention (ILO 1990).In 1990, the ILO adopted the Convention concerningNight Work (No.171) 83 and the Protocol of 1990 to theNight Work (Women) Convention (Revised) 84 which refer tomaternity protection in article 7. Article 7 providesthat alternatives to night work including transfer to daywork be ensured for women workers before and afterchildbirth and during periods in need of medical care forthe mother or child. It also provides that women workersbe accorded protection against dismissal during suchperiods as above. The United Nations also refer tospecial measures concerning maternity protection inarticle 4 (2) of the Convention on the Elimination of AllForms of Discrimination Against Women (CEDAW)." Thisprovides that the adoption by State Parties of specialmeasures, including those measures contained in CEDAW,aimed at protecting maternity shall not be considereddiscriminatory. It is of consequence to note that theCEDAW recognizes discrimination against women as notonly embodied in legal provisions but also acts andpractice of long standing (article 2).In general, standards set at the national level do7 3not meet standards set at the international level. InMalaysia, for instance, Employment Regulation 1976(PU(A)375/76) provides that maternity leave is six toeight weeks depending on the occupation (Fong Chan Onn1989, 100). Maternity allowance is payable for each dayof the eligible period at the employee's ordinary dailyrate of pay (ibid., 96).In the Philippines, the Presidential Decree No.442,otherwise known as the Labour Code," prescribes thatmaternity leave is six weeks with full pay and limitedto the first four deliveries (article 131). Previously,however, it was 14 weeks with 60% of pay according to theRepublic Act No.679, otherwise known as the Woman andChild Labor Law of 1952. 87 The Presidential DecreeNo.148, 88 issued shortly after the declaration of martiallaw, reduced maternity benefits granted to women.In the case of Sri Lanka, women workers are entitledto six weeks' maternity leave with pay (MaternityAmendment Act 1978) and protection against dismissal onthe grounds of pregnancy and so forth (Ahooja-Patel 1986,219).3.8.2. Maternity protection at workThe following examples reveal how the protectivelegislation for pregnant women has been used in EPZs. InMalaysia, maternity leave and benefits provisions have led7 4to the refusal of companies to hire married women.Married women workers already in the labour market areencouraged to practice "family planning" and givencontraceptives free of charge from medical practitionersof the company (Ong 1983, 431).In the Philippines as well, hiring single womentends to be the rule (Paglaban 1978, 19). This is toavoid having to provide maternity benefits, despite thedeteriorated legal protection. This policy is furtherevidenced by the practice of requiring a pregnancy testas paft of the screening process for job applicants. Acompany in the Bataan EPZ offers prizes to workers whoundergo sterilization (Cited in Fuentes and Ehrenreich1983, 13).In a Sri Lankan EPZ, the main hidden criterion ofsuitability for employment is single marital status, asthe cost of maternity benefits prescribed by law isconsidered to be an obstacle by employers (Ahooja-Patel1986, 230).In the case of Hong Kong, maternity payments areoften illegally denied by local employers (Chiu 1986.Cited in Henderson 1989, 115).3.8.3. Effect of "protective" legislationContrary to the legislative purpose, it is more•accurate to say that special provisions for the7 5protection of women workers work against their welfare.Maternity leave, particularly with pay, is oftenregarded as a reason for the employer not to employ women(Anker and Hein 1985, 78). In some cases, though, thelegislation does serve to protect women workers.While protective legislation is perceived associally desirable, it is also considered to reducecompetitiveness in business due to the costs that mustbe borne by the employer.For instance, in the Presidential Decree No.148 89of the Philippines which reduced maternity benefits from60 percent of pay for 14 weeks to 100 percent pay for sixweeks and limited coverage to the first four children,was regarded favourably by a personnel director at atextile factory as making it profitable again to hirewomen (Grossman 1979, 8).There are also cases where legislation concerningmaternity leave is changed in response to the labourmarket situation and economic policy, such as inSingapore (Lai Ah Eng and Yeoh Lam Keong 1988, 380-381).Prompted by the concern over falling birthrates, forexample, the government of Singapore changed its familypolicy from "stop at two" 9 ° to "have three or morechildren if you can afford it." Along with this change,the government offered a generous package of maternityleave benefits and incentives to women in the civil7 6service, hoping that the private sector would followsuit. This policy sought to balance the government'sneeds for women's labour to maintain economy, againstensuring a future labour force. Maternity is importantnot only to the individual but also to society ingeneral. Reproduction affects present labour forceparticipation as well as future labour force composition.The International Labour Organisation (ILO) alsoparticipates in population activities for underdevelopedcountries (Mies 1986, 122). 9 ' Women are now regarded bythe organization as labourers and, at the same time,producers of future labour power. Population policies,euphemistically called "family planning," have notconsidered women's reproductive freedom. 99 As long asthey do not fully address the human rights of women and,instead, concentrate only on the effective implementationof population activities, the participation of the ILO inthe this area is necessarily detrimental to women.It can be concluded that the employers' preferencefor young and unmarried women as the labour force relatesto some extent to legislation regarding maternityprotection. Legislation on maternity rights is necessaryto ensure that women are not discriminated against due topregnancy and have equal opportunities to malecounterparts 	 in 	 paid 	 employment. 	 The 	 legislationincludes, for instance, the right to maternity pay, the7 7right not to be unfairly dismissed for pregnancy and theright to return to work after pregnancy and confinement.It should be provided and enforced, however, withoutcompromising necessary protection with equalopportunities of women and men in employment. Maternitymust not form discriminatory treatment of women byemployers.3.9. EMPLOYMENT SECURITYStable employment is an important element in thequality of working life, the loss of which can result ineconomic and social difficulties for the worker andothers dependent on her. In the case of EPZ industries,employment is unstable and precarious, as a result of theemployer's ongoing search for cheap labour to reduceproduction costs.3.9.1. Employment stability in practiceReasons given by EPZ companies	 for workerretrenchment	 include recession or change in economicsituations (Lim 1978, 18; Paglaban 1978, 19; Siegel andGrossman 1978, 6; Sasahara 1980, 78; Clad 1985, 84;Shoesmith, ed. 1986, 213) and refusal of night work(Fuentes and Ehrenreich 1983, 23). Factory closure forrelocation also results in termination of employment7 8(Aldana 1989).Usually, there are reasons underlying the officialreasons advanced by companies to justify workersretrenchment. In some cases, employers regularlyterminate the employment of probational workers and hirenew workers to avoid paying increments and other fringebenefits to which permanent workers are entitled (Lim1978, 19; Hing Ai Yun 1984, f28).It is also common practice to lay off workers onprobation just before the end of the period in order tosave the company the expense of paying a full wage (Lim1978, 19; Fuentes and Ehrenreich 1983, 22). The workerscall themselves "permanent casuals" (Paglaban 1978, 19;Fuentes and Ehrenreich 1983, 22). Just before Christmasone year, for example, a Filipino company institutedmassive lay-offs to avoid holiday bonus payments(Villegas 1983, 140). In 1985 when Mostek, a U.S.-basedmultinational electronics firm in the Bayan Lepaz EPZ inMalaysia, instituted a retrenchment policy, managementcalled for "voluntary" resignation. This was, in fact, athreat to workers to sign a letter of leave of their ownaccord in exchange for financial compensation. Thispractice enabled the company to avoid observing the"first in, last out" rule, and to avoid giving advancenotice (Lochead 1988).Recessions also provide companies with an excuse to7 9lay off workers. During the world recession in 1974, forexample, 79% of 16,900 retrenched workers in Singaporewere women (Wong 1981, 440). During part of the period ofrecession between 1983 and May, 1986 in Malaysia as manyas 27,000 women were retrenched in the electronics andtextile industries (Rohana Ariffin 1989, 88).Citing recession as a reason for retrenchment,however, is usually disingeous: soon after retrenchmentin circumstances of recession companies often hire freshemployees (Lim 1978, 19; Paglaban 1978, 19). Recession,in other words, enables firms to lay off thousands ofworkers, and thus avoid increasing wages and furtheranceof seniority. Dismissed experienced workers are thenrehired at starting salaries (Lim 1978, 19) therebydepressing wages in general. The citation of financiallosses as a reason for lay-offs is also dubious. Throughtransfer pricing, 93 vertically integrated transnationalfirms can minimize tax burdens and take advantage of taxincentives. Those with consecutive loss statements cannot only continue operating, but in some cases may evenexpand operation (Warr 1985, 36).A final factor that contributes to the high turnoverrate of women workers is sexual harassment94 bysupervisors-predominantly male. Sexual harassment is acommon and everyday threat to women workers, which oftenforces them to leave work (CJPSK 1976, 62; Paglaban 1978,8 021; Sasahara 1980, 79; Fuentes and Ehrenreich 1983, 23;Elson and Pearson 1984, 23; Mitter 1986, 63). Sexualharassment travelling to and from work also forces themto give up their jobs (Kumdihini Rosa 1987, 163). Thefact that male security guards strip search women workers(Porte 1986, 185) can also amount to sexual harassment.3.9.2. Legal provisionIn 1982 the ILO adopted the Termination ofEmployment Convention (No.158) 95 supplemented by theTermination of Employment Recommendation (No.166). Untilthen, the Termination of Employment Recommendation(No.119) 96 of 1963 had served as an internationalguideline."The basic principle expressed in RecommendationNo.119, which had the greatest influence on national law(Yemin 1982, 341) is as follows: termination ofemployment should not take place unless there is a validreason for such termination connected with the capacityor conduct of the worker or based on the operationalrequirements of the undertaking, establishments orservice. In other words, the principle requires theemployer to have valid reasons for termination.Reasons for dismissal which are explicitly excludedunder Convention No.158 are: union membership orparticipation in union activities; seeking office as or8 1acting or having acted in the capacity of a workers'representatives; filing a complaint or participating in aproceeding against an employer involving an alledgedviolation of law; race, colour, sex, marital status,religion, political opinion, national extraction orsocial origin; pregnancy; family responsibilities;absence from work during maternity leave; and temporaryabsence from work because of illness or injury. TheRecommendation No.166 adds age (subject to national lawand practice regarding retirement) and absense from workdue to compulsory military service or other civicobligations.The Convention also provides that a worker shall beentitled to a reasonable period of notice unless he [sic]is guilty of serious misconduct, and to severanceallowance as well as unemployment benefits or other formsof social security benefits.None of the countries under review, however, hadratified the Termination of Employment Convention(No.158) as of December 31, 1989 (ILO 1990).As for domestic law, provisions which explicitlyrequire justification for dismissal are found in everymember state of the ILO in this study, i.e., Singapore,Malaysia, the Philippines, Sri Lanka," and Bangladesh(ILO 1981, 14). In the Philippines, for example, section272 of the Labor Code 99 provides that an employee may be8 2terminated without advance notice in cases of closure,reduction of the workforce, serious misconduct, fraud orwilful breach of trust, commission of a crime or offenceagainst the employer or any immediate member of his [sic]family or representative, and other analogous cases. Asto termination due to the installation of labour-savingdevices, redunduncy, retrenchment to prevent losses andother similar causes, an employee is entitled toseparation pay (section 273).In Singapore, the principle of justification oftermination is generally accepted (Tan Boon Chiang1982, 316). While trade union membership (section 17 ofthe Employment Act 1968), 10 ° race, sex, religion andpolitical opinions may not constitute valid reasons,economic viability of the employer, restructuring of thebusiness, situations beyond the control of the employeror the employee resulting in reduction of workforce andchange of business or of emphasis in the business mayconstitute a valid justification (ibid., 317). It is tobe noted, however, that the Employment Act 1968 merelyrequires either party to serve appropriate notice or topay severance allowance in lieu of a sum equal to theamount of salary which would have accrued to the employeeduring the term of such notice (section 11).In the case of Malaysia, retrenchment is recognizedin the Industrial Relations Act'°' of 1967 as the8 3prerogative of the employer, although the employer isrequired by law to give notice and observe the "last in,first out" rule. As to the severance allowance, theemployer may not be legally bound to compensate theworker (Lim Lin Lean 1984, 141).3.9.3. ConclusionIt can be concluded that employment is subject toemployers' business circumstances, against which laws andregulations do not particularly protect workers.Manufacturing industry is highly susceptible to change inmarket situations and, as a result, production lineworkers are in a particularly vulnerable position.The reasons for relocation of EPZ industries lie indecrease in production cost together with circumventionof taxes and import quotas. The host government of EPZsgenerously provide advantageous conditions includinglow-waged labour force for operation with EPZ enterprisesby new legislation and its arbitrary application ofinvestment, tax and labour standards. Laws andregulations are not stipulated or applied to protectworkers, since the purpose of the host government is toincrease statistically visible economic growth as astate. Some countries, for example, legally recognizeretrenchment as employers' discretion.'° 2 The legislationis not intended to improve the working conditions and8 4living standard of workers.It has been argued that sexual harassment would bea more serious problem in developing countries thandeveloped countries (Anker and Hein 1986a, 13). Thereasons given are as follows: in the first place, thenumber of women searching for jobs for survival isgreater. Secondly, women seeking employment when leavethe protection of their homes in traditional societiesare viewed as sexually loose and consequently asavailable for male intimacy. Thirdly, under the situationwhere male workers are not accustomed to interacting withwomen as workers in an organizational setting, maleworkers tend to rely on gender-based expectations ofbehavior.Unemployed women are often found in the informalsector'" (Ong 1983, 431) or in prostitution'° 4 forsurvival (Grossman 1979, 16; Fuentes and Ehrenreich 1983,26; Ong 1983, 438; Mitter 1986, 64), although they canstart as an unskilled production worker at another worldmarket factory with starting salary irrespective of theirexperience (Heyzer 1986, 108; Mitter 1986, 49). No skillavailable to other industries is obtainable through theirjob (Ong 1983, 431). Moreover, particularly in Malaysia,women factory workers are socially labelled as beingimmoral and not accepted in their home towns (Grossman1979, 15). Their first preference is to find another job8 5in the city and their last is to go home (Jamilah Ariffin1984, 220).Employment instability is the result of policies ofEPZ industries and host governments. Women workers inEPZs must always face the risk of retrenchment and bearthe consequences of it.3.10. Occupational Health and SafetyEnvironmental conditions of work are significant forworkers as they directly affect their health status andaccordingly their lives. Occupational health and safetystandards also affect the cost of production and thestability and productivity of the labour force. Since itsestablishment, the ILO has dealt directly and indirectlywith issues of hygiene and safety in industry (Robert andParmeggiani 1969).'° 53.10.1. The health status of the workersThe workers in EPZsi" are those who have passedmedical examinations during the employment screeningprocess. Their initial health status, therefore, cannotbe bad, at least as far as is required by the employer.Working conditions including the pressure and competitionresulting from individualized wage structures, long hoursof work and shift rotation as well as exposure to8 6physically unsafe conditions, however, operate togetherand adversely affect the worker's health."'Manufacturing IndustryOne study conducted in Malaysia revealed that halfof the industrial accidents occurred in the manufacturingsector (Lee Siew Hoon 1984, 175). The same survey alsofound that one third of the workers studied found theirworking environment unpleasant (Hing Ai Yun 1985b, 282).Textile and Garment IndustryIn textile and garment factories, in general,workers have to do their work under poorly lit, hot andhumid conditions with textile dust and lint in the air.Humidity is necessary for the maintenance of thread,even though it is known to cause rheumatism andarthristis (Fuentes and Ehrenreich 1983, 21). Withoutfans or air conditioners, however, the temperaturesometimes approaches 100 F (Cantwell, Luce and Weinglassn.d., 12). Textile dust and lint can cause brown-lungdisease (Fuentes and Ehrenreich 1983, 21). 1 08 Workerswhere asbestos is used are not always warned of itsdangers (Cantwell, Luce and Weinglass n.d., 15),particularly the long time-lag between exposure and themanifestation of the symptoms of asbestos-related healthproblems.8 7Noise is also a big problem in the textile andgarment industry. The average noise levels are higherthan the threshold recommended by the U.S. Department ofEmployment's Code of Practice (Lee Siew Hoon 1984, 178).Continuous exposure to noise exceeding the level cancause temporary hearing loss which workers are notusually aware of, but which gradually develops intopermanent hearing loss.The most common accident in the garment industry istrapping one's fingers in sewing machines (Paglaban 1978,11). Another problem is the ocurence of factory fires,aggravated by the highly flammable nature of textiles andinadequate fire fighiting capacity of most EPZ industries(ibid.).Electronics IndustryIn contrast, the electronics industry appears tooffer a better physical environment, that is, clean,modern and air conditioned factories. Though electronicsrequires much eye-straining microscopic work, some preferworking in the electronics industry rather than in thetextile and garment industries because of the seeminglyclean environment (Lim 1978, 32, 56 f111).' 09 Studiesdemonstrate, however, that the electronics industry isthe third highest health-risk industry in terms of thedegree of the workers' exposure to carcinogenic8 8substances."° Much electronics work involves solvents andcleaners such as epoxy resins, lead, trichloroethelene(TCE), zinc, chroloform, cademium and tin (ibid.). Amongthem, TCE, lead and chloroform are suspected occupationalcarcinogens (Lee Siew Hoon 1984, 182). Those who areregularly exposed to chemicals, such as those in chargeof tin dipping and lead bonding and straightening, reportskin rashes and dryness, runny nose, sore throat, asthma,dizziness, nausea, headaches, menstrual difficulties,miscarriages, infertility and premature births (Paglaban1978, 22; Fuentes and Ehrenreich 1983, 19-20; Lin 1986b,27-29). Acid burns are also reported (Paglaban 1978,22).Air conditioning is introduced to operate themachines smoothly (Lim 1978, 23), not for the workers todo their jobs in a comfortable situation. Though it isattractive to a workforce used to conditions of poverty(Lin 1986a, 472), constant air conditioning has beenlinked to problems of the nervous system.Other occupational exposures are not the samethroughout the electronics production process, which isfinely divided into a number of simple motions toperform. Each worker is assigned to only a fewrepetitive tasks for higher performance. Those who bondhair-like wires to silicon chips, peering throughmicroscopes for seven to nine hours per day without rest8 9(Lee Siew Hoon 1984, 179). Muscioskeletal problems withhands, wrists, back and shoulders result from fast,repetitive motions and/or continuous standing and sitting(Lin 1986b, 28).As a result of assembly line work, workers tend todevelop migraine headaches and deterioration of eyesight.Eye strain and infectious eye diseases are problems aswell (ibid.). It is not surprising that most of theworkers develop eye problems within a few years ofemployment (Fuentes and Ehrenreich 1983, 20) in spite ofthe fact that they have perfect vision at the time theyare first employed. Assembly-line electronics workersalso sometimes report infertility problems (Lin 1986b,28).Deteriorated health incurred through microscope workis one of major reasons for labour turnover (Ong 1983,430; Lin 1986b, 25). Symptoms of solder flux asthma, forinstance, can develop after four years of exposure, whichaccords well with the mean length of employment (Perks,Burge, Rehahn and Green 1979). In spite of thesehazards, the workers are not usually required to wearprotective gloves and masks. This is partly becauseworkers find such protective clothing uncomfortable andmore importantly, because such clothing hinders movement,making it difficult to meet quotas (Paglaban 1978, 22).Workers, however, are not informed of the risks of not9 0wearing protective clothing. In spite of all thesedangers, "safety" at the electronics worksite is usuallydealt with only in terms of fire prevention and control(Paglaban 1978, 22). Even in this regard, however, safetymeasures taken are minimal: often emergency doors arelocked and other doors and corridors are often blocked byboxes and garbage (Lin 1984, 20-21).General Problems Even where health services are provided at a companyclinic, these are not necessarily made available for theimprovement of the workers' health. The doctors andnurses, rather, serve as gatekeepers (Lin 1986a, 466). Asemployees of the company and an extension of management,their main duties are to make the workers well enough towork and to make sure they are not cheating to get out ofwork (ibid.). Some workers, as a result, visit privateclinics at their own expense (PARC 1977, 164; Lin 1986a,466). Another problem with company clinics is that visitsto such clinics are treated on the individual level,which has the effect of -individualizingoccupation-related symptons, diseases'°' and accidents.A good encapsulation of the role of such medicalpersonnel is that they "fix the worker not the workplace"(Willis 1989, 321).It is necessary, therefore, that analyses not be9 1confined to a consideration of health costs as apercentage of total expenditures. 112 They must includethe social treatment workers receive at company medicalfacilities.Another point of importance concerning companyclinics is that health services provided by employersrelate more to the desire for a positive corporate imageas responsible citizens and caring employers than to acommittment to the needs of the workers (Lin 1986a, 463).A good image of the corporation, in addition to itsoverall desirablity, also provides assurances to theparents of EPZ workers (ibid.).The shift work required in EPZ industries rotations,in electronics assembly, in particular, plants also leadsto considerable health problems. Shift workersexperience sleep disorders, and gastrointestinal, centralnervous system and psychological problems. Healthproblems have been found to be due more to shift rotationthan to hours of work (Lin 1986b, 29). This is supportedby the fact that shift work is cited as the cause of mostresignations (ibid., 37).Workers in EPZs must also cope effectively withproduction quotas, quality effectiveness, closesupervision and other aspects of labour management. Itis appropriate here to refer to the phenomenon of "masshysteria" which oftentimes occurs among electronics9 2industry workers, particularly women. Outbreaks of "masshysteria" occur when a few women on the assembly linesuddenly see some spirits, usually initiated by an odouror a bug bite, and scream, shiver or fall unconscious,which triggers other workers throughout the room withinminutes to develop similar spirit possession, therebydisrupting production.This phenomenon was in the past often convenientlyattributed to supernational forces (Lee Siew Hoon 1984,183), for females are considered especially vulnerable tospirit possession and other supernatural dangers (Ong1983, 434). Management called in traditional healers toprevent epidemic hysteria besides industrial nurses toidentify the initiators. One study conducted in Singaporefound that the number of the affected is significantlyhigher among Malays and Muslims, indicating that religionand ethnic group appear to be relevant factors (Chan OiYoke, Zee Kok Onn and Wong Chai Kee 1979). However, theincidence is not limited to Malaysia, Singapore andIndonesia (Mather 1985, 170), but is also seen at theworkplace and school in the United Kingdom and themid-western United States (Knight, Friedman and Sulianti1965; Colligan and Murphy 1979; Fernandez-Kelly 1981).Nor is it limited to women only (Knight, Friedman andSulianti 1965; Colligan and Murphy 1979).Reserchers who have studied epidemic hysteria have9 3generally come to the following conclusion: it is anexpression of a combination of both physical andpsychological stresses arising from pressure-filledworking conditions and poor labour-management relations(Colligan and Murphy 1979). In one study the affectedworkers reported more physical discomfort such asvariations in temperature and poor lighting in theworkplace, as well as psychological job stress, such asheavy production demand and conflicts with supervisors,than did nonaffected workers (ibid.; Colligan, Urtes,Wisseman, Rosensteel, Anania and Hornung 1979). AsFernAndez-Kelly (1981) has pointed out, therefore, theterm "mass hysteria" is misleading and also demeans womenworkers and masks unhealthy, repressive workingconditions. "Mass psychogenic illness" 113 (Colligan andMurphy 1979) is a better term for the phenomenon. In EPZindustries, however, rather than being recognized assystemic, the phenomenon is still individualized and,often, women involved in two such episodes are dismissed(Ong 1983, 435).Thus, it is not only the technical means ofproduction but also the social organization of productionthat affects the health status of workers (Lin 1986b,27). It also has to be noted that workers are moresusceptible to hazards at the workplace due to the poorerstatus of nutrition and sanitation as compared with that9 4of industrialized countries (Elling 1977, 218).3.10.2. Laws of industrial hygiene and safetyAt the international level, there are more than 40ILO Conventions and Recommendations related to industrialhygiene and safety." 4Of particular concern here are: the Prevention ofIndustrial Accidents Recommendation (No.31)"s of 1929,the Occupational Cancer Convention (No.139)" 6 of 1974,its Recommendation"' (No.147), the Working Environment(Air Pollution, Noise and Vibration) Convention(No.148)"s of 1977, its Recommendation (No.156)," 9 theOccuptional Safety and Health and the Working EnvironmentConvention (No.155)12° of 1981, its Recommendation(No.164), 12 1 the Safety in the Use of Asbestos Convention(No.162) 122 of 1986 and its Recommendation (No.172).' 23The Occupational Cancer Convention (No.139) providesthat ratifying states should make every effort, interalia, to have carcinogenic substances and agentsreplaced, to prescribe the measures to be taken toprotect workers against the relevant risks, to supply allavailable information to workers concerned, and to ensurethat they are provided with medical examinations, testsor investigations as are necessary.The Convention on atmospheric pollution, noise andvibrations 	 (No.148)	 contains a number of general9 5provisions on the measures to be taken and also dealsmore specifically with preventive and protective measures.Convention No.155 on occupational safety and healthand the working environment applies to all branches ofeconomic activity and all workers. Article 3 (e) of theConvention offers a definition of "health": the term'health', in relation to work, indicates not merely theabsence of disease or infirmity; it also includes thephysical and mental elements affecting health which aredirectly related to safety and hygiene at work. ThisConvention also provides, for the first time, the basicright of the workers to refuse to commence work or tocease work in the event of danger (arctile 13).The Convention concerning Safety in the Use ofAsbestos (No.162) prohibits a particularly dangerous typeof asbestos,' 24 although it allows exemptions on thebasis of consultation between employers' and workers'organizations. It stipulates that national legislationmust prescribe technical prevention measures and adequatework practices.The Recommendation on asbestos (No.172) specifiesmeasures of prevention and control of exposure, methodsfor monitoring both the work place and the health ofworkers, and the steps to be taken for informing andeducating all persons concerned.As of December 31, 1989, however, no state under9 6review had ratified any convention specifically mentionedabove (Nos.139, 148, 155 and 162) (ILO 1990). None,therefore, are bound by the Conventions.At the national level, among the NewlyIndustrializing Economies (NIEs), i.e., Singapore, theRepublic of Korea, Hong Kong and the Republic of China,Singapore provides the most stringent regulationsregarding industrial health and safety, whereas HongKong provides the least (Pang and Lim 1989, 53). Thegovernment of Singapore began to pay attention towork-related health problems, after rcognizing the costof productivity losses due to accidents and illnesses(Lin 1984, 14). 125 In the case of Hong Kong, the attentionhas only recently come partly due to the efforts on thepart of the government to attain a respectable image fromits trading partners (England and Rear 1981, 267). Therate of fatal accidents are several times higher in thedeveloping than in the industrialised countries and thatin most developing countries the number of non-fatallyinjured persons increased during the late 1970s, oftenfaster than the labour force (ILO 1985b, 143).In the Republic of China, there is very littleoccupational health and safety regulation, which theU.S.-based multinational corporations find attractive(Cantwell, Luce and Weinglass n.d., 15). For instance,asbestos seem to be treated as little more than a9 7nuisance dust (Castleman 1979, 578). In the UnitedStates,'" in constrast, unions take the position thatthere is no acceptable level of exposure to asbestos(Social and Labour Bulletin. 2/91, 181). Japanesecompanies also take advantage of the low level ofasbestos control in the Republic of China and relocatefactories to circumvent tougher domestic regulations ofasbestos in Japan (Castleman 1979, 577).In Malaysia, no health and safety standards havebeen established (Lee Siew Hoon 1984, 185). Thegovernment is reluctant to introduce any measures whichmight adversely affect foreign investment (Lin 1986b,39). There was a case where one company successfullytransferred female workers while retaining male workersat the same work section, in order to avoid installationcosts for equipment to reduce the level of lead which isrecommended by the authorities under the Factories andMachinery Act of 1967. The firm took advantage of thedifferently set standards established by the World HealthOrganisation (WHO) of the level of the lead for women andmen (Lee Siew Hoon 1984, 182).In the Philippines, a government survey of 1984reports that high risks to health are found in theindustrial environment (Social and Labour Bulletin.3-4/84, 539-540). The survey also reveals the fact thatthe majority of the workers are not aware of a right to a9 8safe work environment (ibid.).Absent or lax laws and regulations on occupationalhealth and safety and environment make countries in theThird world havens for transnational corporations.'"This is one of the driving forces behind the newinternational division of labour. The tightening ofenvironmental laws and occupational health standards inindustrialized countries has been accompanied by themoving of the affected processes to non-regulateddeveloping nations where standards are more lax, andcheap and uninformed labour is easily available.3.10.3. The perspective of occupational health and safetyIt can be safely concluded that concerns aboutoccupational health and safety are subsumed under theproduction goals, and more generally, under the nationalgoal of economic development. That there are few laws orregulations, coupled with low levels of enforcement whereexistent, in those countries shows little concern aboutthe quality of working conditions. Health and welfareservicesoffered by the company usually also implementlabour management policy, rather than address realhealth concerns. The selection of industrial technologylies ultimately in the cost incurred by capital and thestate. Relocated labour-intensive EPZ industriesspecifically choose not to employ safer processes of9 9production, in order to to make the best use of the cheaplabour available. Similarly, the principal concern of thestate is industrial output for export, which invariablyoutweighs concerns for work-related health problems. Thislack of concern is further reinforcd by the availabilityof a large prospective work force.'"EPZ industries take a victim-blaming approach tooccupational health and safety. Problems which resultfrom hazards at production sites are treated as if theywere those of the workers themselves. The only remedyprovided to workers is resignation. Prevention is notundertaken in favour of smooth and productive operations.Instead of individualizing problems of occupationalhealth and safety, thus mystifying the structural causes,it is necessary to see them not only from the perspectiveof her prevention through legal regulation but also atthe level of political economy,' 29 at the coporate,national and international levels. It is true thatlegislation concerning industrial hygiene and safety isindispensable, but the existence of legal standards doesnot necessarily mean that they will be effective. Aswell, legal regulation overlooks many activities andsources of work-related hazards, is oftennon-preventative in orientation, and cannot keep up withnew technology. here are also problems of enforcemnt,which arise from in competence of safety inspectors as1 0 0well as from general policies of non-enforcement.' 3 °The cost of accidents and diseases are in the mainborne by the victims themselves as well as theirfamilies, who are dependent on the workers and must takecare of them until recovery. The firms also bear thecost with the loss of prospective production, but onlytemporarily and marginally in terms of the overall costof production. The attitude of the firms is that they arenot responsible for such occurences. Legal provisionsconcerning occupational health and safety facilitate suchattitudes. Ultimately, however, the cost of accidents anddiseases will affect society at large. Since workers aremembers of a larger society, the cost borne by thevictims exerts indirect influences through, for instance,medical expenses which might otherwise be used for someother purposes of personal development.3.11. Non-Wage EntitlementsNon-wage entitlements or fringe benefits seem toplay a role in attracting prospective employees, as hasbeen discussed.' 3 ' They also seem to play a role inmaking overall working conditions more comfortable, for,as shown below, they sometimes help reduce personalexpenses or create better interpersonal relationshipsthrough organized activities. These observations,1 0 1however, 	 are 	 not 	 necessarily 	 correct. 	 Non-wageentitlements are, in the final analysis, guided by thecorporate policy of labour force.Non-wage entitlements are divided into two groups:those that are legislated by the government and limitedto permanent workers and those that are optional andavailable to all the workers. Among those legislated areannual leave, sick leave, medical benefits, maternityleave,'" accident insurance and pension plans.The others include uniforms, free or subsidizedtransportation services, food allowances or subsidizedcanteen facilities, particularly in Singapore andMalaysia, air-conditioning, 133 piped music,' 34 medicalfacilities,'" and recreational and social activities.'"In Singapore, under the Employment Act 1968, 13 ' anemployee is entitled to paid leave of seven days forevery twelve months' continuous service with the sameemployer (section 42). Section 43 of the Employment Actprovides for sick leave, and sections 95 through 106,maternity protection.In the case of Sri Lanka, the GCEC provides for a widevariety of non-wage entitlements (Ramanayake 1984,226-227), including maternity leave, hospitalization,social security and sick leave. Medical care, however, isoptional.In practice, however, not all these provisions are1 0 2enforced. At a company in the Philippines, for example,workers have to buy their own medicine although thecompany make deductions from their pay for medicare(Paglaban 1978, 11). It must also be recognized thatprovisional fringe benefits often provide litle ofsubstance to workers and may even have a negative impact.For instance, subsidized canteen food is still expensivefor the workers, and factory bus transport will not bebeneficial for those who live close enough to walk towork' 3 " (Lim 1978, 22; Lim Lin Lean 1984, 134). Social andrecreational activities form an important part of labourmanagement by creating a seemingly pleasant workingenvironment. Most, however, are geared towards so-called"feminine" interests. Organized activities such as beautycontests and sewing classes are stereotypically"feminine," both from Western as well as indigenousperspective. Through such techniques, management attemptsto reproduce gender roles at the workplace and moldworkers into a docile and hard-working labour force(Grossman 1979, 4). Even productivity competitions arebilled as "fun" thus contributing to the mystification ofworking conditions (ibid.).At bottom, non-wage entitlements contribute littleto a workers' living expenses, but do function in such away that employers avoid paying higher wages. They costless to provide than uniformly high wages which would1 0 3enable workers to pay for these services themselves.3.12. Labour ManagementLabour management in the EPZ is clearly connectedwith the purpose of establishment of the EPZ, that ofmaximizing profit by keeping productivity high andproduction costs low in order to be competitive on theworld market. Management of workers is basicallyaccomplished through pseudo-familism and genderstereotyping based on both indigenous versus Western andJapanese traditions.The factory or the corporation is analogized to afamily with the male supervisor figured as a father (Lim1978, 26; Grossman 1979, 5; Fuentes and Ehrenreich 1983,20; Heyzer 1986, 109). In the Republic of Korea, forexample, Confucian values of loyalty and devotion toparents are redirected towards the workplace (Fuentes andEhrenreich 1983, 20). The "corporate spirit" or theidentity of the worker with the work place is promotedand indoctrinated through various measures such as peptalks from management in the morning, corporate papers,company uniforms which are often T-shirts with the nameof the company printed on them, and company-sponsoredrecreational activities such as picnics, beauty contests,singing competitions and sports events which are1 0 4sometimes deliberately scheduled on May Day. Companiesalso sponsor sewing and cooking classes' 39 and the saleof cosmetics, accessories and shoes. Workers' problemsare treated as personal in relation to which supervisoryofficials play a paernalistic role (Fuentes andEhrenreich 1983, 24; Mitter 1986, 60).This approach is illustrated by a check-list forpersonnel management in many American electronics firmsin Hong Kong which includes such things as "know all youremployees personally-interests, habits, ambitions,hobbies, touchy points etc"; "let each employee knowwhere he [sic] stands"; "show confidence in youremployees-this will bring out the best in them"; and"gain employees' confidence-earn loyalty and trust"(England and Rear 1981, 93).This practice not only legitimizes authority in theworkplace, but also creates an environment which givestheri families, particularly the fathers, a sense ofcomfort (Mitter 1986, 62; Ong 1987, 170). Enloe callsthis alliance between corporate management and familymembers of the workers "happy complicity" (Enloe 1982,5). This environment further helps to prevent workersfrom developing a consciousness as factory workers(Grossman 1979, 6; Fuentes and Ehrenreih 1983, 24).These management techniques are also based on thetraditionally defined attributes of femininity-docility,1 0 5passivity and sexual desirability (Lim 1978, 41; Mitter1986, 61). Western ideas of women advanced by EPZfactories, particularly in the electronics industry, areattractive to women workers (Grossman 1979, 6). At thesame time, however, such Western ideas serve to discreditwomen workers in the eyes of the general public, whoregard them as behaviorally deviant from the local norms.This creates tension and stress among the workersthemselves' 4 ° and between the workers and the localcommunity' 4 ' (Lim 1978, 35-38; Grossman 1979, 14; Fuentesand Ehrenreich 1983, 25; Matsui 1987, 86-87).Corporate management strategies, out of necessity,extend the workplace into the local communities where thefactories are located and into the kin networks in thevillages of the workers as well. A personnel manager of aJapanese electronics firm in Malaysia explained itsmanagement policy as follows (Ong 1987, 171);We do not want to go against Malay culture,and [italic] Japanese culture too . . . We areentrusted by the parents to give the girls goodemployment, not otherwise. This is a family system;we are responsible for the girls inside and outsidethe factory. If the girls get sick, for example, wesend them home by private cars. . . . Of course theworkers are not too happy-"too much control," theycomplain. But we say the big "Yes" here. Parentsare very happy and we never receive any phone callsor letters from parents calling for their daugthers'resignation-like other companies [do] [orig].In order to be favourably accepted, some of thefirms take accommodating measures such as arrangingParents' Day, an opportunity for kin to monitor and1 0 6become familiar with their daughters' factory lives(Grossman 1979, 14; Ong 1987, 174-176). Factory-runhostels are established for the workers (Grossman 1979,14). Prayer rooms are also installed in the factoryitself, and the workers wear traditional attire insteadof modern uniforms to further enforce strict disciplinein the workplace (Lim 1978, 37). Donations to localevents, for instance, school athletic meetings and theProphet Mohammad's birthday celebrations, are also ofsignificance (Ong 1987, 174). As discussed earlier,' 42occupational safety and health measures are alsoconsidered to be one of the means to achieve a positiveimage of the corporation.Management strategies are also designed to increaseproductivity. Piped-in music is a device used to reducetalking among workers (Lim 1978, 23; Lin 1986a, 463).Tranportation services provided by the company help theworkers arrive at the workplace as scheduled.Productivity measures include individual dailyproductivity charts. Sometimes these are extended to thefactory level helping workers identify themselves as partof a global corporation (Lim 1978, 23; Grossman 1979, 5).Productivity measures such as these tend to cost lessthan individual productivity bonus schemes (Lim 1978,26). The fact that salaries consist to a large degree of1 0 7performance bonuses also leads to both higherproductivity and lower wage costs. Quality control (QC)circles' 43 are introduced on the shopfloor to fostermotivation and competition among workers, particularlyby Japanese multinationals, 144 which .promote on-goingeffort to pinpoint and solve workshop problems (Shiozawa1986, 36).' 45Productivity is also maintained by allowing onlyvery short rest periods. Workers are allowed an averageof only a 45-minute break during an eight-hour shift, 30minutes for lunch break and 15 minutes for tea break.As well, they are sometimes required to obtain permissionto visit the bathroom. These visits are regulated andmonitored (Paglaban 1978, 11; Fuentes and Ehrenreich1983, 23; Lim Lin Lean 1984, 141; Ong 1987, 167). Theshort hours of rest adversely affect the health andsafety of the workers.It is important to recognize that workers do notalways accept, acquiesce in or take advantage of measuresof "industrial indoctrination" offered by management(Lin 1986b). One study observed that workers made muchuse of company services for daily reproduction of laboursuch as health care, transportation services and housing,but they tended not to use those aimed at morale andsocialization, that is, recreational and educationalactivities. Another case study suggests that workers1 0 8know how to negotiate successfully with supervisors onthe shopfloor despite the rigid control. Workers lettheir supervisors know that they do not like to be underrigid control. The workers make use of senses of the firmas "family," "empathic feeling" and their own sense ofduty as workers to appeal to humanitarian values of thesupervisors as a means of relaxing their control (Ong1987, 167).Other management techniques are more blatant intheir treatment of workers as inferior. In the Republicof Korea, Japanese managers treat Korean workers in adegrading manner, as inferior to Japanese (CJPSK 1976;Matsuo 1977; Ogle 1990). It is reported that Japanesemanagers use their own language on the shopfloor andseldom learn the local language (Ogle 1990, 84). Thediscriminatory attitude towards non-Japanese Asians ispartly explained by the official educational influenceduring the colonization of Korea by Japan from 1910 to1945 which served to ingrain in the general public asense of Japanese ethnic superiority among Asians.In Malaysia, where economic divisions usuallycoincide with ethnic and religious differences,'" thereis much potential for conflict, particularly where jobhierarchies correspond to ethnic stratification (Ong1987, 159). In response, some firms employ Malay ratherthan Chinese personnel managers and administrators in1 0 9order to generate less ethnic hostility (ibid., 158).In conclusion, it appears that labour managementstrategies and productivity campaigns tend to combinetraditional ideas of women as self-denying and obedientto authority with sophisticated modern techniques ofhuman relations. Local communal values are invoked aswell not only to reinforce discipline among factoryworkers on the assembly line, but also to keep the supplyof workers constant. If local values were not respected,the moral concern of parents for their daughters mightoverride the need for monetary contributions to thehousehold. It has to be noted, however, that workers arenot necessarily passive receivers of managerialtechniques' 47 and cope effectively with them.Illustrations include an application by the workersthemselves of a sense of "family" to their supervisors tosoften control and selective use of non-wageentitlements. Furthermore, ethnic and/or racial divisionsare in some cases activated both positively, forinstance, the same ethnic composition of workforce andsupervisors, and negatively, as in the case of Japaneseenterprises in the Republic of Korea, in the process oflabour management.3.13. Industrial Relations1 1 0By industrial relations'48 I mean the legal,economic, political and socio-cultural factors thatcontrubute to the shaping of basic working conditions bylabour, capital and the state. Among various aspects ofthe EPZ, industrial relations play a pivotal role inmolding the industrialization strategy of EPZs. In thefield of international labour law, industrial relationsconstitute a significant part of fundamental human rightsfor workers and have been dealt with since theestablishment of the International Labour Organisation.3.13.1. International legal frameworkThe ILO provides standards for freedom of associationfor trade union purposes: the Freedom of Association andProtection of the Right to Organize Convention, 1948(No.87),' 48 the Right to Organize and CollectiveBargaining Convention, 1949 (No.98),'" the CollectiveAgreements Recommendation, 1951 (No.91),'" the Workers'Representatives Convention, 1971 (No.135) ,152 theWorkers' Representatives Recommendation, 1971 (No.143),' 53the Promotion of Collective Bargaining Convention, 1981(No.154),'" and the Promotion of Collective BargainingRecommendation, 1981 (No.163).' 88 Although as early as1919, freedom of association was mentioned in theconstitutional provisions of the ILO (Valticos 1979:79),the first convention of general application was not1 1 1adopted until 1948.' 56The Freedom of Association and Protection of theRight to Organize Convenion (No.87), ratified by 99member states as of December 31, 1989 (ILO 1990), servesas the fundamendal instrument for internationalprotection of the freedom of workers to organize indefense of their interests. It provides for the right ofworkers to organize into unions without distinction ordiscrimination of any kind as to occuption, sex, colour,race, creed, nationality or political opinion (article2). The rights and guarantees which such organizationshould enjoy, including the right to draft a constitutionand governing rules and to elect representatives, arealso set out (article 3).The No.87 Convention also provides for the right oftrade unions to organize their activities and toformulate their programmes. This provision relates to theright to strike and the right to pursue politicalactivities in the context of trade union organization,under the circumstances where prohibition by law ofpolitical activities is prevalent. The view of the ILO isthat a general prohibition of political activities isboth incompatible with the Convention and unrealistic inpractice (Valticos 1979, 84) and that a generalprohibition of strikes	 constitutes 	 a considerablerestriction of the opportunities open to trade unions for1 1 2furthering and defending the interests of their membersand of the right of trade unions to organize theiractivities (ibid.,86).'"The Right to Organize and Collective BargainingConvention (No.98) ratified by 115 states as of December31, 1989, provides for protection of workers and tradeunions leaders against victimization by their employersat the time of recruitment and during the period of theemployment relationship (article 1) and protection oftrade unions against acts of interference (article 2).The Workers' Representatives Convention No.135 whichis complemented by the Recommendation No.143 areintended to recognize freedom of association at the plantlevel as well as at the national or occupational level.The Convention has been ratified by 44 states as ofDecember 31, 1989 (ILO 1990).The Promotion of Collective Bargaining Convention(No.154) provides that "collective bargaining" defined ina broader sense of the term in article 2 shall beencouraged by taking measures adapted to national conditionsin all branches of economic activities.The No.98 Convention has been ratified by all thestates coverned in this study (ILO 1990). It is alsoapplied to Hong Kong without modification (England andRear 1981). The No.87 Convention has been ratified byBangladesh and the Philippines (ILO 1990). As for the1 1 3No.135 and No.154 Conventions, no states except for SriLanka in regard to the former, are signatories as ofDecember 31, 1989 (ILO 1990). For Hong Kong, No.135Convention is not applicable, since there is notlegislation applying the provision of the convention(England and Rear 1981).The universal standards are provided by article 23of the Universal Declaration of Human Rights,'" article8 of the International Covenant on Economic, Social andCultural Rights' 59 and article 22 of the InternationalCovenant on Civil and Political Rights.'"3.13.2. The positions of labour and trade unions underdomestic lawsLabour and trade unions are generally weak in EPZs.Since the onset of export-led industrialization in Asiain the 1960s, trade union organizations and collectivebargaining have been severely curbed (Edgren 1984, 41).MalaysiaWorkers cannot become actively involved incollective action due to legislation concerning tradeunionism and industrial dispute resolution: the TradeUnion Act 1959 181 (revised in 1980) 162 and IndustrialRelations Act 1967 162 (revised in 1981), 164 in particular.Under the Trade Union Act, no trade union of general1 1 4nature is permitted. It provides that every trade unionshall be registered (section 8), which the Registrar .'"(section 3) may refuse (section 12); that strikes may notbe called to force management to recognize a union(section 25A); that trade union officials shall have atleast three years' experience in the industry they wishto represent (section 28); that 'management functions'pertaining to promotions, transfers, layoffs and similarmatters are not subject to collective bargaining (section46); that trade unions may not have political funds(section 52); that a federation of trade unions may beformed or created only if it consists of unions whosemembership is confined to a particular trade, occupationor industry (section 72); and the Minister may makeregulations for the purpose of carrying out or givingeffect to the principles and provisions of this Act(section 58).The Industrial Relations Act 1967 provides forprotection of pioneer industries' 66 during the initialyears of its establishment against any unreasonabledemands for a trade union' 67 ; procedure to be followed inthe submission of claims and collective bargaining;provisions for speedy and just settlement of tradedisputes by conciliation or arbitration if not resolvedthrough direct negotiation; power for the Minister ofLabour to intervene and to refer disputes to the1 1 5Industrial Court established under the Act; awards by theIndustrial Court are legally binding; prohibition ofstrikes or lock-outs for causes connected withnegotiation of trade unions, or on matters connected withmanagement functions; management functions pertaining topromotions, transfers, retrenchments are notnegotiable; and safeguard for pioneer industries duringtheir first five years of existence or for any suchextended period against unreasonable demands of tradeunions (Cited in FrObel, Heinrichs and Kreye 1980, 363).At the same time, the Internal Security Act 1960(Revised 1972) 166 provides for detention without trial,which has been used to arrest, detain or threaten labourorganizations (Hing Ai Yun 1984, 209; Lent 1984, 453).In addition, the Universities and Colleges Act 1974seeks to prohibit any cooperation between any studentgroup and any political parties and trade unions (Hing AiYun 1985b). Similarly, the Printing Presses andPublication Bill 1984 plays a part in voluntaryregulation of freedom of expression on the part of themedia, which effectively undermines the role indesseminating information on labour issues (ibid.).Under these regulations, workers are only allowed toorganize in sectors less vital to industrialization. Forinstance, unions can be legally formed in the electricalindustry, but not in the electronics industry.'" This1 1 6has meant that 12% of women workers in the manufacturingsector cannot organize (Rohana Ariffin 1988). Even giventhis situation, in 1985 when Mostek, a U.S.-basedelectronics company, dismissed more than 1,200workers-almost of all of them women-the retrenchedpicketed picketing for the first time in EPZs in Malaysia(Lochead 1988). Two-thirds of both female and maleworkers consider trade unions to be very important as apowerful weapon for collective organization (Hing Ai Yung1985b).SingaporeThe Employment Act 1968' 7 ° (Revised in 1984), theTrade Union Act 1968 (Revised in 1982) and theIndustrial Relations (Amendment) Act 1968' 7 ' regulateslabour and management relations.The Employment Act 1968 established standards of theterms and conditions of employment and circumscribed thesubstantial fringe benefits of the workers: reduction ofholidays, rest days, annual and sick leave, a standardwork week of forty-four hours, limitation of retrenchmentand retirement benefits on workers with three and fiveyears of service, limitation of bonus payments from threemonths' wages or more in many cases to one month's wages(Pang 1981b, 489). Amendment to the Employment Act 1968 in1984 provides for greater flexibility on the part of the1 1 7employer in utilizing human resources: the employer maysynchronize work schedules with fluctuating productionand avoid paying overtime rates for short periods of longhours by offsetting them against longer periods of shorthours (Leggett 1988, 250).The Trade Union (Amendment) Act 1982 modified thedefinition of a trade union to reflect an emphasis on thewell-being of workers and altered the practice ofindustrial negotiations for the purpose of promotinggreater identification by the workers with theiremployers and corporate interests (Blum and Pataranapich1987; Cheah 1988). The amendment includes compulsoryre-registration of trade unions, creation of newenterprise unions and elimination of the militant aspectsof trade unions by not allowing them to promote, organizeor finance strikes or lock-outs.The Industrial Relations (Amendment) Act 1968provides that trade unions may not negotiate hiring,firing, promotion, transfer, retrenchment,reinstatements, or work assignment. The act also providesfor conciliation by the Ministry of Labour and for finaland legally binding arbitration by Industrial ArbitrationCourts (IACs).' 72 Although the right to strike is legallytolerated, legal strikes are virtually impossible withoutthe tacit approval of the government (Pang and Cheng1978, 36). This Act is one of the few pieces of1 1 8legislation in the world that clearly states the rightsof management (Pang 1981b, 489).Moreover, the ruling People's Action Party (PAP)has a symbiotic relationship with the National TradeUnions Congress (NTUC), one of two nationwide federationsof trade unions that arose in the mid 1960s (Leggett1988). The NTUC represents about 95% of union members(Sharma 1985, 65), and, since 1981, has pursued, jointlywith management, a strategy of the Japanization of tradeunions such as the establishment of house unions' 73 tofacilitate consultation and harmony between labour andmanagement (Leggett 1988).Other Japanese management 14 practices are alsopromoted, including the formation of quality control(QC) circles to foster motivation, commitment andorganizational effectiveness (Leggett 1988). The NTUC,for instance, rewarded "model" workers for theirindustriousness and exemplary companies' employmentpractices (ibid.). The role of the NTUC is such thatSingapore is rated high for overseas investmentsuitability, particularly on the criterion of "workerattitudes" (ibid., 252).Trade unions in Singapore are, thus, depoliticizedso as not to wage strikes over economic claims and towork as instruments of the government. 15It is argued that trade unions play an important1 1 9part in socializing workers in accordance with theeconomic and social imperatives identified by thegovernment: mobilizing the labour force throughproductivity increase for national economic development(Blum and Pataranapich 1987; Leggett 1988).l'gRepublic of ChinaIn the Republic of China, 90% of the workforce oflarge enterprises belong to trade unions"' (Shapiro 1981,12). There is, however, no right to strike (ibid., 13;Winn 1987, 40). It is somewhat disingenuous then that thegovernment placed an advertisement in The New York Times in 1976 claiming that the country is strike-free (ibid.,35):[The labor force in Taiwan] is the bestbargain in Asia, if not the world, when efficiencyas well as cost is taken into account. And theisland's workers are well disciplined; there ispractically none of the costly strife thatcharacterizes industries in many parts of theworld. There are no strikes.In actual fact, however, strikes do occur, thoughnot on a large scale or for extended periods of time(Galenson 1979, 428; Goldstein 1987, 56).""Besides, in the early 1980s, a "Factory as Home andSchool" movement was launched by a legislator andpresident of the Chinese Federation of Labor (CFL)-anofficially recognized representative union-: the emphaseswere on labour-management agreement and the "positive1 2 0participation" of workers in solving industrial problems(Deyo 1987, 188).The relative lack of industrial strife relates tothe repressive labour policy which has been legitimizedby continuing political confrontation with the People'sRepublic of China (Koo 1987). This was one aspect ofmartial law, 178 imposed from 1950 to 1987, with the claimthat it would prevent Communist subversion and citizenunrest (Kagan 1982, 50). This included suspension of allconstitutional guarantees, denial of political freedomand supression of any legitimate negative criticismagainst the regime (ibid.). Within this context it shouldnot be surprising that union leaders are known to have aclose relationship with the ruling party-Kuomintang (KMT)or the Nationalist Party- and the state securityapparatus (Fitting 1982, 738). The result of all of thisis that unions do not protect members' rights (Goldstein1987, 56). This reality must be contrasted with theLabour Union Law of 1975, 180 which states as follows(article 1): the purposes of a labour union shall be toprotect the rights and interests of workers, to advancethe knowledge and skill of workers, to develop productiveenterprises and to ameliorate the livelihood of workers(Winn 1987, 43).Philippines 1 2 1The Labour Code"' purports to give social justiceto the workers in the context of the government's planfor national development (statement of objectives,pre-employment).Accordingly, strikes are banned in "vitalindustries" with the promulgation of the PresidentialDecree No.823,182 although in effect every industry isincluded; 183 labour-management dispute shall be settledby compulsory arbitration by the National Labor RelationsCommission (NLRC) 184 in the Department of Labor; oneunion may be formed in one industry; collection of anystrike contributions by unions are prohibited; donationfrom foreigners are illegal.Police in the EPZs are heavy-handed in dealing withlabour disputes, and usually arrest and detain manyworkers (Ocampo 1982, 38; Porte 1986, 182). Martial lawor the Proclamation No.1081 185 was promulgated in 1972when the government embarked on the full-scale industrialdevelopment for export promotion (Bello, Kinley andElinson 1982).The situation is such that workers cannot claimtheir rights without being dismissed:	 claims areconcerned with periodic lay-offs, reinstatement,increased workload without notice, inadequate safetymeasures leading to health problems, sub-standardhousing and a lack of sanitary facilities (Paglaban 1978,1 2 212; Sasahara 1980, 79; Ocampo 1982, 38). It is also thecase, however, that workers would rather obeymanagements' orders for day-to-day living than organizebecause they have to risk their jobs in protest againstmanagement (Paglaban 1978). The number of strikesconsiderably decreased with the declaration of martiallaw (Ramos 1981).Sri LankaOne of the major roles the Greater Colombo EconomicCommission (GCEC) has to play is the maintenance ofindustrial peace (Jayakody and Goonatilake 1988, 294).There was an attempt at the time of establishment of theGCEC to empower the Labour Minister to exempt EPZ firmsfrom the provision of existing labour laws, which waswithdrawn after much criticism nationally as well asinternationally (Edgren 1984, 42).In any events, no trade unions exist within EPZs inSri Lanka. Though there is no express prohibition againstunion organizing by the managing authority of thecompanies therein, traditional trade unions have animplicit understanding for not organizing women workersemployed in EPZs (Jayakody and G000natilake 1988, 293).Moreover, the workers are under strict surveillance onthe grounds of security, which does not allow unionorganizers to enter the EPZ nor carry out union1 2 3activities (Fernando 1988, 170). Furthermore, the policeuse extra-legal means to prevent workers from organizing,picketing and distributing leaflets (ibid.).The Joint Consultative Councils established by theGCEC to promote good labour management relations alsoplays a part in maintaining industrial peace (ibid.,294). Workers do not have much faith in the Councils,though (Edgren 1984, 43). Those who have initiatedstrikes or tried to form a trade union have been expelledand blacklisted from employment in other factories(Jayakody and Goonatilake 1988, 295, 297).Republic of KoreaIn the Republic of Korea or South Korea, laws,management practices and state-sanctioned forces havecontained and disciplined organized industrial labour.'"This has been facilitated to a great extent by theperceived confrontation with North Korea-the DemocraticPeople's Republic of Korea (Koo 1987; Ogle 1979, 1990).The Labor Union Law creates the situation in whichlegal recognition of unions and their right of formalrepresentation of the workers' interests depend upon thestate; unions are barred from forming, cooperating withor contributing money to any political party; and unionshave to be based upon individual local unions at theplant or enterprise level instead of national-level of1 2 4federations (Launius 1984, 5). The Labor DisputeAdjustment Law makes the strike illegal, prescribesgovernmental conciliation of disputes and prohibitslinkages between workers and non-workers such as studentgroups and religious organizations (ibid., 6). The LaborCommitee Law and the Labor-Management Council Law promotethe cooperation of labour interests into mechanismscontrolled by the state (ibid.).A special emergency law called the Kooka Powei Pupof 1971 outlawed strikes of any kind (Ogle 1979, 511).The Yushin Constitution"' of 1972 stresses the need forlimitations on union action on behalf of the economicdevelopment (ibid.). The Federation of Korean TradeUnions (FKTU), a nation-wide labour organization, is alsowell known to be co-opted by the government(ibid., 512).Labour unions and movement are always controlled,intimidated and repressed by the police and thestate-sanctioned force (ibid.,513). I 88Management promotes the Saemaul Movement or the NewVillage Movement,'" which provides that for the good ofnation the company must succeed; for the company tosucceed, workers and management must cooperate and livein harmony; and that disruptions in production are a helpto the enemies of South Korea and a blow to nationalgoals (Ogle 1990, 56).When labour disputes are not settled through the1 2 5sanctioned committee system, they are handled by thepolice or the Agency for National Security Planning(ANSP)-formerly the Korean Central Intelligence Agency(KCIA) (CJPSK 1976; Matsuo 1977; Launius 1984; Ogle1990).The consequence of these tough labour policies isthat work stoppages declined sharply from 79% per yearbetween 1955 and 1960 to 15% per year during 1963-71(Deyo 1987, 186). The number of labour disputes droppedfrom 407 cases in 1980 to 186 in 1981, and to 57 at theend of August in 1982 (Langston 1982, 17).' 9 ° It is womenworkers, however, that have led the labour movement inthe Republic of Korea (CJPSK 1976, 67; Launius 1984, 10;Deyo 1987, 194: Ogle 1990, 84).Hong KongTrade unions must be registered under the TradeUnions Ordinance, 20 ' Based on legislation first introducedin 1948 (Turner, et al. 1980; England 1989). Thisrequirement aims to prevent the trade union movement frombeing used for criminal purposes or for disruptivepolitical 	 ends	(ibid.).	 Registration	 is, 	 then,administered by the Registrar of Trade Unions who has thepower to refuse or cancel (England and Rear 1981). TheTrade Unions Ordinance prohibits unions holding politicalfunds (ibid.; England 1989). It allows freedom of1 2 6association-as few as seven people can apply forregistration as a trade union-, while it bans generalunions (ibid.). The Labour Relations Ordinance 2 ° 2 providesofficial procedures for conciliation, boards of inquirywhen arbitration does not work, and a "cooling-off"period to be ordered (ibid.). 202The level of worker resistance is low (Turner, etal. 1980; England 1989; Henderson 1989). 204 This holdsparticularly true for the manufacturing indusry (Turner,et al. 1980; England 1989). Workers have a freedom tostrike, although no legislation confer upon trade unionsand workers the right to strike (ibid.). The lack oflabour militancy, which Henderson (1989) noted hasdeclined substantially in recent years, is not, however,due to repressive labour policy (Turner, et al. 1980;England 1989). Nonetheless, it is argued that two factorsrelate to the low level of industrial action (ibid.,221). One is the presence of police close to the scene ofindustrial disputes. The other is section 42 of the TradeUnions Ordinance which confers immunity from suits forinducing breaches of contracts of employment protectsonly registered trade unions and not individuals, whetherthey be union officials or workers. 2 ° 5General In addition to the labour policy of the governments1 2 7which established EPZs, some argue that it is thecomposition of the workforce and, in particular, thesupposed internalized docility of women under patriarchy(Salaff 1981, Cited in Deyo 1984, 285) which alsocontributes to the compliant state of labour movement.The Relationship of Women to Trade UnionsThe above discussion has focussed on the generalcondition of labour relations in South, Southeast andEast Asian countries. I now want to consider morespecifically the relationship of women to unions.As in other countries, including industrializedones, 2 " trade union leadership in South, Southeast andEast Asia is male-dominated and thus male-oriented inagenda setting and problem solving. This is the case evenwhere the majority of the workers are women (Nash 1977,177; Ong 1983, 431; Elson and Pearson 1984, 38; Heyzer1986, 75; Mitter 1986, 149; Kumudhini Rosa 1987, 160;Jayakody and Goonatilake 1988, 293; Rohana Ariffin 1989,79). In Sri Lanka, for example, unions took no actionwhen the government planned to denounce the ILO No.89Convention prohibiting night work of women, for theyconsidered it unimportant (Kumdihini Rosa 1987, 160). Asanother example from that country, a demand for specialtransport services for women was derailed by malecoworkers who argued that equal pay for women meant as1 2 8well equal fringe benefits for male workers (Hossain,Jahan and Sobhan 1988, 126).Many trade unions do not discuss issues and demandsspecific to women workers such as equal pay for equalwork, sexual harassment, maternity protection and childcare facilities. 2 " Interests of women workers aremarginal and marginalized in the trade union movement,for unions consider "women's issues" as pertaining towomen members alone and other problems as pressing andmore impornant (Rohana Ariffin 1989, 92). The fact thatparticipation of women in unions is low is a reflectionof the absence of actual, not verbal, attention to womenfrom the union leadership (ibid.).As well, there was a case where unionization offemale workers was interfered with not only by maleworkers but also by their family members and relatives ofthe women involved (Mitter 1986, 62). Factors motivatingthis interference include the maintenance of therelatively superior position of male workers in thelabour market and preventing a decrease in thecontribution made by female workers to the household(ibid.). Nevertheless, women are mobilized around generalissues such as wage increase and productivity.The marginalization of women in trade unions isreinforced by religious factors as well as patriarchalvalues which dictate women's appropriate roles in society1 2 9(Rohana Ariffin 1989; Gallin 1990).The high turnover rate among women also has anegative effect on the discussion of socalled women'sissues to be discussed in the trade unions (Mitter 1986,54). It has to be noted, however, that high labourturnover is the predominant expression of workers'discontent with their position as dead-end factoryworkers (Jamilah Ariffin 1984, 219-220; Hing Ai Yun1985b, 284; Henderson 1989, 117; Gallin 1990, 190). 208Barron and Norris (1976, 49) have pointed out a danger ofcircular explanation: the higher turnover rate of womenshould not be confused with the existence of higher"involuntary" [italic] turnover rates for women(a property of the job), nor should we ignore thepossibility that higher "voluntary" [italic] turnoverrates can also reflect properties of the job-like lowpay and poor work conditions. Further, in the case ofMalaysian workers, their awareness that the public"looks down on factory workers" exacerbates theirdiscomfort for their social status (Blake 1984, 159).Restrictive policies of the government in relationto the labour movement also have a negative influenceupon the formation of collective consciousness amongwomen as workers (Jayakody and Goonatilake 1988; Gallin1990). 209 Severe limiations on strikes cut unions'strength and thus contribute to prevent workers from1 3 0organizing. The double burden women carry in working forwages and managing household responsibilities alsodiscourages them from participating in union activities(Hossain, Jahan and Sobhan 1988, 120; Rohana Ariffin1989, 81). Furthermore, the common practice ofsubcontracting effectively atomize workers (Gallin 1990,189). A management technique of personalizing labourissues at the shopfloor level also inhibits women fromrecognizing their collective exploitation.In the end, women workers have to strugglethemselves to have their interests met within tradeunions. Male-dominated values permeate the institutionssuch that women only expect support from malecounterparts for issues which affect them as well. Theidea of appropriate gender roles in society contributesto shape and reinforce such behavioral patterns in unionaffairs. The position and role of women in society and inthe labour market is thus carried over into the structureof trade unions.3.13.3. Politics of industrial relationsThe general conclusion that can be drawn from theabove discussion is that labour relations laws areconstructed and applied in favour of governments and EPZenterprises. In contrast, the rights of workers arecurtailed and sometimes suspended in aid of industrial1 3 1peace. It is fair to say, therefore, that industrialrelations in EPZs are structured not to protect andimprove working conditions, but to effectively maintainindustrial peace such as to ensure a climate favourableto investment. The salient features of this structure arelegislative and administrative measures directed to curbtrade unionism.The respective states play a significant role,through to varying degrees, in creating, facilitating andreinforcing a repressive working environment with a viewto accerelating economic growth through export-ledindustrialization. It is argued that in the Gang of Fouror the Newly Industrializing Economies (NIEs) repressionof labour has been greater and more significant inSingapore and the Republic of Korea than in Hong Kong andthe Republic of China (Deyo 1984). In the lattereconomies, in contrast, labour control has beeninstituted at the factory level (ibid.).Enloe (1983) observes that there exists a strongcorrelation between militarization in society and thepursuance of export-oriented industrialization whichrequires controllable labour force.Labour peace has been assured for economicdevelopment, however, at the price of various humanconsequences, in particular, for women workers. 2 "The repressive state policy towards labour which1 3 2characterizes export-oriented industrialization is alsostrongly associated not only with foreign investment, butalso with historically specific geopolitical linkages.The Republic of Korea and the Republic of China, forexample, are strategically located adjacent to thenon-communist world. Not surprisingly, the United Stateshas supported both politically and economically (Deyo1987; Haggard and Cheng 1987; Koo 1987) .211 The resultanteconomic success of these countries, as demonsrated intheir respective GNPs, in turn, contributed to theenhancement of the political legitimacy of eachgovernment from a Western perspective and, thus, to thestrengthening of linkages with the industrializedeconomies (Deyo 1984, 1987). The strategic location ofthe Philippines is clearly illustrated by the existence,until very recently, of seven U.S. bases (Bello, Kinley,and Elinson 1982). 212 In the case of Singapore, Britishand subsequent ANZUS (the Australia, New Zealand, and theUnited States) 213 support has been of great importancefor the ruling elites of the country to frameexport-oritend industrialization (Deyo 1987). In HongKong where the state is a British colonicaladministration, the politics of People's Republic ofChina and the connection with the United Kingdomfundamentally has affected and shaped the politicaleconomy of the colony (England and Rear 1981; Haggard and1 3 3Cheng 1987).At the same time, economic policy and conditionswithin EPZs are fundamentally structured by domesticpolitical and legal regimes.As Deyo (1987) has argued, the politicaldemobilization of labour is achieved with varying degressof state intervention during the phase of export-orientedindustrialization. He identifies this as one of theindispensable requirements of economic development alongwith contained labour cost.Within this complex context, one must also add theparticular impact of these structures on women whoseposition and interests must be contexualized differentlythan those of their male coworkers. Most importantly, inthe context of this discussion of industrial relations,women are fundamentally undermined by the male-centredstructure of trade unions, as well as in specific ways byrepressive domestic labour policies and practicies.1 3 4CHAPTER IV 	 SUMMARY AND CONCLUSIONIn the preceding chapters, an attempt has been madeto reach an understanding of the position of womenworkers in EPZs that goes beyond the economicconsiderations usually emphasized by industry andSoutheast Asian and Western states. The focus has been onthe particular role played by law, both international anddomestic in constructing conditions faced by womenworkers in EPZs. Most importantly, an attempt has beenmade to undertake an analysis attentive to politicaleconomy at the levels of the household, the localcommunity, the corporation, the nation state andinternationally.One of the most salient features of the EPZ is theextensive employment of one particular category ofworkers, i.e., young and unmarried women.' I have arguedthat this choice is neither accidental nor attributablesolely to the supply side of the labour market. Rather,these women are selectively tapped by the demand side ofthe labour market to serve EPZ industries as a cheap,"unskilled" or "semi-skilled," docile and expendablelabour force. 2Young women are held out as being more skilled thanother workers for the jobs required in EPZs. Skill is notdefined objectively, however, but is based on social1 3 5distinctions based on gender. 	 Such ideologically baseddistinctions in turn contribute to a decrease in thevaluation of women's labour.Young, unmarried women workers are desired bycompanies because, at bottom, they are cheaper to employand manage. They are constructed as secondary workers,economically supported and socially protected by andsubjugated to male family members. This in turn justifiespayment of lower remuneration, which is furthermaintained at an absolute minimum through recruitmentprocedures involving physical checkups (to rule outpregnancy) and behavioral and attitudinal observation (toensure docility and acquiecence). Women workers receive,as a result, only subsistence level wages.As a result of employment in EPZs, women workerstend to be physically damaged in the course of work,which, for instance, sets high production target,requires frequent change of shift and involves handlingof dangerous chemicals. 3 Focused only on maintainingminimal labour costs, companies tend to do little toprevent occupation-related accidents and diseases. Sexualharassment also has an adverse affect on women workersphysically, psychologically and economically.Women who brave such adverse conditions also suffersocial consequences. They are stigmatized and, in turn,lose social status.' This is illustrated in such1 3 6derogatory names as "Minah karan" or "Minah letrik" and"Kong Soonie"-a Korean version of America's "Rosie theRiveter" (Launius 1984, 10). This focus of publicattentions on the morality of women workers tend to leaveother critical problems, including poor workingconditions, unnoticed. 5 (Blake 1984, 159; Ong 1987, 183).For immigrant workers, all of the above problems arefurther compounded by their having to adjust as well tonew environments (Jamilah Ariffin 1984, 218; Khoo andPiore 1984, 139; Wijesekera 1987, 24).It is important to recognize, however, that workingin EPZs is not all bad for women. Through such work,women workers can attain a certain degree ofindependence from rigid familial or patriarchal control,either by existing on their own meager wages, orcontributing to the family household. Through suchmeans, women workers can delay their marriages as well(Jones 1984, 40).There are, however, other factors which limit theeconomic benefits women can derive from working in EPZs.First of all, they have no promotional prospects and/oralternative employment opportunities. Secondly, theycannot gain power in the family structure in accordancewith their monetary independence and contributions. Mostimportantly and finally, they are still under patriarchalcontrol at the workplace (Heyzer 1986; Goonatilake and1 3 7Goonesekere 1988); Walby 1990). Public patriarchy isoften much harsher than private patriarchy, since it isnot softened by the affectionate relationship betweenfathers and daughters and/or husbands and wives and givesno room for negotiation for power and control. Thus,personal economic gains for women who work in EPZs do notlead directly to freedom from social control; their"liberation" is extremely limited.Rather than protecting women workers or requiringbetter working conditions in EPZs, host governments haveconcerned themselves with fostering favourable investmentclimate." This is accomplished legally, administrativelyand politically. For example, laws and regulations in thefields of investment/tax, labour and environment areminimally enforced thereby facilitating foreigninvestment. Generous investment incentive packages areprovided and industrial peace is guaranteed throughrepressive legislation, thereby ensuring maximum profitfor EPZ enterprises. Other measures taken includestreamlined administrative and bureaucratic procedures.Legislation of lower minimum wages for women than formale workers and other economic and labour policiesfurther ensure the availability of a labour force ofyoung women workers for EPZ enterprises. In this way,security for the EPZ industries is traded off againstinsecurity for female workers.	 This trade-off is1 3 8fundamental to the policy that has facilitated thecreation of EPZs.Thus, though women obtain some benefits fromemployment in EPZs, overall, these advantages areoutweighed by negative factors which not only reinforcepre-existing subordination but compound it. Women workersin EPZs, as a result, are triply exploited (Lim 1983).They are subject to capitalist exploitation through wagelabour, imperialist exploitation through North/Southrelations, and patriarchal exploitation through lowersocial positioning than their male counterparts. This isnot to say, however, that women are passive recipients ofsuch exploitation. There are structural reasons why theysee no choice but to subject themselves to suchtreatment, and when they can, they resist. The situationof women workers in EPZs must be regarded as acollective, structural and ideological problem, not as anindividual problem. As Chinchilla (1977) argued, it makeslittle sense to analyse and assess changes andcontinuities in women's work, paid or unpaid,independently from that of men as well as fromtransnational nature of trade, investment and productionin the framework of the nation state.The continuing competition among the governments ofdeveloping countries to attract foreign capitalinvestment has led to a situation where working1 3 9conditions have worsened and repression of the labourforce has increased (Kassalow 1978, 278; Hart-Landsberg1984, 192). This is even more true for the secondgeneration of EPZs such as those in Sri Lanka' andBangladesh, 2 which were established in the 1980s during aperiod of world recession (ESCAP & UNCTC 1985, 94) andprotectionism9 on the part of industrialized nations(Basile and Germidis 1984, 61). 1 ° Comparative advantageis relative as well as historically specific."Comparative advantage of a country shifts in accordancewith not only products and resources, both natural andhuman, available to international trade but alsointerstate relationswhich also involve export/importregulations.' 2 For example, workers in the textileindustry are subject to competition within theinternational market and thus to domestic stateregulation, since the industry is most strictly regulatedby governments as a result of the MultiFibre Arrangement(MFA) (Enloe 1983, 412). In the case of the electronicsindustry, not only are a number of firms, large andsmall, competing, to hold on to their share of themarket, but the sharply cyclical market also leads tosevere competition within theindustry (Siegel andGrossman 1978).It is possible that international human rights law"might be used to address some of the problems faced by1 4 0women who work in EPZs.i 4In view of the low ratification rates of thecountries under review, however, this does not seemlikely. First of all, it is up to governments to ratifyinternational conventions, and the governments underconsideration in this review are concerned not to doanything to discourage investment. Even once ratificationis obtained it does not necessarily mean completedomestic enforcement. Governments have discretion as tothe domestic implementation of international standardsand there is no international sanction againstnon-compliance with ratified standards. As well, thestandards only represent minimum levels to be attained.Most importantly, even where international standards arein effect, women are still subject to structuralinequality. Law reform under the unequal allocation ofpower in society cannot lead to basic human rights forwomen. Demands on the state which are formulated andexpressed in legal forms can have the effect of makingthemselves more legitimately acceptable and better knownby the public (Smart 1989, 143). Legal demands can alsocontribute effectively to regarding seemingly individualproblems as more collective ones shared among women, asin the case of consciousness raising (Schneider 1986). Aslong as 'women's questions' continue to be regarded aspersonal, by themselves and by the public, they will1 4 1never be taken up as priorities for political action evenat the local level. Women are, however, never central tothe state where power relations are negotiated andshaped. The state can, with those demands, legitimatelyextend its legal arm into the more private spheres oflife, for example, in defining and identifying sexualharassment and rape (Smart 1989). It is also the casethat those already with power can effectively counter theclaims (ibid.). Legal demands in turn not only empowerthe state as well as legitimate law itself, but also moresignificantly harm the claimants, i.e., women (ibid.).Therefore, it is not necessarily positive to haverecourse to law for the purpose of gaining legalrecognition.It would be hard not to conclude that the employmentin the EPZ for women workers cannot be discussed withoutreference to personal choices available to them howeverlimited they might be and however formulated andperceived in their own social milieu. 15 In the finalanalysis, however, EPZ employment created for aparticular category of women must be examinedstructurally as well as ideologically, and also frombelow, i.e., from the standpoint of women workersthemselves." Human consequences, particularly for theweak or the powerless, should be given much Amportance.Those who are not directly employed in EPZs can1 4 2also contribute to the improvement of the workingenvironment by giving political support to the EPZworkers. Increased international attention, bynon-govenmental organizations (NGOs), for example, to theworking condition of women workers in EPZs will helpbetter their working environment. NGOs can createpressure on governments by lobbying and informing thepublic of pressing issues to make necessary changes at thegovernmental level. International Women's Year (1975),for example, was more of a result of lobbying activitiesof various women's NGOs rather than of UN activities andresultant increased international recognition of the roleof women as the United Nations claimed (Boulding 1980,27)."1 4 3FOOTNOTESCHAPTER I1. EPZs are also known as "free trade zones"(PARC 1977; Elson and Pearson 1980, 1981, 1984), althoughthe usage is different from the traditional sense of theterm; "free production zones"(FrObel, Heinrichs and Kreye1976, 1980) and "maquiladoras" (Mexico 1965, cited inBasile 	 and 	 Germidas 	 1984, 	 44; 	 Bustamante 	 1983;Fernandez-Kelly 1983). The term "export processing zones"seems to be the most widely used, although at least 19different terms are currently in use in the Englishlanguage to describe what is basically the same reality.For the diversity of terminology, see ILO (1988, 4-5).2. The 	 terms 	 "developing," 	 "underdeveloped,""industrializing" and "less developed" countries and the"Third world" are used interchangeably in this paper. Itdoes not mean, however, that they are monolithic innature.3. Women make up from 70 to 90% of the workforceemployed in the EPZ industries (Fri:A:el, Heinrichs andKreye 1980, 344-346). While young and unmarried femalesconstitute most of the employees in the EPZs underreview, it is not always the case. See Pearson (1986).EPZs in Ireland, Brazil, and Trinidad and Tobago aresome of the exceptions in terms of composition of theworkforce.In Ireland, the government promoted employment ofmale workers, who are assumed to be the main breadwinnersof the family, which does not often fit the reality nordescriptively neutral but value-laden, through legalprocedures to maintain traditional family relationship.The share of male workers is from 60 to 70%. Fordetails, see Pyle (1990a, 1990b). For recent developmentof the Irish zone, see O'Sulleabhain (1982) and Shoesmith,ed. (1986).The EPZs in Brazil have a rather diversifiedindustrial structure, that is, non-concentration of lightindustries, which explains the low share of women workersof less than 50% (ILO 1988, 63). See also Possas,Coutinho and Possas (1982).In the case of Trinidad and Tobago, like Brazil, thenature and structure of the industries found in the zonesexplain the very low participation rate of women, whichis as low as 10%. The industries mainly consist of heavyindustries: petrochemical, iron and steel (ILO 1988, 62).See also Turner (1982).4. In the cities of Southeast Asia and East Asia,domestic service was, and in some cases still is, a majoroccupation for women (Jones 1984). In the case of youngMalay women, they rarely worked outside the home exceptfor some help in agriculture (Khoo and Pirie 1984, 137;1 4 4Stivens 1987, 102).5. The terms "multinational enterprises,""multinational corporations," "multinationals," and"transnational corporations" are used interchangeably inthis paper. The definition of a multinational enterpriseis summarized as follows; a multinational is a firm whichexercises managerial control over operations in more thanone national market, although the definition and whatconstitutes managerial control in terms of political,legal and economical issues are subject to debate(Greenwald, ed. 1982, 678). For transnationalcorporations, see, for instance, Vernon (1971); Turner(1973); Barnet and Muller (1974); Hymer (1979); Kumar andMcLeod, eds. (1981); Dixson, Drakakis-Smith and Watts,eds. (1986); and Jenkins (1987).6. Much of mainstream social stratification theory,however, has not treated women as a subject of study.Women have been ignored or mentioned in passing. SeeSokoloff (1980) and Walby (1986).7. The segmented labour market theory has a varietyof forms and goes by many names; dual (primary andsecondary), 	 tripartite (core, peripheral, 	 irregular),"internal" and "external," stratified, and radical (Cain1976, 1215 fl).8. The term "socialist feminist theory" is the mostcommon reference in the literature today to later Marxistfeminist theory of patriarchal capitalism, although,earlier, socialist feminism was often said to include allMarxist feminism (Sokoloff 1980, 181 f3). For Marxisttheory of and earlier Marxist feminist theory of thelabour market, see Sokoloff (1980).9. In traditional sociology, people's lives aredivided into "work" (paid employment), "leisure" (thetime when people choose what they want to do) and"obligation time" (the periods of sleep, eating meals andother 	 necessary 	 activities). 	 For 	 critiques 	 ofconventional sociology from feminist perspectives, see,for example, Stanley and Wise (1983); Smith (1987); andEpstein (1988).10. Contrary to the widely held belief that theintroduction of household technology would reduce theburden of those who are in charge of housework, in mostcases, the seemingly labour-saving appliances merelychange the required level at which cleaning and the likehave to be carried out, thereby leaving the number ofhours of work consumed by household work largely intact.See Cowan (1983). Moreover, as Ferber (1982, 459) pointedout, it is important to recognize in the sophisticationof household technology the increased demand from thosealready in the labour market. Furthermore, in developingcountries the nature of housework is more physicallydemanding than in industrialized countries.1 4 511. See section 3.5. on wages. For a critique of thehousehold as a unit of analysis, see, for instance,Oakley (1974); Harris (1984); and Bourque and Warren(1987). For case studies in regions under review, seeFolbre (1984) and Schrijvers (1988),12. See section 3.5. on wages.13. For a case study substantiating this point, seeHouse (1983).14. Craig, Garnsey and Rubery (1985) make the point,however, that the supply side of the labour market, suchas 	 the 	 institution of 	 family, 	 was 	 inadequatelyconceptualized.15. The Convention on the Elimination of All Formsof Discrimination Against Women, adopted by the GeneralAssembly of the United Nations on December 18, 1979 andentered into force on September 3, 1981, defined in thearticle 1 the term 'discrimination against women' for thepurposes of the Convention as follows: any distinction,exclusion or restriction made on the basis of sex whichhas the effect or purpose of impairing or nullifying therecognition, enjoyment or exercise by women, irrespectiveof their marital status, on a basis of equality of menand women, of human rights and fundamental freedoms inthe political, economic, social, cultural civil or anyother field. In the preamble, it stated thatdiscrimination against women violates the principles ofequality of rights and respect for human dignity ... andthat a change in the traditional role of men as well asthe role of women in society and in the family is neededto acheive full equality between men and women. For thetext, see CSDHA(UN) (1988). The ILO Convention concerningDiscrimination in Respect of Employment and Occupation(1958) (No.111) defined the term "discrimination" inarticle 1 for the purpose of the Conveniton as follows:any distinction, exclusion or preference made on thebasis of race, colour, sex, religion, political opinion,national extraction or social origin, which has theeffect of nullifying or impairing equality of opportunityor treatment in employment or occupation. For the text,see ILO (1982). Blackstone's International Law Documents (Evans, ed. 1991) ignores the Convention on theElimination of All Forms of Discrimination Against Womenwhich pertains to half the world population, while itincludes the United Nations Convention on the Rights ofthe Child (1989), the International Convention on theElimination of All Forms of Racial Discrimination (1966),in addition to the three fundamental documents of humanrights, i.e., the Universal Declaration of Human Rights(1948), the International Covenant on Civil and PoliticalRights (1966) and the International Covenant on Economic,Social and Cultural Rights (1966). For non-discriminationbased on sex, see also article 2 of the Universal1 4 6Declaration of Human Rights (see U.N.G.A. Res.217 (III),3U.N. GAOR Supp (No.13) 71, U.N. Doc. A/810(1948).) andarticles 3 of the International Covenants of 1966 (seeCSDHA(UN) 1988).16. See section 3.13. on industrial relations.17. See section 3.5. on wages and 3.11. on non-wageentitlements.18. Broadly defined, sexual harassment is 'unwanted'sexual attention (Stanko 1988, 90). See also section 3.9.on employment security; MacKinnon (1978); and MacKinnon(1987).The guidelines issued by the Equal EmploymentOpportunity Commission (EEOC) of the United Statesestablish three basic criteria to determine whether anact constitutes unlawful sexual harassment: (1) ofsubmission to the conduct is either an explicit orimplicit term or condition of employment; (2) ifsubmission to or rejection of the conduct is used as abasis for an employment decision affecting the personrejecting or submitting to the conduct; or (3) if theconduct has the purpose or effect of substantiallyinterfering with work performance or creating anintimidating, hostile or offensive work environment(Social and Labour Bulletin. 2/80, 241-242).19. There was a case where complaints from womenworkers about sexual harassment and coarse languagereinforced the employers' belief in the merits ofoccupational segregation by sex (Hein 1984, 264 f6).20. For feminist critiques of Marxism, see, forinstance, Eisenstein, ed. (1979); Sargent, ed. (1981); andJagger (1983).21. For the reserve army hypothesis, see alsoBraverman (1974) and Bruegel (1979). For a criticalassessment of Braverman, see Beechy (1987).22. The idea of the "family wage"-a wage enoughpaid to the male wage earner sufficient for him, his wifeand children to maintain the acceptable standard ofliving without involvement of his family members inwaged work- was a historical product during theIndustrial Revolution: it was the demand of the maleworker organized in the trade union and of the middle andupper classes that women be removed from the factory,partly because the entry of women in numbers into thelabour market would threaten the position of the maleworkers both in the labour market due to their lowerwages paid and in the home due to the erosion of thepatriarchal institution of the household, and partlybecause women's waged labour would not only corrupt thembut work to the detriment of the welfare of the nextgeneration (Hartmann 1976; Barrett 1988). See alsoOakley (1974). Although Humphries (1977a, 1977b) arguedthat the demand was that of the working class family as a1 4 7whole to sustain their family structures in the contextof class sruggle, few households in the working classhave historically been organized around dependence on themale wage and the earnings from other family members haveusualy been essential to maintain the household (Barrett1988). The "family wage" thus has a function ofmaintaining patriarchal relations within the family andat the workplace, thereby benefiting both capital andmen, particularly when married. At the same time, women'slower wages cause them to depend economically on the malewage earner within the institution of marriage. Lowerwages for women are, in turn, supported by women'sassumed dependence. Within these interrelationships,women contribute by doing household work without beingpaid to reproduce labour of the male workers and theirown at the marginal cost to capital, not to mention thatof the coming generation of wage labourers, i.e.,children (Barrett and McIntosh 1980). The system of"family wage" creates in cases where the wife is not inpaid employment the situation in which the level of theliving standard of a family is adjusted to the wage levelof the male wage earner. For the structural causesoflower wages for women, see 3.5. on wages.23. Related to the family wage, the form of familyhas not always been one which includes a male breadwinnerand varies among classes even in a given period of time.In the working-class family, women's paid work is equallyimportant as that of male family members. See Tilly andScott (1978).24. See also Mitter (1986). For "housewifization" ofrural women integrated into the world market, see Mies(1982).25. For instance, Stivens (1987) pointed outconsiderable ideological support by the Malaysian statefor the "housewife" as a model of women. For a Malaysiancase, see also Ng and Mohamed (1988). For Asian cases,see Agarwal (1988). For the emergence of the housewife inthe industrializing West, see Oakley (1974).26. For discussion at the local level, see, forinstance, Judd (1990) and Sharp and Spiegel (1990).27. Hartmann defines patriarchy as a set of socialrelations which has a material base and in which thereare hierarchical relations between men, and solidarityamong them, which enable them to control women (Hartmann1976, 138).Sokoloff, who recognizes a dialectical relationshipbetween patriarchy and capitalism, relying partly onHartmann's definition (Sokoloff 1980, 183 f7), definespatriarchy as follows: a set of social relations of powerthat enables men to control women; this power isgrounded in the hierarchical relations between men, whobenefit materially and ideologically from the1 4 8exploitation of women's labor (ibid., 154).28. See section 3.13. on industrial relations.29. For implications, see, for instance, Carby(1982); Parmer (1982); Phizacklea, ed. (1983); Barrettand McIntosh (1985); and Phizacklea (1988, 1990).CHAPTER II1.The Shannon Airport EPZ established by thegovernment of Ireland was the first EPZ in the world.Shannon International Airport, customs-free since1947 and conveniently located for refuel on thetransatlantic flight, suffered damaging effects with thedevelopment of jet liners which no longer neededrefueling. Irish authorities then took the policy ofexport-oriented industrialization in the late 1950s (Pyle1990a, 88) and set up in 1959 the Shannon Free AirportDevelopment Company to designate areas for foreigncapital to invest and export manufactured goods. Theofficial establishment of the Shannon Export ProcessingZones was in 1960 (Shoesmith, ed. 1986, 34).2. For 	 instance,	President 	 Marcos 	 of 	 thePhilippines, Prime Minister Mahathir of Malaysia, andPresident Jayawardene of Sri Lanka.New Straits Times, a nation-wide English languagenewspaper in Malaysia, reported speech by then-DuputyPrime Minister Mahathir to foreign investors inSwitzerland (cited in Lim Mah Hui 1982, 156). "What weseeking is a complementarity of our economies. Yourcostly, highly sophisticated and skilled labour shouldnot be wasted on producing low value labour intensiveproducts ... On the other hand, Malaysia could producethe less sophisticated labour intensive products andall the various resource-based products" (13 October1979).3. In the case of Hong Kong, however, an outwardlooking strategy was adopted from the beginning becauseof a relatively small internal market (Haggard and Cheng1987). In Singapore, the import substitution phase wasnot sustained (ibid.). For a discussion of the importsubstitution 	 strategy of industrialization, see, forinstance, Hirschman (1968).4. The United Nations Conference on Trade andDevelopment (UNCTAD) was established in institutionalform by a resolution of the UN General Assembly onDecember 30, 1964 (Res.1995 (XIX)). The resolutionspecifies the functions of the Conference, which includethe promotion of international trade, particularly thatinvolving developing States (articles 3 (a) and (b)), thecoordination of activities within the UN system relatingto trade and development (articles 3(d)), and theharmonization of trade and development policies (articles3.(e)) (Grant, Parry and Watts 1986, 410).1 4 95. Although the transition could not be neatlydivided into two phases. See Robison, Higgott and Hewison(1987). Moreover, the debate between two strategies forindustrialization and economic development has still beengoing on (Dodaro 1991).6. The World Bank and the International Monetary Fundare established under the same logic of the Bretton WoodsAgreement under which the U.S. dollar functioned as thekey currency and liberalization of trade was facilitatedon a global scale. Although they are specialized organsof the United Nations, the structure of power is weighedin 	 favour of capital-exporting countries. For theirrecent policy coordination, see World Bank (1985, 52-53).7. Walden Bello and his associates describe inDevelopment Debacle: The World Bank in the Philippines how the World Bank group intervened and directed Filipinopolitical	 economy 	 towards 	 export-orientedindustrialization in the course of development (Bello,Kinley and Elison 1982). See also, Villegas (1983) andJayasuriya (1987).8. Previously, multinational corporations in theirattempts to lower the production cost used NativeAmerican reservations, where they could utilize trainingfunds by the Bureau of Indian Affairs to save half of thewages, and Chicano communities (Siegel and Grossman 1978;Lim 1978).9. In the case of U.S.-based international capital,amendment to the tariff laws (items 806.30 and 807.00)in the mid-1960s facilitated their overseas expansion.For explanations of Items 806.30 and 807.00, see Finger(1976) and Grunwald and Flamm (1985, 34-37).10. For effects and implications of containerization,see Woods (1972).11. The authors of The New International Division ofLabour use the term to designate that tendency which:(a) undermines the traditional bisection of theworld into a few industrialised countries on one hand,and a great majority of developing countries integratedinto the world economy solely as raw material producerson the other, and(b) compels the increasing subdivision ofmanufacturing processes into a number of partialoperations at different industrial sites throughout theworld,where the division of labour should be understood asan on-going process, and not as a final result (FrObel,Heinrichs and Kreye 1980, 45).For crititiques of the new international divisionof labour thesis, see Jenkins (1984) and Henderson (1985).12. See, for example, Vittal, ed. (1977); Balassa(1978, 1981, 1985, 1988); Heller and Porter (1978); Tyler(1981); Feder (1983); World Bank (1983, 1987); Nishimizu1 5 0and Robinson (1984); ESCAP & UNCTC (1985); Kavoussi(1984); and Ram (1985, 1987).13. Both studies by Basile and Germidis, and theUNCTC and ILO adopt a narrower definition of the EPZ. SeeBasile and Germidis (1984,20); ILO (1988, 4-7). Theproblem of definition for the purpose of the presentstudy is discussed after the treatment of theproliferation of the EPZs in this section.14. The consequences of EPZs are, however, unequal(Basile and Germidis 1984: 22). It is generally regardedthat EPZs in Kaoshiung and Masan were success.Considerable	 capacity	 remains	 unoperational, 	 forinstance, in Kandla of India (FrObel, Heinrichs and Kreye1980, 316). Moreover, the performance of EPZs as regardsproduction, export, and employment do not by itselfdefine the level of success in different countries. Theoutcome, or the benefit in terms of output and employmentgeneration, both with qualitative differences, has tobe measured against the amount of the direct cost andimplicit subsidies contained in the policy designed topromote EPZs.15. The Asian Productivity Organization is anintergovernmental	 institution between	 India, 	 Japan,Nepal, Pakistan, the Philippines, the Republic of Korea,the Republic of China, and Thailand. The Convention wassigned in Manila on April 14, 1961 and came into forceMay 11, 1961. "The objective of the Organization is, bymutual cooperation, to increase productivity in thecountries of Asia" (article 1). (Osmanczyk 1985, 55).16. In Malaysia and the Philippines, for instance,local sales may go up to 10 to 30 % of total sales (Maex1983, 23).17. The problem of "unemployment" is perceived in away that it only pertains to males as traditionally theyare supposed to be the breadwinners that should beeconomically active and independent to support theirother members of the families. For instance, Chia SiowYue (1984, 148) describes as follows: the economic plightof unemployment, even temporarily, is not as serious fora young female worker in an extended family system thanfor the sole bread-winner in a nuclear family. This leadsto the inappropriate criticism of employment generationamong women, although it is generally recognized thatoverall employment generating effects of EPZs is ratherlimited (Basile and Germidas 1984, 44; Maex 1983, 32; ILO1988, 127). Leinbach, for instance, maintains thatemployment creation is somewhat limited because of thehigh ratio of women workers in EPZs (1982, 466). Forsimilar criticism, see Lee (1984, 19). As Boserup (1970)and others effectively demonstrated, unemployment is farfrom being a minor problem among women in developingcountries.1 5 118. In the case of textile and clothing, exportsfrom developing countries to industrialized nations wasrestricted by the quota system under the ArrangementRegarding International Trade in Textiles, better knownas the Multifiber Arrangement (MFA). When the exportquota allocated to a given country was filled withexport, then multinational enterprises transferred theirfactories to	 some other country where no suchrestrictions were established and abundant inexpensivelabour is available. Hong Kong manufacturing, forinstance, move into Sri Lanka and Bangladesh in order tomake use of the unused quotas (Fazila Banu Lily 1985;Pomery 1988). See Kockkoek and Mennes (1986) for theproblem of the timing of quota restrictions. It shouldbe noted, however, that the MFA, although administered bythe General Agreement on Tariffs and Trade (GATT),derogates from the GATT principles of nondiscriminationand avoidance of quantitative restrictions except inspecial cases. For a summary discussion of the MFA, seeGoto (1989). For the Long-Term Arrangement RegardingInternational Trade in Cotton Textiles, leading to thecreation of the MFA, see Bardan (1973). Meanwhile, thereis no similar agreement in the case of electronicsindustry.19. Dror's claim that the basic social and economicconditions, including labour and industrial relations,are sufficiently attractive (Dror 1984, 706) ignorespolitical forces at work to implement export-orientedindustrialisation, in particular, through the use ofEPZs. For a general discussion of the importance inindustrial policy of the political framework, see Higgottand Robison with Hewison and Rodan (1985). For aSingporean case, see Rodan (1985).20. For other definitions: see Basile and Germidis(1984, 20) for one based on UNIDO and UNCTAD studies;Samuelsson (1982) for a wider definition adopted by theWorld Export Processing Zones Association (WEPZA);ESCAP & UNCTC (1985, 1); and Kelleher (1976, 2-3).21. The EPZ firms in the Republic of China areentitled to exemption from customs duties on importationof raw materials, machinery, and equipment, and onexportation of goods from the zone. They are alsoexempted from sales, commodity and business taxes. Thetax holiday on corporate income tax is for a five-yearperiod. Loans for the factory building are available fromthe host government and repayable in installments overten years. There is no restriction on dividendremittances. See Wan (1981) and Spinanger (1984).In the Republic of Korea, the occupant firms in EPZsare permanently exempted from tariffs for importation ofcapital goods, raw materials, parts, and semi-finishedgoods, and for exportation of their products. Permanent1 5 2exemption from business tax also applies to them. Incometax, corporation tax, property tax and acquisition taxare exempted from the initial five years and reducible by50% for the following three years (Van, n.d., Cited inVittal, ed. 1977, 69-71). The incentives given to the EPZfirms has remained largely unchanged since 1970 (Warr1984, 170).In the case of the Philippines, firms registered bythe EPZ authority are exempt from customs duties onimported raw materials, semi-processed inputs and capitalequipment, export taxes under the Republic Act No.5490and the Presidential Decree No.66, and all municipal andprovincial taxes. They are also free from income taxesfor four to six years according to the status accorded bythe Investment Incentives Law of 1967 to the industry.Contractor's tax is also exempted. There is norestriction in their degree of foreign ownership. Forincentive packages, see Van (n.d., cited in Vittal, ed.(1977); Spinanger (1984); and Warr (1985).In Sri Lanka, firms establied in EPZs are exemptfrom income taxes, royalty remittance and salaries ofexpatriate staff up to ten years. They are also entitledto duty-free importation of raw materials, equipment,and components, and exportation of their products. Taxholiday is for five years from the date of commencementof production, and after expiration a nominal tax of 2.5%is levied up to a maximum of 15 years. There is no limiton foreign equity holdings (Business America. August1987, 22; Asian Business. February 1990, 64). Thegovernment is reported to have committed srongly toattracting foreign investment, particularly to EPZs(Business America. February 25, 1991, 34).In Malaysia, tax incentives availabe to the EPZfirms are not uniform and depend on the location, type ofthe product, and the ratio of Malaysian raw materialsutilized in production. Tax holiday is from two to eightyears. Import duty is exempt on raw materials andmachinery required for manufacturing industries. Customsduties are reduced for raw materials and component partsused in the manufacturing of goods for export. There isno restriction on dividend or capital remittance, nor onownership requirements. See Fong and Lim (1984) andSpinanger (1984).22. The Republic of China has the following majorstatutes for foreign investment: 1)the Statute forInvestment by Overseas Chinese, promulgated on January 19,1955, and amended on March 26, 1960; 2)the Statute forInvestment by Foreign Nationals, promulgated on July 14,1954, and amended on December 14, 1959; 3)the Statute forEncouragement of Investment, promulgated on September 10,1960, and amended on January 4, 1965; and 4)the Statutefor Technical Cooperation, promulgated on August 9, 1962,1 5 3and amended on May 29, 1964; 5)the Law of Customs Duty,promulgated on August 8, 1969, and amended on December 8,1978; 6)the Company Law, promulgated on December 30,1929, and amended on September 4,1970. As regards theEPZ, the basic framework is formed by the Statute forEstablishing and Management of Export Processing Zones,promulgated on January 31, 1965, and amended on December24, 1979. The scope of foreign investment in the Republicof China is stipulated in article 5 of the Statute forInvestment by Foreign Nationals (Wan 1981, 252-253). Forinvestment laws of the Republic of China in comparisonwith those of the People's Republic of China, see Wan(1981).In the case of the Republic of Korea, major publicpolicy on foreign investments is as follows: the ForeignCapital Inducement Law promulgated, 1966, the Public LoanInducement and Management Act, and the Free Export ZoneEstablishment Law enacted on January 1, 1970. For a briefsummary of investment laws in the Republic of Korea, seeKim (1982).In the Philippines, the main investment laws areRepublic Act No.5186, otherwise known as the InvestmentIncentices Act, approved on September 16, 1967; RepublicAct No.5455, otherwise known as the Foreign BusinessRegulations Law, approved on September 30, 1968; RepublicAct No.6135. otherwise known as the Export IncentivesAct, approved on August 31, 1970. Significant amendmentshavebeen introduced, however, by Presidential Decreessince the declaration of martial law (ProclamationNo.1081) on September 21, 1972. The number of amendmentsand the contents are unknown and amount at least to 2,000by the year 1976, due to non-publication by thegovernment (Espiritsu 1986, 38). For example,Presidential Decree No.1892 of December 6, 1983 extendedthe incentives in Presidential Decree No.66 to investorsoutside the EPZs. For the text in English of Republic ActNo.5186 -An act prescribing incentives and guarantees toinvestments in the Philippines, creating a board ofinvestments, appropriating the necessary funds thereforeand for other purposes- see Far Eastern Law Review. 15(1968): 319-345. For the text of martial law, see SupremeCourt, Manila (1977). For a discussion of the legalaspects of foreign investments, see Canlas (1977).In the Malaysian case, the Investment Incentives Actof 1968 gave, for the first time in its history,incentives to encourage foreign investment. The amendmentmade in 1971 was to encourage industries to utilize morelocal labour providing special incentives for greateremployment. As to the development of EPZs in Malaysia,the following laws are relevant: the Free Trade Zone Actof 1971, the Free Trade Zone Regulations of 1972, and theFree Trade Zone Manufacturing Regulations of the same1 5 4year. For an analysis of the trend of investmentincentives, see Fong and Lim (1984).In Hong Kong, there are no discriminatory policiesagainst both local and foreign investors, offering fewercontrols on business. For an overview of the foreigninvestment climate in Hong Kong, see Olesnicky and Rhodes(1987).In Singapore, a free-enterprise economy although thestate has been visible in the policy of industrialization(Rodan 1985), the 1968 labour laws helped to attractforeign investment in labour-intensive industries bylimiting the powers of unions (Pang 1981a). For investmentlaws in the ASEAN nations, see Sornarajah (1985).23. In the Republic of China, the Statute forEstablishing and Management of Export Processing Zonesenacted in 1965 created the Export Processing ZoneAdministration.In the case of the Philippines, Republic Act 5490 of1969 provided for the creation of the Export ProcessingZone Authority (EPZA). The act at the same timestipulated the establishment of an EPZ in Mariveles,Bataan. Later in Novemer, 1972, two months after thedeclaration of martial law, Presidential Decree 66 wasissued to amend Republic Act 5490 giving the EPZA"exclusive jurisdiction and sole police authority"within all areas administered by it.In Sri Lanka, legislation establishing the GreaterColombo Economic Commission (GCEC), responsible forestablishment and management of EPZs, was introduced inJanuary, 1978, reflecting the pro-British, land andbusiness interests, as part of a move towards an openeconomy, after the United National Party (UNP) came topower in July, 1977. The Greater Colombo EconomicCommission Law No.4 of 1978, amended in 1980, gave thestatutory authority jurisdiction over anarea of authorityand over licenced enterprises that areapproved by thecommission locating outside the zone. For the GCECprojects situated outside the EPZs, see Wijesekera(1987).24. For instance, article 157 of the 1978 Sri Lankanconstitution guarantees investment against expropriatin.In the Philipines,	 freedom from expropriation isconstitutionally guaranteed in article IV of theContitution (Legislative Series. 1974.Phi-1A). In thecase of Bangladesh, the Foreign Private Investment(Promotion	 and 	 Protection) 	 Act 	 1980 	 guaranteesprotection, fair and equitable treatment to andrepatriation of foreign investment. Some counries such asthe Republic of Korea, Sri Lanka, Malaysia, and Singaporeconclude' bilateral agreemments guaranteeing investment.See, for instance, the Singapore-United States InvestmentGuarantee Agreement, Khoo (1977). Moreover, some1 5 5including the Republic of Korea and Sri Lanka aresignatories to the 1965 International Centre for theSettlement of Investment Disputes (ICSID) Convention onon subrogation and arbitration of investment disputes.For the ICSID Convention, see Gopal (1982).25. Excluded are "special economic zones" in China,although where the entire regions designated enjoy statussimilar to the characteristics found in EPZs. They notonly include pre-existing industrial facilities but alsodo not provide reliable data. For cases of People'sRepublic of China, see Jaco and Leung, ed. (1986) andCrane (1990).CHAPTER III1. Lim (1978) is one of the earliest works whichfocussed on social aspects of the employment of womenduring the phase of export-oriented industrialisation.2. It is generally recognized that the definitionand measurement of the female labour force participationrate is inaccurate or incomplete. This is particularlytrue in developing countries (Anker 1983; Psacharopoulosand Tzannatos 1989). Some of the problems are as follows;1)the term "labour force" is defined as those engageddirecty in paid employment; 2)the employable is definedthose aged between 15 and 60, in spite of perceivedvariations in life expectancy and in the level ofeconomic development; 3)difficulty in establishing whichunemployed people are seeking work. See, for example,Beneria	 (1981);	Beneria 	 (1982); 	 Anker 	 (1983);Dixson-Mueller	 and Anker 	 (1988); 	 Psacharopoulos 	 &Tzannatos (1989).3. In the Republic of China in 1976, junior highschool girls were graduated months ahead of time to meetlabour market demand (Cited in Fitting 1982, 737).4. See section 3.8. on maternity protection.5. See also Parmer (1982), for a discussion of Asianwomen in the context of gender, race and class.6. The government of the Philippines placed anadvertisement in The Times saying that "Our labour forcespeaks your language." Another is from the FederalIndustrial Development Authority of Malaysia: "the labourforce is generally English speaking". See, FrObel,Heinrichs and Kreye (1980, 341).7. In the case of Singapore, article 70 of theEmployment Act 1968 provides that no child (a person whohas not completed his [sic] fourteenth year of age,section 2) or young person (any person who has completedhis [sic] fourteenth year of age but who has notcompleted his [sic] sixteenth year of age, section 2)shall be 	 employed in any industrial undertaking(Legislative Series. 1968-Sin.1).8. Any mistake is regarded as a cause of1 5 6retrenchment if the worker reaches the age limit. See"Interview with an FTZ worker" in PARC (1977, 163-165).9. See Legislative Series. 1974. Phil.1A. 	 For anoverview of the Labour Code (Presidential Decree No.442),see Social and Labour Bulletin. 	 1/74, 	 3-5 andRicafrente (1974).10. An apprentice is defined as 'a person to begiven on-the-job training and theoretical instruction bythe employing firm or other groups approved by theMinistry of Labor and Employment (MOLE) (article 57 ofthe Labour Code).11. See the Minimum Age for Admission to EmploymentConvention (No.138) of 1973, which is supplemented by theRecommendation concerning Minimum Age for Admission toEmployment (No.146). For the texts, see ILO (1985c)."Conventions" 	 are 	 instruments	designed	 to 	 createinternational obligations for the states which ratifythem. They provide the basis for a minimum level ofprotection. The main characteristics are as follows:(1) they are adopted in an institutional framework; (2)the International Labour Conference is constituted byrepresentatives of governments, employers and workers,each delegate being entitled to vote independently;(3) the rules such as a two-third majority beingsufficient 	 for the adoption of Conventions 	 andRatifications make conventions particularly effective."Ratifications" are designed to create legal obligationsfor the states which ratify them and serve to provideguidelines 	 for 	 government 	 action, 	 although 	 thegovernments have discretion over domestic implemenation.See ILO (1982,	 viii-x). 	 The ILO Conventions andRecommendations are generally implemented throughnational legislation or collective agreements. Artcle 19(paragraph 5 and 6) of the ILO Constitution providesthat the member states submit the Conventions and/or theRecommendations within a year, and at the latest eighteenmonths, after their adoption by the Conference to thecompetent national authorities and subsequently toinform the ILO of what legislative or other action hasbeen taken. For the Constitution of the ILO (articles 19,22 and 23), see ILO (1982, viii-x).12. For instance, the Minim.= Age (Industry)Convention 	 (No.5) 	 of 	 1919,	 the 	 Minimum 	 Age(Non-Industrial Employment) Convention (No.33) of 1932set the general standard of 14 years of age. For thetexts, see ILO (1982).13. For instance, the Minimum Age (Industry)Convention (Revised) (No.59) of 1937 and the Minimum Age(Non-Industrial Employment) Convention (Revised) (No.60)of 1937. For the texts, see ILO (1982).14. In the case of Malaysia, with the introductionof the New Economic Policy (NEP) in 1970, private1 5 7business and industry have to meet the requirement thatnot less than 30% of the work force must be Malay. TheNEP was instituted as a response to the May 1969 racialriots engendered by economic and political inequaitiesbetween the Malays and the non-Malays, and formobilization of Malay mass support for the emergent Malaybourgeois class and the Malay-administered state (Hing AiYun 1985a). Owing to this government policy and the factthat the majority of Malays lives in rural areas wherepoverty is widespread and employment opportunities arelimited, most of the Malay women employed in the EPZ arerural-to-urban migrants who are responding to theseconditions and hoping to attain more personal freedom(Jamilah Ariffin 1984). The NEP intends to reduce povertyirrespective of race and to restructure Malaysian societyin order to eliminate the identification of race witheconomic function and geographic location (ibid.). Theconsequence was that between 1970-1980 the proportion ofMalay wage workers increased by 22% as compared to 7% forthe Chinese counterparts and 4% for the Indians (Hing AiYun 1988, 70). For the implications of urbanward femalemigration for factory employment, see sections 3.5. onwages and 3.12. on labour management. For an overview offemale urbanward migration in Peninsular Malaysia, seeJamilah Ariffin (1984) and Khoo and Pirie (1984). For theNew Economic Policies, see, for instance, Jomo, ed.(1985) and Jomo (1987). For Islamic resurgence inMalaysia, see von der Mehden (1980) and Mutalib (1990).For ethnic and class relations in Malaysia, see Cham(1975); Lim Mah Hui (1980); and Brennan (1985).15. Newspaper help-wanted advertisements are,however, considered to be unreliable (Kung 1976).16. See Legislative Series. 1974. Phil.1A.17. A Sri Lankan case study shows that the rate oftrainee is as much as 20.3% (Shoesmith, ed. 1986, 103),whereas in the Masan EPZ in the Republic of Korea therate is 51.3% (CJPSK 1976, 59).18. To lower the cost of production, subcontractingto which no labour legislation and safety standards canbe applied, is widely practiced particularly in thegarment sector in the Philippines (Pineda-Ofereneo1982). This pattern also holds true in the Republic ofKorea (CJPSK 1976, 58) and Hong Kong (Sit and Ng 1980).This practice served to undermine the bargainingposition of non-subcontracted workers (Enloe 1983, 414).Watanabe (1974) argued that the use of subcontractingcontributed substantially to increase competitivenessthrough lowering labour costs. In a similar vein, Basileand Germidas (1984, 53-54) suggested that it had apositive effect in terms of the local value added therebybreaking the enclave nature of the EPZ resulting in thecreation of domestic linkage. Pearson (1986) pointed out,1 5 8however, that subcontracting results in many industrialaccidents in domestic premises.19. For major international standards regardingminimum wages, see article 23 (paragraph 3) of theUniversal Declaration of Human Rights (1948), and article7(a) of International Convenant on Economic, Social andCultural Rights (1966).The Universal Declaration of Human Rights (article23.3) provides as follows: Everyone who works has theright to just and favourable remuneration ensuring forhimself [sic] and his [sic] family an existence worthy ofhuman dignity, and supplemented, if necessary, by othermeans of social protection (see U.N.G.A. Res. 217 (III),3 U.N. GAOR Supp (No.13) 71, U.N. Doc. A/810 (1948)).The International Covenant on Economic, Social andCultural Rights (article 7(a)) requires as follows:Remuneration which provides all workers, as a minimumwith: (i) Fair wages and equal remineration for work ofequal value without distinction of any kind, inparticular women being guaranteed conditions of work notinferior to those enjoyed by men, with equal pay forequal work; (ii) A decent living for themselves and theirfamilies in accordance with the provisions of the presentCovenant. For the full text, see CSDHA(UN) (1988, 34-37).While the Universal Declaration on Human Rights isnot legally binding, the International Covenant onEconomic, Social and Cultural Rights binds the stateparties which have ratified it. The Declaration is oftencited in human rights conventions, such as the UNDeclaration on the Granting of Independence to ColonialCountries and Peoples of 1960 and the European Conventionon Human Rights of 1950, as a fundamental human rightsinstrument. For the influence of the Universal Declarationof Human Rights on human rights instruments, see Saito(1984, 127-149).As to the International Covenant on Economic,Social and Cultural Rights, it has been ratified only bythe Philippines, Sri Lanka and the Republic of Koreaamong the countries being considered hee. As regards HongKong, the United Kingdom made territorial application atthe same time of its ratification.As the ILO standards, the Minimum Wage FixingMachinery Convention, 1928 (No.26); the Minimum WageFixing Machinery (Agriculture) Convention, 1951 (No.99);the Minimum Wage Fixing Convention, 1970 (No.131); theMinimum Wage Fixing Machinery Recommendation, 1928(No.30); the Minimum Wage Fixing Machinery (Agriculture)Recommendation, 1951 (No.89); the Minimum Wage FixingRecommendation, 1970 (No.135). For the texts, see ILO(1982). For an historical and comparative overview ofminimum wage fixation, see Rocella (1984).20. Although the main body of the Constitution of the1 5 9ILO relates to the organs and functions of theOrganization, it also includes such principles containedin the Preamble to the Constitution and in the Declarationconcerning the Aims and Purposes of the Organization(Philadelphia Charter), adopted on May 10, 1944, which areincorporated in it in 1946.21. See ILO (1982, 230-232).22. See ILO (1982, 233-235).23. For a similar classification of the role ofminimum wage fixing, see ILO (1968, 5-9). For the concisediscussion, see Starr (1981b).24. For new minimum wage fixing procedures in thePhilippines, see Social and Labour Bulletin. 4/90, 351-352.25. One of the other measures to cheapen labour costis provided by article 52 of the Labour Code: tax isdeducted 50% of the National Manpower and Youth Council(NMYC) students training expenses, not to exceed 10% ofdirct labour wage. For the Labour Code, see Legislative Series. 1974-Phil. The NMYC, established in 1969, whichis established in 1969, which is charged with "traininginstitutions, and formulating such plans and programs aswill ensure the efficient allocation, development andutilization of the nation's manpower and thereby promoteemployment and accelerate economic and social growth"(article 43). The Council is supposed to carry out a longterm plan for the uilization of Philippine manpower bothfor 	 employment 	 and 	 entrepreneurship	(article	 46)(Legislative Series. 1974.Phi.1A).26. According to Ramanayake (1984, 25), minimumwage rates are set the same for both sexes. Also, clause6 (a) of the investment agreement of the GCEC clearlyexpresses that the GCEC has the final authority topresribe remuneratios, conditions of work, occupationalhealth and safety and so forth (Ramanayake 1982, 60). "(a)The enterprises shall offer to all employees who arecitizens of Sri Lanka such terms and conditions ofservice as are not less favourable than the minimum termsand conditions of service as may be prescribed by theCommission from time to time relationg to wages, hoursof work, overtime, leave, provident fund, welfarefacilities, safety precautions, and workmen's [sic]compensation."27. The reason for statutory discrimination in theminimum wage is as follows; equal wages in theplantation sector would negatively affect the industrialsector in competition with other countries (ILO 1985b,226).In Mauritius as well, the government has legislateddifferent minimum wages for women and men and this alsoapplies to the EPZ. This practice, Hein argues, has beeninfluenced by tradition in the sugar plantations (Hein1986, 299). The minimum wage for women is almost half1 6 0that of men (ibid., 298). In spite of this fact, therehas been no pressure from within the society includingtrade unions to change this discriminatory practice,although employers ensure that women and men do notconcurrently occupy the same types of jobs (ibid., 299).Mauritious has not ratified the Equal RemunerationConvention (No.100) of 1951 of equal pay for work ofequal value as of December 31, 1989 (ILO 1990). However,it has already acceded to the Convention on theElimination of All Forms of Discrimination Against Womenin 1984, and the principle of equality of both sexes isprescribed in the article 3 of the Constitution.Morocco also legislated separate minimum wage scalesfor women and men (ILO 1985a, 47), in spite ofratification of the Equal Remuneration Convention(No.100) on November 5, 1979.28. For an overview of the new Constitution of SriLanka, see Social and Labour Bulletin. 4/78, 327-328.29. This is also true of Bangladesh, Canada, theNetherlands, and the United Kingdom and many countriesinfluenced by British practice (Starr 1981a, 93-94).30. For a discussion of minimum wage legislation inHong Kong, see England and Rear (1981, 374-376).31. Three objectives at the time of establishmentof the National Wage Council are as follows (Pang 1981b,494): (i) to formulate annual wage guidelines for theeconomy as a whole; (ii) to ensure orderly wagedevelopment to promote the economic and socialdevelopment of Singapore; and (iii) to assist in thedevelopment of incentive schemes to improve nationalproductivity. For the structure and the influence of theNational Wage Council on industrial relations, see KimSeah Teck Kim (1981). For a list of the National WagesCouncil Wage Recommendations from 1972 to 1986, see Cheah(1988).32. See Legislative Series. 1968. Sin.l. For anoverview, see Tan Pheng Theng (1974).33. See Legislative Series. 1968. Sin.2. For aconcise summary, see Tan Pheng Theng (1974).34. See also section 3.13 on industrial relations.35. For industrial restructuing in Singapore, see,for instance, Rodan (1987).36. See section 3.13 on industrial relations.37. See ILO (1982, 42-43).38. See ibid. (44-46).39. Other international standards are: article 23(paragraph 2) of the Universal Declaration of HumanRights, article 7 (a) of the Covenant on Economic, Socialand Cultural Rights, and article 11 (d) of the UNConvention on the Elimination of All	 Forms ofDiscrimination Against Women.The Universal Declaration of Human Rights provides1 6 1as follows: everyone, without any discrimination, has theright to equal pay for equal work (see U.N.G.A. Res.217(III), 3 U.N. GAOR Supp (No.13) 71, U.N. Doc. A/810(1948)). For article 7(a) of the Covenant on Economic,Social and Cultural Rights, see Footnote 28 of thissection. Article 11 of the Convention on the Eliminationof All Forms of Discrimination Against Women provides asfollows: states parties shall take all appropriatemeasures to eliminate discrimination against. women in thefield of employment in order to ensure, on a basis ofequality of men and women, the same rights, in particular(d) the right to equal renumeation, including benefits,and to equal treatment in respect of work of equalvalue, as well as equality of treatment in the evaluationof the quality of work. For the full text, see CSDHA(UN)(1988, 19-24). Ratification of this Convention was madeby the Philippines, Sri Lanka, the Republic of Korea andBangladesh, while Singapore and Malaysia have notratified yet.40. Article 135 of the Labour Code before amendmentwhich was approved on May 12, 1989 is as follows(Legislative Series. 1974-Phi.1A.):Discrimination prohibited. No employer shalldiscriminate against any woman with respect to termsand conditions of employment on account of her sex.Equal remuneration shall be paid to both men andwomen for work of equal value.41. While daughters can be regarded as asignificant source of economic support of the family,some parents refuse to let them join factory life forfear of supposed moral problems (Stivens 1987, 102). Thisholds particularly true among the Malay population. TheEPZ firms introduce in their labour management theWestern ideas of womanhood, which are not acceptable toparents and brothers in a different cultural setting.Social morality is equated with control of women andtheir sexuality.At least one case study showed that almost none ofthe workers have acquired habits of smoking and drinking(Lin 1986b, 32). The ugly image of factory workers ispartly attributed to the the way in which thestate-controlled media reports (Mehrun Siraj 1984, 167;Ong 1987, 181-183). Nonetheless, the the Westernizeddress and changed lifestyles, particularly pronouncedamong electronics workers, invoke negative reactionsamong thier families and local communities (Lim 1978,36-37; Grossman 1979, 13; Blake 1984, 154). The "factorygirls" are thought to be "loose" sexually (Lim 1978, 37;Fuentes and Ehrenreich 1983, 25) and are called, forinstance in Malaysia, "Minah Karan" or "Minah Letik"(Matsui 1987, 87; Ong 1987, 146) meaning "high voltagewomen." For personnel management, see section 3.12. on1 6 2labour management. For the implications of women'semployment, see, for instance, Lim (1978) and UNIDO(1980).42. It is to be noted, however, that contribution tofamily income does not necessarily grant them greaterstatus or decision-making power within the family. See,for instance, Kung (1976) and Salaff (1981). For the roleofthe family structure and women's work in developingcountries, see, for instance, Diamond (1979); Arrigo(1980); and Salaff (1981).43. See, for instance, Fujimori (1978, 43).44. For a similar case regarding the level ofskills of males in shipbuilding industry, see Heyzer(1986). See also, similar findings substantiating theargument by Phillips and Taylor (1980), see Armstrong(1982); 	 Coyle 	 (1982);	 Humphrey 	 (1987); 	 and Ecevit(1991).45. A study of a Japanese electronics factory inMalaysia showed that there were only 25 chargehandpositions (assistants to foremen and supervisors tolineleaders) available, the highest rank attainable byfemale workers for the 800 operators (Ong 1987, 159).Moreover, there were many cases where operators qualifiedfor the jobs of chargehand or lineleader turned downpromotion despite the higher wages offered. Since ifthose in different ranks were friends or relatives, itbecame stressful for higher-rank workers to articulatepower relations vis-a-vis their "sisters," which are alsodoubled by their relation to the upper-ranks (ibid.,164).46. On the average, women's wages are less than twothirds than men's (1982) (Gannicott 1987, 721). As to thedifference in wages between women and men, Gannicott(1987, 725) came to the conclusion that men in Taiwanreceive a constant premium over the female salary, evenfor approximately equal work for equal productivities.It is to be noted, however, that Gannicott (ibid.)concludes that the sources of wage discrimination againstwomen in the Republic of China are experience, maritalstatus, and firm size.47. For the issues addressed in the Factory Law, seeWinn (1987, 51).48. This difference is accounted for, by Ramanayake(1984, 225), by the fact that male workers tend to occupy"skilled" jobs and a large number of female workers arefound to be trainees. See also footnote 26 above.49. The same tendency was confirmed in export-oriented industries along the Mexican border with theUnited States (Fernandez-Kelly 1983, 28).50. In the case of Hong Kong garment manufacturers,however, the Caribbean islands and Central Americancountries are favoured, because they have preferential1 6 3trading arrangements with the United States and Europe(Doi Guat Tin 1990, 61).51. Dror claims, however, that there is no evidenceof relocation of EPZ enterprises (Dror 1984, 715).Moreover, recently, there are increasing cases where"runaway shops" returned to their countries of origin orperipheral regions of industrialized countries such asScotland 	 when 	 technological 	 advances 	 offset 	 thecomparative advantage of developing countries and/orextra sources of finance are available. Fairchild, forinstance, returned its assembly operations from Singaporeto Portland (Robison, Higgott and Hewison 1987, 8). Seealso Mitter (1986).52. This case involved, another economic factor,that is, the end of the tax holidays in Singapore for thecompany. It was the case that unemployment in Singaporeduring the recession of 1974-75 was dampened by layoffsof Malaysian workers and women workers (Pang 1981a, 4).They are, however, not exclusive, because a considerableproportion of women migrant workers are from Malaysia(Heyzer 1982, 186). Four fifth of the foreign workers inSingapore are from Peninsular Malaysia and employed inthe labour-intensive manufacturing and constructionsectors (Pang 1980, 504 f8). For female Malaysian migrantworkers in Singapore, see Heyzer (1982). For theimplications of foreign labour in Singapore, see Pang andLim (1982).53. Statistically, hours actually worked include:a)hours actually worked during normal periods of work;b)time worked in addition to hours worked during normalperiods of work and generally paid at higher rates thannormal rates (overtime); c)time spent at the place ofwork on work such as the preparation of the workplace,repairs and maintenance, preparation and cleaning oftools, and the preparation of receipts, time sheets andreports; d)time spent at the place of work waiting orstanding by for such reasons as lack of supply of work,breakdown of machinery or accidents, or time spent at theplace of work during which no work is done but for whichpayment is made under a guaranteed employment contract;e)time corresponding to short rest periods at theworkplace, including tea and coffee breaks.Excluded are :a)hours paid for but not worked, suchas paid annual leave, paid pubic holidays, paid sickleave, b)meal breaks; c)time spent on travel from hometo workplace and vice versa (ILO 1979, 30-31).Accordingly, the hours actually worked are notnecessarily identical to the hours paid.54. The hours of work fixed by or in pursuance oflaws or regulations, collective agreements or arbitralawards are statisticaly."normal hours of work." Where notso fixed, "normal" hours of work should be taken as1 6 4meaning the number of hours per day, or week, in excessof which any time worked is remunerated at overtime ratesor forms an exception to the rules or customs of theestablishment relating to the classes of workersconcerned (ILO 1979, 30).55. Galenson (1979, 407) notes, however, thatworkers do overtime work on everyday basis without beingpaid, due to inadequate law enforcement machinery.56. Mrinal (1984, 83) observes, however, that thenumber of hours worked per week is not long, as 44% ofthe workers worked between 45 and 48 hours a week and 23%worked more than 55 hours a week.57. The following deals mainly with theinternational legal framework. Materials on domestic lawsin this area were impossible to obtain with a fewexceptions.58. See ILO (1982, 248-251).59. The Hours of Work (Industry) Convention (No.1)and The Hours of Work (Commerce and Offices) Convention(No.30) of 1930, which sets the same standard as theConvention No.l. For the texts, see ILO (1982).60. See ILO (1982, 282-286).61. The standard of the forty-hour week is providedin the Forty-Hour Week Convention (No.47) of 1935, cameinto force in 1947 and had nine ratifications as ofDecember 31, 1989 (ILO 1990).62. Other international standards established by theUnited Nations system are Universal Declaration of HumanRights (article 24) (see U.N.G.A. Res.217 (III), 3 U.N.GAOR Supp (No.13) 71, U.N. Doc. A/810 (1948)) and theInternatinal Covenant on Economic, Social and CulturalRights (article 7, paragraph d) (see CSDHA(UN) 1988)which do not provide specific duration of the hours ofwork.63. In some planned economies, shift work is alsomore common. See Kabaj (1965) and Kabaj (1968).64. In Singapore where labour shortage has been aproblem, housewives are employed on a part-time shiftbasis. They usualy work from 5 p.m. or 6 p.m. to 10 p.m.or to 11 p.m., which enables them to perform householdduties and to do caring work for ther families (ILO1985a, 51).65. For problems of shift work, see for instance	Maurice (1975); Betancourt and Claque (1976);	 andCarpentier and Cazamian (1977).66. An example of shift allowances in the textilecompany in Malaysia is as follows (Hing Ai Yun 1985a, 169f51).Morning shift $0.20 (6.30a.m.-2.30p.m.)Afternoon shift $0.80 (2.30p.m.-10.30p.m.)Night shift $1.70 (10.30p.m.-6.30a.m.)Change of shift 	 $0.60 (6.30a.m.-6,30p.m.)1 6 5&1.20 (6.30p.m.-6.30a.m.)Normal daily wage is $6.77 (daily-rated).67. In the case of Malaysia, most of the EPZcompanies arrange bus services for workers (PARC 1977,163).68. See ILO (1982, 701-702). However, the Night Work(Women) Convention (No.4) was revised by a subsequentConvention.69. See ILO (1982, 704-705). This Convention No.41is no longer open to ratification as a result of the entryinto force of a revising Convention.70. See ILO (1982, 706-708).71. The Convention prescribes 'night' as follows(article 2): the period of 11 consecutive hours shouldinclude an interval of at least seven consecutive hoursfalling between ten o'clock in the evening and seveno'clock in the morning, and different intervals may beprescribed for different areas, industries, undertakings,etc, 	 but 	 the competent authority should consultemployer's and workers' organizations before prescribingan interval begining after eleven o'clock in the evening.(ILO 1982, 704).72. "Protocols" are a special instrument open toratification bound by the specific convention.73. See Labour Law Documents. 1990-ILO Prot.C. 89.74. See ibid. 1990-ILO C.171. Night is defined asfollows (article 1): a period no less than sevenconsecutive hours, including the interval from midnightto 5 a.m.75. See ibid. 1990-ILO R.178.76. Previous Conventions and Recommendations onnight work pertained to women and young persons only.See, for example, ILO (1982, 706-708) for the No. 89Convention and ILO (1982, 752-754) for the Night Work ofYoung Persons (Industry) (Revised) Convention (No.90).77. See, for instance, ILO (1982, 706-708, 752-754).78. The Employment Act of 1955 deal with thefollowing matters.a. Contracts of Service,b. Payment of Wages,c. Employment of women including maternity protection,d. Terms and condition of service including:i.Rest days. 	 vi.Shift work.ii.Hours of work. 	 vii.Annual leave.iii.Holidays. 	 viii.Sick leave.iv.Task work. 	 ix.Retrenchment benefit.v.Overtime work. 	 x.Retirement benefit.See Legislative Series. 1982. Ma1.2.79. In Mauritius, one of the countries with an EPZsince 1970 employing vast numbers of women, night work isprohibited by the Labour Act of 1975. Nonetheless, theEPZ Act No.51 provides that it is subject to a mandatory1 6 6break of 12 hours thereafter (Hein 1987). However, veryfew women have been willing to work on night shift(ibid.). Mauritius has not ratified the ILO Night Work(Women) Convention (No.89) as of December 31, 1989. Forthe Labour Act of 1975, see Legislative Series. 1976.Maur-1. and Social and Labour Bulletin. No.2 (1976).pp.152-154 for the overview.80. See ILO (1982, 691-692).81. See ibid. (693-696).82. See ibid. (697-699).83. See Labour Law Documents. 1990-ILO C.171.84. See ibid. 1990-ILO Prot. C. 89.85. For the full text, see CSDHA(UN) (1988, 19-24).86. See Legislative Series. 1974-Phil.87. See ibid. 1952-Phil.l.88. See ibid. 1973-Phil.3.89. See ibid.90. For legal initiatives in encouraging smallerfamily size in Singapore, see Hall (1972).91. Population activities of the ILO financed by theUnited Nations Fund for Population Activities (UNFPA) hadincreased 75 times in nine years from 1970 to 1979 (Mies1986, 122). The roles of the ILO range from researcheson demographic change and women's role, migrationpolicies, labour mobility, population education for bothemployees and employers at the workplace such as tradeunions and co-peratives, promotion of integration ofpopulation factors into national development planning(Sadik 1984). For population activities of UNFPA, seeWolfson (1983) and Sadik (1984). For a critical view ofthe implementation of population activities by the UNFPA,see Warwick (1982). For population activities by otherorganization, for instance, the World Bank, see Wolfson(1983) and Herz (1984).92. For population policies directed only at womenand the role of the pharmaceutical industry, see Golly(1982), Balasubrahmanyan (1986); and LaCheen (1986). Seealso Erler (1985, 115-139) and Matsui (1987, 51-54) forBangladeshi cases.93. Manipulating 	 transfer 	 pricing, 	 i.e.,underpricing goods for export while selling them atmarket prices globally in transactions among parent andaffiliated companies, allows vertically integrated firmsnot only to minimize tax burdens but also to evade taxinternationally. An United Nations study shows thatintra-company transactions assume 40% of the world'strade (United Nations 1978). Therefore, with theincentive package including tax holidays and high costsincurred for providing infrasructure, the EPZs do notnecessarily have positive impacts on the economies of thecountries concerned. For economic analyses of the EPZ,see, for instance, Hamada (1974); Rodriguez (1976); and1 6 7Hamilton and Svensson (1982).94. Sexual harassment of women is underreported innon-industrialized countries as well. 	 In developingcountries where norms restrict women's mobility, womenwho break the norms, such as the view that women'sphysical proximity to males who are not kin is a threatto their honour, are often considered fair game forsexual exploitation (Anker and Hein 1986a, 36).Moreover, this problem is not new. In a 1939Malaysian case, for example, sexual molestation byemployers and supervisors was such that one of thedemands of a strike by a trade union was its cessation.The demand was repeated after the Second World War(Rohana Ariffin 1988, 243).95. See CSDHA(UN) (1988, 92-96).96. For the general discussion of the No.119Recommendation, see Yemin (1982). For the text, see ILO(1982, 138-142).97. For the influence of the No.119 Recommendationon some of the member states, see Yemin (1976).98. ILO (1981, 19) describes, however, that thelegislation in Sri Lanka does not appear to contain anexplicit requirement of justification for termination ofemployment by the employer.99. See Legislative Series. 1974-Phil.l.100. See Part II. Contracts of Service of theEmployment Act 1968 in Legislative Series. 1968. Sin.l.101. See Legislative Series. 1967-Ma1.1A. For asummary of the comprehensive revisions, see Social andLabour Bulletin. 3/80, 285-287.102. Lim (1978, 20) has pointed out that the notionof women's work as secondary allows the industries to layoff women workers more easily.103. The informal sector is defined as follows(Portes and Sassen-Koob 1987, 31): all work situationscharacterized by the absense of (1) a clear separationbetween capital and labor; (2) a contractual relationshipbetween both; and (3) a labor force that is paid wagesand whose conditions of work and pay are legallyregulated. The informal sector is structurallyheterogeneous and comprises such activities as directsubsistence, small-scale production and trade, andsubcontracting to semiclandestine enterprises andhomeworkers. For a discussion of the informal sector,see, for instance, Connolly (1985).104. Although this commoditization of femalesexuality produces higher pay for women than in otheroccupations in spite of the high degree of exploitation,the costs are also high because of their declining valueas traded commodities, shorter working life and healthrisks, mental as well as physical (Thanh-Dam 1983). Thehospitality industry, euphemism for prostitution, relates1 6 8significantly to the rise of the tourist industry and oftransnational 	 corporations 	 (Fuentes 	 and 	 Ehrenreich1983, 25). Tourism and its associated prostitutionconstitute an important part of export-led developmentstrategy, for they are seen as a souce of foreignexchange earnings (Mitter 1986, 64; Enloe 1989, 32). Inthe case of the Philippines, the 1974 Labour Code(article 138) legalizes hospitality services for thepurpose of generating foreign exchange earnings under thename of extending legal protection for women in thoseprofessions (Villegas 1983). The fact is that very few ofthe women enjoy the benefits (Neumann 1979. 22). Tourismis also used for enhancing political legitimacy (Richter1980; Lee 1991). All of these factors explain the statepolicies of actively promoting tourism, for instance,total ban on strikes in the hotel industry in thePhilippines (Wood 1981, 9). The role of state extends ininterpreting, reproducing and disseminating culturaldimension of tourism (Wood 1980). Racist stereotypes ofAsian women also play a part in attracting tourists (Lee1991, 90-92). For sex tourism in Southeast Asia, seeThanh-Dam (1983); Heyzer (1986); Mackie (1988); and Lee(1991). For feminist critiques of prostitution as acontractual liberty, see Pateman (1983, 1988) and Shrage(1989).105. International efforts to prevent occupationallyinduced health problems has also been made by the WorldHealth Organization (WHO), the United Nations EnvironmentProgramme 	 (UNEP), 	 the 	 Organization 	 for 	 EconomicCooperation 	 and 	 Development 	 (OECD), 	 the 	 EuropeanCommunity (EC) and so forth (Ziskind 1982).106. EPZs are overrepresented by textile, appareland electronics industries. FrObel and his associates(1980) named the structure 'industrial monoculture.'Present section on occupational health and safety referrsto those industries.107. For an opposite opinion as regards theelectronics sector in Malaysia, see Fong Chan Onn (1989).108. It is a well known fact that among textilefactory workers in the early twentieth-century Japan-only young and unmarried women were hired in those daysas well- tuberculosis was rampant and a number of themdied of it. See Hosoi (1954); Nakamura and Molteni (1985);and Tsurumi (1990). Tono (1984) compares them to overseasexpansion of Japanese textile industry creating similarsituations in Southeast Asia. The conditions at thetextile and garment industries in Southeast Asia are alsocompared by a number of researchers to nineteenth-centurysweat shops in Europe and the Unites States (Fuentes andEhrenreich 1983; Enloe 1983). For the women factoryworkers in the industrializing West, see Tilly and Scott(1978). It is to be noted, however, that Enloe (1983)-1 6 9analyzes the similar working conditions in a historicallyspecific perspective.109. Clealiness is required in an electronicsworkplace in order to maintain the machinery.110. The study was prepared by the U.S. NationalInstitute on Occupational Safety and Health (NISOH)(Pacific Studies Center 1977, 32). At the federal levelin the United States, however, it was not until 1970that a relatively comprehensive Occupational Safety andHealth Act was adopted. The law became operative inApril, 1970. See Legislative Series. 1970-USA.1. See, forinstance, Morey (1974) and Wood (1976).111. It 	 is, 	 however, 	 difficult 	 to establishclassification of illness into one caused by work andaggravated by work (ILO 1985b, 140).112. A Korean survey pointed out the tiny budget ofa Korean subsidiary as compared with the Japanese parentcompany (CJPSK 1976, 66).113. "Mass psychogenic illness" is defined as thecollective occurrence of physical symptons and relatedbeliefs among two or more persons in the absense of anidentifiable pathogen (Colligan and Murphy 1979).114. For the list of the ILO instruments concerningoccupational 	 safety and health and 	 the workingenvironment, see ILO (1985c, 122).115. See ILO (1982, 334-339).116. See ibid. (386-387).117. See ibid. (388-391).118. See ibid. (498-412).119. See ibid. (413-417).120. See ibid. (350-355).121. See ibid. (356-362).122. See Social and Labour Bulletin. 1/87, 147-148.123. ibid.124. For medical and legal aspects of asbestos, seeCastleman (1984).125. For economic analyses of safety and preventivemeasures, see, for example, Chelius (1974), Oi (1974) andBequele (1984).126. The Environmental Protection Agency (EPA) hasissued in 1989 controls on manufacturing, importing andprocessing of asbestos products to phase out nearly alluse of asbestos in new products over the next sevenyears. The regulations, however, allow some exemptions.See Social and Labour Bulletin. 3-4/89, 311-312.127. For example, advertisement for polluters placedin a Mexico City's English-language newspaper The Stateof Mexico is as follows (Barnet and Muller 1974, 345):RELAX. WE'VE ALREADY PREPARED THE GROUNDFOR YOU. If you are thinking of fleeing from thecapitol because the new laws for the prevention1 7 0and control of environmental pollution affectyour plant, you can count on us.However, the volume by Barnet and Muller onmultinational corporations do not appreciate healthproblems posed by the labour process.128. Even in industrialized economies, compensationrather than prevention has constituted the main responseto work hazards (Willis 1989, 321).129. For a political economy perspective ofoccupational health and safety, see for instance Elling(1986) and Carson (1989).130. For a concise summary of issues in the area ofenforcement of safety legislation, see Greenberg (1973).131. See section 3.4. on hiring practices andregulations.132. See section 3.8. on maternity protection.133. See section 3.12. on labour management.134. Ibid.135. See section 3.10. on occupational health andsafety.136. See section 3.12. on labour management.137. See Legislative Series. 1968-Sin.l.138. There is also a case where a company makes anadjustment of bus services according to the supply-demandratio of labour: where a company requires more labour, itmight extend its bus service further in order to recruitthe needed labourers at the same wages, whilst it mightcurtail the number of or distance travelled by buses whenit requires fewer labourers (Galenson 1979, 394).139. These organized activities, which do notinvolve alcohol and mixing of female and male workers asin parties, are viewed favourably by Muslim leaders(Mehrun Siraj 1984, 172).140. A Malaysian survey revealed that 92% ofelectronics workers felt disgraced for being factoryworkers (Matsui 1987, 87).141. Hostility from the receiving community alsoarises from housing shortages engendered by influx of avast number of workers (Ong 1987).142. See section 3.10. on occupational health andsafety.143. For an essentially economically motivated viewof the Japanese QC circles which denies the Westernnotion emphasizing the socio-cultural framework, seeWatanabe (1991). It has to be noted, however, that hisarticle is written, as is usually the case, from themainstreampoint of view in sociology, in that workers aretacitly assumed to be male and thus supposed to workuntil the retirement age of the company -the term"lifetime employment system" is misleading (cf. "lifetimeimprisonment")- under the egalitarian remuneration system1 7 1and the promotion system. These assumptions are true ofmale workers in big corporations.144. For Japanese management methods 	 in anelectronics firm in Singapore, see Lin (1984). Lin (1984)describes Japanese management as a job hazard. For thegeneral comparison between headquarters in Japan andsubsidiaries in Singapore, Malaysia, India and Canada,see Jain (1990). For a comparative study in industrialrelations including management between Japanese and U.S.factories in Thailand, see Voravidh and Amara (1988).145. In the case of Malaysia, the "Look East" policyactively advocated since 1981 by Prime Minister Mahathirtargets Japan and the Republic of Korea, particularlytheir productivity related aspects, as a model to changethe Malaysian work ethic to more vigorous and competitiveone along Japanese lines. The government is reported tohave sent 484 workers to Japan and the Republic of Koreafor training: 449 were Malays, 19 Chinese and 16 Indians(Hing Ai Yun 1988, 77 f18). See also for the NEP insection 3.3 on hiring practices. The 'Look East' policyis, however, not welcomed nor supported by trade unionleaders (Sharma 1985, 55), although it is still beingpromoted (Sopiee and Kuno 1991). Ong (1987, 149-150)argues that the policy envisages Malay-Muslim support, inparticular, for the government and the workplace whereJapanese capital is a major presence. This is done byemphasizing cultural values rather than technologicalexpertise which do not contradict Islamic ideals and arealso acceptable to non-Muslim citizens. For Japanesesociety in general, see Nakane (1967); Okimoto andRohlen, eds. (1985); and McCormack and Sugimoto, eds.(1988). For critical reviews of Nakane (1967), see Jensen(1980); Mouer and Sugimoto (1980) and Hata and Smith(1983).146. For 	 historical 	 formation 	 of 	 economicdisparities among ethnic groups in Malaysia, see Lim MahHui (1980).147. Workers are aware of the exploitative nature oflabour control as exemplified in productivity measures(Hing Ai Yun 1988, 70).148. For a summary of theories of industrialrelations, see Debschenk (1983).149. See ILO (1982, 4-6).150. See ibid. (7-8).151. See ibid. (205-206).152. See ibid. (9-10).153. See ibid. (11-14).154. See ibid. (218-220).155. See ibid. (221-222).156. Other Conventions of non-general applicationsare as follows: the Right of Association (Agriculture)Convention, 1921 (No.11) and the Right of Association1 7 2(Non-Metropolitan Territories) Convention, 1947 (No.84).For the texts, see ILO (1982).157. The International Labour Conference adopted in1970 a resolution concerning rights which are essentialfor the normal exercise of trade union rights,acknowledging that the absence of civil liberties removesall meaning from the concept of the rights of trade unions.See ILO (1970).158. Article 23 provides as follows; 1. Everyone hasthe right to work, to free choice of employment, to justand favourable conditions of work and to protect againstunemployment. 	 2. Everyone, without any discrimination,has the right to equal pay for equal work. 3. Everyonewho works has the right to just and favourableremuneration ensuring for himself [sic] and his [sic]family an existence worthy of human dignity, andsupplemented, if necessary, by other means of socislprotection. 	 4. Everyone has the right to form and tojoin trade unions for the protection of his [sic]interests (U .N.G.A. Res.217 (III), 3 U.N	 GAOR Supp(No.13) 71, U.N. Doc. A/810 (1948)).159. See CSDHA(UN) (1988).160. See ibid.161. See Legislative Series. 1959-Mall.162. See Legislative Series. 1982-Mal.l.163. See Legislative Series. 1967-Ma1.1A.164. See Legislative Series. 1982-Ma1.2.165. The Registrar of Trade Unions is givendiscretionary power by the Trade Unions Act 1959(sections 4A, 12 and 28(d)) to refuse of registration ofa trade union if he is of the opinion that the tradeunion is likely to be used for unlawful purposes or forpurposes contrary to or inconsistent with its objects andrules (section 12 (3)(a); any condition for registrationis that trade union executive has no criminal record andhas not committed any offense which "in the opinion ofthe Registrar renders him unfit to be an officer of atrade union" (section 28(d)). See Legislative Series.1982-Mal.l.166. According to the Investment Act of 1968,"pioneer status" is granted to an industry or for aproduct provided (1) the industry is not already beingcarried out or the product is not at present produced inMalaysia on a commercial scale, (2) that there are goodprospects for further development, and (3) that it is inthe public interest to do so. The status entitles acompany to relief from company, development, and payrolltaxes for two to five years depending on the amount ofcapital investment (Fong and Lim 1984, 399).167. The government of Malaysia, however, due to athreat from the United States to remove GSP (GeneralizedSystem of Preferences) status, finally lifted a ban on1 7 3trade union registration in EPZs (Edgren 1990, 641).168. For an introductory summary, see Lent (1984)and Hing Ai Yun (1985b).169. The reason was that the electronics industrydoes not fall within the legal definition of "electricalindustry" (Hing Ai Yun 1984, 453). See also Wangel (1988).170. See Legislative Series. 1968-Sin.l.171. See Legislative Series. 1968-Sin.2. For thetext of the Industrial Relations (Amendment) Act beforerevision (the Industrial Relations Ordinance 1960), seeLegislative Series. 1965-Sin.l.172. The main function of the court is inter alia toregister and certify collective agreements, to interpretcollective agreements or awards, to vary the termscontained 	 in 	 collective 	 agreements, 	 to 	 provideconciliation and to refer disputes arising out of theadministration of collective agreements to referees.173. The reasoning behind the promotion of houseunions is represented well by the following statement ofthe Republic of Singapore's Committee on Productivity,which emphasizes house unions as follows (Deyo 1987,192). "In reinforcing company identification, one shouldgenerae identification with a particular company and alsoestablish in the minds of the workers that theirbenefits and welfare depend on the company's future....The commitee believes that house unions should bepromoted because it [sic] helps workers to identify withthe company and its future." Ronald Dore notes that theJapanese system enhances enterprise consciousness andalso does less to develop individualism (Dore 1973, 215).There is no evidence, however, that house unionismcontributed to Singapore's economy or to the improvementof the workers' well-being during the economic downturnin 1985 and 1986 (Blum and Pataranapich 1987, 398).174. For the management of human resources inJapanese enterprises, see, for example, Hanami (1979) andPascale and Athos (1981). For industrial relations inJapan, see Levine (1981) for a summary and Sugimoto,Shimada and Levine (1982) and Shirai, ed. (1983).175. In consequence, the credibiity of trade unionsamong workers is not high (Lim 1978, 17).176. See also Deyo (1981) for a Singaporean case.177. Although the right of unions to exist isrecognized in the Labor Unions Law (article 2), onlyworkers employed by enterprises with more than thirtyworkers may form a union (article 6) (Winn 1987).178. There are hardly any full-fledged foreignreporters in the Republic of China, as the media has beencontrolled by the ruling Nationalist Party for politicalreasons. Carl Goldstein for the Far Eastern Economic Review was the main exception in 1987 (Seymour 1988).179. Although martial law was suspended on July 14,1 7 41987, there have been other repressive regulationspromulgated in the period and the enactment of the"National Security Law for Period of RebellionSupression" (Seymour 1988, 74).180. It was promulgated in 1929 and revised in 1975.All major provisions remain intact, however (Winn 1987,43)181. See Legislative Series. 1974-Phil. and LabourLaw Documents. 1989-PHL 1. For the Labour Law before the1974 revision, see Fernandez (1965a, 1965b).182. See Legislative Series. 1975-Phil.183. The ILO Committee of Experts on the Applicationof Conventions and Recommendations, however, stressed theneed for a more restrictive interpretation of "essentialservices" (ILO 1984, 152-153).184. For the NLRC, see Seno (1974, 675-666) andQuadra (1975, 176-177).185. For the full text, see Supreme Court, Manila(1977).186. For a summary of historical background ofindustrial relations in the Republic of Korea, see Ogle(1979).187. "Yushin" Constitution accepts collectivebargaining, but with limitations: (1) the purpose ofbargaining between labour and management is to 'ensurethe improvement of productivity in co-operation with eachother' and (2) collective action by workers to back uptheir collective bargaining is restricted by a clause tothe effect that workers who exert a 'strong influence' onthe nation, government or economy can have their 'rightsto coolective action limited or withheld' (section 29)(Ogle 1978, 143). See Kim (1978). "Yushin" was to beKorea's version of the Meiji Restoration (1868), thesymbol of the sweeping changes from above thatfacilitated Japan's rapid modernization. For the MeijiRestoration, see Shibahara (1977).188. For the authoritarian attitude of the governmentand the enterprise towards labour, see T. K. Sei (1974,1975, 1977 and 1980). See also Kim (1978).189. The movement initiated by President Park ChungHee in 1974 originally aims at village modernization by"hard work, self-help and cooperation" (Matsuo 1977, 78).When applied to the workplace: (t)he spiritual base ofthe Saemaul movement at factory is, namely, therationalization of management; by means of this movement,increased productivity and the development of autonomous,internalized systems of cooperation and unity can beachived (ibid., 72).190. Seen from the freedom of media, however, thereal figure must be larger than is officially known(Launius 1984, 7).201. For the Trade Unions Ordiance, see England and1 7 5Rear (1981, 140-146).202. For the Labour Relations Ordinance, see Englandand Rear (1981, 322-328).203. To date, however, the provisions have not beenimplemented (England 1989, 220).204. The recent exception is the anti-colonial riotsof 1966-1967. For the events, see England and Rear (1981,17-21).205. It is argued that trade unions traditionallyhave been concerned with welfare aspects such asemployment security and political mobilization, left orright (Turner, et al. 1980; England and Rear 1981).England and Rear (1981, 61-62) suggests that "refugeementality" contributes to industrial and social peace.See Henderson (1989) for a critique.206. See, for instance, Kessler-Harris (1975) forthe United States; Hanami (1984) for Japan; Walby (1986)and Walton (1991) for the United Kingdom; and Griffin andBenson (1989) for Australia.207. Although parents share responsibility of childcare-the fact that women bear children does not dictatecare of children exclusively taken by women-, it hasalways been the case that male parents are dischargedfrom the responsibility. Their first priority was rarelyperceived to be related to their potential or actual roleas fathers. The ILO adopted in 1965 the Recommendationconcerning 	 Employment	 (Women 	 with 	 FamilyResponsibilities) (No.123) based on the idea that women'splace is at home. The Recommendation dealt extensivelywith 	 measures 	 for 	 women	 to 	 accomodate 	 familyresponsibilities with work outside the home. See ILO(1966, 1113-1114).Based on the changing recognition in society ofroles of both sexes and thus the consideration of theequal opportunity and equal treatment for men and womenworkers with family responsibilities, however, the ILOadopted in 1981 the Workers with Family ResponsibilitiesConvention (No.156) complemented by the Recommendation(No.165). The No.156 Convention states that each ILOmember State "shall make it an aim of national policy toenable persons with family responsibilities who areengaged or wish to engage in employment to exercise theirright to do so without being subject to discriminationand, to the extent possible, without conflict betweentheir employment and family responsibilities." For theNo.156 Convention, see ILO (1982, 52-55). For the No.165Recommendation, see ILO (1982, 56-61),The U.N. Convention on the Elimination of All Formsof Discrimination Against Women of 1979 recognizes in itsannex and article 5 the common responsibility of bothparents in the family and in the upbringing anddevelopment of their children. For the text, see1 7 6CSDHA(UN) (1988, 19-24).208. Chiplin and Sloane (1974) suggest that maleworkers in the secondary sector adopt the same behavioralpattern as female workers, although Dror (1984, 714)claims that drawing on a case study which provides astatement of women workers that they can easily learn thetask the poor quality of the job and no career prospectsdoes not pose any problem for the women workers. It isalso argued that female workers with higher level ofeducation expect better employment other than factorywork (Blake 1984, 159).209. Some case studies suggests that women workersdo not regard themselves as workers and see their wagedwork as temporary, which lead them not to get involved inanything which might jeogardize their job (KumdihiniRosa 1987, 163; Goonatilake and Goonesekere 1988, 191).Evidence exists, however, that women workers are notunaware of their exploitative job situation (Kung 1983,176). A clear evidence is the case of the Republic ofKorea. See CJPSK (1976) and Ogle (1990).210. In the Philippines, for instance, thePresidential Council for National Economic Recoverycreated by the Presidential Decree 1033 of May 1, 1985proposed that a non-renewable three-year ban on strikesand lockouts would solve industrial unrest and encourageeconomic recovery (Porte 1986, 182).211. For an argument of the enhancement of politicallegitimacy through the expansion of foreign investment,see Fitting (1982). Cumings (1987) points out theessential Japanese context of Taiwanese and Koreanindustrial development since colonization (Taiwan wasannexed in 1895 and Korea in 1910, and remained underJapanese rule until 1945). See also Koo (1987).212. For the U.S.-Philippine Military Base Agreementof 1947, see Shalom (1990).	 For the 1991 decision toremove the U.S. bases, see Brillantes, Jr. (1992).213. A security treaty between Australia, NewZealand and the U.S.A., entered into force in 1952. Forthe text, see Osmanczyk (1985, 44).CHAPTER IV1. Young, Bussink and Hasan (1980), surprisinglyenough, do not mention women workers in their discussionof the electronics industry in Malaysia. "Women's role inthe electronics industry has made Malaysia a leadingproducer of micro-chips" (Social and Labour Bulletin.3-4/84, 570).2. A question raised by a opposition party [i.e.,except for the Liberal Democratic Party (LDP)] Dietmember in Japan partially illustrates the reality of theEPZ (CJPSK 1976, 63). "Ninety-three out of 103 companiesin the Masan Export Processing Zone are Japanese.1 7 7During 1973,	 the ongoing economic penetration ofJapanese corporations into Korea has increaseddrastically. While Minister of MITI [Ministry ofInternational Trade and Industry], Nakasone [LDP, laterPrime Minister] stated that this penetration is simply incompliance with the Korean desire to bring in foreigninvestment, it is hard to believe that such investmentwould occur solely in accordance with another party'sdesire. Isn't the motive to be found instead in the lowwages and inferior labour conditions, amounting to anopportunity to make use of what could be called nearslave labor? To be more specific-what is the significanceof the demands made by Orion Electronic workers for wageincreases and an end to sexual harassment of womenworkers?".3. Pang and Lim (1989, 53) argue, however, that therelatively shoft-term involvement of women with EPZindustries has the effect of limiting health problems.4. Arrigo 	 (1980, 	 34) 	 summarizes	 the 	 socialimplications of the industrial employment as follows."(T)he traditional society does not provide a socialrole for the growing numbers of unmarried women pastcustomary marriage age, and it is likely they willcontinue to pass their personal lives isolated andhidden in dormitories and rented rooms, but continuallysubject to social censure."5. In cases where women live at home and yet work infactories in the local communities, however, some villageleaders are concerned about the working conditions suchas wages and injuries at work (Mehrun Siraj 1984, 169).This is partially explained by one of the basic Islamicprinciples of work equally applicable to both sexes thatthere should be no exploitation of the worker (ibid.,165).6. Dror (1984, 719) argues, conversely, that thereis no need for separate legislation in order to promotethe aims of establishing the EPZ.7. The government of Sri Lanka, for instance,explicitly seeks advice concerning the EPZ from theSingaporean govenment, on the assumption that thelatter's formula for success can be transferable as ageneral merchandise (Enloe 1983, 411). As noted earlier,Sri Lanka offers the most generous incentives in Asia(Jayawardena 1983).8. It is reported that the incentives offered toforeign investors have been fixed after consideration ofthe facilities provided by other Asian countries (AsianFinance. April 15, 1990, 87). In Chittagong EPZ, the landcomes for an incredibly low rent of US$1 per sq. meterper year (op.cit., 85).9. See Norgues, Olechowski and Winters (1986).10. Although the economic performance of EPZs in the1 7 8Republic of Korea, the Republic of China, Singapore andHong Kong is generally regarded as a major success(Basile and Germidis 1984), their assessment cannot beattributed solely to correct policy choice, as someneo-classical economists claim (e.g. Balassa 1978). Otherfactors, such as historical background as a basis forindustrial development and external geopoliticallinkages and events, have to be taken into consideration.See, for instance, Haggard and Cheng (1987). The fact isthat those economies with success have already begun toupgrade their production to capital- and skill-intensiveone to cope with the changing structure of production ona global scale, although in the case of Hong Kong therole of government is negligible (Henderson 1989). Forindustrial upgrading, see Basile and Germidis (1984);Haggard and Cheng (1987); Cheah (1988); Rodan (1987); andLai Ah Eng and Yeoh Lam Keong (1988).11. The development of regional division of labourhas been a response to the shifting comparative advantage(Business Week. March 15, 1982:38; Kamal Salih and MeiLing Young 1989; Pang and Lim 1989; Henderson 1989).12. For a case study of changing positions in theworld trade of Japanese textile and clothing industriesfor the past 120 years, see Park and Anderson (1991).13. For international women's rights, see Langley(1991).14. It is claimed that not a single representationunder 	 article	 24 	 of 	 the 	 ILO 	 Constitution 	 orcomplaint under article 26 relating to EPZs has beenregistered with the ILO (Dror 1984, 719). This has to betempered, however, by the fact that no such action can beeasily taken. For the ILO Constitution, see ILO (1982).15. See Strathern (1987).16. It is important to note, as Ong (1988) argued,that maintaining a respectful distance serves to avoidprejudiced perception, interpretation and understandingof the researched.17. As Nancy Fraser (1989) suggests, the boundarybetween what is political and what is not is not simplyfixed or given. Issue areas being considered as part ofthe political agenda are the outcome of sociallycontested and thereby recognized problems.1 7 9REFERENCESAgarwal, Bina. 	 1988.State." Agarwal,"Patriarchy and the 'Modernizing'ed. 1988.ed. 	 1988.Community andLondon: Zed. Structures of Patriarchy: State, Household in Modernizing Asia.   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