What Are Factory Commissions?

An Introduction

In their groundbreaking book, "What Are Factory Commissions?", Ricardo C. Antunes and Arnaldo Nogueira offer a comprehensive analysis of the role of factory commissions in the global economy. Drawing on extensive research and case studies, the authors argue that factory commissions are a key mechanism through which multinational corporations exploit workers in developing countries.

The Global Factory System

The global factory system is a system of production in which goods are produced in factories located in developing countries, where labor costs are low. This system has been made possible by the rise of container shipping and the internet, which have made it possible to transport goods and information quickly and cheaply around the world.

Factory commissions are a key part of the global factory system. They are payments made by multinational corporations to local agents who recruit and manage workers in developing countries. These agents are often paid a commission based on the number of workers they recruit and the amount of goods they produce.

The Exploitation of Workers

Factory commissions create a system of incentives that encourages agents to exploit workers. In order to maximize their profits, agents often pay workers low wages, provide them with poor working conditions, and force them to work long hours.

In some cases, agents even resort to violence and intimidation to keep workers in line. The authors provide numerous examples of the horrific conditions that workers face in factories around the world.

The Role of Multinational Corporations

Multinational corporations are the ultimate beneficiaries of the factory commission system. They are able to externalize the costs of production by paying low wages and providing poor working conditions to workers in developing countries. This allows them to maximize their profits while avoiding responsibility for the exploitation of workers.

The authors argue that multinational corporations have a moral obligation to ensure that workers in their supply chains are treated fairly. They call on corporations to adopt codes of conduct that prohibit the use of factory commissions and to monitor their supply chains to ensure that workers are not being exploited.

The Future of the Global Factory System

The global factory system is facing a number of challenges, including rising labor costs in developing countries, increasing competition from other countries, and growing consumer demand for ethically produced goods.

The authors argue that the factory commission system is unsustainable and that it will eventually be replaced by a more just and equitable system of production. They call for a global movement to end the exploitation of workers in the global factory system.

Conclusion

"What Are Factory Commissions?" is a powerful and important book that exposes the dark side of the global economy. The authors provide a compelling case for the need to end the factory commission system and to create a more just and equitable system of production. This book is a must-read for anyone who is concerned about the exploitation of workers in the global economy.