An important area of research is the impact of trade on gender-based wage discrimination.
 
It has been argued that the terms and conditions of women employment in developing countries have benefited from economic change and liberalization and that improvements appear to occur at a more accelerated pace than in developed countries during their industrialization.
 
With globalization, an overall improvement in the position of women in the labor market occur  resulting from increases in female relative pay within sectors, particularly manufacturing.
 
Wage discrimination result from a strong, positive relationship between the size of the discriminatory gap in male and female wages and the level of female education in the population. Most educated women are absorbed into low-wage parts of the manufacturing sector such as clothing.
 
Many countries exchange male labor in the export industries –and especially in the weaving, textiles and ready-made clothes sectors –for female labor, because women accept work at average wages that are lower and work for longer hours and without any rights to insurance, in view of the nature of the contractual arrangements in the form of informal or temporary or part-time work.
 
This tendency appears clearly in the “feminization of jobs” in the cases of Morocco and Tunisia, where a number of low-wage jobs have been created in the export-oriented industries (World Bank 1995:116).
 
International institutions believe,  that an increase in the decline of real wages will push these countries to provide more jobs, support their competitive capacities and bring about growth.
 
 

More Resources

Anderson, Edward (1998) "Globalization and Wage Inequalities 1870-1970" (Brighton: Institute of Development Studies (IDS)

 
Milanovic, Branko (2002) "Can We Discern the Effect of Globalization on Income Distribution? Evidence from Household Budget Surveys" Working Paper. (World Bank: New York)