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"How could [Australian trucking companies] Linfox or Toll survive if Australia allowed Filipino trucks registered and paying cheaper wages on the Hume Highway.
They now offer foreign manufacturers a resource that was far less common just a few years ago: cheaper wages for better talent.
Moreover, while the state succeeded in attracting a surge of maquiladoras-firms that assembled imported materials into products for immediate export-many maquiladoras soon left in search of even cheaper wages and production sites.
Government officials, however, had hoped that cheaper wages would be enough to lure maquiladoras south, and that the factories would generate enough new revenue to pay for the improvements.
Nick Marcalus said he supported expanding free trade, but disagreed with what he considered hasty decisions of other manufacturers to leave the United States for cheaper wages across the border.
Cheaper wages also mean cheaper prices -- a two-bedroom apartment can be bought for under $2,500 -- and that has brought an influx of Gypsies from other parts of Hungary in search of more affordable housing.
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A company can scour the globe for under-regulated labour markets in order to benefit from cheap wages.
American unions have resisted this, arguing in part that it is difficult for American laborers to compete with the cheap wages abroad.
You might say, of course, that we're just getting what we pay for: service is on the decline because consumers have been conditioned to demand low prices, and low prices usually mean small payrolls and cheap wages.
"Cheap wages and outsourcing, these are the main issues in Indonesia," said Abdul Rahman, a Carrefour employee and the secretary general of the union, known as Kasbi, which represents about 130,000 workers.
The only thing a country like Cambodia has to offer is terribly cheap wages; if companies are scolded for paying those wages, they will shift their manufacturing to marginally richer areas like Malaysia or Mexico.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com