Deskilling is the development by which skillful labor within a business or economy is eliminated by the introduction of technologies operated by workers be it skilled or not. deskilling reduces costs for the business, increases productivity and reduces barriers to entry, weakening the bargaining power of the human capital.
Based on Braveman concept of skill, Braveman develops the notion of deskilling by coming up with two conflicting best types, a craft worker and a detail worker. He argues that a craft worker needs a wide-range of abstract information that is acquired through proper training. From the entrepreneur to the economy Braverman believes that if individual entrepreneurs deskill their caliber of workers, this will result a deterioration…show more content… This means the informal workers do not get fringe benefits and working years that are not counted in pension. Another disadvantage is they do not have signed contracts that will protect their time at work. Also their salaries and the fact whether they will get them on time and in full amount are not written in any formal document that would guarantee its legitimacy and the right to be executed. Such workers are not given any type of required benefits that would normally be a feature of “formal” employment opportunities, either in private sector firms or in the public sector.
Being in an informal working positon is a huge risk, even though one doesn’t not really choose to be in, especially for the individuals that have to take care of households alone. This kind of hiring increases unemployment and poverty rate in our societies. Then again for the not so informed individuals, or generation that has be hired through informal labour, it can be a bit too risky because one will not know what is being done right or wrong towards them because there are not contracts signed so a person has to look out for…show more content… Trade liberalization made it possible for competing imports into the economy, this doing caused a lot of uncertainty in the marketplace. Reacting to this challenges, employers adopted reducing costs, including cutting back on employment and use of full time workers and that causing the current outgrowth of casual workers. All these issues have an overbearing influence on the overhead costs of organizations leading to reducing costs harshly, in that the wellbeing of the labor force approaches in which the welfare position regrettably becomes a prey. Globalization, technological changes and large quantity of labour supply are the other causes of casualization. Outsourcing was promoted by globalization which came with deregulation of both the market place and labour market, which till too date is regarded as one of the main root of casualization. Arising from globalization, outsourcing provided and easier way to cut costs and run off competition. Less number of full time employees are needed when an employer outsources labour or production components and reduces cost then automatically for the organization because that’s the most common way to cut