Globalization has done little to fight global poverty and inequality. Though some critics have used this fact to argue against global economic integration, this article explains that those in favor of a freer and fairer global trade and finance system must link that regime with labor rights in order to achieve a reduction in global poverty and a more equitable distribution of trade gains. Without this connection, today's most powerful economies will be tomorrow's least relevant markets, finding themselves subordinate on the global supply chain to countries who were once thought of as “lesser developed.” This result will not come from increased development from those countries. Instead, it will derive from the erosion of progress in leading markets initiated by enhanced competition from countries with lower relative standards of living. Simply put: without a mechanism to increase those standards in the poorest countries, the richest countries will find their own standards retrograded in order to remain competitive. Accordingly, legal architectures must link free trade and global finance with core worker rights—or else.
Textile agreement