Last Thursday, the Granada played host to the provocatively titled Lectures on Liberty with “In Praise of Sweatshops,” given by Suffolk University economist Benjamin Powell.
In short, Powell’s assessment was that sweatshops are worth the sweat. And that they aren’t exploitative at all – they are a boon to their employees and the developing countries that host them.
The wages at sweatshops are generally higher than the wages offered at other jobs available to workers in the third world. What are those jobs? Jobs tilling fields by hand, full time panhandling and, in some cases, even prostitution. For many, sweatshop labor is a step up in the world. Workers are making more than they would were they not employed by outsourced retail corporations like Nike and the Gap.
Maybe sweatshops aren’t as bad as they appear at first glance. After all, people generally do not line up around the block in an effort to land a job that exploits them.
While I don’t doubt Powell’s basic argument that third world workers have fewer options than workers in the U.S. and that sweatshop labor beats panhandling or prostitution, sweatshop workers are still logging long hours with no opportunity for advancement in unsafe working conditions, with infrequent breaks for wages that are not always adequate to live on. Some of these workers are children and pregnant women. Meanwhile, as of 2007, Nike’s co-founder and former CEO Phil Knight had an estimated net worth of $9.8 billion.
What these workers need is not simply a job but one that enables them to feed and house themselves properly. While corporations like Nike and the Gap are not technically enslaving anybody, they still have their workers “over a barrel.” The fact is, if you work in a factory making Nike shoes, you will probably never make enough money to own a pair.
The price of items like clothing, shoes and electronics have dropped precipitously in the last few decades thanks in part to our friend the sweatshop worker. Rather than pocket the savings and allocate the money somewhere else (like say debt repayment) Americans have simply upped the ante on what is considered necessary – consuming more and more. Why settle for one T.V. when you can have a second in the kitchen and a third for Junior’s room?
That got me thinking…is cheapness all there is? Is the object of earning money simply the accumulation of as many goods as possible as inexpensively as possible? Can someone paying well over $100 for a pair of tennis shoes or four bucks for a cup of coffee manage to pay a bit more in order to ensure safe working conditions and adequate wages for sweatshop workers?
Thoughts such as this lead to questions about the nature of our economy. America likes to claim that its economy is based on the free market with full Darwinistic “survival of the fittest” procedures in place. But if corporations can simply outsource their work to the poorer countries and reap the savings, then it’s not really a free or balanced economic environment. It has become less about fairness and more about which companies can exploit their resources and workers the best.
It is hard not to feel aggrieved by the morbid wealth inequality between the third world and the U.S. and while Americans may not be the cause of third world impoverishment, they do not seem to care much about being a part of the solution either.

























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