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Factors affecting free labor movement amongst rubber industry workers within the ASEAN economic community-AEC
Author(s)
Nobnorb, Preecha
Fongsuwan, Wanno
Date Issued
January 1, 2014
Type
Article
Abstract
The purpose of this study was to determine the variables of the 'factors affecting free labor movement amongst rubber industry workers within the ASEAN economic community-AEC\ As a global leader representing nearly 40% of the world's total rubber exports, Thailand has continued to expand both its areas of cultivation and the need for labor across the industry. The world's demand for rubber is increasing steadily with the estimation of demand to be 31.7 million tons in 2020 compared to 11 million tons in 2011 (AEC,n.d.). The rubber industry in Thailand is of economic and social importance because of its production value, the revenues from export and the employment in this sector. About six million people are involved in rubber plantations (TRA, 2007), whereas about 0.6 million people work in rubber industries. As domestic labor becomes more and more difficult to obtain due to the increases in both cultivation and production, migrant workers are often necessary to employ to meet the shortfalls within the Thai rubber sector. As such, the lack of skilled labor results in higher production costs and creates a competitive disadvantage in the global arena. Therefore, government labor policy and workers' quality of life are important factor that will contribute to reducing the shortage of labor in the rubber industry. Additionally, the rubber industry needs to develop new knowledge which leads to innovation and increases the Thai rubber industry competitiveness.
Citation
Research Journal of Business Management, 8(4), 427-439, 2014