Center for Demography and Ecology University of Wisconsin-Madison Who Works in Tijuana’s Maquiladoras?: A Labor Market Analysis M. Elizabeth Fussell CDE Working Paper No. 97-11 Who Works in Tijuana’s Maquiladoras?: A Labor Market Analysis M. Elizabeth Fussell Department of Sociology University of Wisconsin - Madison 1180 Observatory Drive Madison, WI 53706 E-mail:
[email protected] Preliminary Draft Paper presented at the 1997 Meeting of the American Sociological Association - Toronto, Canada, August 9-15. I. Introduction to the research question Free trade zones do not imply free labor markets. The organization of free trade zones makes it abundantly clear that capital can move freely to these zones while labor is grounded. The main attraction of production in free trade zones to foreign capital is the government’s regulation of wages such that wages are low and wage competition is minimized. A further attraction, which cannot be attributed to government regulation, but rather to social institutions, is the utilization of female labor in the most labor intensive occupations in free trade zones, exploiting the norms which make acceptable lower female wages. This norm also applies to the other economic sectors which may compete for women’s labor, lowering women’s wages in the entire local labor market. These two divisions of labor, one international and the other gendered, are not under debate in this research — both are amply documented elsewhere (Nash and Fernández-Kelly, 1983). The question under examination is, are women employed in export-oriented manufacturing jobs better off than women employed elsewhere in the local labor market? Linda Lim (1983; 1990), drawing mainly on evidence from Asia, argues that women working for multinational corporations in free trade zones are better off in terms of wages and working conditions than those in other occupations in the local labor market.