Multinational Companies and Developing Countries Discussion: Sept. 25, 2008

Wake up with the OECD Washington Center!

Thursday, September 25, 2008

Multinational Companies and the Impact on Wages and Working Conditions in
Developing Countries

Presentation:
Stefano Scarpetta, Head of the OECD Employment
Analysis and Policy Division

Discussants:

David A. Smith, Chief Economist
House Financial Services Committee

Franck Wiebe, Chief Economist
Millennium Challenge Corporation


Register online at www.oecdwash.org/NEWS/EVENTS/event_registration.htm

Thursday, September 25
8:30 AM Registration, 9:00-10:00 AM Presentation
B-339 Rayburn House Office Building

While the series is free of charge, we ask that you please
register by Wednesday, September 24 for security reasons.


Event Description:
Foreign direct investment (FDI) by multinational corporations in developing and emerging economies has increased dramatically over the past two decades. FDI now represents 26 percent of world GDP, 32 percent of which is inward investment to developing countries. While generally perceived beneficial for local development, it has also raised concerns about unfair competition and the protection of workers' rights in host countries. This program examines the effects of FDI on wages and working conditions for workers of foreign affiliates of multinational corporations and those of their independent supplier firms. The evidence suggests that multinational corporations tend to provide better pay and working conditions than their domestic counterparts, especially when they operate in developing and emerging economies. The effects on wages and working conditions also spread to the foreign suppliers of multinational corporations, but the effects are smaller.

Biographies:
Stefano Scarpetta is the Head of the Employment Analysis and Policy Division of the OECD and the editor of the Employment Outlook, the annual flagship publication of the OECD on employment and labor market policy issues. The division is in charge of the analysis of labor market developments in OECD countries and key emerging economies and of the assessment of policy and institutions that affect these developments. Mr. Scarpetta received his laurea (summa cum laude) from the University of Rome, his Master of Science in Economics from the London School of Economics and Political Science and his PhD from the Département et Laboratoire d'Economie Théorique Appliquée (DELTA) of the Ecole des Hautes Etudes in Science Sociales in Paris. He has published extensively in academic journals and edited several books in the fields of: labour economics and industrial relations; economic growth; and industrial organisation.

David A. Smith is the Chief Economist of the House Financial Services Committee. Smith has experience handling a range of domestic and international issues, with an emphasis on economics. Most recently, Smith was Senior Fellow at Demos, a think tank focusing on public policy issues such as income inequality and corporate governance. Prior to that, Smith was Director of Public Policy and senior advisor to President John J. Sweeney at the AFL-CIO. In addition, he has held positions as senior deputy budget director and Commissioner of Business Development for the City of New York, and also served as a Senior Economist at the Joint Economic Committee and as an advisor to Senator Edward Kennedy. Mr. Smith has also held positions as a fellow at the Century Foundation, and has taught at the University of Massachusetts and the New School.

Dr. Franck S. Wiebe is Chief Economist for the Millennium Challenge Corporation (MCC). He is responsible for ensuring the quality and consistency of the analysis of economic logic and growth impact across all of MCC's activities. His responsibilities include developing and implementing MCC's approach to economic analysis, including advising on impact evaluations and guiding analysis and research activities. Prior to joining MCC, Dr. Wiebe was Chief Economist and Director of Economic Reform and Development programs at The Asia Foundation. He also worked for the Harvard Institute for International Development, where he served as project associate on the Customs and Economic Management Project in Jakarta, Indonesia. Dr. Wiebe has served as a faculty member in the Master of Public Policy Program at National University of Singapore, and has worked as a consultant for the Government of Indonesia, The World Bank, and the Asian Development Bank.

Register online at www.oecdwash.org/NEWS/EVENTS/event_registration.htm


For more information, please contact Holly Richards,
OECD Washington Center, 202-822-3873