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EMploYMEnt, work, And hEAlth inEquAlitiEs - a global perspective<br />

5<br />

Labour markets are historical social subsystems, hence they are dynamic.<br />

Therefore, we want to emphasise that a "one size fits all" approach to<br />

understanding and meliorating their health effects is bound to fail. Labour<br />

markets reflect the history of uneven economic and political development<br />

around the globe, and, most importantly, the pattern of colonisation and<br />

post-colonial relations between wealthy and middle or <strong>low</strong> income<br />

countries in the last centuries. This is why in this section we briefly<br />

describe the social evolution of labour markets in wealthy and middle or<br />

<strong>low</strong> income countries separately, emphasising their interdependency.<br />

5.1. WEALTHY COUNTRIES<br />

Although it is difficult to capture a period of rapid structural change with<br />

a single sentence, it is widely held that the apogee of certain forms of<br />

industrial production (Taylorism-Fordism), social provision (welfare<br />

states), and public economic intervention (Keynesianism) moulded the<br />

socio-economic order of the so called "Golden Age of welfare capitalism"<br />

of the second half of the XX century. Within these shared patterns of<br />

industrial production and state intervention, wealthy countries pursued<br />

similar development goals through a variety of means.<br />

As the literature on welfare state regimes and varieties of capitalism<br />

has stressed, historical market-state interactions varied in every country,<br />

creating a diversity of labour markets (Esping-Andersen, 1990; Hall &<br />

Soskice, 2001). Such divergence among capitalist economies has been<br />

explained by a variety of driving forces, such as: (1) the bargaining power<br />

associated with social relations of production, (2) the way in which<br />

industrialisation developed as the result of different areas of specialisation,<br />

privileging some economic sectors over others, (3) the adoption of different<br />

strategies for coordinating firms with other socio-economic actors in order<br />

to prosper, and (4) the differences in the degree of citizens' dependency<br />

upon market vs. state resources (Esping-Andersen, 1990).<br />

The expression "Mid-Century Compromise" has been used to<br />

describe the socio-economic order that took hold in Europe from the<br />

implementation of the Marshall Plan after WWII (late '40s, early '50s) until<br />

the oil crises of the '70s. With high aggregate demand and sustained<br />

productivity growth, workers could benefit from relatively abundant and<br />

stable jobs with acceptable wages and social benefits for a large portion<br />

of the labour force, including <strong>low</strong>-skilled workers (Esping-Andersen &<br />

Regini, 2001). In this context, employers sought to create a loyal and<br />

attached labour force. The goal of the labour unions during this period<br />

was to protect wages and jobs (Sengenberger, 1981). These overlapping<br />

interests between the male labour force and the owners of capital<br />

facilitated labour legislation, entrenching the prevalence of secure full-<br />

38

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