How much is it really going to cost?
There certainly is no lack of information about the recent financial crisis in Asia. It seems that anywhere we turn there is an analysis of the causes of the 'crises', discussions about the corruption, the lack of transparency, the IMF. and role of the financial institutions, speculation regarding how long it will last, reviews of the financial impact and predictions of Asia's return to its prior "tiger" status.
What seems to be skimmed over in many mainstream press articles and academic papers is the severe and long-term impact of the crisis on workers in Asia. On one hand, the sharply elevated unemployment levels will take some time to turn around. On the other hand, the toll on the average worker in Asia is likely to be even greater than just finding a new job. The suicide rate has noticeably risen in South Korea. The urban poverty rate has increased in Thailand and Indonesia. The rate of divorce and crime in Indonesia has markedly increased. Many people's life savings have been wiped away with the devaluation of their currency. These conditions have left an indelible mark on many people throughout the region. And as governments in the region have now tied their hands with the loan conditions, their ability to help out is limited; they just respond with "there is no alternative”.
The problems being hoisted on the working class are not likely to be short-term. The governments of South Korea. Japan, Indonesia. Thailand and the Philippines have assumed massive debts to bail out the private institutions and save their country from the crisis. Unlike the crisis. which some analysts have already begun to say is over, the impact on workers will be around for years.
Through hard work in difficult conditions over the past few decades, workers have made a significant contribution to bringing these countries the revered tiger status. The labour intensive, export-oriented industries that brought in the temporary economic success was built on exploitation and would not have been possible without them. Now, through no fault of their own, working people are being told they will pay for the crisis for years to come. Though we cannot change this, we can at least recognise who will be paying the real price for this crisis. long after economists and politicians are finished debating the ‘real’ cause.
So, we dedicate this issue to looking at the impact of the crisis on the workers. Through vignettes into what is happening in several places in Asia, we can perhaps gain a better understanding of the severity and complexity of this crisis.
Contents
Feature: Economic Crisis 1
May Day in Nepal 23
Action Alert:
Regional Roundup 26
Announcement 31
Resources Update 32