Formation of Transnational Labor Flows in Conditions of the Labor Market Globalization: Conceptual Discourse

Abstract

The article considers the formation of international labor flows at the stage of the labor market globalization. The formation of the global labor space as the basis for the world economy development is certified. The aim of the study is to analyze the role of transnational corporations in the formation of the global labor space and to determine the features of the formation of transnational labor flows in the globalization of the labor market. The role of transnational corporations in the development of the world labor market is highlighted. It is established that the globalization of labor supply of the economy is a manifestation of the labor market transnationalization: transnational structures form a separate segment of the world labor market with its own patterns of labor movement, causing the phenomenon of labor flows transnationalization. It’s stated that segmentation of the world labor market indicates the peculiarities of demand for labor resources, their skills and the international labor division - the labor force in the world labor market is diverse and differs from the one which appears only in national markets, it is characterized by high mobility and adaptability employers. The concentration of human resources of the required quality, knowledge and experience within TNCs, as well as the global organization of management allow such companies to optimally locate structural units on a global scale. Taking advantage of the transnational structure, they can benefit from international differences in the business cycle, productivity, characteristics of demand, taxation, etc. It is emphasized that a special segment of the transnational labor space is highly qualified workers. It is substantiated that in the long run transnational corporations will play a crucial role in generating requirements for quality labor force indicators worldwide. The formation of the phenomenon of labor flows transnationalization is characterized, the emergence of the self-organization effect of these labor flows is stated. It is concluded that the activities of transnational corporations lead to the phenomenon of labor world economic division, in which human capital is positioned as a source of companies’ competitiveness.