In the Eclipse of the State? Globalization and the Role of the State, Peter Evans argues that the effects of globalization flow through two interconnected but distinct channels. The increasing weight and changing character of transnational economic relations over the course of the of the last three decades have created a new, more constraining context for state action. As wealth and power are increasingly generated by private transactions that take place across the borders of states rather than within them, it has become harder to sustain the image of states as the preeminent actors at the global level. Ultimately, it is clear that the role of the state has absolutely not been eclipsed, in fact, is more critical than ever before to continuously be involved in regulation and accountability regarding MNCs.
One example of a country who has treated its labour standard regulations as essentially eclipsed is India. India is host to many multinational corporations that reap benefit from its low regulation and accountability by MNC’s. The International Labour Organization is a UN agency directly towards granting rights to workers by setting minimum labour standards. Out of the ILO’s 8 core conventions, India has yet to ratify 4. These include the right to organize, collective bargaining, minimum age convention, worst form of child labour. Notably, many of the MNC factories host child labour and human rights abuses while the existence of organized groups and trade unions is rarely existent or functioning to explain rights or protect.
To parallel, it seems that there is a tendency to treat the ability of a corporation to take ownership and accountability for human rights abuses, pollution, and labour malpractices. Nike was the first targeted brand with connection to poor working conditions which was revealed to the public, largely because of their size and popularity. Since this, Nike has regularly published reports on working conditions and acknowledges issues within its factories. Public shaming and allegations forced Nike to change their bad reputation and show concern for improving working conditions.
In large part, India has established better judicial mechanisms reflecting human rights standards amidst outcry and disbelief from the international community. Similarly, companies such have Nike has been forced into greater transparency with the public to keep up a good public image. It seems that a myriad of actors who are able to shame, threaten or directly pinpoint to the global community major flaws in their capabilities, then change does happen. While some countries and companies have illustrated poor engagement to any remediation, applying pressure has made for positive change. By using media, freedom of speech, and transnational networks, efforts can be made that states and corporations can no longer chalk up human rights abuses under the guise of an eclipse out of anyones control.