The Impact of the State on Workers' Conditions: Comparing Taiwanese Factories in China and Vietnam

Abstract

Taiwanese-managed factories in Vietnam treat workers better than in China. This paper seeks to explain this unexpected phenomenon. Four factors are seen to contribute to this difference: the two country's household registration systems, the living arrangements of workers in these factories, the behavior of the two nations' trade unions and, crucially, the role played by the two governments. This comparative study concludes that intervention by the state is critical in improving labor conditions