In this paper we discuss the labour market implications of globalisation, product fragmentation and outsourcing. We live in a world where goods, services, capital, labour and ideas are mobile -a fact that reinforces globalisation of production. Recent trends show that there is polarisation in employment and wages. First we look at the causes of these trends. Then we discuss several indicators to measure globalisation of production. We discuss the recent literature in detail differentiating among studies that use data at the person, firm, occupation and industry level. We conclude with a specific reference to labour market implicatons of globalisation of production in Turkey.
Outsourcing, offshoring, technology, labour market, globalisation of production. JEL Classification: F16, J24, O33.