The impact of country connectedness and cultural values on the equity of a country’s workforce

Purpose – The purpose of this paper is to focus on the impact that country connectedness and cultural values have on the equity afforded to a country’s workforce in today’s global economy. Design/methodology/approach – Drawing upon a number of large international surveys of national-level metrics, e-readiness is identified as a proxy measure for country connectedness. Cultural variables are proxied by the World Values Survey’s national-level scores on “survival/self-expression” and “traditional/secular-rational” values. Workforce equity is captured via three measures: per capita Gross National Income (GNI) based on purchasing power parity (PPP), a Gini-coefficient, and the prevalence of child labor. Stepwise regression analysis is employed to investigate expected relationships. Findings – Results suggest an interesting link between the constructs investigated. A negative and significant effect of e-readiness and a negative and significant effect of traditional/secular-rational values on workforce equity are reported. In addition, the impact of e-readiness appears to be absolutely larger while thee impact of survival/self-expression values on the workforce equity is not found to be significant. Research limitations/implications – The research is primarily exploratory in nature thereby providing a foundation but not an end product. Next, the data used in the research is aggregate-level data providing broad generalizations about each country. Does a country have a single culture? Is the connectivity of a country a valid measure of the regions within? The authors chose to use an analysis at a single point in time. A longitudinal study could provide more insight and thus help to highlight causality. The data utilized was repurposed from third-party sources. Finally, only 37 observations are used and a broader data set could help strengthen findings further. Social implications – The rapid march of country connectedness across the globe is eroding firms’ ability to shade their actions through the distance afforded by global supply chains. A country’s culture values has a significant impact on workforce equity but country connectedness has a stronger impact, thus companies operating in more traditional and less developed countries will face significant impacts as these countries get connected. Rather than a threat, companies may see country connectedness and workforce equity as an opportunity. Firms that treat their workers well will see vast new markets open for