The statement that globalization has pushed labor into the informal organization of work is largely accurate and can be substantiated with numerous examples from around the world. Globalization, characterized by increased interconnectedness of economies, cultures, and populations, has profoundly reshaped labor markets, often leading to a growth in informal employment, particularly in developing countries but also in developed ones.

Mechanisms through which Globalization Promotes Informality:

1. Global Competition and Cost Reduction: Intense global competition forces companies to seek ways to reduce production costs. One common strategy is to outsource production or services to countries with lower labor costs and weaker labor regulations. This often involves engaging informal workers who are cheaper, lack benefits, and are easier to hire and fire.

   • Example: Many multinational corporations in the apparel industry outsource manufacturing to countries like Bangladesh, Vietnam, or Cambodia. Factories in these countries often rely on a large informal workforce, including home-based workers or those employed on short-term, unregistered contracts, to meet tight deadlines and low prices demanded by global buyers. These workers typically lack social security, health benefits, and union representation.

2. Flexibilization of Labor Markets: To remain competitive in a globalized economy, businesses demand greater flexibility in their workforce. This leads to a shift away from permanent, full-time employment towards temporary contracts, part-time work, casual labor, and self-employment, much of which falls into the informal sector.

   • Example: The rise of the 'gig economy,' facilitated by global digital platforms (e.g., Uber, Deliveroo, TaskRabbit), exemplifies this. Drivers, delivery personnel, and freelance workers are often classified as independent contractors rather than employees, denying them formal employment benefits and protections. While these platforms operate globally, the workers are often informally organized, bearing the risks of their work themselves.

3. Weakening of Labor Regulations and Unions: The pressure to attract foreign investment and remain competitive can lead governments to deregulate labor markets, weakening labor laws and the power of trade unions. This creates an environment where informal employment can thrive without significant legal or collective bargaining challenges.

   • Example: In many Export Processing Zones (EPZs) or Special Economic Zones (SEZs) established to attract foreign direct investment, labor laws are often relaxed or poorly enforced. Workers in these zones, particularly women, may be employed on short-term contracts, face precarious working conditions, and have limited rights, effectively operating in an informal or semi-formal capacity despite working for large, globally connected firms.

4. Migration and Remittances: Globalization facilitates international migration. Migrant workers, especially those without legal status, are highly vulnerable to informal employment. They often take on jobs that formal workers avoid, with low pay and poor conditions, due to their precarious legal standing and lack of social safety nets.

   • Example: Construction sites in many Gulf countries or agricultural sectors in Europe and North America heavily rely on migrant workers, many of whom are undocumented or on temporary visas. These workers are often paid 'under the table,' lack formal contracts, and are susceptible to exploitation, representing a significant informal labor force driven by global economic disparities and migration flows.

5. Growth of Global Supply Chains: Complex global supply chains often involve multiple layers of subcontractors and informal arrangements. Companies at the top of the chain may not directly employ the workers at the bottom, creating a buffer that pushes labor into informality.

   • Example: The electronics industry, with its intricate global supply chains, often involves small workshops or home-based workers in developing countries assembling components. These workers are typically not formally employed by the major brands but are part of an informal network of production that allows global companies to maintain low costs and high flexibility.

In conclusion, globalization, through its emphasis on cost efficiency, market flexibility, and the creation of complex global supply chains, has undeniably contributed to the expansion of informal work. While it offers some opportunities, it often comes at the cost of labor rights, social protection, and decent working conditions for a significant portion of the global workforce.