Yes, it does...and it will continue until Americans realize that they can't expect to be paid way far above global market wages.
There's no reason Boeing should have to try to sell products that are far more expensive than competitors' just because Indians are willing to get educated and work for less than spoiled Americans. All that adamantly staying onshore does is put US companies out of business when they can't compete with those who do go to the best value in labor.
This is the second part of the anti-immigration fight...recognition that Americans will have to boost their productivity, creativity, efficiency, etc., or reduce wages to compete with countries that have lower wage expectations and other considerations (taxes, etc.)
Yeah, it will be great when you and your kids and grandkids are working for 33 cents an hour. Won’t that be wonderful?
I worked for a company that "went Indian". True, they work for less. We did a productivity study, and found out that 1 American engineer produced the work of 20 of our Indian staff, but since the Indians were paid 1/20 of the American worker, it was a wash. But factoring in the re-work the Americans had to do for the shoddy Indian work, we found it was cheaper to have "spoiled Americans" doing the work. Unfortunately, our new Indian VP saw it otherwise.
This is not commercial work, this is defense work—which is supposed to be done by US citizens. We will rue the day if we ever have to go to war against China and our supply lines stretch all the way to India. Free traders love to worship the almighty dollar, but there are real consequences to going cheap on national security. The problem with many Americans is lack of foresight: if you don’t see it happening right now, we dismiss the possibility. Unfortunately, we will likely learn that less too late and find out that the “bargain” we thought we got was prohibitively expensive.
This is an ‘all things are equal’ argument. However all things are NOT equal. If India wants a Boeing it has to pay Boeing. Boeing is a product of the most efficient, productive, creative and economically aggressive Nation on the planet. Nobody overlooks us with respect to those traits—NOBODY. Americans have uplifted themselves and their society with blood, sweat, tears and a HELL of a lot of self deprivation over the years with the result that we occupy a high place that we have EARNED and have every right to maintain.
Indeed Boeing itself is an excellent example of traditional American capital ingenuity. Boeing is a private Co. going against statist entities, it takes a hell of a lot of prowess in the areas of ‘productivity, creativity, and efficiency’ to do that.
Boeing is not equal with Airbus. American society is not equal with Indian society. The Indians don’t have anything over us except their dirt-cheap on account of living-in-some-hell-hole lifestyles. If Americans have to tighten their belts and work harder, fine. But equating them with and putting them head to head with every peon class on the globe is going to lead to grief.
That's a very prejudicial statement against Americans.
All that adamantly staying onshore does is put US companies out of business when they can't compete with those who do go to the best value in labor.
It's a better value mainly because of the difference in the standard of living.
You voluntarily start working for a dime a day, bud.
Just to "compete".
Better yet, you move to India and do it there. After all, shouldn't labor be mobile just like capital?
See ya in Mumbai. PS, they don't have affirmative action for palefaces there, and dysentery treatment is still far more expensive than the average wage.
You first, Chester.
Allow me to ReWrite™ that...
...sell products that are far more expensive than competitors' just because Indians arewillingable to get educated and work for less than spoiled Americans because of onerous union and minimum wage rules that make it impossible for American companies and workers to compete on the basis of cost.
This is exactly what globalization is about. LEVEL THE PLAYING FIELD and the only way to do that is bring down the life-styles of Americans. I saw an article on FR that claimed in China they paid something like .36 cents an hour for their slave labor. We have a long way to drop and obviously equalization has not taken place yet.
“and it will continue until Americans realize that they can’t expect to be paid way far above global market wages.”
Wrong! When the rest of the world lives at our standard then can you say such a thing.
spoken like someone that has no clue about the numbers.
i have been forced to run operations using offshore labor. show me how your college educated kid would ever compete against similar education & experience.. while only being paid $350-500 per month (60 hour weeks normal). good luck. hey, maybe he/she could re-train into another field...
America gets nothing by shipping our goods to countries where the median income is less then $8000/yr. the only plus comes to the small group of large investors that may yield a better dividend from saved wages. meanwhile, Americans lose their local jobs.. further reducing the supply of jobs in the US... while experiencing an influx of labor from south of the border. that all sums up to massive downward pressure on the wages of the lower and middle classes. meanwhile, we also lose the next generation of products and ideas... as they usually come from those working on the current generation
i have done every job from construction, restaurants, stock boy, parts runner, gas station attendant, software developer, architect, to CTO. anytime i hear some globalist going on about how we need to have free trade and import labor and offshore jobs.. because these are jobs Americans do not want to do... it just pisses me off. it’s a spit in the face of true Americans that have no problem rolling up their sleeves to get the job done.
and yes.. normally these globalists have never had to rely on the wages from an honest days manual labor
all America would have to do to resolve these issues would be to:
1) heavily fine any organization employing illegals (it is the law after all)
2) add tariffs to imported goods which would allow Americans to compete