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U.S. jobs continue to flow overseas (Lure of cheaper labor more irresistible than ever)
Los Angeles Times ^ | 10/06/2010 | Don Lee

Posted on 10/06/2010 10:42:40 AM PDT by SeekAndFind

Though some American firms are bringing overseas work back home, evidence is growing that companies are moving more jobs than ever to China and other countries — a trend that could exacerbate efforts to bring down the nation's stubbornly high unemployment rate.

One sign of increased offshoring is the rising number of applications for federal Trade Adjustment Assistance, which usually goes to factory workers who lost their jobs because their work was sent overseas or was undercut by cheaper imports.

For the six months that ended Sept. 30, workers at about 1,200 offices and plants nationwide were approved for federal Trade Adjustment Assistance. That's about 20% more approvals than in the same six-month period last year, according to the U.S. Labor Department.

In addition, the most recent Commerce Department data show that employment at the foreign subsidiaries and affiliates of U.S. multinational firms grew by 729,000 in two years, to 11.9 million in 2008 from 2006. Over that same period, domestic employment by such firms slipped by 500,000 jobs, to 21.1 million.

"The paradigm has shifted," said John Challenger, chief executive of outplacement and consulting firm Challenger, Gray & Christmas. "Most companies see the next phase or era of growth as global.… That'll still create jobs here, just not on the scale when they were focusing on growth in the U.S."

That trend could further stall the recovery, which many economists believe will continue to lack vigor while unemployment remains at current levels — 9.6% nationally and 12.4% in California. The government is expected to report Friday that the economy added few if any jobs in September.

(Excerpt) Read more at latimes.com ...


TOPICS: Business/Economy; Culture/Society; News/Current Events
KEYWORDS: cheaplabor; jobs; outsourcing; overseas

1 posted on 10/06/2010 10:42:45 AM PDT by SeekAndFind
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To: SeekAndFind

Philippine President Benigno Aquino III arrived in New York to attend the UN summit just last week. On the side, his delegation actually was talking to JP Morgan Chase.

RESULT: JPMorgan Chase’s telephone banking operations, from Troy, Mich. and CKE are moving their technology assistance desk to the Philippines.

HP is laying off an undisclosed number of human resources employees in California and nine other states, transferring their functions to Panama.


2 posted on 10/06/2010 10:46:01 AM PDT by SeekAndFind
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To: SeekAndFind

I also heard that Price WaterHouse Coopers, the giant accounting from is laying off 125 people and moving their work to Uruguay.


3 posted on 10/06/2010 10:48:03 AM PDT by SeekAndFind
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To: SeekAndFind

It is not cheaper labor. it is a cheaper environment from a regulation stand point. If government and unions would go away and let business do what it does they could not afford to move off shore.


4 posted on 10/06/2010 10:49:03 AM PDT by i are a cowboy
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To: SeekAndFind

‘cheap labor’ is always a goal, just as any cost savings measure to maximize profit while minimizing expenses. The question becomes what is causing our labor to be priced out of the market? We can’t, on one hand, complain how the government strangles businesses with high taxes and regulations but on the other hand, damn them for reacting to that through means such as finding labor in markets that is affordable to them.


5 posted on 10/06/2010 10:50:01 AM PDT by mnehring
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To: i are a cowboy

RE: If government and unions would go away and let business do what it does they could not afford to move off shore.


Are techology support and assistance jobs unionized? If not, why are they moving overseas?


6 posted on 10/06/2010 10:51:40 AM PDT by SeekAndFind
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To: SeekAndFind
Are techology support and assistance jobs unionized?

Absolutely, the Telecommunications Workers of America which unionizes 'call center' type positions is massive and has a reputation of not bending in negotiations.

7 posted on 10/06/2010 10:53:10 AM PDT by mnehring
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To: SeekAndFind

Higher taxes, ObamaCare and CapNTrade and stuff will just make the cost of labor HIGHER too.


8 posted on 10/06/2010 10:55:33 AM PDT by GeronL (http://libertyfic.proboards.com <--- My Fiction/ Science Fiction Board)
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To: SeekAndFind

It’s not just unions, its everything fromtaxes, regulations, paperwork, benefits, taxes and taxes.


9 posted on 10/06/2010 10:57:43 AM PDT by GeronL (http://libertyfic.proboards.com <--- My Fiction/ Science Fiction Board)
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To: SeekAndFind
Are techology support and assistance jobs unionized? If not, why are they moving overseas?

most call centers are if they are tied in any way to a telecom company (covered by CWA)

10 posted on 10/06/2010 10:59:40 AM PDT by WOBBLY BOB ( "I don't want the majority if we don't stand for something"- Jim Demint)
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To: SeekAndFind

More dive by media fruitloops, trying to hide the fact that while labor costs are a factor, environmental and other regulations are a bigger expense, and therefore a bigger factor.

Class warfare can only go so far; sooner or later it runs up against people who can do math.

Taxes and regulations forced jobs overseas. Were I to put a product into production today - I wouldn’t even spend time considering the US. No point in planning to go bankrupt from the start.


11 posted on 10/06/2010 11:08:06 AM PDT by MrEdd (Heck? Geewhiz Cripes, thats the place where people who don't believe in Gosh think they aint going.)
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To: SeekAndFind

I look at it as they are being driven out of the county by anti-business ‘crats.


12 posted on 10/06/2010 11:10:33 AM PDT by DManA
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To: i are a cowboy

Example: I can buy a completely made up, ready to install cabinet system for my garage made in China cheaper than I can buy the materials to make it myself due to Environmental fee’s the producers, manufacturers, and distributors of the products I need are required to pay, and pass on to us all in the costs of the product.

From the grower’s of the tree to the factory of the manufacturer to the distributor to the retailer the government is there with hand in their till scooping up what they want.

Where does all that money stolen by Government under the guise of “the environment” go to help “the environment” that allegedly needs to be fixed?


13 posted on 10/06/2010 11:20:18 AM PDT by rockinqsranch (Dems, Libs, Socialists, call 'em what you will, they ALL have fairies livin' in their trees.)
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To: SeekAndFind
Don't worry: Democrats will fix all that, as they are campaigning all over America by promising to "end tax breaks for corporations that ship jobs overseas".... which actually means reinstating taxation of earnings that are already taxed by foreign countries. Given that choice, how many transnational companies would consider locating new jobs in the U.S. at all, ever?

And it's not just the tax burden, either. Add the cost of complying with numerous (and frequently hostile) business regulations, new health care mandates and a failing public education system that turns out dolts-with-diplomas - and foreign wage arbitrage makes even more sense.

14 posted on 10/06/2010 11:24:49 AM PDT by andy58-in-nh (America does not need to be organized: it needs to be liberated.)
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To: mnehring; i are a cowboy
More precisely, it's not cheaper labor business seeks but greater labor and investment productivity. Anyone that points to a single all encompassing factor to explain why jobs are leaving the US doesn't know what they're talking about or is being disingenuous. Labor cost, productivity, taxes, regulations, the rule of law, potential liability, land cost, transportation cost, fuel cost, health insurance, pensions, etc, etc all get counted.
15 posted on 10/06/2010 11:39:19 AM PDT by Red Dog #1
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To: SeekAndFind
We need to place a 10~15% tariff on all imported goods and materials.
That way, more things would be MADE in USA and there would be more jobs.
16 posted on 10/06/2010 11:44:16 AM PDT by Willie Green (Go Pat Go!!!)
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To: Willie Green

RE: We need to place a 10~15% tariff on all imported goods and materials.


Expect our trading partners to retaliate and similarly IMPOSE a 10-15% tariff on all goods coming from the USA.

I’d like to see how this trade war creates job in the USA.


17 posted on 10/06/2010 11:48:02 AM PDT by SeekAndFind
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To: Willie Green
We need to place a 10~15% tariff on all imported goods and materials. That way, more things would be MADE in USA and there would be more jobs.

Between your implied assertion the other day that terrorism doesn't strike light rail, and now your Smoot Hawley Act comments, I can only remain ever thankful you are not elected to any office.

18 posted on 10/06/2010 11:49:09 AM PDT by Lazamataz (The battle lines are drawn: On one side, are Dems and Repubs. On the other, the Tea Party (us).)
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To: SeekAndFind

Considering that we don’t export much anyway, it is a trade war that we would win.


19 posted on 10/06/2010 11:50:28 AM PDT by Willie Green (Go Pat Go!!!)
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To: Willie Green

You need to do little research.

America has massive exports of goods.


20 posted on 10/06/2010 11:52:23 AM PDT by bert (K.E. N.P. N.C. +12 ..... Greetings Jacques. The revolution is coming)
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To: Willie Green
We need to place a 10~15% tariff on all imported goods and materials.

Thereby increasing prices for American consumers by said 10-15% in the middle of the worst economic times since the Great Depression. You really need to stop getting your economic education from the back of cereal boxes, Willie.

L

21 posted on 10/06/2010 11:53:00 AM PDT by Lurker (The avalanche has begun. The pebbles no longer have a vote.)
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To: Willie Green
Considering that we don’t export much anyway,

We export over 1.7 trillion dollars in goods you pinhead.

L

22 posted on 10/06/2010 11:55:27 AM PDT by Lurker (The avalanche has begun. The pebbles no longer have a vote.)
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To: Willie Green
Considering that we don’t export much anyway, it is a trade war that we would win.

Are you gunnin' for A+Bert's position?

American export value peaked in early 2007 at just under $340 billion quarterly. What America does produce is capital goods. Engines, boilers and factory components. High-value products that are used by developing countries to make lower-value things. America gets 40% of its export revenue here.

23 posted on 10/06/2010 11:55:55 AM PDT by Lazamataz (The battle lines are drawn: On one side, are Dems and Repubs. On the other, the Tea Party (us).)
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To: Lurker; Willie Green
Second the pinhead remark.

Willie, it's too early to be this drunk.

24 posted on 10/06/2010 11:57:01 AM PDT by Lazamataz (The battle lines are drawn: On one side, are Dems and Repubs. On the other, the Tea Party (us).)
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To: Lazamataz
Nobody cares what you gender confused buttboys think.
25 posted on 10/06/2010 12:02:16 PM PDT by Willie Green (Go Pat Go!!!)
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To: Willie Green

Stop swigging beer and trying to sink us deeper into Depression, A+WillieGreen.


26 posted on 10/06/2010 12:08:55 PM PDT by Lazamataz (The battle lines are drawn: On one side, are Dems and Repubs. On the other, the Tea Party (us).)
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To: Willie Green

You’re demonstrably wrong on every single thing you’ve posted on this thread, so you think insulting me will change how wrong you are, A+WillieGreen?


27 posted on 10/06/2010 12:10:11 PM PDT by Lazamataz (The battle lines are drawn: On one side, are Dems and Repubs. On the other, the Tea Party (us).)
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To: Lazamataz; Willie Green
That 1.7 trillion in exports comes out to over $4,700 worth of goods for every man, woman, and child in America. And Willieboy that isn't what I "think", that's what I know.

I posted a source refuting your boneheaded statement that we don't 'export much' anymore.

Willie would have us reduce that number by only God knows how much with his idiotic tarrif war.

L

28 posted on 10/06/2010 12:39:49 PM PDT by Lurker (The avalanche has begun. The pebbles no longer have a vote.)
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To: Lazamataz

A+Bert was a better man than you, girly-boy.


29 posted on 10/06/2010 4:28:36 PM PDT by Willie Green (Go Pat Go!!!)
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To: Lazamataz; Willie Green

Since Willie retired from the railroad, drinking is all he does.


30 posted on 10/06/2010 7:59:26 PM PDT by Toddsterpatriot (Math is hard. Harder if you're stupid.)
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To: rockinqsranch
"Example: I can buy a completely made up, ready to install cabinet system for my garage made in China cheaper than I can buy the materials to make it myself due to Environmental fee’s the producers, manufacturers, and distributors of the products I need are required to pay, and pass on to us all in the costs of the product."

And the environmentalists are whose family members, employees, former employees,...? Their backgrounds have been researched by others who attended commissioners' meetings. That's no way to compete in business. For example, it's not right for an international lumber business to use its phony environmentalist hags to shut small mills down (happened long ago), and local zoning "laws" against new, small manufacturing businesses on large acreages in the middle nowhere are tools of corruption by the morally bankrupt (those who will not compete honestly).


31 posted on 10/06/2010 8:01:35 PM PDT by familyop (cbt. engr. (cbt), NG, '89-' 96, Duncan Hunter or no-vote.)
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