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