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U.S. college grads see jobs being taken abroad
ajc.com/ ^ | 08.27.03 | ROWLAND NETHAWAY

Posted on 08/27/2003 6:09:54 PM PDT by Patriotways

U.S. college grads see jobs being taken abroad

"America's white-collar workers should not feel too smug. They can be replaced by cheaper foreign workers. That process is under way."

The future of American workers, if they are lucky enough to land a job, lies with multinational companies that rely heavily on foreign labor.

It's too late to worry about losing U.S. manufacturing jobs to Mexico as a result of the North American Free Trade Agreement.

Mexico's workers now are in a panic over losing their NAFTA-generated manufacturing jobs to China, the world's new global manufacturing center.

America's white-collar workers should not feel too smug. They can be replaced by cheaper foreign workers. That process is under way.

Foreign colleges, particularly in India and other Asian nations, are turning out graduates who have dedicated their lives to achieving the highest attainable levels of academic learning with the goal of landing a job either in the United States or with a U.S. company. Their efforts are paying off.

Only the healthiest Americans will have missed the growing number of foreign doctors now helping staff the nation's hospitals.

America's high-tech industries are hiring more and more foreign workers to write computer programs, design electronics and run research and development projects. And these are jobs in the United States that normally would go to skilled American workers with college degrees.

More and more technical support jobs for American companies now are located overseas.

A recent USA Today article by Michelle Kessler and Stephanie Armour reported that jobs done by accountants, financial analysts, home loan processors, claims adjusters, architectural drafters and many others now are being done by inexpensive workers in foreign countries.

"These include high-paying, highly sought-after jobs that often require advanced degrees and years of study to attain," said the Kessler-Armour article. "But instead of paying six-figure salaries to trained workers in America, more companies are shelling out $10,000 to $20,000 to get cheaper employees an ocean away."

As if to confirm that observation, a recent news story in the Houston Chronicle by Wendy Lee reported that Renata Escovar, a Rice University economics graduate, was turned down for a waitressing job and Chisom Uluh, a University of Houston graduate with a communication degree, now is selling mattresses.

"Such experiences have become commonplace among college graduates facing the most dismal job market in nearly a decade," Lee wrote. She said many new college graduates now are selling clothes, serving food or taking other similar jobs they thought they had left behind once they earned they college diplomas.

Many lower-level service and manual labor jobs in the United States are being scooped up by both legal and illegal immigrants. Employer sanctions for hiring illegal immigrants are rarely enforced since there are no nationwide worker-identity standards.

The logic that moved American manufacturing jobs in textiles, furniture, sporting goods, stoves, refrigerators and much more to Mexico and other countries now is being applied to white collar jobs. Foreign workers are paid less, which is necessary for many businesses that compete in the global economy. To survive, all businesses must remain competitive and profitable.

As American manufacturing jobs became established in Mexico, wages for Mexican workers rose along with the nation's standard of living.

Since China joined the World Trade Organization, however, many U.S. multinational companies now hire Chinese workers who do the same jobs for several hundred percent less than Mexican workers.

Americans workers may soon be faced with the if-you-can't-beat-them-join-them choice in the brave, new multinational, global marketplace.


TOPICS: Business/Economy; Crime/Corruption; Foreign Affairs; Front Page News; Government; Miscellaneous; News/Current Events; Politics/Elections
KEYWORDS: jobmarket; jobs
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1 posted on 08/27/2003 6:09:54 PM PDT by Patriotways
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To: Patriotways
These ideas were first postulated by one Patrick J. Buchanan in 1992 and expanded and elaborated since that time. Not everyone can be in the upper class and have the high-paying managerial-type jobs. Pat recognized this problem long before others. In fact, most politicians and pundits still deny such economic troubles and laud the process of immigration and job losses abroad.
2 posted on 08/27/2003 6:12:54 PM PDT by Theodore R.
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To: Theodore R.
Global or Regional: What Can International Organizations Do?

http://www.unu.edu/unupress/globalism.html
3 posted on 08/27/2003 6:21:44 PM PDT by Patriotways
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To: Theodore R.
Mexico's workers now are in a panic over losing their NAFTA-generated manufacturing jobs to China, the world's new global manufacturing center.
4 posted on 08/27/2003 6:22:08 PM PDT by Patriotways
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To: Theodore R.
I'm more concerned about the national security issues that are not self-evident.

Will a user at the NSA or the US Navy call Dell Tech Support in India for help when a server crashes?

5 posted on 08/27/2003 6:22:41 PM PDT by PokeyJoe (Marine who honors his fallen kinfolk)
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To: Patriotways
No sympathy here. I have had young recent college grads working for me in my old jobs. On balance unimpressive from top to bottom. Remarkable ignorance exceeded by their arrogance. They get what they deserve.
6 posted on 08/27/2003 6:26:38 PM PDT by HitmanLV (I will not be pushed, filed, stamped, indexed, briefed, debriefed or numbered. My life is my own.)
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To: HitmanNY
Mexico manufacturing jobs fall 4 pct in June
Wed August 27, 2003 06:15 PM ET
By Greg Brosnan
MEXICO CITY, Aug 27 (Reuters) - Employment in Mexico's manufacturing sector fell 4 percent in June from the same month a year earlier, government statistics institute INEGI said on Wednesday.

Manufacturers have scaled back in the face of diminished demand from the United States, the destination of 90 percent of Mexican exports.

Average real wages in the sector grew 2.4 percent in June, compared with the year-ago period, but hours worked fell 4.1 percent, INEGI said.

In the January-June period, employment fell 3.4 percent and hours worked dropped 4.1 percent.

The drop in manufacturing employment is the latest in a rash of depressing economic data for President Vicente Fox, who is battling rising unemployment and a stagnant economy as the country struggles to recover from the 2001 recession.

Unemployment rose to its highest level in more than five years in July.

Gross domestic product grew 2.3 percent in the first three months of the year, but just 0.2 percent in the second quarter due to a weak industrial sector.

Manufacturing jobs fell across the board in June, but the greatest drop by far was in the metal products, machinery and equipment sectors, which plummeted 8.4 percent in a reflection of the hard times hitting Mexico's auto industry.

More negative data from the embattled sector is expected in coming months as car makers facing increased competition in the U.S. market from countries such as China, adjust to stay afloat.

Auto production and exports both fell in July as car makers eased output, and earlier this month workers at Volkswagen's Mexico plant agreed to cut their work week to four days to avoid 2,000 layoffs.

On Wednesday, Delphi Corp. DPH.N , the world's largest auto parts maker, said it could move part of its production operations out of Mexico due to high costs.

Employment in the textile, apparel and leather industries fell 5.8 percent, INEGI said.

Mexico's textile and apparel sectors have been among the worst hit by competition for the U.S. market from China, where low wages and a yuan economists consider undervalued are undercutting Mexican exporters.
7 posted on 08/27/2003 6:30:11 PM PDT by Patriotways
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To: Theodore R.
"In fact, most politicians and pundits still deny such economic troubles and laud the process of immigration and job losses abroad."

Okay, name one politician or pundit, who "laud(s) the process of immigration and job losses abroad."

These doom and gloom scenarios have been passed around my entire adult life. I remember in 1987 hearing about how the Japanese were going to take over America. The Imperial Palace compound in Tokyo had a higher real estate value than the entire State of California. The Japanese owned downtown LA, they owned the RCA building.

If NAFTA is going to send all industrial jobs to Mexico, why weren't all industrial jobs in Arkansas to begin with, since they had the cheapest labor? At the rate of increase of gas prices of the past two weeks, a gallon of unleaded is going to cost a thousand dollars by Christmas. Is that going to happen? NO! Are all college jobs moving to India? NO! Get a grip folks.

8 posted on 08/27/2003 6:31:52 PM PDT by Jabba the Nutt
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To: Patriotways
Neat!
9 posted on 08/27/2003 6:35:23 PM PDT by HitmanLV (I will not be pushed, filed, stamped, indexed, briefed, debriefed or numbered. My life is my own.)
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To: Patriotways
"U.S. college grads see jobs being taken abroad"

Although there is a lot of truth in this article, it is not as bad as it seems. If you really have your mind made up to pursue a career, and are willing to work hard then you can eventually attain it. Fact is, a lot of young kids are lazy and not willing to work as hard as some of the foreigners. I've been in the position of going thru hundreds of resumes and many interviews to hire people, and some young applicants are demanding outrageous starting salaries. What, just because they have a degree they think they can start at the top rung of the ladder? My older daughter graduated from UC Berkeley and started at a low-level position at a firm and worked her way up to the position she desired. You can get there thru hard work.

On the other hand, it is getting more difficult to land desired positions due to the foreign competition and we should try to save U.S. jobs. One way to do that is to get back to the basics of protecting language, borders, and culture (what Savage preaches) and that's getting harder to accomplish.

10 posted on 08/27/2003 6:35:55 PM PDT by roadcat
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To: Patriotways
American colleges need to have guarantees, if grads cannot find jobs, then full refund of tuition. Colleges make plenty of promises to get lots of tuition, but they dont back their promises up.
11 posted on 08/27/2003 6:35:56 PM PDT by waterstraat
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To: Patriotways
" however, many U.S. multinational companies now hire Chinese workers who do the same jobs for several hundred percent less than Mexican workers."

Maybe this kind of sloppy writing is a symptom of what is wrong with this country. It is impossible to do anything for "several hundred percent less" than Mexican workers. Whoever wrote this needs to study basic arithmetic. Sadly enough, you can see this same sort of thing in newspapers and hear it on TV newscasts everyday and it is coming from people who are supposedly college "educated".
12 posted on 08/27/2003 6:49:12 PM PDT by RipSawyer (Mercy on a pore boy lemme have a dollar bill!)
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To: waterstraat
That seems just slightly absurd. Why should my university pay me back because I'm either a)lazy, or b)majored in a subject that has little redeeming value in the real world (or where the job market is flooded in that area of study)?

I worked my tail off for four years in college to get my degree - lo and behold I accepted one of several job offers 5 months before I graduated. Every single one of my classmates who graduated in May has found employment in our field (with the exception of two who are working full time towards a doctorate).

Yeah, if you major in puppetry, fine arts, or womens studies, the job market may have slim pickings. Major in something useful, and gain real-world experience through co-ops/internships, and you *will* get a job. It may not pay much but there's nothing wrong with working one's way up.
13 posted on 08/27/2003 6:54:12 PM PDT by Rubber_Duckie_27
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To: Patriotways
Ah, the Rats are trolling again...
14 posted on 08/27/2003 6:57:17 PM PDT by livius
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To: Patriotways
"Mexico's textile and apparel sectors have been among the worst hit by competition for the U.S. market from China, where low wages and a yuan economists consider undervalued are undercutting Mexican exporters."

NAFTA did not quite work out the way our leaders thought it would. This is because Mexico did not need us to sell to it's cheap tile in the first place. Their cheap tile was selling very well in Mexico all by itself.

Revenues are not coming in: therefore companies are stopping cash flow.
15 posted on 08/27/2003 6:58:02 PM PDT by freekitty
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To: Patriotways
In case anyone was getting any big ideas, be aware that it is MUCH harder to sneak into Mexico than into the U.S.
16 posted on 08/27/2003 7:04:49 PM PDT by Imal (The World According to Imal: http://imal.blogspot.com)
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To: HitmanNY
"No sympathy here"
Well you're either FOR Americans or AGAINST Americans in my book. You sound like you're AGAINST Americans to me.
17 posted on 08/27/2003 7:05:15 PM PDT by afz400
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To: Jabba the Nutt
"These include high-paying, highly sought-after jobs that often require advanced degrees and years of study to attain," said the Kessler-Armour article...

As if to confirm that observation, a recent news story in the Houston Chronicle by Wendy Lee reported that Renata Escovar, a Rice University economics graduate, was turned down for a waitressing job and Chisom Uluh, a University of Houston graduate with a communication degree, now is selling mattresses.

I read up to this point before I called "B.S.". Since when have liberal arts graduates ever earned 6 figures, let alone right out of college? And how long has the french-frying liberal arts graduate stereotype been around? I run into a lot of lib arts graduates working behind cash registers but it doesn't cause me any concern.

18 posted on 08/27/2003 7:10:53 PM PDT by randog (Everything works great 'til the current flows.)
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To: Jabba the Nutt
These doom and gloom scenarios have been passed around my entire adult life. I remember in 1987 hearing about how the Japanese were going to take over America.

The stock free trader response is this kind of smug triumphalism. Well, you may have prospered. Blue collar working people did not. Since deindustrialization hit in the mid 70's the non college educated bottom half of the American work force has massively lost ground. In 1960 a non college educated blue collar worker could buy a house, raise 4.2 baby boom kids, have health insurance, go away on vacation, save 10% of his income, and retire on a pension. And all on one paycheck working 9 to 5 with time and a half for overtime. How many college graduates have these things now ?

If NAFTA is going to send all industrial jobs to Mexico, why weren't all industrial jobs in Arkansas to begin with, since they had the cheapest labor?

Not a very intelligent question. In the age of the railroad industry could not be dispersed. The manager, the owner, the workers, the suppliers, the bankers all had to be living in the same general area. This meant huge concentrations in the Northeast because face to face was the only way to exercise command control. As communications and transportation improved we had the Sunbelt Shift. Now with the internet the industries that had moved to the South can now move even further away looking for still cheaper labor. Today we are seeing something totally different. It is not even necessary for managers and workers to be in the same country. Something can be designed in country a and coded in country b. That is completely different.

19 posted on 08/27/2003 7:10:53 PM PDT by Tokhtamish
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To: afz400
I am for americans, but the typical college grad is very underwhelming, sorry. That's not to say they all are. I have had too many work for me that were total bores, not too bright, and very arrogant. I'm sorry if I don't feel sorry for them.
20 posted on 08/27/2003 7:15:00 PM PDT by HitmanLV (I will not be pushed, filed, stamped, indexed, briefed, debriefed or numbered. My life is my own.)
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