Skip to comments.Whirlpool Unveils Plans to Slash Workforce by 10% (another company closing an American plant)
Posted on 10/28/2011 4:43:31 AM PDT by tobyhill
Whirlpool Corp , the world's largest appliance maker, slashed its full-year profit forecast and said it would cut about 10 percent of its workforce in North America and Europe, to protect margins in a weak economic environment.
The maker of Maytag and KitchenAid appliances will cut more than 5,000 positions and said it would close down its plant in Fort Smith, Arkansas, and reduce its overall manufacturing capacity by about 6 million units.
(Excerpt) Read more at foxbusiness.com ...
The level of taxes, laws, and regulations are dramatically different between countries making free markets between them impossible. Our ship has a rudder and we should use it. Just letting the sea toss us around will lead to our destruction. What are your ideas?
I was not advocating for or against. Please do not transfer your misplaced anger to me. I have bigger fish to fry these days.
“A recent report has found that Ireland is the most profitable country in the world for U.S. corporations.
The report, which was recently published in the U.S. tax journal Tax Notes, found that profits made by U.S. companies in Ireland doubled from 1999 to 2002, while profits in the rest of Europe plunged. While Luxembourg showed greater profitability rates for U.S. corporations, Ireland has a much larger “real economy” and produced the greatest profitability.
The report found a huge shift in the movement of capital towards tax havens.
“ In low-tax Ireland, for instance, profits of subsidiaries of U.S. multinationals have doubled in four years, from $13.4 billion to $26.8 billion. Profits from operations of U.S. multinationals in no-tax Bermuda have tripled, from $8.5 billion to $25.2 billion. Not surprisingly, those two tax havens rank as the number one and number two locations in terms of profitability for U.S. corporations operating abroad - surpassing long-time leading investment partners like the United Kingdom,” the report stated.
The report, written by Martin Sullivan, a former U.S. Treasury Department international taxation specialist, found that U.S. multinationals made $2.01 profit in Ireland in 2001 for every $1 they made in 1999.
In Britain, U.S. multinational profits dropped sharply to 67 U.S. cents in 2002 for every $1 profit made in 1999. In Germany, profits fell even more, slipping to 46 cents in 2002 for every $1 made in 1999.
While U.S. corporations in Ireland were involved in real productivity and the country was only a “semi tax haven”, locations such as Bermuda”
Etc etc, Ireland does have a tax treaty with the US.
I gave examples of cases where strategic protection doesn't achieve its goal: but rather has achieved bad defense and bloated government.
I believe in fighting back when attacked. I was pointing out what Smith was actually saying in his point about retributive tariffs. He wasn't saying they're a good thing: he was saying that there's a place for them when someone slaps them on you so that *both sides return to a tariff-less state.*
Your industries are in an increasingly untenable position because your domestic socialists have made America a bad place for them to make money. You're not competing with slaves: you're competing with capitalists who aren't laboring under your self-imposed burdens.
You can remove those burdens and compete, you can move to other areas of competition or you can clap tariffs onto your fellow citizens to force them to do what you believe is the right thing.
Which one of these three sounds like the American thing to do?
It is the fact of the matter, mathematics used in economics is laughably unsound, as my Calculas major buddy said:
“Let’s see how many fundamental rules of math we can violate today”
I thought we were talking about S. Korean corporations paying income taxes to the U.S. Treasury. You shouldn’t be surprised that U.S. corporations try to escape one of the most oppressive income taxes in the developed world.
You cannot afford to fly your fighters because of the dole, NHS and the council houses.
The US needs to show the rest of the world what the cost of their defense is, by letting them defend themselves.
Did your buddy fail Calculus, Economics, or both?
No, we can’t afford to fly our fighters because they cost us as much as 16 space shuttles. They would have been cheaper if they’d been made out of Gold.
Whereas if we had brought F16s off the shelf we’d be doing a lot better.
Multi National companies do exactly this.
And if one tried intellectual honesty for a change, one will also acknowledge that the effective US corporation’s effective tax rate is 17%, the actual rate they pay, not the rate from the chart.
Tell me how you feel about it, unless of course “just ignore the - sign on the calculation” is fundamentally sound mathematics for you?
I see what you did there. Speaking of intellectual honesty, what about trying to change the subject from tariffs and duties to VAT's and income taxes, especially with a demonstrably false comment that S. Korean companies do not pay U.S. income taxes?
I’d rather have your buddy explain it to you . . . you didn’t get it the first time.
Oh good, you are going to try intellectual honesty for a change.
So do tell, what matters if SKorea puts VAT taxes on US goods when they simply sidestep the US taxes you were mentioning in the first place?
Indeed, the State system is a sign of the genius of your founders. Also: I agree that the US has a great deal to recommend itself to potential capital investors: power/transport infrastructure, political stability, the rule of law, proximity to end-users and so forth.
But of course tariffs set at the federal level hit all states equally. You can't escape them by going to Texas. Also: it's apparent that the US's internal advantages for capital are not currently out-balancing its many burdens.
A new President who (for instance) got rid of the EPA and promised to drill baby drill would solve a lot of your problems at a stroke.
Dodge dodge dodge, I thought you were going with intellectual honesty this time>?
Let’s advance this little chat, how about:
Is the goal of your economic view to see income prosperity throughout the income scales (ie wage growth) or is maximization of corporate value?
"We need to raise taxes on our corporations! Wait, our corporations try to avoid paying taxes! That's not fair, we need to raise them ever more! But wait, foreign corporations try to avoid paying taxes! Raise theirs even more also!"
What a curious way to change the subject, again.
Agreed, the EPA is choking business at all levels and effectively sealing out all but the wealthiest of corporations who can afford to pay to comply with often contradictory rules.
Also think Obamacare is simply murdering job creation, no wise businessmen or woman would dare to seriously expand to be stuck with massively expensive employees.
They will go with automation instead, this sort of thing only kills upward mobility and wage growth as automation requires huge capital investment that..only the largest corporations can afford.
It’s very foolish, but that is what happens when politics and economics mix.