Sep
29
What is the best pay to punish companies who outsource?
Outsourcing leads to a lax labor market which ups supply of labor thus reducing its value hurting wages. These companies are not fleeing taxes as there are adequate loop holes to avoid paying them. They’re shedding labor costs. How do we punish these companies to ensure that the costs of outsourcing exceed the benefits so as to tighten the labor market and upping the value of labor so jobs pay acceptable wages?
Raise duties and revoke the charter of OPIC.
OPIC is the Overseas Private Investment Corporation it’s mission is to assist American companies to move to another country
Penalize them, by taking 35% of all their profits. We can fix the economy at the same time.
If you believe in a free market, you can’t. Economic protectionism causes massive upset in the world economy as nations seek to protect their national interests. In the age of globalisation this would be an absolute complete and utter catastrophe. Imagine Starbucks and McDonald’s being banned in Europe in favour of European restaurants and coffee houses. Or Japan closing all US manufacturing plants to give jobs to Japanese workers. Or Chinese investors refusing to spend money to fund US projects.
Levy heavy taxes on them. That will bring them roaring back. O wait, they are not the dumb. They will just renounce American citizenship. I am sure there are plenty of countries out there who will not ” punish” them.
They are not fleeing taxes? You really haven’t been exposed to the manufacturing world have you? You have never had to deal with a union have you. See General Motors, a real union success story. Take a year and read the OSHA standards. See liability requirements for mfrs in the US. See what liberal trial attorneys have done to bastardize the sexual harassment statues, racial preferences, carpel tunnel has become a cottage industry, mental stress, etc. Toss in inventory taxes, unemployment insurance, parental leave, the cost of actually working with the tax code.
Now move your factory to Mexico and see what your expenses are. The question is why is government punishing companies who keep their business’s here?
Execute CeOs them as they would in China!
HELLO !
The reason they are outsourcing to begin with is BECAUSE they are being punished already !
Having the highest corporate tax rate on the planet has consequences !
Having UNION Labor has it’s consequences
Having trial lawyers sue them for everything has consequences.
Have LIBERAL economic policy is what is pushing them away to begin with.
What you suggest is illogical.
If the dems TRULY wanted to create jobs, they would lower the corporate tax rate ! Companies would be lining up to come back here.
1. Companies do not out source, to avoid paying corporate tax’s.
Companies out source for cheaper production cost.
2. there is not much you can do about it.
You cannot just raise tariffs, because then other countries will raise tariffs on products from the US.
Just look at Levi Straus Company.
They manufactured Blue jeans in El Paso Tx, had a union plant that paid good wages.
But they lost money for 5 years in a row, because americans would rather save $3. 00 by buying foreign made blue jeans than american made blue jeans.
After 5 years of trying everything to be profitable, when competeing against imported products.
They finally decided they had no other choice, except to move manufacturing to central america.
Even thier union agreed, that the company had no other choice.
It was either move manufactuing or shut the family owned company down.
3. So you wanna put a blame on out souring, then look in a mirror
because anytime you choose to buy a cheaper foreign made product over one made in the US
You cause out sourcing.
And its not the governments job, to protect you from your own actions.
If the american people want to stop out sourcing, they can
All they have to do, is stop buying those products !!!!!!!!!!!!!!!!
IE: dell computers out sourced their customer service.
If americans had stopped buying dell computers and bought another brand like HP, that had america customer service.
Dell would have quickly moved customer service back to the states.
But americans wanted the cheaper prices dell had, more than they wanted american customer service.
We have seen the enemy and he is US !!!!!!!!!!!!
It is amusing when liberals whine about outsourcing, when outsourcing is a result of high taxes and Union gouging. It has become insanely expensive to run a corporation, yet liberals want more and more money to fund their Socialism.
There is nothing you can do to stop outsourcing as long as the cost of doing business in the US increases.
Take even more money and they will simply pack up shop and move their entire operations overseas, taking even more jobs away. In a new country, they will fall under International Trade Agreements.
Already the US has lost corporations to china.
Liberals like you just don’t get it due to your insatiable greed.
Taking the company’s profits surely won’t lead them to hire local labor, which is often 10X more than offshore labor.
There’s not such thing as a “loop hole”. It’s called the law. Stop taxing the bejeesus out of anybody who makes a buck, and you just might find that they’re more willing to take risk (i. e. spend) in your local economy. You can’t have it both ways. A company needs to make a profit to hire expensive labor. Stop putting the force of government behind the unions so that the playing field is level.
Who is John Galt?
These companies are engaging in labor arbitrage, nothing more. It’s greedy for Americans to not want to work at minimum wage at 50? Why don’t we outsource management? MBAs are a dime a dozen in India and China. It’s never the people making MILLIONS who get offshored. It’s always the powerless who get pushed even farther down. Set a multiple that total compensation of corporate officers cannot exceed 10 times that of the lowest paid employee (and if that employee makes $1/day in China, then Mr. CEO makes $10/day in America). Let’s put our money where our mouth is and see who’s really greedy.