Besides the fact that the "insourcing" of American manufacturing that seems to be a trend in this story isn't elevating workers' living standards, there's the additional fact of the ongoing automation and robotization of the manufacturing (and service) sector. Each recession seems to bring forth more "rationalization" of production, using more expensive machinery funded by massive borrowing from the capital markets--which means jettisoning more workers, who now appear as just expensive "headcount" in the corporation's annual report.
The thing that makes all this so self-destructive to capitalism is that both of these historical trends are converging to create a USA that is not the consumer growth economy that the CEOs may tell us it is. You can decide whether you agree that's a "third-world nation" status. Some of these quotes illustrate the point, and you should read the whole article, link below.
"Foxconn workers live in over-crowded dorms that are located on the factory grounds. They work 12-hour shifts, and are routinely exposed to dangerous working conditions. Recently, 137 Foxconn workers fell ill after they were forced to use toxic chemicals to clean iPads. And in the last five years, 17 Foxconn workers have committed suicide on the job. Nets have since been installed around the factory to catch workers jumping out of windows.
"So why the heck would Foxconn look beyond their Libertarian paradise of no labor laws to come to the United States and employ a bunch of Americans?"
" ...Today upwards of fifty million Americans are living in poverty and depend on food stamps. The middle class devolved into the working class, which further devolved into the working poor class.
"Local economies are collapsing, states are going bankrupt, and workers are being tenderized for colonization in the near future.
Step 3: Export American Wealth
There's a hefty price tag associated with transitioning from the world's largest exporter of manufactured goods to the world's largest importer of manufactured goods. That price comes in the form of trade deficits.
Step 4: Recolonize
"...Ikea recently opened up a factory in Virginia, which just so happens to be a right-to-work for less state that's not hospitable to labor unions. In Sweden, where Ikea is based, workers earn at least $19 an hour and enjoy a minimum of 5 weeks paid vacation every year. Those are fairly high labor costs. So executives at Ikea have come to the United States, where they can pay workers just $8 an hour and give away just 12 days of vacation a year."
"But given the agenda of House Republicans, that tragic reality may not be so far-fetched. Generations of labor law that produced a minimum wage, a forty-hour workweek, workplace safety laws, and child labor laws are all under attack by Republicans in Congress. And if they succeed, then there is absolutely nothing protecting American workers from suffering the same fate as sweatshop workers overseas.
"...The reason why this fourth stage is terminal is because there are few treatment options available anymore. If the United States were to suddenly rethink its trade policies and enact tariffs again, they would have little impact since these foreign corporations have already implanted their manufacturing centers here in the United States. The profits would continue to go overseas rather than being circulated in the local economy.
"...The United States is rapidly un-developing in a way never before witnessed in the history of the world.".
<READ MORE of America the Third-World Nation in 4 Easy Steps
By Thom Hartmann and Sam Sacks, The Daily Take | Op-Ed
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