Outsourcing and how to fight it ?

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Outsourcing and how to fight it ? - 8/27/2010 6:02:22 AM

Aneirin

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I touched on this principle in another post, where I stated I will not deal with a certain company or it's products due to the knowledge that the company concerned went back on their word and outsourced leaving 800 people in the UK jobless.

Outsourcing, that thing we are seeing more and more of these days, the situation where a company moves its production to cheaper parts of the world for economic reasons. The result is home jobs lost and possible down turns in the product you are used to, be that in the product itself, or the support.

What can we do about it or how can we get jobs back in our country or make them stay there in the first place ?

Well, it's simple really isn't it, boycott the company and its products, don't deal with them, buy elsewhere, that way the message is clear, reduced sales in the home market grabs attention. When industry picks up the public mood, it could think again if it was planning to shaft it's employees for economic reasons.

So, all the moaning we do about the outsourcing, we can actually control it, it is within our power, all we have to if we care, is have principle, create your own rules for your consumerism and engage spending power.

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RE: Outsourcing and how to fight it ? - 8/27/2010 6:10:10 AM

servantforuse

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What companies do you plan on supporting when they all do some sort of outsourcing ? It's kind of like trying to buy an American made car. We would all be walking as it is now impossible.

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RE: Outsourcing and how to fight it ? - 8/27/2010 6:29:27 AM

Aneirin

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In my case, Dyson I resist, and that because of them going back on their word, which was said with British pride at the time, a British Invention, a British product made by a British workforce, Made in Britain, good words to hear at the time when our industry was just about screwed, James Dyson became a British Iconic hero up there with Richard Branson. That was until a few years later he skulked off to the far east under the excuse of economic reasons, eight hundred loyal and believing workers made redundant and the death of another British Made product, Dyson sold his country out.

Further to that, from a repairer's point of view, Dyson vacuums are overpriced over advertised home fashion accessories fit for the dump when they break down. But perhaps that kind of obsolescence became designed in, because earlier machines I remember seemed a bit better built.

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Everything we are is the result of what we have thought, the mind is everything, what we think, we become - Guatama Buddha

Conservatism is distrust of people tempered by fear - William Gladstone

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RE: Outsourcing and how to fight it ? - 8/27/2010 6:35:27 AM

DCWoody

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You don't fight it, there is nothing wrong with outsourcing.
If someone goes to the far east to make cheaper hoovers that is a good thing because:cheaper hoovers.

That's how capitalism works.

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RE: Outsourcing and how to fight it ? - 8/27/2010 6:53:56 AM

rulemylife

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quote:

ORIGINAL: DCWoody

You don't fight it, there is nothing wrong with outsourcing.
If someone goes to the far east to make cheaper hoovers that is a good thing because:cheaper hoovers.

That's how capitalism works.

I would hope you are being facetious, but in the event you are not I would suggest a biography of Henry Ford.

No matter how cheap a product becomes you still need consumers able to afford that product.

Henry Ford's $5-a-Day Revolution

The $5-a-day Workday

After the success of the moving assembly line, Henry Ford had another transformative idea: in January 1914, he startled the world by announcing that Ford Motor Company would pay $5 a day to its workers. The pay increase would also be accompanied by a shorter workday (from nine to eight hours). While this rate didn't automatically apply to every worker, it more than doubled the average autoworker's wage.

While Henry's primary objective was to reduce worker attrition—labor turnover from monotonous assembly line work was high—newspapers from all over the world reported the story as an extraordinary gesture of goodwill.

Thousands of Workers Flock to Detroit

After Ford’s announcement, thousands of prospective workers showed up at the Ford Motor Company employment office. People surged toward Detroit from the American South and the nations of Europe. As expected, employee turnover diminished. And, by creating an eight-hour day, Ford could run three shifts instead of two, increasing productivity.

Henry Ford had reasoned that since it was now possible to build inexpensive cars in volume, more of them could be sold if employees could afford to buy them. The $5 day helped better the lot of all American workers and contributed to the emergence of the American middle class.

< Message edited by rulemylife -- 8/27/2010 6:57:14 AM >

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RE: Outsourcing and how to fight it ? - 8/27/2010 7:07:13 AM

Aneirin

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quote:

ORIGINAL: DCWoody

You don't fight it, there is nothing wrong with outsourcing.
If someone goes to the far east to make cheaper hoovers that is a good thing because:cheaper hoovers.

That's how capitalism works.

Then perhaps I am against capitalism, but with what I seek when I seek, if I cannot find what I seek new from a place where it should be from, I purchase pre owned and repair/restore it where necessary. In fact, as the years go by I am more and more seeking pre owned goods at a fraction of the price over a new product, either that or create it myself or do without, as life was possible before the need for the item. I am also moving away from the consumerist mentality, as things, the new bright technology fades fast and is no replacement for the good things in life.

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RE: Outsourcing and how to fight it ? - 8/27/2010 7:48:28 AM

DCWoody

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@Rulemylife, yes but wages vary in line to be able to afford it.....if wages were cheaper 'here' (wherever here happens to be) than elsewhere the outsourcing wouldn't happen in the first place, the reason outsourcing occurs (usually, if it's because of oppresive govt rules or lacking infrastructure or something then I agree that's bad.....but the USA&UK are among the most business friendly environments in the world, so that's not it) is because indigenous wage levels are too high. It's comparative advantage, the whole 'free market' thing....if people couldn't afford the cheap product when it's cheaper, they certainly couldn't have afforded it when it was less cheap....because wage levels are higher now, otherwise outsourcing wouldn't have occured.

Outsourcing raises wage levels where it goes to and makes the product/service cheaper....it's a win win.

If ya look into the outsourcing debate, which is mostly an american argument.....you'll see that people against it are....random people off the street, 'the public' etc.....actual non-partisan economists are in favour. It's mostly just an issue of the general public getting pissy about something they do not understand.

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RE: Outsourcing and how to fight it ? - 8/27/2010 8:11:33 AM

Aneirin

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But one thing, some good that will come out of outsourcing, especially to cheaper parts of the world, is in those parts of the world, living standards might become better for the workers who create the things the West needs at a cheap price. The more outsourcing happens to poorer parts of the world, the more the drive for that place to become strong and self sustaining.

Maybe the unintended good of outsourcing, is the balancing of the world, the poor areas becoming less so, and the rich areas becoming poorer, so a spreading of the wealth.

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Everything we are is the result of what we have thought, the mind is everything, what we think, we become - Guatama Buddha

Conservatism is distrust of people tempered by fear - William Gladstone

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RE: Outsourcing and how to fight it ? - 8/27/2010 9:10:32 AM

StrangerThan

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quote:

ORIGINAL: Aneirin

But one thing, some good that will come out of outsourcing, especially to cheaper parts of the world, is in those parts of the world, living standards might become better for the workers who create the things the West needs at a cheap price. The more outsourcing happens to poorer parts of the world, the more the drive for that place to become strong and self sustaining.

Maybe the unintended good of outsourcing, is the balancing of the world, the poor areas becoming less so, and the rich areas becoming poorer, so a spreading of the wealth.

I used to equate it to filling one bucket relatively full of water and a second about a quarter full, then attaching a hose between the two at the bottom. The result is they will achieve equilibrium as one bucket drains into the other.

Welcome to global economics and the happiness of free trade agreements.

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RE: Outsourcing and how to fight it ? - 8/27/2010 9:29:02 AM

willbeurdaddy

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Boycotts punish the boycotter as much as the company. for the 50th time at least YOU CANNOT GROW AN ECONOMY OR AN INDUSTRY BY OVERPAYING FOR DOMESTIC PRODUCTS.

The only way to respond to outsourcing is demand better QUALITY in exchange for the higher price.

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