Archive for the ‘Manufacturing’ Category

To bring back jobs, don’t cut the the corporate tax rate …

January 25, 2017

Rather, double the corporate tax deduction for workers’ wages earned the U.S. workers.

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Let’s start with an interesting analysis from Nate Silver’s  535.com titled Manufacturing Jobs Are Never Coming Back

“It’s understandable that voters were angry about trade. The U.S. has lost more than 4.5 million manufacturing jobs since NAFTA took effect in 1994. And, there’s mounting evidence that U.S. trade policy, particularly with China, has caused lasting harm to many American workers.”

“Manufacturing in particular embodies something that seems to be disappearing in today’s economy: jobs with decent pay and benefits available to workers without a college degree are vanishing. The average factory worker earns more than $25 an hour before overtime; the typical retail worker makes less than $18 an hour.”

“In 1994 there were 3.5 million more Americans working in manufacturing than in retail. Today, those numbers have almost exactly reversed, and the gap is widening. More than 80 percent of all private jobs are now in the service sector.”

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How can that be?  Aren’t we hearing a lot about “re-shoring” and foreign capital investing in U.S. based manufacturing plants?

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Apple might make some iPhones in the U.S.

November 23, 2016

“Trump Effect” or security concerns?

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Let’s connect a couple of dots today …

Last week, the NY Times ran a story exposing a secret feature on some cellphones: a backdoor that sends all text messages to China.

 

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According to the Times:

Cyber-security firms recently discovered pre-installed software on some Android phones that monitors where users go, whom they talk to and what they write in text messages.

The software transmits the full contents of text messages, contact lists, call logs, location information and other data to a Chinese server every 72 hours.

The code comes preinstalled on phones and the surveillance is not disclosed to users,

International customers and users of disposable or prepaid phones are the people most affected by the software.

This technological “vulnerability” shows how companies throughout the technology supply chain can compromise privacy, with or without the knowledge of manufacturers or customers.

It is not clear whether this represents secretive data mining for advertising purposes or a Chinese government effort to collect intelligence.

But, it reveals one way that Chinese companies — and by extension the government — can monitor cellphone behavior

My initial reaction: not a shocker … wonder if any Apple (or somebody else) will bring some manufacturing back to the U.S. to avoid security-threatening practices like this cellphone breach.

The next day, a seemingly unrelated story hit the wires …

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Even if manufacturing may be coming back … manufacturing JOBS, not so much.

March 23, 2016

Interesting analysis from Nate Silver’s  535.com titled Manufacturing Jobs Are Never Coming Back

There’s no mystery why candidates love to focus on manufacturing and trade.

“It’s understandable that voters are angry about trade. The U.S. has lost more than 4.5 million manufacturing jobs since NAFTA took effect in 1994. And, there’s mounting evidence that U.S. trade policy, particularly with China, has caused lasting harm to many American workers.”

“Manufacturing in particular embodies something that seems to be disappearing in today’s economy: jobs with decent pay and benefits available to workers without a college degree. The average factory worker earns more than $25 an hour before overtime; the typical retail worker makes less than $18 an hour.”

“In 1994 there were 3.5 million more Americans working in manufacturing than in retail. Today, those numbers have almost exactly reversed, and the gap is widening. More than 80 percent of all private jobs are now in the service sector.”

image

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How can that be?  Aren’t we hearing a lot about “re-shoring” and foreign capital investing in U.S. based manufacturing plants?

(more…)