Is ‘offshoring’ frustrating job creation in the United States?

[Newsjock]

Source: CTV News

American employers are undermining the U.S. labour market via so-called offshoring and outsourcing, a new report suggests.

While the numbers in today's report by Capital Economics are from 2002 until only 2008, they do show that employment by U.S. multinationals has been growing sharply in lower-cost developing economies, notably China and India.

"The continued weakness of U.S. jobs growth can partly be explained by offshoring," said chief U.S. economist Paul Ashworth in Toronto.

... Overseas, employment by American multinationals rose to 10.1 million in 2008, Mr. Ashworth said, which would represent more than 7 per cent of employment in the United States. Between 2008 and 2009, such overseas employment climbed almost 23 per cent. China and India accounted for one-quarter of that.

While it may be small comfort, the depreciation of the U.S. dollar since 2002 means American workers are now "a lot cheaper" than those in other developed regions, such as Europe. They were already about 20 per cent more productive, and that appears to have widened over the past two years, Mr. Ashworth said.

Read more: http://www.ctv.ca/generic/generated/static/business/article1875633.html

[xchrom]

1. Recommend

[reggie the dog]

2. yes, this is a no brainer

[Laelth]

5. Indeed. I was tempted to ask whether it was a trick question. n/t

-Laelth

[katnapped]

3. Until Americans are forced to work for a dollar a day

Don't expect this to change.

Though TPTB on both sides *are* working on that "problem"

[daggahead]

4. 10 out of 10 on the NO SHIT scale. n/t

[area51]

6. In other news,

Is the pope Catholic? Does a bear sh#t in the woods? Oh yeah.

[Kennah]

7. Absolutely Not!

It's completely fucking over job creation in the U.S.