Reasons For Outsourcing In The United States
Outsourcing is the contracting of a business process by another party. Outsourcing sometime involves transferring employee and assets from one firm to another. It can be foreign or domestic contracting and sometimes involves moving a business to another country. Financial savings from lower international labor rates can provide the biggest motivation for outsourcing. Companies will outsource for many reasons. The first reason is time, theoretically no company has the time to take care of everything. Companies seek help from foreign companies to get the job done. Second is money, many companies use cost efficiency as a reason to outsource. The final reason is skills and knowledge. Outsourcing allows companies to bring skills required to run the organization from outside the company. In the 80’s U.S. factory workers began losing their jobs when American cooperation’s realized that they could manufacture their goods cheaper in a foreign country. One after another U.S. plants closed and moved overseas, leaving millions
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Outsourcing causes loss of jobs in America. Money and jobs sent to foreign country cause a disruption in the American economic system. In addition, outsourcing effects the government. Less taxes are collected from these product not to mention a decrease contribution to social security and Medicare. Finally, purchasing products overseas supports the inhuman treatment of foreign workers. In many harsh, dirty and unsafe work environments, foreign factory workers are not given the same labor laws standards we have in the United States. Furthermore, many of these factory workers are lucky to receive 600 dollars a month. As president, I would impose an increase tax on any American company outsourcing their business overseas. The tax would encourage companies to keep their operations in the United States creating jobs and supporting the American
Outsourcing causes loss of jobs in America. Money and jobs sent to foreign country cause a disruption in the American economic system. In addition, outsourcing effects the government. Less taxes are collected from these product not to mention a decrease contribution to social security and Medicare. Finally, purchasing products overseas supports the inhuman treatment of foreign workers. In many harsh, dirty and unsafe work environments, foreign factory workers are not given the same labor laws standards we have in the United States. Furthermore, many of these factory workers are lucky to receive 600 dollars a month. As president, I would impose an increase tax on any American company outsourcing their business overseas. The tax would encourage companies to keep their operations in the United States creating jobs and supporting the American