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A possible solution for the Outsoucing/Offshoring Dilemma.

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Tandalayo_Scheisskopf Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Jul-28-08 12:26 PM
Original message
A possible solution for the Outsoucing/Offshoring Dilemma.
Edited on Mon Jul-28-08 12:52 PM by Tandalayo_Scheisskop
After reading this rather hefty thread again(http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=389x3686631) I am reminded of a possible way that outsourcing/offshoring might be addressed in a constructive and creative manner. I assure you, I thought this up all by my lonesome.

It is no secret that many of the jobs that large corporations are sending overseas are jobs that were created through tax breaks and credits, utility giveaways, and other emoluments doled out by every level of government. Now, in a rapacious urge to increase profits and "enhance shareholder value"(shareholders=executives), they send these jobs offshore and bloat the rolls of the unemployed. With no end in site.

Now, when you or I do something that is of detriment to larger society, we face consequences. The list of sanctions is long and sometimes terrible in their effect. On the other hand, although corporations are rewarded for the creation of jobs through all of the emoluments, provided by government and listed above, they face no real consequences when they destroy jobs and send them overseas. All they receive is a reward from Wall Street, when their ratings and stock prices go up. This is no way to run a goat rodeo.

But it can change, with some political will.

What I propose is that with rewards come responsibilities and with the abrogation of responsibilities should come penalties. When a company announces that they are destroying jobs in the US, to send them overseas, then that should be the time that state and federal labor departments should step in, assess the amount, in dollars, that these companies have received over the years in these special breaks, count back to the beginning, add market rate interest to that dollar amount, and if the company is not going bankrupt, assess that penalty against the corporation, under the penalty of hard asset forfeiture and criminal sanctions, should they not pay. All assessed penalties to be put into a locked pool to be used to create new jobs.

In this way, corporations will be forced to face the consequence of their actions and think twice about being dedicated followers of fashion(for that is what drives a lot of the offshoring), and perhaps the tide will be stemmed, a bit, and new jobs will start to be created.

It is well past time for this nation to put some sting in its response to outsourcing/offshoring jobs. There must be consequences for economically destructive actions. If there aren't, then stop calling this a nation of laws.
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Hydra Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Jul-28-08 12:38 PM
Response to Original message
1. We could start by not subsidizing offshoring
And eliminating work visas until real unemployment is 1% or less. We could also tariff work importing, and with the higher shipping costs due to oil prices, you'd see all of that dry up rather quickly.

Really, it's a basic model, and one our nation was built on. It takes all of these special gov't gifts to make this alternative system "work."
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jwirr Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Jul-28-08 12:40 PM
Response to Original message
2. Yes, corporations are gifted with the status of personhood so they
should have the same responsibilities as individuals do. I was very upset when I read here on DU a post about the electrocutions of our soldiers in Iraq by KBR and at the end of the article it stated that somehow KBR was not liable for these electrocutions. This is what is happening with all to many businesses.
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