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10/21/2004

Corporations Doubled the Number of Jobs Sent Overseas in Three Years

U.S. companies will send some 406,000 American jobs overseas this year compared with 204,000 jobs three years ago, according to a new government report. Of those jobs, 140,000 will be moved to Mexico and 99,000 will go to China. The report supports the findings in recently released studies by the AFL-CIO Industrial Union Council (IUC) which examine the role trade has played in manufacturing job losses in several key states. Since January 2001, Americans have lost more than 2.7 million manufacturing jobs and 850,000 professional service and information sector jobs. The AFL-CIO reports show that many of these jobs have been moved overseas as a result of bad trade policies pursued by the Bush administration.

The government report, The Changing Nature of Corporate Global Restructuring: The Impact of Production Shifts on Jobs in the U.S., China and Around the Globe, released Oct. 14, was prepared for the U.S.–China Economic and Security Review Commission, which Congress created four years ago.

“With no particular loyalty to country, industry, community or product…this global race to the bottom is driven by…the search for ever-cheaper production costs, accessibility to expanding global markets and the flexibility that comes from diverse supply chains in an ever more volatile economic and political climate,” the report says.

Kate Bronfenbrenner, director of labor education research at Cornell University’s School of Industrial and Labor Relations, and Stephanie Luce, research director and assistant professor at the Labor Center at the University of Massachusetts at Amherst, prepared the report.

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