According to estimated statistics, the United States and other first world countries seem to be the ones benefiting more from outsourcing, especially off-shore outsourcing. And, their major destination countries include India and Philippines. Cheaper or lower-cost labor is the driving force for sending large batches of jobs abroad rather than offer such jobs at home.
And now, Donald Trump, the president elect of the United States seems to be resolved in his quest to keep US jobs at home rather than send them abroad. Is this really going to work? What do companies and business owners think of this latest development? Keep reading to learn more. “In his pursuit to discourage offshore outsourcing, Donald Trump has promised to reduce the corporate tax rate. He also pledged to roll back federal regulations. Trump recently announced his plan to keep almost one-thousand (1,000) jobs generated in the United States, in the country, on a daily basis.”
Trump’s approaches to discourage offshore outsourcing…
According to Mike Pence, the U.S. Vice President elect, “Trump is also in the process of deciding whether to apply this goal of keeping one-thousand jobs in the country to other companies, so that they do not take jobs overseas on a daily basis.” The United States Vice President, Mike Pence, said this on Sunday.
Pence Continued, “Last week, Trump reached a deal to prevent a unit of United Technologies Corp Carrier from taking jobs down to Mexico. This could be a proof that this present administration may confront firms based in the United States whenever it is needful, and would employ some motivating tactics (a carrot-and-stick method) to ensure that firms would desist from off-shoring jobs.”
“The Carrier deal comprised of features that included tax breaks of $7 million, in order to motivate United Technologies to retain the jobs it intended to ship to Mexico from Indiana.”
Additional approaches employed by Trump to discourage offshoring were obvious on Twitter this past Sunday as Donald Trump brought back his campaign threat of a 35% tariff on imported products from companies that shipped production offshore.
Trump said, “Please, be warned ahead of time before making a grave mistake of shipping jobs overseas; you may face consequence or retribution for doing so.”
So, what would become of these companies’ continuous existence since they’ve leveraged offshore outsourcing all these years to lower overhead costs and generally boost their profits?
Well, let’s keep our hands crossed and watch out where all these are tending to and how companies, businesses and corporate entities will take this latest development on outsourcing.
But, the fact remains that outsourcing will continue to be one of the best ways for companies and businesses to boost their income and promote their continuous existence, especially in these hard times and lingering economic downturn.
Daven Michaels is a New York Times Best Selling Author and CEO of premiere global outsourcing company, 123Employee. The company employs hundreds of young bright individuals on three continents. His International event, Beyond Marketing Live! Inspires entrepreneurs build & grow their business with revolutionary new theories and systems allowing them to design the business and personal lifestyle of their dreams.