EXPORTING AMERICA & ILLEGAL IMMIGRATION
The 'Elite' is Shattering the American Dream
Oh, Where Have All
The Jobs Gone?
And American Jobs
By Norma Sherry
Exporting U.S. Jobs
by William Norman Grigg
An engineered exodus of manufacturing and hi-tech jobs threatens to abolish the American middle class — the bulwark of a free society.
‘‘We were middle class," lamented former textile worker Jimmy Bennett in an interview with the Washington Post, before hastily correcting himself: "We still are." Jimmy and his wife Verleen, residents of Kannapolis, North Carolina, were among the nearly 6,500 employees of the Pillowtex towel factory laid off in early August.
Just two years ago, reported the August 9th Washington Post, the Bennetts had bought a modest $100,000 home, "confident their combined wages … would continue to support the comfortable lifestyle that had long eluded their parents." Like many of their former colleagues, the Bennetts, who both work part-time at near minimum wage, quickly sold many of their household amenities to get by on roughly half their previous take-home pay.
Thousands of other former Pillowtex workers "are fending off eviction notices, car repossessions and home foreclosures, and making difficult choices about which prescription drugs to skip and which utilities to turn off," reported the Post. "People are turning off cellphones, cutting cable TV, and pleading with creditors," added the August 5th Christian Science Monitor. "Already, 200 have had their water shut off."
The Monitor describes the Pillowtex closing as an event akin to a natural disaster. But it wasn’t a destructive caprice of nature that shut down the plant. Rather, as the paper observes, the firm was overwhelmed by "a flood of imports from China." Resulting in the largest one-day layoff in the history of North Carolina, the Pillowtex bankruptcy dramatically exemplifies the devastation being wrought throughout America’s manufacturing economy as our trade deficit with Communist China grows.
As the Monitor reports, "Manufacturing businesses, from electronics to furniture and fishing lures, are closing their doors or moving production to China.... Three members of the president’s cabinet on a cross-country jaunt to promote the Bush economic plan have gotten an earful from angry businesspeople trying to compete with Chinese imports made by workers getting 50 cents an hour."
Charles Bremer of the American Textile Manufacturers Institute points out that as textiles from Communist China and Vietnam flood the American market, "People are moving jobs faster than you can count." In 2008, all import quotas on Chinese textiles will be removed. "At that point," predicts Bremer, "the Chinese will completely dominate the market."
Ironically, at least some of the future textile imports from China will probably be produced on looms from Pillowtex’s Kannapolis facility — but those looms will be in China, operated by Chinese workers. The August 7th Charlotte Observer reported that "looms and other machinery [from Pillowtex] likely will be removed from plants, packed and shipped to manufacturers in China, Pakistan, and India...."
Manufacturing in Decline
As the erosion of America’s manufacturing base accelerates, communities across the nation are experiencing economic ruin similar to that of Kannapolis.
This summer, 10 plants operated by the Hooker Furniture Corporation were shut down. These factories were shuttered even though the company’s profits had grown in recent years "largely by outsourcing to cheaper manufacturers abroad," reported ABC News on August 14th.
"Every time we’ve asked them to step up, they’ve done it," commented Hooker CEO Paul Toms of the employees who lost their jobs. "I feel like we’ve let these folks down, and I don’t know what I’d do different.... It’s unlike anything I’ve seen in my 21 years in the industry. A lot of plants have closed, people have been sent home, and it really has come quicker than anybody expected. I think it’s hard to say, three, four, five years from now, what will this industry look like domestically."
As with the American textile industry, our furniture industry is being decimated in uneven competition with low-wage nations like Communist China. The Chinese "have millions of people that they’re trying to have employed so it’s hard to fault them," Toms opines. "But I think that at some point, this country has to think about what’s best for us.... You have industries and examples of predatory pricing. That’s the risk we run not just in furniture, but in any industry that we’re letting leave this country."
Andrew Brod is an economic analyst in Kernersville, North Carolina, where Hooker closed a plant formerly employing hundreds. He told ABC News that many American companies, rather than making capital investments in the U.S., have decided to "funnel investments abroad, many to China itself...." "Some have contracted with Chinese producers, but others have entered into joint ventures to establish new factories [and] to refurbish existing factories," Brod notes.
The closing of the Kernersville Hooker plant is already having a local economic impact. "If I don’t work, I can’t go out and spend money to shop or buy what I need, so that’s going to put somebody else in jeopardy," observed former Hooker employee Mildred Stiles. Rather than being "that trickle-down thing," she continued, "I think it’s going to be more of a pour-down.... I think it’s going to hurt everybody concerned." In some economic circles, the phenomenon she describes is called the "race to the bottom" — the sudden, rapid decline of an entire population from the middle class to near-subsistence living.
Our nation’s manufacturing sector has been the gateway to the middle class for untold millions of Americans, resulting in unprecedented national prosperity. What will America look like if manufacturing jobs continue to be outsourced to low-wage foreign competitors? Surveying Kernersville’s grim economic prospects, Brod declares: "In part, the answer to that question is, ‘What sort of America do you see now?’ It’s here already."
Grim portents abound for other manufacturing-dependent communities and for our nation as a whole. An academic study compiled in 2001 for the U.S.-China Security Review Commission and the U.S. Trade Deficit Review Commission reports: "In the months since the enactment of Permanent Normal Trade Relations (PNTR) legislation with China there has been an escalation of production shifts out of the U.S. and into China.... [B]etween October 1, 2000 and April 30, 2001 more than eighty corporations announced their intentions to shift production to China...." Since 1992, "as many as 760,000 U.S. jobs have been lost due to the U.S.-China trade deficit," with a comparable number of jobs disappearing because of outsourcing to Mexico. "The employment effects of these production shifts go well beyond the individual workers whose jobs were lost," continues the report. "Each time another company shuts down operations and moves work to China, Mexico, or any other country, it has a ripple effect on the wages of every other worker in that industry" — in other words, accelerating the "race to the bottom."
The August 25th Financial Times reported that Communist China is "rapidly catching up with the U.S. as the world’s most popular location for foreign investment": Last year, China attracted a record $52.7 billion in foreign investment, "more than any other country." "China has been widely blamed in developed countries for flooding the industrialized world with cheap goods," commented Alan Ruskin of the 4Cast economic consulting group. "But Western investment is largely making this rise in productive capacity possible."
Mercury Marine, the manufacturer of small boat engines and the largest employer in Wisconsin’s Fond du Lac County, has announced that it "will shift some production to China within the next three years," reported the August 8th Appleton, Wisconsin, Post-Crescent. Five days earlier, the Milwaukee Journal Sentinel reported: "A small group of Mercury Marine employees from China are coming to Fond du Lac to tour the plant … but not to take work to China, [company communications manager Steve] Fleming said." But at some American companies, such visits by Chinese employees have foreshadowed outsourcing manufacturing jobs there.
The northwest Indiana town of Valparaiso confronts the prospect of losing a local plant operated by Magnequench, an electronics firm acquired in 1995 by a consortium including Chinese industrial interests. If the plant is moved to China, 225 local residents will lose their jobs. Even more shocking is the fact that the Magnequench facility in Valparaiso "makes 80 percent of rare earth magnets used in smart bombs," according to the Chesterton Tribune.
The erosion of the U.S. industrial base "has enormous national security implications," reported the August 2003 issue of National Defense magazine. "It has made the United States so dependent on foreign countries for critical components and systems that it may have lost its ability to control its supply chains. The United States is becoming dependent on countries such as China, India, Russia, France and Germany for critical weapons technology. It’s conceivable that one of these governments could tell its local suppliers not to sell critical components to the United States because they do not agree with U.S. foreign policy."
Writing in the June 2002 issue of Harper’s magazine, business analyst Barry Lynn points out that many of America’s premier corporations — including key defense-related firms — now consider themselves "virtual companies" depending on a complex and widely dispersed network of suppliers around the world. Dell Computer, for example, assembles its computers out of 4,500 parts manufactured in various Asian countries, including Communist China. Dell — an important defense contractor — maintains an inventory sufficient for only four days’ production. If its supply line were interrupted for more than 96 hours, Dell’s Texas plants would cease production.
Simply put, "the U.S. industrial base is being taken apart, piece-by-piece, and relocated to other nations," conclude trade analysts Pat Choate and Edward Miller. "In the process, much of America’s industrial and military production base is being sold to foreign interests, and more importantly a significant portion of it is being physically relocated into other nations, including our most likely strategic rival — China."
For more than a century and a half, America’s manufacturing economy attracted hardworking people from around the world eager to become Americans. Manufacturing jobs offered these new arrivals entrée into the middle class and helped them assimilate into our nation’s civic culture. But as former Treasury Department official Paul Craig Roberts points out, "The loss of high productivity jobs takes away the ladders of upward mobility and wipes out our human capital."
As our manufacturing base is being stripped away, Americans may someday find it necessary to emigrate to find manufacturing jobs. Case in point: A machinist employed for several years at a major Wisconsin-based multinational firm — the father of a large family — described to The New American how he was told by his employer that within several years he may have to "relocate to China" if he wants to keep his job.
A "Political Thing"
John C. McCoy, owner of Omnitech Technical Associates in Bellingham, Washington, commented to The New American that "China is being set up as the center of global manufacturing. They have a huge supply of cheap labor, cheap power, and very modern production facilities. Many, perhaps even most, of the Chinese-made products being unloaded on our docks and reaching our store shelves are assembled in automated plants, and dropped into shipping boxes without ever being touched by human hands." Many of those ultra-modern Chinese plants have been built by Japanese firms, but others have been built in recent years by U.S.-based multinational corporations.
McCoy, an activist with a group called Save our American Manufacturing (SAM), points out that outsourcing to China has exploded because of a chain reaction. "Once tooling capacity is lost, manufacturing simply has to move," he told The New American. "People running companies in this country generally don’t want to go offshore. But once the process got started, it snowballed, because the specialized tooling capacity started to shut down — and it takes a long time to re-tool, too long to remain competitive in this globalized economy."
Behind the Decline
McCoy describes our declining manufacturing base as "a political thing," rather than the result of market forces or irresponsible corporate greed. "Present American policy has lost touch with knowledge of how goods are produced," he contends. "America without the capacity to renew and invent products will perish. The most important key to our renewal, apart from the entrepreneurial spirit, is the ability to engineer, and make tooling. Under current trade policy these assets are quickly disappearing, being traded away. And once they’re gone, we may never get them back."
The Communist Chinese regime enjoys an unnatural competitive advantage over American manufacturers because it essentially employs slave labor. That advantage is compounded by our own government’s perverse insistence on subsidizing, via the Export-Import Bank (Ex-Im), the relocation of U.S. corporations to China. The Ex-Im Bank was created by the FDR administration in 1934 for the purpose of encouraging business investment in the Soviet Union. Through Ex-Im, corporate investments in China are subsidized, and any losses incurred are socialized (that is, picked up by U.S. taxpayers) — while the profits remain private and legitimate market competition is undermined.
Government-subsidized corporate relocation to China also accelerates the process described by McCoy, in which Beijing’s manufacturing sector "tools-up" even as ours "tools-down." As the May 1998 issue of Harvard Business Review reported, American companies seeking to do business in China "face many requirements to transfer technology or to export a certain percentage of their products made in China. Controls on foreign exchange keep them from moving funds freely out of the country."
"Every firm that sets up for production in China has to turn over its technology," Jerry Skoff, owner of Badger Metal Tech in Menominee Falls, Wisconsin, pointed out to The New American. "Intellectual property theft by the Chinese is very common. And any investment banker familiar with the Chinese system will tell people preparing to set up over there that they should pad their expenses by at least 40 percent to allow for the graft, bribes, and other payoffs involved in doing business over there." Given the pandemic corruption of the Chinese system, the federal government’s role in socializing risks and losses for U.S.-based firms looms even larger.
Many U.S. companies were lured to China by the prospect of a vast, untapped consumer market. But rather than selling goods in China, American companies are exporting goods from there — and completing the circuit by sending jobs and plants back to China. Consequently, observed Richard Bernstein and Ross H. Munro in their 1997 book The Coming Conflict with China, "China has been getting American investment capital and reaping windfall trade surpluses at the same time. As a result, China is one of the leading foreign-exchange-reserve countries in the world — a bizarre situation for a poor and developing country."
Beijing benefits greatly from China’s trade surplus because it can subsidize predatory trade practices — such as directing subsidies into various manufacturing fields as a way of underbidding potential American competitors.
In an interview with the Christian Science Monitor, Jay Bender, owner of Falcon Plastics in Brookings, South Dakota, described "how one of his customers, a manufacturer of fishing lures, has decided to move its production from the U.S. to China.... [The fishing lure manufacturer] asked him to bid on molds to make the plastic bait. He bid $25,000 per mold. ‘That was a competitive price,’ he said." However, the potential customer found a Chinese source charging $3,000 for each mold. "I can’t even buy raw materials for that," Bender observes. "There are two possibilities: Either they are subsidized by the government, or they gave away the molds to get the manufacturing business." To remain in business, Bender has had to lay off nearly one-third of his workforce.
"We’re killing ourselves," laments Jerry Skoff. "Bombs are falling, but people aren’t paying attention. We’re being reduced from a manufacturing and hi-tech economy into a service economy — and if things continue the way they are, the service sector will eventually go the same direction."
Abolishing the Middle Class
At the end of the process Skoff describes is the eradication of the American middle class — derisively referred to as the "bourgeoisie" by Karl Marx. "We’re basically liquidating our whole middle class, polarizing people on the two extremes, haves and have-nots," warned Roger Chastain, president of Mount Vernon Mills, in an interview with the Durham Herald. "We’ll be a third world country."
"It makes me wonder if there is some merit to the ‘conspiracy theory’ — the idea that all of this is part of a deliberate scheme to wipe out the middle class," Jerry Skoff mused to The New American. "The middle class is always a pain in the neck where government’s concerned. It’s where you find most of the people who complain about taxes, regulations, and other policies. If you wipe them out, you just have the ultra-rich and the poor — a perfect arrangement for a dictatorship."
The shipment of American jobs to cheap foreign labor markets threatens not only millions of workers and their families, but also the American way of life. With the pay of corporate CEOs at historical highs and job creation at the lowest level since the Depression, corporate raiders are breaking down our borders in search of the lowest-price labor available anywhere in the world. For the first time in history, corporations are laying off Americans from well-paying jobs and replacing them with low-paid foreign workers. A recent study revealed that 14 million American jobs are now at risk of being outsourced overseas.
Make no mistake, Corporate America isn't doing all this alone: Big business and Washington are in cahoots, trading our nation's livelihood for short-term gain and Lou Dobbs's bold new book takes dead aim. A stirring call to arms and an invaluable prescriptive guide to dealing with the issue, EXPORTING AMERICA tells readers what they can do to save not only their own jobs, but the American dream.
Exporting America: The list
Here is a list of companies have been confirmed as "Exporting America." These are U.S. companies either sending American jobs overseas, or choosing to employ cheap overseas labor, instead of American workers.
A. Schulman, Inc.
Aavid Thermal Technologies
Advanced Energy Industries
Affiliated Computer Services
A.H. Schreiber Co.
Air Products & ChemicalsÊ
Alamo Rent A Car
Albany International Corp.
Allen-Edmonds Shoe Corporation
Allen Systems Group
Alliance Fiber Optic Products, Inc.
Alpha Thought Global
Ames True Temper
American Management Systems
American Uniform Company
Applied Micro Circuits Corp.
Anchor Glass Container
Anderson Electrical Products
Ansell Health Care
Ansell Protective Products
Apparel Ventures, Inc.
Applied Micro Circuits Corp.
Arimon Technologies, Inc.
Arkansas General Industries
Arlee Home Fashions
Art Leather Manufacturing
Asco Power Technologies
Atchison Products, Inc.
Authentic Fitness Corporation
Automatic Data Processing
Axiohm Transaction Solutions
Azima Healthcare Services
Bank of America
Bank of New York
Bard Access Systems
Barth & Dreyfuss of California
Bassler Electric Company
Bausch & Lomb
BBi Enterprises L.P.
Bemis Manufacturing Co.
Besler Electric Company
Bestt Liebco Corporation
Bijur Lubricating Corp.
Black & Decker
Black Diamond Equipment
Blue Cast Denim
Bristol Tank & Welding Co.
Brown Wooten Mills Inc.
Buck Forkardt, Inc.
Burlington House Home Fashions
Burlington Northern and Santa Fe Railway
Cadence Design Systems
California Cedar Products Company
Capital Mercury Apparel
Carris Financial Corp.
Centurion Wireless Technologies
The Cherry Corporation
Clear Pine Mouldings
Cognizant Technology Solutions
Collins & Aikman
Columbia Showcase & Cabinet Company
Computer Sciences Corporation
Cooper Power Systems
Cooper Tire & Rubber
Cooper Wiring Devices
Corning Cable Systems
Corning Frequency Control
Cross Creek Apparel
Davis Wire Corp.
Del Monte Foods
Delta Air Lines
Document Sciences Corporation
Dorr-Oliver Eimco USA, Inc.
Douglas Furniture of California
Dun & Bradstreet
DuPont Beaumont Works
e-Gain Communications Corp.
Egs Electrical Group
Ehlert Tool Company
Electronic Data Systems
Electronics for Imaging
Elkins Hardwood Dimension
Emerson Power Transmission
En Pointe Technologies
Ernst & Young
Essilor of America
Evergreen Wholesale Florist
Evy of California
Exfo Gnubi Products Group
Farley's & Sathers Candy Co.
Fayette Cotton Mill
Federated Department Stores
Fender Musical Instruments
Financial Techologies International
Findlay Industries Finotex
First American Title Insurance
Friedrich Air Conditioning Co.
Fruit of the Loom
GE Medical Systems
G.E. Packaged Power
General Binding Corporation
General Cable Corp.
Generation 2 Worldwide
Glacier West Sportswear
Global Power Equipment Grp.
Golden Northwest Aluminum
Gold Toe Brands
Goodyear Tire & Rubber
Goss Graphic Systems
Graphite Design International
Green Bay Packaging
Grove U.S. LLC
Guardian Life Insurance
Gulfstream Aerospace Corp.
Harman International Industries
The Hartford Financial Services Group
Hasbro Manufacturing Services
Hawker Power Systems, Inc.
Helen of Troy
Hoffman Enclosures, Inc.
The Holmes Group
The HON Company
Hooker Furniture Corporation
Hutchinson Sealing Systems, Inc
Illinois Tool Works
Imperial Home Decor Group
Indiana Knitwear Corp.
Intalco Aluminum Corp.
International Garment Processors
International Steel Wool Corp.
Iris Graphics, Inc.
Isola Laminate Systems
Iteris Holdings, Inc.
ITT Educational Services
Johnson & Johnson
Kayby Mills of North Carolina
Kelly-Springfield Tire Co.
Kendro Laboratory Products
Key Safety Systems
Key Tronic Corp.
Knight Textile Corp.
Kojo Worldwide Corporation
Kulicke and Soffa Industries
L.A. Darling Company
Lake Village Industries
Leech Tool & Die Works
Legendary Holdings, Inc.
Leoni Wiring Systems
Leviton Manufacturing Co.
Linq Industrial Fabrics, Inc.
LNP Engineering Plastics
Louisville Ladder Group LLC
Ludlow Building Products
Magma Design Automation
Maida Development Co.
The Manitowoc Company
Marge Carson, Inc.
Marine Accessories Corp.
Marko Products, Inc.
Materials Processing, Inc.
Maxim Integrated Products
McKinsey & Company
Measurement Specialties, Inc.
Mentor Graphics Corp.
Meridian Automotive Systems
Merit Abrasive Products
Micro Motion, Inc.
Midwest Electric Products
Modern Plastics Technics
Money's Foods Us Inc.
Monona Wire Corp.
Motion Control Industries
Motor Coach Industries International
Mrs. Allison's Cookie Co.
MTI Technology Corporation
Munro & Company
My Room, Inc.
National City Corporation
National Electric Carbon Products
Newell Porcelain Co.
Newell Window Furnishings
New World Pasta
New York Life Insurance
Nice Ball Bearings
Noble Construction Equipment
Nu Gro Technologies
O'Bryan Brothers Inc.
Ohmite Manufacturing Co.
Old Forge Lamp & Shade
The Oligear Company
Olympic West Sportswear
O'Neal Steel Inc.
Oplink Communications, Inc.
Outsource Partners International
Owens-Brigam Medical Co.
Pacific Precision Metals
Paper Converting Machine Co.
Parallax Power Components
Parks & Wolson Machine Co.
Pass & Seymour Legrand
Pearson Digital Learning
Peavey Electronics Corporation
Pendleton Woolen Mills
PerkinElmer Life Sciences, Inc.
Pinnacle West Capital Corporation
Plaid Clothing Company
Polymer Sealing Solutions
Port Townsend Paper Corp.
Pratt & Whitney
Procter & Gamble
Q.C. Onics Ventures
Quickie Manufacturing Corp.
Rawlings Sporting Goods
RCG Information Technology
Regal Ware, Inc.
Respiratory Support Products
R.G. Barry Corp.
Richardson Brothers Co.
River Holding Corp.
Robert Mitchell Co.
Rochester Button Co.
Rohm & Haas
Roper Industries, Inc.
RR Donnelley & Sons
S & B Engineers and Constructors
Saturn Electronics & Engineering
Schott Scientific Glass
The Scott Fetzer Company
Seal Glove Manufacturing
Seco Manufacturing Co.
SEMCO (Southeastern Metals Manufacturing)
Shipping Systems, Inc.
S.H. Leggitt Co.
Sights Denim Systems, Inc.
Signet Armorlite, Inc.
Silvered Electronic Mica Company
Simmons Juvenile Products
Simula Automotive Safety
SNC Manufacturing Company
Sola Optical USA
Solon Manufacturing Co.
Sonoco Products Co.
Specialized Bicycle Components
Spicer Driveshaft Manufacturing
Springs Window Fashions
Standard Textile Co.
State Farm Insurance
Store Kraft Manufacturing
StrategicPoint Investment Advisors
Strattec Security Corp.
STS Apparel Corporation
Superior Uniform Group
The Sutherland Group
Sweetheart Cup Co.
Takata Retraint Systems
Techalloy Company, Inc.
Tee Jays Manufacturing
Texaco Exploration and Production
Thomas & Betts
Thomas Saginaw Ball Screw Co.
Three G's Manufacturing Co.
Thrivent Financial for Lutherans
The Timken Company
Tingley Rubber Corp.
The Toro Company
Torque-Traction Mfg. Tech.
Toys "R" Us
Trek Bicycle Corporation
UCAR Carbon Company
Union Pacific Railroad
UnitedHealth Group Inc.
United Plastics Group
United States Ceramic Tile
Universal Lighting Technologies
Valeo Climate Control
Valeo Switches & Detection Systems
Vaughan Furniture Co.
Vestshell Vermont, Inc.
Vilter Manufacturing Corp.
Virginia KMP Corporation
Wabash Alloys, L.L.C.
Washington Group International
Webb Furniture Enterprises
Wellman Thermal Systems
West Point Stevens
Williamson-Dickie Manufacturing Company
Wolverine World Wide
Woodstock Wire Works
ZettaWorks Zimmerman Sign Company
Exporting Jobs, Importing Cheaper Wages
Jon E. Dougherty, NewsMax.com
Thursday, Feb. 26, 2004
Our political elite have consigned American workers to perpetual wage stagnation, thanks to their pursuance of self-destructive "free-trade" policies which essentially have forced employers to export good-paying jobs while importing cheaper wages.
Conspiracy theories aside, the much-heralded free-trade policies embraced by both major parties has resulted in an overall job loss for American workers in the decade since its passage.
These are jobs that have permanently been relocated to places like India, China, Mexico, Malaysia and Sri Lanka, even as more and more U.S. firms and businesses utilize cheap imported labor.
Worse, the Bush administration has just floated the idea of a new permanent wage depreciation policy for American workers, via an illegal alien-worker amnesty scheme purportedly to impress Hispanic voters.
This will be accomplished through a plan to essentially create a high-tech classifieds section on the Department of Labor Web site. According to administration officials, employers would post their jobs on this site, and any jobs not filled by Americans within a certain time frame would then be offered to immigrants – legal or otherwise.
My first question is how poor illegals from south of the border will be able to gain Internet access, but I don't dare ask too loudly, lest that become the next illegal immigrant entitlement.
But more important, however – as Pat Buchanan pointed out recently – is the probability employers will post jobs at far below current pay scales, just to be able to attract lower-wage earning immigrants and save themselves the higher rates of pay needed by American workers.
But not to worry. After all, most of these are "old economy" manufacturing jobs that are beneath the 21st century American worker, aren't they? In a word, no.
Not all Americans are college material. Some simply have no choice but to find a low-skill or menial labor job in order to make a living. If all of those jobs are taken away, what will these American workers do?
There is also a trend now among employers to transfer an increasing number of white-collar jobs overseas as well. In many cases, employers are adding insult to injury by making American employees train their replacements.
The trend in American corporate circles is to export jobs while hiring cheaper "domestic" help to fill labor needs at home. In the end they have the best of both worlds in that no matter where they seek employees, they will be able to cut their most expensive line item: the cost of labor.
While the White House's latest "guest worker" scheme will certainly exacerbate this phenomenon, a plan being floated by Democrats is worse.
Under their proposal, they want to make it possible for illegals to be given full citizenship after a period of time spent working in the U.S. At least the Bush wouldn't convey this coveted prize.
Still, it may not matter. Border Patrol agents have reported a surge in illegal immigrants caught trying to sneak in who say they came to America to take advantage of "jobs offered by President Bush."
And of those who are already living and working in our country illegally, giving them legal status won't necessarily transform them into model citizens. Scores of illegals would choose to remain a citizen of their native lands, but milk the much better American job market and send the proceeds home. Mexican migrants are already doing that, to the tune of $15 billion and more a year.
The future of American employment and the road to prosperity is on the line. For the cheap and extremely short-term goal of currying political favor with "key" constituencies, our politicians have nearly destroyed the profit-generating, free-market business climate perfected over the centuries by American ingenuity.
Maybe U.S. companies feel they have to import cheap wage earners and export American jobs just to stay viable. After years of being the targets of retribution by liberal lawmakers; after suffering through tons of expensive, needless red tape; after decades of strangling over-regulation; perhaps CEO's feel they have no other choice but to take advantage of "free trading" American jobs for profits.
Whether or not that's true, any guest worker program that provides jobs for millions of illegal immigrants is a policy guaranteeing the continued atrophy of American labor coupled with the importation of cheap wages.
Indeed, it's already happening.
Jon E. Dougherty is a reporter for NewsMax.com and author of the book "Illegals: The Imminent Threat Posed by Our Unsecured U.S.-Mexico Border."
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Social Security checks could go south of border
Gannett News Service
Dec. 10, 2003 12:01 AM
WASHINGTON - U.S. and Mexican officials are discussing an agreement that would allow millions of Mexicans to return home and still collect U.S. Social Security benefits.
The controversial proposal that could transfer hundreds of millions of dollars in Social Security payments south of the border has riled some Republican lawmakers. They worry that it could reward scores of undocumented Mexican immigrants with a U.S. pension, draining the country's Social Security trust fund at a time when its future solvency is in doubt.
"Talk about an incentive for illegal immigration," said GOP Rep. Ron Paul of Texas. "How many more would break the law to come to this country if promised U.S. government paychecks for life?"
Supporters of the proposal argue that Mexican immigrants, documented and undocumented, pay millions, if not billions, of dollars in payroll taxes and have the right to claim Social Security benefits.
"Let's be honest, there are millions of Mexican immigrants contributing to the Social Security system and the U.S. economy," said Katherine Culliton, an attorney with the Washington, D.C., office of the Mexican American Legal Defense and Education Fund. "It's only fair they get back a benefit they deserve that will keep them from dying in poverty."
Final approval of any U.S.-Mexican "totalization" agreement is up to the Republican-controlled Congress. The Bush administration supports such an accord as a way to improve U.S.-Mexican relations.
And Mexico is prepared to administer an agreement, Social Security Commissioner Jo Anne Barnhart told lawmakers at a congressional hearing earlier this year. U.S. officials said they are satisfied that the two countries could exchange information easily on potential Social Security recipients. Details of how to put the agreement into effect still need to be worked out.
Under a totalization agreement between two countries, workers could accumulate enough credits to qualify for Social Security benefits in either country.
20 other accords
The federal government began pursuing such agreements in 1977 to help make Americans sent abroad by their employers eligible for Social Security benefits. Today, the United States has pacts with 20 countries, mostly in Europe. Congress has never rejected an agreement.
In 2001, the federal government paid out $173 million in Social Security benefits to about 89,000 foreigners living abroad, a fraction of the $408 billion distributed the same year to 45 million U.S. residents.
But a U.S.-Mexican agreement would dwarf the accords with other countries, critics of the proposal say. They point out that the combined number of recipients from those 20 countries is tiny compared with the potentially vast number of Mexican citizens who could become eligible for Social Security.
"None of those countries have public policies that encourage illegal immigration to the United States," said Republican Rep. John Hostettler of Indiana, chairman of the House Judiciary Subcommittee on Immigration, Border Security and Claims.
Social Security Administration officials estimate that about 50,000 Mexicans would collect $78 million in the first year of a U.S.-Mexican agreement. They predict that by 2050, 300,000 Mexicans would collect $650 million in benefits a year.
But a recent General Accounting Office report said those numbers failed to account for the presence of many potentially eligible, undocumented Mexican immigrants and their families.
Census figures show that the United States is home to 9 million Mexican citizens. More than half, about 5 million, reportedly are in the United States illegally, according to federal estimates.
Barnhart assured lawmakers that undocumented immigrants do not get Social Security benefits.
"That's a myth," she said. "As is the case with our existing agreements, a totalization agreement with Mexico would not alter current law on this issue."
Proof of eligibility
That's true, but a provision in the Social Security Act allows undocumented immigrants to get Social Security benefits if the United States and another country have a totalization agreement. Those immigrants would have to prove they had paid into the U.S. system.
Former undocumented immigrants also could become eligible if they later become legal residents. A recent investigation by the Office of Inspector General at the Social Security Administration found two such cases.
In one, a Mexican man who used his father's Social Security number for nine years in the 1970s claimed after becoming a legal resident in 1989 that he was owed benefits. He began collecting benefits in 1999.
And a Mexican woman who worked illegally under an invalid Social Security number for six years in the 1990s later petitioned for credit. She began receiving disability benefits in 1999.
"(The agency) does not consider the work-authorization status of the individual when they earned the wages," the inspector general's report said. "It only considers whether the individual can prove he or she paid Federal Insurance Contribution Act (FICA) taxes as part of this work."
To qualify for Social Security benefits, Mexicans must prove they worked in the United States at least 18 months. Payments are made on a prorated basis, depending on years worked in the United States. Those who work at least 10 years automatically would qualify for full benefits. Those who also worked in Mexico for a specific period of time could collect benefits in their home country, too.
U.S. companies and their American employees working in Mexico also would benefit under the agreement. By not having to pay Social Security taxes to the Mexican government, Social Security Administration officials estimate American workers and their employers would save $134 million each year.
David John, a Social Security expert with the conservative Heritage Foundation said he's disappointed the proposed agreement with Mexico has been twisted into an emotional debate over U.S. immigration policy.
"Sadly, this whole thing has been hijacked by people on both sides of an issue that must be resolved in a totally different arena," he said. "It shouldn't be part of the discussion in putting together a boring technical agreement between two countries."
Sergio Bustos is a reporter for The Arizona Republic and Gannett News Service. Reach him at firstname.lastname@example.org .
SUPPORT AMERICAN FAMILIES
MADE IN U.S.A.
BUYING CHEAP IMPORTED PRODUCTS SUPPORTS SLAVE LABOR IMPOSED BY REPRESSIVE GOVERNMENTS.
GIVING JOBS TO ILLEGAL (CRIMINAL) ALIENS TAKES JOBS AWAY FROM AMERICAN WORKERS.
YOUR JOB COULD BE NEXT!
IF IT'S NOT MADE IN USA IT SHOULD NOT BE SOLD IN USA! CHINA DOES NOT ALLOW US TO SELL OUR GOODS IN THEIR COUNTRY, WAL MART HAD TO AGREE TO SELL ONLY CHINA MADE GOODS TO BE ALLOWED TO OPEN A WAL MART STORE IN CHINA
STOP CORPORATE GREED
Is a Terrorist Army Massing in the US?
Sun Aug 29, 2004 05:43
Is a Terrorist Army Massing in the US?
By Alan Caruba
Aug 28, 2004, 12:00
Is there is an invisible army of terrorists gathering in America today? The mainstream media and the Bush administration do not want to talk about it.
In July, Defense Watch reported that, in Arizona, an area called the Naco Strip has become a primary route of illegal entry by “significant numbers of Arab-speaking males.” It took a small town weekly newspaper, the Tombstone Tumbleweed, to reveal that, “males of possible Syrian and Iranian descent have been detained in the past few weeks.” Since October 1, 2003, 5,510 illegal aliens designated “Other Than Mexican” (OTM) have been apprehended while crossing the Arizona terrain. These OTM’s are not here to pick vegetables, mow lawns, pluck chickens, or wash cars.
Just do the math. If only five Muslim terrorists crossed the border every day for a year that would add up to 1,825 people ready to do the bidding of Osama bin Laden. If this has been going on for just the years since 9-11, that’s an army of 5,475. Then, too, there are an estimated 2.9 million Muslims in America. Extremists, worldwide, are estimated to be about ten percent of the overall population. Applied to the US, that represents a potential 290,000 American Muslims sympathetic to the Islamist cause. No matter how you slice and dice the numbers, it suggests that a substantial threat exists and is exacerbated by the failure to stop terrorists at our borders.
They constitute a virtual army of terrorists who, if not apprehended, could create a day of havoc from coast to coast when al Qaeda gives the signal. When that day comes, remember that you read about it here first.
Or, as some argue, there’s no proof that any al Qaeda operatives have crossed the border. If, however, any were captured, normal counter-terrorism procedures would be to deny this and seek to extract information from those in custody. The 9-11 operatives were here thanks to sloppy immigration procedures and, in the case of illegal aliens, the estimates are that eight to twelve million live among us. That is a huge margin for error.
The topic the Bush administration wants to stay away from until after November 2, Election Day is immigration. Some have called the Bush administration immigration policies “schizophrenic”, but they are not. They are globalist, i.e., the views of someone for whom national borders should be regarded as outmoded while we all join hands in one big, global neighborhood.
One can understand the “schizophrenic” label, given the hue and cry about Bush’s so-called unilateralism and willingness “to go it alone”, but this is the same administration that supports a variety of policies that are globalist, most of which come straight out of the United Nations. The way civics is taught in our schools today is designed to create generations of globalists for whom our national sovereignty and the Bill of Rights are just a bunch of 18th century “ideas.”
There are a number of problems with this see-no-evil immigration policy. On August 10, Jerry Seper of the Washington Times, reported that, under President Bush’s guest-worker program, “Millions of illegal aliens in the United States would be free from arrest and deportation, have access to tax-deferred savings accounts and Social Security credits, and get unrestricted travel to and from their home countries.” This constitutes a massive dollar transfer to Mexico.
Homeland Security Undersecretary, Asa Hutchinson, responsible for the nation’s borders and transportation security, has apparently lost his senses. In a recently reported response to questions from the Senate Judiciary Committee, Hutchinson supported the Bush immigration policies while acknowledging that the “incentives” being offered illegal aliens are generous to a fault. The National Border Patrol Council that represents 10,000 of the non-supervisory agents called the guest-worker plan a “slap in the face to anyone who has ever tried to enforce the immigration laws of the United States.”
In January 2004, the Mexican government acknowledged that the number of their people entering the US illegally had increased 66% from 1990 to 2002. Naturally, Mexico’s president, Vicente Fox, wants Bush to grant de facto amnesty to an estimated eight to eleven million illegal aliens already working in the United States, the majority of whom are Mexican. Amnesty and any other program of this nature is simply a reward for breaking the laws of the United States of America. There are even some voices suggesting they should be given the right to vote!
One little discussed cost of the open door policy being pursued by the Bush administration is the increase in the cost of law enforcement where illegal aliens gather in numbers. Right now, according to Seper, “About 80,000 illegal criminal aliens, including convicted murders, rapists, drug dealers, and child molesters who served prison time and were releases, are loose on the streets of America, hiding from federal immigration authorities.”
They don’t have to hide that hard. According the figures for 2002 from the former Immigration and Naturalization Service and from US Immigration and Customs Enforcement, more than 375,000 known illegal aliens have been ordered deported, but have disappeared pending immigration hearings. Lee Boyd Malvo, the sniper who terrorized the Washington, DC area, was one of them.
Recently, Brazil agreed to step up the policing of the Triple Border Area with Paraguay and Argentina. According to a Washington Times editorial, “It has long been identified as a fund-raising, training and procurement haven for diverse terrorist groups, including al Qaeda and Hezbollah.” The ease with which terrorists could be infiltrated into the US from these South American strongholds cannot be underestimated.
When the facts are examined, there are few good reasons to permit the massive daily influx of Mexicans and other illegal aliens, but there is one very good reason to shut it down completely.
Alan Caruba writes a weekly commentary, “Warning Signs”, posted on www.anxietycenter.com , the Internet site of The National Anxiety Center.
© Alan Caruba 2004
Copyright ©2000-2004. http://www.MichNews.com. All Rights Reserved.
Al Qaeda seeks tie to local gangs
By Jerry Seper
This Florida Department of Highway Safety and Motor Vehicles flier shows
Adnan G. El Shukrijumah, a Saudi national who may be plotting terrorist
attacks as part of al-Qaeda.
A top al Qaeda lieutenant has met with leaders of a violent Salvadoran
criminal gang with roots in Mexico and the United States including a
stronghold in the Washington area in an effort by the terrorist network
to seek help infiltrating the U.S.-Mexico border, law enforcement
Adnan G. El Shukrijumah, a key al Qaeda cell leader for whom the U.S.
government has offered a $5 million reward, was spotted in July in Honduras
meeting with leaders of El Salvador's notorious Mara Salvatrucha gang,
which immigration officials said has smuggled hundreds of Central and South
Americans mostly gang members into the United States. Although they are
actively involved in alien, drug and weapons smuggling, Mara Salvatrucha
members in America also have been tied to numerous killings, robberies,
burglaries, carjackings, extortions, rapes and aggravated assaults
including at least seven killings in Virginia and a machete attack on a
16-year-old in Alexandria that severely mutilated his hands.
The Salvadoran gang, known to law enforcement authorities as MS-13 because
many members identify themselves with tattoos of the number 13, is thought
to have established a major smuggling center in Matamoros, Mexico, just
south of Brownsville, Texas, from where it has arranged to bring illegal
aliens from countries other than Mexico into the United States. Authorities
said al Qaeda terrorists hope to take advantage of a lack of detention
space within the Department of Homeland Security that has forced
immigration officials to release non-Mexican illegal aliens back into the
United States, rather than return them to their home countries. Less than
15 percent of those released appear for immigration hearings.
Nearly 60,000 illegal aliens designated as other-than-Mexican, or OTMs,
were detained last year along the U.S.-Mexico border. El Shukrijumah, born
in Saudi Arabia but thought to be a Yemen national, was spotted in
Tegucigalpa, Honduras, in July, having crossed the border illegally from
Nicaragua after a stay in Panama.
U.S. authorities said al Qaeda operatives have been in Tegucigalpa planning
attacks against British, Spanish and U.S. embassies. Known to carry
passports from Saudi Arabia, Trinidad, Guyana and Canada, El Shukrijumah
had sought meetings with the Mara Salvatrucha gang leaders who control
alien-smuggling routes through Mexico and into the United States. El
Shukrijumah, 29, who authorities said was in Canada last year looking for
nuclear material for a so-called "dirty bomb" and reportedly has family
members in Guyana, was named in a March 2003 material-witness arrest
warrant by federal prosecutors in Northern Virginia, where U.S. Attorney
Paul J. McNulty said he is sought in connection with potential terrorist
threats against the United States.
A former southern Florida resident and pilot thought to have helped plan
the September 11 attacks, El Shukrijumah was among seven suspected al Qaeda
operatives identified in May by Attorney General John Ashcroft as being
involved in plans to strike new targets in the United States. Citing
"credible intelligence from multiple sources," Mr. Ashcroft said at the
time that El Shukrijumah posed "a clear and present danger to America."
In August, an FBI alert described him as "armed and dangerous" and a major
threat to homeland security. Earlier this month, Mr. Ashcroft confirmed
that U.S. border agents and inspectors had ramped up efforts to find El
Shukrijumah amid reports that the al Qaeda leader was thought to be seeking
entry routes into the United States along the U.S.-Mexico border. Mr.
Ashcroft noted that increased enforcement efforts were under way in the
wake of a rise of arrests of border jumpers from Afghanistan, Indonesia,
Iran, Iraq, Jordan, Pakistan, the Philippines, Saudi Arabia and Syria.
Authorities said Mara Salvatrucha gang members moved into the Los Angeles
area in the 1980s and developed a reputation for being organized and
extremely violent. The gang since has expanded into the Washington area,
including Virginia and Maryland, and into Oregon, Alaska, Texas, Nevada,
Utah, Oklahoma, Illinois, Michigan, New York, Georgia and Florida. More
than 3,000 Mara Salvatrucha gang members are thought to be in the
Washington area, with a major operation in Northern Virginia. Other gang
centers, authorities said, include Montgomery and Prince George's counties
and the Hispanic neighborhoods of Washington.
Mr. McNulty, whose office has prosecuted Mara Salvatrucha gang members, has
described the organization as the "gang of greatest interest" to law
enforcement authorities. He said gang members are recruited predominantly
from Hispanic communities and typically among juveniles, some as young as
13. Recruits are "jumped" into the gang by being beaten by members while
others count to 13, he said. Gang rules, he said, are indoctrinated into
new recruits and ruthlessly enforced.
Those who cooperate with law enforcement are given the "green light," he
said, meaning that the gang had approved their killing. In March, the Los
Angeles City Attorney's Office filed an injunction against Mara
Salvatrucha, charging that the gang's criminal activity constituted a
"public nuisance" based on the number of killings, robberies and drug
crimes. The injunction requires gang members, under public nuisance
statutes, to follow curfew rules and regulations and prohibits them from
associating, driving or appearing together in designated areas of the city.
Should the White House do more to legalize America's undocumented aliens?
The Bush plan will depress wages for all workers and open the floodgates to illegal immigration.
Seeing through Economic Fallacies:
Is America In Trouble for Lack of Manufacturing?
Stop the Invasion!
THE COMING DECLINE AND FALL
OF THE AMERICAN EMPIRE
The Invasion Of Illegal Aliens Threatens
Immigration Sell Out
"Economically, Bush is throwing American workers- white, black, Asian, Hispanic- into a Darwinian survival-of-the-fittest struggle for jobs with foreigners willing to do sweat-shop labor for wages that cannot sustain an American family" - Patrick J. Buchanan (WorldNetDaily.com, Jan 14, 2004)
Jobs, Immigration, and Outsourcing
American Patriot Friends Network
"....a network of net workers...."
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