How is outsourcing affecting American Citizens, its not only taking jobs away from us Americans but is also hurting our US economy. Outsourcing is when a company such as Apple sends jobs overseas to a country such as China and has factory workers there assemble the product for a much lower price. Yes this lowers the price of products but we have to take into account how many jobs this it taking from American citizens. Outsourcing jobs does lower the price of products but jobs should stay here in the US to build our economy and give American’s their jobs back.
The issue on outsourcing jobs is not only jobs being taken away from Americans but its hurting our economy. There are many other ...view middle of the document...
Companies overestimate the savings that will come from outsourcing by not taking into account what it cost to create the product out of house. Outsourcing also creates a negative affect on companies by loosing expertise that is inherited via outsourcing. (Outsourcing Ruining America's Economy and Devasting U.S. Workers | Economy in Crisis, 2013)
The way companies are taxed when they outsource also affects us. When I company outsources they are taxed less causing the government to receive less money which ends up giving Americans less. That money could be used to building new roads, bridges, school, etc. Jobs such as factory workers would employ many of the unemployed in America. Even jobs for the middle class are now being outsourced such as computer and technology. Not having a job doesn’t allow people to buy homes, pay taxes, or even profit companies. Companies outsourcing are not always about providing humane working conditions. Outsourcing also may not benefit other countries economy. (Ellis-Christensen, 2013)
Outsourcing has grown dramatically in the past few years due to the flexibility offered new information technology. Within the next five years it is estimated that $365 billon or 15 percent of financial service industry current cost will be moved off shore. (Federal Deposit Insurance Corpartion, 2013)
Large companies are sending a job overseas to foreign countries for what they save is creating saving. After you take into account everything that goes into sending the jobs overseas things such as shipping, management, and even a place for the workers to work. After all those cost are added up it gets more expensive than what companies says it is. (Harry, 2013)
Employees of these companies are losing their jobs as they are being shipped overseas. People who have built lives around these companies and created families and lifestyles based of their income, they are now unemployed. People and their families are trying to do anything possible to continue to live their lives it is difficult as jobs are being lost. Companies say that the saving created will create more job opportunities higher up the scale but this causes a few issues. It will take time for the move to become affect the company that greatly to create new jobs that high up the scale. Another is that the employees employed at the factory may not be skilled in the environment offered that high up the scale at a company. (Steve, 2012)
Till jobs are brought back to America citizens are unemployed not allowing them to spend money and money is what our economy needs to recover. We need money in circulation to not only recover but build our economy. People who are unemployed may have enough money to put a roof over their families and feed them but they do not have to money to buy things that factories create their fore money is not being spent and companies may actually be losing a lot more revenue than what they think. Also taxes are not being paid because items are not being...