First it was GM, now Ford offshoring its production overseas

After President Obama nationalized General Motors back in 2009, the car company that was once the greatest corporation in American history changed course and began moving its operations out of the once grand city of Detroit, and across the Pacific where they built four new plants over the past six years.  Now on Nov. 30, the Ford Motor Company is following in these footsteps and under a new labor agreement signed with the United Auto Workers (UAW), will see the famous auto manufacturer offshore some of its own production and labor, while at the same time hiring lower wage workers for the jobs that will remain in the United States.

Welcome to the vision that is TPP.

Ford Motor Co. said its new four-year contract with the UAW will increase its U.S. labor costs by less than 1.5 percent annually by letting the company hire more low-cost workers and move production to factories in other countries.

The agreement – ratified by 51.3% of Ford production workers allows..

The contract allows Ford to hire an unlimited number of entry-level workers, who start at a lower wage than veterans, after a previous limit of 20 percent of its workforce as new hires.

In addition, Ford said it will be able to use more temporary workers, who also are paid less.

The agreement gives the automaker “the flexibility to leverage Ford’s global manufacturing footprint to improve cost competitiveness,” according to the statement.

The Ford deal, the richest of the contracts the UAW negotiated with the Detroit 3 this fall, promises $9 billion in factory upgrades and expansions that create or keep 8,500 jobs in the U.S. The pact provides across-the-board raises and $10,000 in bonuses upon ratification.

So to translate – union workers just agreed a contract which “creates or keeps” some jobs – sounds familiar; provides some short-term bonuses… but enables Ford to offshore American production and rotate from high-paid to low-paid jobs. – Zerohedge

And perhaps as a caveat to this, most of the lower wage ‘American jobs’ will probably go to foreign immigrants who have been the primary winners in Obama’s job creation since he came into office in 2009.

domestic vs foreign August 2015

And for September 2015


The former motto of Made in America has long been scuttled from the American landscape, thanks in part to NAFTA and the internationalization of corporations and labor.  And when two of the largest and most historic companies in the pantheon of U.S. industry choose to move to China rather than resurrect the past glory that was the American economy in exchange for cheaper labor, then it denotes the end of America’s chapter in the annals of prosperity and is just another block in the road towards the Far East seizing control over global production, and the economy of tomorrow.

Kenneth Schortgen Jr is a writer for,, and To the Death Media, and hosts the popular web blog, The Daily Economist. Ken can also be heard Wednesday afternoons giving an weekly economic report on the Angel Clark radio show.

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