Global Outsourcing and the World Trade Organization.

Essay by joannahooUniversity, Bachelor'sA+, February 2006

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Global outsourcing occurs when a company reconstructs its business and creates or moves certain departments overseas, out of the U.S. It's such an easy concept to understand but has created much controversy. Because of the elections, politicians have exploited the effects that global outsourcing has on our economy. Unfortunately, most people myself included, have supported an opinion without reviewing the facts. My feelings toward outsourcing are more concerned with the country that is having its workers exploited by large American companies. Rather than focus on improving a country and its people these companies are focused on getting all the cheap labor they can until they find a cheaper source (From Mexico to China). Although outsourcing does benefit the foreign countries by bringing jobs, the benefits to these countries seem small compared to the gain of the U.S. companies. (On a side note, while researching the outsourcing of the auto and textile industry I learned about the low wages and no benefits these people earn and although the outsourcing is good for the U.S.

economy I feel it is horrible to exploit these poor countries and their citizens for the benefit of the bottom line. When U.S. companies go from paying U.S. factory workers $25 to $35 an hour with benefits to paying Mexican and Chinese factory workers less than a dollar an hour or day, without benefits, there needs to be some kind of intervention. In extreme cases the workers are locked in the factories for long hours to ensure high productivity. As powerful as the U.S. is, it should make an effort to help the citizens of the other countries fight for better employment regulations, rather than help them unintentionally through the exploitation of their cheap labor. I would rather support the white collar jobs going to people...