I am sorry, but this statement makes no sense. Boeing is employing American Workers. Be it in South Carolina or WA. So, the SC employees will be buying the products you speak of (i.e. Retail) instead of the employees in WA. It is a wash.

Another factor is that it is good to have your product manufactured in more than one location. This helps on many levels, the least of which is the WA Boeing plant sits in a major earth quake zone.

Plant diversification and decentralized manufacturing just make sense. Period.

 

it appears a way to screw over the employees. Hey, it is the new American way

 

Sometimes there's just no pleasing some people.

Good for Boeing! Keep jobs in USA. If it's not in WA, then so be it. Those in WA still want a job with Boeing??? get in your cars and drive to SC.

 

Boeing is teaching the unions and the state of Washington a big lesson. They have had their screws into the company since its inception. First they moved the headquarters to Chicago now the 787 is gone.

Skyhigh

 

I'll grant you the location diversification, or "Not putting all your eggs in one basket." But it isn't a wash...there must be a dollar incentive to move the manufacturing across the country, to a location [as I understand it] that has no experience with Boeing aircraft. So, the total amount of employee compensation (nationwide) will be reduced. Boeing keeps more money in their pocket, despite the moving/training expenses.

To make an airline parallel analogy, what if an airline couldn't reach an agreement with ALPA, so they replaced them / augmented them with guys from a "new domicile/new union?"

Both US corporations and labor are the reason for this decline in the American way of life. Both sides fight over what they see as their 'fair-share' of the profit margin. Corporations end-run the obstacle by going to new locations, even overseas. Unions try to prove their political relevance by planting their feet and asking for pay/benefits to compensate for previous concessions, even if they are not economically viable. Both sides embrace politicians whom they believe will support their view, even if they have to accept otherwise non-palatable features of that politician. Laws are enacted, but there are always loopholes.

And the cycle continues.

America is living off accumulated wealth...I think we have been doing so for about 15-20 years. Problem is, we aren't re-accumulating it...we're just getting more in debt. We used to be a nation of resources and specialized labor. We peaked on resources about 20 years ago (maybe 30). Aircraft, entertainment, and food were our biggest dollar-exports. The aircraft market has been divided between the US and Europe for 30 years, and now China is entering the fight. We can still make more food than anybody, but our costs are higher, so the export market is limited, and China is trying to cut into our domestic share.

Specialized labor? We import doctors and engineers from India, because the dreams of too many of America's youth are less to do with education, and more about displaying 'bling.' It isn't about what you are, it is what you have in your possession.

That leaves entertainment. When foreign companies own the studios and movie/music rights, you've lost just about everything. Why else would the whole Napster issue been such a big news item? It's about royalties, which is big bucks.

As long as our national policies emphasize corporate profit over national strength, this will continue ad infinitum.

When my parents were in school, they were told that Great Britain was the most powerful nation on earth. Yet after WWII, the US was. They told me that was shocking. I'm sure it was a shock to the Brits as well.

As a boy, there was no doubt in my mind that the US was the best and most powerful on earth. I felt confident it would last forever.

Unfortunately, it seems history really does have a way of repeating itself.

 

The Dreamlifters are converted in Taipei by Evergreen of Taipei. They are operated & maintained by Evergreen Intl Air of McMinnville, Oregon.

Boeing always said they would open a second 787 production line if enough were ordered. The first production line is still in Everett. The only thing Everett lost was the opportunity to have a second line. Labor cost may have been a factor but don't forget that the Charleston folks have unions also. Washington state was not willing to give Boeing tax breaks; South Carolina gave Boeing a nice incentive.

 

The Charleston workers voted out the IAM.

 

Yes, a small group (199) at the Vought plant decertified IAM. I'm sure Boeing will try and keep the new facility non-union for a while but my guess is that the IAM will be organizing as thousands are hired. Labor costs must have been a factor but I'm hearing that the IAM's refusal to add a no-strike clause and the tax incentives were the big factors.

 

Ive been a union memeber for over 10 years in atlanta. The union is nothing but a temp service here. They have no power.

While it makes me proud to see the members there with the power to strike, I hate to see it for thier families. I think the unions are coming to a close with all the bad press they get. The economy has been bad for over 10 years and the government just fluffed it with tax dollars. This "new economy" we are in is killing everyone from BOD to the low level janitor. The top execs are going to have to cut thier pay but so are the unions.

Ford posted a profit, the first in how long? Average it out. The UAW is going to have to cut too.

As for outsourcing thank our great government, congress and all from Ronald Regan to Bill Clinton to Bush and Pelosi. The one thing they agree on is screwing the American people. Levi's made at 1/10 the cost and the company still charges the same price.

Bottom Line is the Bottlom Line.

 

Of course there are politics involved. SC just lost out to Virginia on the new Rolls Royce factory. Imagine that. A British engine manufacturer opening a new purpose built factory in Virginia instead of the UK. Many other locations bid for the new plant but Virginia came up with the best incentive package. That's how direct investment inflows work and it happens every day the world over.

The US economy is becoming less important in global politics. However, we still have a system of unipolarity and I think America will remain a hegemon for quite some time. We will certainly have a system of multipolarity in years to come.

AL