Dell is planning to try and sell their manufacturing plants here in the U.S. and also located in other countries. What is disturbing about the news is this statement:
Other factories could close
What this basically means is more jobs could be lost here in the U.S. if Dell is unable to locate a buyer. In a global economy which is at a standstill, this could in fact be the final results. Dell has U.S. plants in Texas, Tennessee, North Carolina and in Florida which if not sold, will be closed by the computer company. In a time in which the jobless rate is at a five year high, this is once again bad news for U.S. workers.
The article also states:
Dell’s plants are still regarded as efficient at churning out desktop PCs. But within the industry, company-owned factories aren’t considered the least expensive way to produce laptops, which have been the main driver of growth lately and are complex and labor-intensive to assemble.
Interesting. If the plants are regarded as ‘efficient’ than the real reason for closing the plants has to do with wages. U.S. workers are paid higher than their counter parts in China or other countries in the world.
But what I find it hard to believe is this. How can foreign companies Like Honda, Toyota, Subaru and Hyundai build their vehicles here in the U.S. and are still able to compete? I saw a program on the History Channel showing Honda’s being built here in the U.S. and shipped back to Japan. If the foreign companies can do this, what is wrong with our American companies?