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UAW Strike ---Mexico
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Jim Cramer says, just move the UAW jobs to Mexico. https://jalopnik.com/jim-cramer-has-weig...1850838159
The average pay of a union auto worker in Detroit is $25/hour ($52,000 annual). The average pay for a non-union auto worker in Mexico is $3.25/hour (after their recent $0.25 pay raise from $3/hour) --- this equates to $6,800/year. NOW, the UAW workers are asking for a 40% increase which would take their average pay to $35/hour ($73,000 annual). They are also requesting pension compensation (like 401k but they don't have to contribute) be brought back. As info, pension offerings have pretty much been eliminated by companies 15-20 years ago. I know the thought of moving jobs to Mexico is pretty much taboo but the US has been outsourcing our preferred jobs (IT & technology related) to India and other countries so I'm interested to get your perspective on the subject matter. Personally speaking, I think it's costly to close down a plant and build a new one of the same status in another country, however, given our migration to the EVs, could we see a much greater manufacturing transition to MX take place over the next 5-10 years? .... on a side note, I also found it interesting that China is now building manufacturing plants in Mexico for 2 reasons: 1) Low labor costs, and 2) less costly transportation costs to make products in Mexico and ship them to the US https://prosperousamerica.org/chinese-co...ndshoring/ We show less advertisements to registered users. Accounts are free; join today! |
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