Social Aspects to my Theory of Emigration

For those of you who just read my previous post and are thinking to your selves “That is a horrible idea, why isn’t he thinking about all the people who will loose their jobs and be forced to move to other parts of the world. What an uncompassionate asshole!” well I have some news; it is the best viable option for the continued economic success of this country. The options are simple when it comes to production based companies in this country.

1. Do nothing, allow rising labor costs and union demands such as for heath care for a huge labor force to cause your product’s price to rise to the point at which it is no longer affordable to its target audience and your company can no longer generate income and you go out of business sinking not just your self but your suppliers and distributors leaving a gaping hole in the American economy.

2. Outsource, while this option does not cause the executives of a company to loose their jobs most of the lower level employees do as well as those working for suppliers and distributors. Even though the company is in business however because the product is now an import the price will still be unreasonably high for Americans

3. My plan for automation, the lower level employees are still lost as in the case of outsourcing however a small number of educated employees are newly hired to run and maintain the automated machinery. The company still expands its operations to other countries which increases revenue as well as corporate office staff based in the US to handle all of the managerial responsibilities for the new operations. However even though the overseas operations continue the product that is distributed in America is still made here and is cheaper than before allowing people to continue purchasing it. The suppliers and distributors in the US are kept in business as well because the company is still producing.

In the end out of the three possible outcomes for an American production company my plan is the one in which American job losses are kept to a minimum and as opposed to damaging the US economy that plan actually bolsters it. As for the workers that lost their jobs they are free to move to the new plants built overseas at which the company would hire them due to their experience. While they would be making less the cost of living would also be less.

A practical application of this is let’s say you have 50,000 workers in a Detroit auto plant, your business is terrible and your company will go under unless changes are made. Your company also consists of 750 line managers and 750 office personnel as well as 500 members of management. The Detroit plant is responsible for North American, Central America, The Caribbean, and South America. To solve the problem you build 4 small automated plants around the US and Canada as well as 3 medium sized manual labor plants in South and Central America. For the 4 automated plants you hire 200 tech personnel to operate the systems. You also hire 20,000 people to work at the 3 new manual labor plants for the same amount it would have cost you to employ 10,000 people at the old one. To manage the 20,000 employees you retain 300 line managers. Due to the new operations you also take on another 250 office personnel and another 50 members of management.
What you have just done is maintained production, decreased costs significantly, and increased the average education and pay level of your employees in the United States.