http://www.ottawabusinessjournal.com/285404768381667.php
"Canada's manufacturing sector lost 42,000 jobs last month, according to Statistics Canada, bringing total manufacturing job losses to 200,000 since November 2002.
According to economist Pierre Laliberte of the Canadian Labour Congress, Canada's manufacturing industry is weakest in the private sector. He says all new paid employment last month and two-thirds over the past year have been linked to the public sector, and though growth of self-employment trickled to a halt in January, that sort of employment accounts for 30 per cent of all jobs created over the past year. Furthermore, he says, another 25 per cent of all jobs created (mostly in the public sector) in the same period were temporary."
And the hardest hit is and will be SW ON along with Michigan and Ohio. As long as $$ is the driving factor, we will continue to lose mfg jobs to low cost countries (we in Auto industry call them LCC or LLC - Low Labor Countries.
What we are also seeing is the increase in the "Cost of Quality". What I mean by that is the endless airline trips we make to LLCs to "fix" their quality issues, deal with beauracracies (China and Korea very famous for this), and spend hours on the phone dealing with non-english speaking workforce (again China and Korea being the notorious part) just because what we say does not make sense to them and what they say does not make sense to us.
So far, no one seems to look at these costs and compare with the benefits of moving jobs to LLCs.
For example, I was part of a rotation team the entire 2005 flying to Germany one week at a time. The average expense for the company per trip per person was about $4000 - that is about $16000 per month for 12 months.
We do that to Korea, China, East Europe, Mexico and India. Now, not that local suppliers are any better, but the cost of quality would certainly be lower. Anyway, isn't that why we have bean counters to "take care" of all this SNAFUS?
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Dimple2001
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