• IHeartBadCode@kbin.social
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    1 year ago

    All of this article completely ignores why manufacturing left in the first place. By the 1970s Japan’s manufacturing quality revolution put financial pressures on American corporations to become more competitive. As more globalization occurred, the ability to economically compete with foreign economies became more prominent in management philosophy. Pair this with the invention that corporations exist to drive shareholder value, increasing shareholder value became the primary concern driving corporate strategies.

    Companies who listen to shareholders and not markets become asset-light with high risk aversion. Few companies want to weather a storm not because the employees don’t want to work there, but because any slight can be perceived in the market as a weaken position. There has to be a fundamental disconnect from the companies and the investors. We cannot be a stable manufacturing economy if the primary driver is speculation.

    With weak labor protections currently prevalent in the United States, there’s little possibility to buy the notion that employees and their product will be placed higher than speculative investors who are completely disinterested in the particulars themselves. So long as boards listen to financial gurus who prognosticate from their Excel tea leaves and market models, and less to middle management who just want the company to do well, there’s zero ways manufacturing will attract the numbers required for a complete return to domestic production. If we want the people to work, we must give the people the power to dictate that work. Anything less is sure fire means for a return to whence we came.