Reshoring jobs is a trend for Minnesota companies
Just when one thought that the presidential campaign issue of off shoring of jobs would be a key, there seems to be a new trend: reshoring of jobs.
Companies around the United States struggled to exist in a slumping economy so, in an effort to survive they took production jobs to foreign shores like China, Mexico and India. That trend produced hostility among American consumers and workers wanting to support our own economy by purchasing “made in the U.S.A.” However, with fewer and fewer products made in they U.S., and wages dropping in nearly every sector of the stateside economy, the United States is once again becoming more attractive to those companies that chose to outsource jobs to foreign shore.
Some U.S. companies were not prepared to deal with foreign methods of conducting business, such as bribes that were expected to be paid to government officials in their setting. Quality control issues were concerns confronted by some manufacturers.
Companies that are reshoring are finding economies that were once overlooked. One of the key issues companies that are reshoring found upon returning home was the speed with which they are able to produce their products. Quality and simplicity of doing business were also key to returning to America.
How big was the loss of manufacturing jobs in the first place? Since 2002 the United States lost approximately 3.5 million jobs.
What companies are returning to the States?
Datacard, Outdoor GreatRoom, 3M, Miken Sports, Jarden, AGCO, Coleman, Paddi Murphy, Permac Industries, and Caliburll are some of the companies that have or will soon head back to the U.S.
Minnesota’s Department of Employment and Economic Development Commissioner Mark Phillips noted that some companies are returning to the United States because doing business in countries like Mexico, China, Poland and India was not as perfect as they once thought.
Whatever the reason for companies returning to the Gopher state and the U.S., they are welcome back and hopefully, over time, there will be more manufacturing jobs finding their way back to the friendly confines of home.
Who knows, perhaps our economy will benefit overall from this reshoring wave that seems to have begun as the rest of the world struggles to find an equilibrium that has been a part of the U.S. economy for decades.