Note: Chart on left
is Debt/GDP
and Debt/Revenue
showing how
bad things really are.
Eyewitness News spoke with Cessna Communications Director Doug Oliver. He says the note went out this morning. It does not provide specifics on where those 700 jobs will be cut.
Workers say the news hurts but doesn't come as surprise. That's why they focused so much of their attention during negotiations on the need for job security.
"It was a fight for our jobs, that was the bottom line, it was a fight for our jobs. Without a job you have no insurance, no wage increases and no pension. It's not there if you don't have a job," explains Theresa Vasquez.
She's worked at Cessna for 36 years. She said she made it through the recession in the 80's, made it through the recession after 9-11 but adds this one is worse.
More Here..
Crash and Burn!!!
ReplyDeleteJust like the rest of the "recovery".
Saying good bye to even more needed jobs American Debt Peons ?
ReplyDeleteOn 27 November 2007, Cessna announced the new Cessna 162 would be made in the People's Republic of China by Shenyang Aircraft Corporation, which is a subsidiary of China Aviation Industry Corporation I (AVIC I), a Chinese government-owned consortium of aircraft manufacturers.[11] By manufacturing the aircraft in China, Cessna reports it saved USD$71,000 in production costs per aircraft, or about 40% of the cost. A second reason cited for moving production to Shenyang Aircraft Corporation was Cessna has no plant capacity available in the USA.[10]
http://en.wikipedia.org/wiki/Cessna
Third World Brazil is also doing well in the smaller plane market now .
But the US , now a ratshit has been services based economy with an overpaid Labour aristocracy ,has lost its ability to create a profit for capital in the aeroplane industry, only heavily capital intensive industrial plants ,subsidised directly, or indirectly by the military industrial /taxation system survive.
Free trade capital , having no national preferences , only an aim of profit has naruraly moved on to find suitable workers.
America has been de-industrialised, the manufacturing advantages america had in the 50s and 60s after the destruction of its industrial competitors, imperialist Germany and Japan in world war two is over.
Even then, profitability , in that "golden age" for American industry GM, Boeing etc, with higher waged white workers fast entering suburbia , was only possible mainly by exploiting Black and “hispanic” Labor.
The profits from racial discrimination and from capital exported to the rest of the world then accounted all US company profitability . The labour aristocracy ,mainly white was not exploited by capital and were given access to cheap government supported credit to buy housing.
The Blacks were not and remained in inner city Ghetos.
The rise of international competition , with the emergence of the state capitalist USSR , and US internal class and national struggles by the Black Panthers and the Civil rights movement fighting for for equal civil rights and pay of all americans gradualy killed off the American apartheid system .
Equal pay for women increased too.
But the the increasing employment at equal pay for all american workers eventualy this made any unsubsidised US manufacturing unprofitable.
Capital sensibly shifted manufacturing to cheaper third world labor .
Under the dollar hegemony in world trade and finance even after the abandonment of gold backing , the US dollar paper backed by oil priced in dollars , with the connivence of puppet Arabs and first world central bankers, with its export of capital and US paper $ was still able to make a profit from the export of capital to countries like China and to exchange paper for real world cheap commodity values and in the end to develop a ponzi ecinomy with its government and trade deficts subsidised and vendor finance ,such as credit to buy Cessna planes was provided by foreigners. Foreigners for example now own about 50% of US Treasury bills.
But ,Lke all Ponzi finance schemes an end is inevitable , when the Ponzi cannot even pay even the interests on its debts.
And ,the US now a services consumer of credit economy , has little industry left to trade its way out of trrouble by producing commodities that can be exported in equal exchange or to pay the interest on its vast debts , both private and government.
Only wild insane printing of $ creates the illusion that the Ponzi is still functioning profitably.
The unions have a stranglehold on the company. I fully expect them to move offshore to a business friendly climate.
ReplyDelete