Trending Assets
Top investors this month
Trending Assets
Top investors this month
We've seen layoffs on a wide scale in the auto industry after UAW launched an auto workers strike at a historic scale. We've seen layoffs happen in Hollywood because of the writer's and actor's strike. Hollywood producers are complaining of profit losses. Auto companies are losing $100 million a week from UAW strikes.

These companies can outsource their production side of the business to other nations. Auto companies have factories in China, Mexico, Germany, and other places around the world. Hollywood producers are already producing films in other countries.

What matters more to consumers is the quality of the products that are made and the price that they're provided in. Especially in America where most of our stuff is made overseas, more Americans wouldn't mind if the production of cars and trucks are made in another country as long as the products are great. Foreign content on streaming platforms are becoming more popular among Americans thanks to better dubbing technology and subtitles. People are finding foreign content creators to be better producers of films and shows than American content creators.

Why aren't these businesses going to offshore their production overseas? What is preventing them from doing this? Is it the federal laws?

If there's nothing stopping these businesses from simply offshoring their operations, then the unions are looking to lose their battle and workers will find jobs (that hopefully will be better than their original job). If there are things preventing these business from offshoring their operations, then the unions are guaranteed to win.

It remains to be seen whether the unions or the corporations win during these times.
Business Insider
Ford and GM could be losing $100 million every week with union workers on strike
The targeted plants so far account for nearly 13,000 workers and more than 14,000 vehicles in weekly production. Goldman Sachs estimates a heavy revenue hit from the stoppages.

Already have an account?