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Will “The American Jobs Act” Send The Best Of Jobs Overseas?

I admit, I was not up on all the aspects of  “The American Jobs Act” and what I did know, I heard it on TV.

But then I went over to Thousandaire’s blog and read this article: I’m A Criminal (well, I might be soon).  Very quickly, I found myself nodding with agreement with what Kevin said!

In the article Kevin states that one of the elements in the American Jobs Act is that it will become illegal for a company to refuse to hire someone because a person is currently unemployed. Kevin then goes on to state that this would bring hiring to a halt!  It may be one of the dumbest laws that I’ve heard yet! There are way to many bogus lawsuits in America already and this new proposal would greatly add to that number.

The average American labor pool (me and you) are expensive enough compared to the Asian labor pool, and now the government is going to threaten lawsuits on the hiring process in the United States???  Kevin is right, if I were an employer, you wouldn’t see a sign in my window stating that I was accepting  job applications!  Instead I would contract everything out or hire temps from a temp agency, including higher end jobs in engineering and other similar traditionally good paying jobs.

Honestly, if I owned a company and realize that I had to hire someone and that I might have to deal with such potential lawsuit crap, I would be tempted to say screw it and start hiring overseas.  Not only that, I would also be tempted to open plants and offices overseas too!

Lately, I’ve come to the conclusion that our government doesn’t really think things through very far.  I think they make shallow decisions and blame the consequence of those decisions on business or other factors.  For instance, I haven’t heard any politician fess up that sub-prime loans were partially their fault too.  Instead they paint a picture that it’s all those nasty evil banks!  Like Lehman, I’m sure all the employees and the executives at Lehman’s are all enjoying their life now that they have gone out of business.  I’m sure the destruction of the bank was all planned and they fully knew that their sub-prime lending activities would destroy the firm.  And I’m sure Moody’s and S&P were in cahoots with them too (those evil risk rating agencies).  Obviously, the government was in the right all along… (lol)

Yes folks, we need new smarter politicians!  Ones that will create intelligent laws and focus on the real problems instead of just the symptoms of the problems.

Okay, now it’s time for me to get real.  This initial form of the Jobs Act will not pass, and I’m sure even the White House knows this!  Some of the proposal in this bill are so far out to the left that even the old regime communist are blushing.  So while I had fun writing this article, it’s almost guaranteed that it won’t pass, at least without some major modifications.

Special thanks out the Kevin at thousandaire.com for doing such a great writeup!  His article was both funny and informative!

Bests,

MR

 

 

18 Responses to Will “The American Jobs Act” Send The Best Of Jobs Overseas?

  1. MR, this is all the more reason I try to save as much as I can and pay off my house. I don’t want to count on the government for ANYTHING.

    I think our country is totally going on the wrong direction. I will write about this tomorrow, but the lessons this government is teaching our children are frightening.

    • I agree! The government is encouraging very bad, irresponsible behavior. I worry that this might have a cascading effect and everybody really suffer in the long run because of it.

      I’m looking forward to reading your article 🙂

  2. As someone who hires people on a regular basis I can attest that this portion of the new bill will have ZERO impact on my hiring practices. It’s not going to force me to hire some lazy slob. All it would mean is that I can’t ask “Are you still with XYZ?” No big deal. None. Zero.

    As for companies outsourcing because of this “restriction”? Ridiculous! Do you have any idea the kind of things I’m not allowed to ask? I can’t even ask someone if they have a car. When the Fair Equal what ever act passed preventing employers from asking anything about race, gender, sexual preference, religion, handicapped, etc. did companies bail and start hiring overseas? I would be surprised if there are any HR manager’s out there throwing their hands up and going, “NOOOOOOOOO!!!!” after hearing this.

    Here’s how I interpret it:

    Big companies, the kind that has the resources and means to outsource overseas already have VERY strict guidelines on what their employees can ask during interviews. Their hiring team goes through extensive training on how to interview “ethically”. They have layers upon layers of legal safeguards in place. They don’t care. This is just one more question on an already VERY long list of questions they can’t ask. No big deal. No one cares.

    Now, the smaller companies that are out there… the mom and pops, the entrepreneurial start ups, that’s a whole different story. I’ve interviewed with small business owners who either didn’t know the law or didn’t care, and I recall sitting there thinking, “Wow, you are SO not allowed to ask me that!” Even as recently as few years ago I knew young women who grew up in smaller towns and thought you still had to take off your wedding/engagement ring during interviews otherwise they won’t hire you because you’re married/about to be married so you’ll probably get pregnant and leave soon. The smaller companies with improperly trained managers will be the most affected by this portion of the bill and those smaller companies do not have the resources to outsource overseas.

    Outsourcing really isn’t a black and white thing. There’s some good, some bad, and a lot of opinion about the cause and impact. I can tell you though, not being able to ask, “Are you still with XYZ?” is not going to contribute to outsourcing.

    • I agree. Hiring is very difficult as it is and adding more complication to it isn’t going ot be good.

      Outsourcing can have it’s perks but it also has its cons. It is not something you can do for every job. There needs to be a balance.

      In my opinion globalization has gone too far and it not only affecting our planet but also our job market,. We need to get back to functioning with what we have around us locally and reaching out only when we absolutely can ‘t make things work.

      • I agree we need to focus on the real problems of job loss instead of what the government is trying to do.

        To me it’s like throwing gasoline on a raging fire trying to put it out that way…. It ain’t happening 😉

    • I think for many businesses, this would be the staw that breaks the camel’s back. The labor costs savings benefit makes it very attractive to hire overseas (I know, the company I work for is hiring more and more folks from India and China).

      Many businesses aren’t happy with the current government and are afraid to do anything because of the way the government attacks them. So yes, since there is everything to gain and nothing to lose with hiring overseas, I can see this as being the proverbial staw that breaks the camel’s back. If I had a large company, and since I know the benfits of outsourcing overseas, and how our government treats US businesses, I would consider doing so just because the current government (especially with it’s class warefare approach) is horrible.

      I say that if this bill passes, you’ll see an uptick in overseas hiring. While it in itself (the jobs act) wouldn’t make emplorer go overseas, the combination of everything (benefits, government treatment, class warefare, rewarding delinquent homeowers, this bill, etc) will…

      My beef with such a stupid proposed law is that instead of trying to increase local employment thru looking at the wage inequality of US versus overseas workers, under-the-table workers (who don’t pay income taxes) and other real problems of the job hiring environment, they create dumb laws that attach the very people/companies that can help with employment. It’s like a dog that bites the hand that feed it.

      I could go much deeper into this rabbit hole, but here I stop 🙂

  3. Great point that the small business will have no clue about all of this and wouldn’t be able to outsource overseas anyway. The big companies are already doing it.

    I am smart guy and would never subject myself to politics. Most of the bright ones are going into other fields that don’t have the media scrutiny. Warren Buffett, Steve Jobs, Bill Gates are not politicians for a reason.

    • There are ingenious US outsourcing companies that make overseas labor available for a fraction of the cost, even to small companies. Shoot, even in the blogging community, you see a lot of outsourcing going on.

      If they don’t like the way the overseas labor does things they drop them, no harm no foul. Scary huh…

      Honestly, I don’t see much to make labor come back to the US until the government wakes up and tackles the real reasons we are losing both jobs and companies to those overseas.

  4. Most of the jobs will be for infrastructure which can not be sent overseas. If I were hiring, I would hire the most qualified individual whether unemployed or not.

    • even infrastructure projects are being outsourced over seas. I heard on NPR once that a bridge project was outsourced to china. It was actually cheaper to build and ship sections of the completed bridge back to the US than hire actual US firms to complete the project. It was the difference between a couple 100 million in savings.

    • It seems socialism is slowly creeping in to government… You’d think after seeing China and Russia’s communism model fail that we would have learned, but apparently we haven’t nor has Europe…

  5. I’m glad you liked my post! And obviously, I agree with you.

    This is why we need to get someone like Ron Paul into the White House! Get government out of the way of people’s lives. We’ve tried Keynesian economics long enough; let’s go back to a free market and give that a shot!

    • I agree I’m tired of Keyesian economics. I say lets try some common sense economics!

      It’ll be an interesting election year in 2012. I know I’m not voting the same way.