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Posts Tagged ‘Outsourcing

Wal-Mart is concentrated neoliberalism

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Shopping ’til we all drop at Wal-Mart

Wal-Mart is concentrated neoliberalism. From working to weaken government at the same time it gorges on government subsidies, to exploitation of its workforce, to moving production to the places with the lowest wages and weakest laws, to underpaying taxes, the workers who walked out on Black Friday have no shortage of targets.

Some of the latest findings in a just released report reveal that Wal-Mart dodges $1 billion a year in taxes and is the recipient of an estimated $6.2 billion a year in indirect subsidies through social-welfare programs such as food stamps. A separate report also just published documents the poverty of Wal-Mart workers, many of whom regularly skip meals because their pay is so low……..    read more here

 

Tell the Senate to Reject the Korea-U.S. Trade Agreement!

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The banks that just wrecked the economy and got Washington to bail them out are lining up for more handouts.

This time, they’re pushing a NAFTA-style trade pact with Korea that prohibits countries from banning risky financial products and services, among other regulatory limits that put banks’ profits before economic stability and jobs. But we won’t let it happen.

Tell Congress to support good jobs over Wall Street greed and reject the Korea trade deal!

You can tell a lot about a trade deal by who is hyping it. Bailed out banks like Citigroup love the Korea trade pact. They say it has “the best financial services chapter negotiated in a free trade agreement to date.” But who wants to support financial policies celebrated by megabanks that helped wreck the economy?

Tell Congress to stand up to Wall Street and reject the Korea trade deal!

This NAFTA clone helps big banks’ short term interests, at the expense of the rest of us. Consider this example: in 1997, the Korean economy collapsed when financial speculators treated the country like a casino and pushed crazy amounts of money in and out of the country. Some of this bad behavior resurfaced in the most recent financial crisis too.

Korea responded in 1997 and again a decade later by utilizing what are known as capital controls — basically speed bumps that slow down the capital floods and flights. But the NAFTA-style deal with Korea would prohibit restrictions of big corporations’ ability to make these hasty speculative transfers — even when economic crisis or hardship could be avoided by doing so. Oh yeah, and the big banks could even demand that taxpayers pay them off millions of bucks in compensation if our governments even try to use these important economic stability policy tools.

Have we learned nothing from the global financial crisis?

Tell your representative to reject the casino economy and vote “No” on the Korea trade deal.

Both the U.S. and Korea have tried to reign in the job-killing behavior of Wall Street over the last few years, and more remains to be done. The last thing we need is a NAFTA-style deal with Korea that will limit our ability to regulate the financial casino that is harming Main Street.

If the rest of us are tightening our belts, corporations shouldn’t treat our democracy as their all-you-can-eat meal ticket.

Tell Congress to reject the Korean trade deal!

Info from Public Citizen

House Passed Bill Which Closes the “Offshore Outsourcing” International Corporate Tax Scheme

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by Robert Oak 06/02/2010 Economic Populist

In the American Workers, State, and Business Relief Act of 2010, passed by the House last Friday, there are little observed provisions to remove tax incentives to offshore outsource your job.

The bill ties income to the foreign tax credit, so no longer can a corporation claim the tax credits yet park the actual profits money offshore in a low tax country. As one can see if one gets credits yet doesn’t have to actually pay tax on profits accrued when offshore, this encourages the movement of assets, production overseas, including jobs.

In White House Semi-English:

When a U.S. taxpayer has overseas income, taxes paid to the foreign jurisdiction can generally be credited against U.S. tax liabilities. In general, this “foreign tax credit” is available only for taxes paid on income that is taxable in the U.S. The intended result is that U.S. taxpayers with overseas income should pay no more tax on their U.S. taxable income than they would if it was all from U.S. sources. However, current rules and tax planning strategies make it possible to claim foreign tax credits for taxes paid on foreign income that is not subject to current U.S. tax. As a result, companies are able to use such credits to pay less tax on their U.S. taxable income than they would if it was all from U.S. sources – providing them with a competitive advantage over companies that invest in the United States.

In reading the bill, first pass, it does appear the White House proposal is in the bill.

The changes are is TITLE IV—REVENUE OFFSETS, Subtitle A—Foreign Provisions in H.R. 4213. The section starts on page 229 in the bill text link.

Multinational corporations will do everything in their power to strip out these changes and so will the powerful NASSCOM, or Indian offshore outsourcing business group and their U.S. lobbying counterpart, USINPAC.

Expect war from our Benedict Arnold Tech Companies such as IBM, Microsoft and HP. IBM literally has an algorithm to manipulate global tax structures and has been firing every American who isn’t nailed to their desk. HP just announced 9000 more layoffs. Amazing because the bill extended the R&D tax credit, which greatly benefits these same companies.

Meanwhile Chuck Schumer wants to tax foreign call centers. For each call transferred overseas, Schumer wants a 25¢ charge put on the call. What? No more nonsensical useless script reading rambling in your ear wasting your time and creating more frustration via the phone? Say it ain’t so!

Obama Adopts Bush Plan to Hide Outsourced Job Data

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By David Sirota

March 4, 2010               AlterNet

The U.S. is hemorrhaging jobs thanks to terrible trade policies. Instead of fixing the problem, Obama wants to hide the data.

The Bush administration had a nasty penchant for trying to bury bad economic news – a nasty penchant that I was intimately familiar with when working on the House Appropriations Committee. One of the most egregious examples of this came in 2003. Here’s the Washington Post on 1/2/03:

U.S. Drops Report On Mass Layoffs;
Data Helped States Track Patterns of Industrial Demise

By Kirstin Downey
Washington Post Staff Writer
January 2, 2003

Citing a shortage of money, the Bureau of Labor Statistics will stop publishing information about factory closings across the country, a decision that some state officials and labor leaders are protesting.

The monthly Labor Department analysis, known as the Mass Layoffs Statistics report, detailed where workplaces with more than 50 employees closed and what kinds of workers were affected.

Luckily, because of progressive pressure and public outcry, this Bush move was overturned by Congress. But now, the same kind of thing is back. According to today’s Washington Post, it looks like the Obama administration is reprising the same scheme:

Obama administration plans to close International Labor Comparisons office

By Alec MacGillis
Wednesday, March 3, 2010

Like a scorekeeper for the world, a tiny unit within the Bureau of Labor Statistics tracks globalization’s winners and losers, and the results are not always pretty for the United States. Manufacturing jobs here, for example, have fallen faster since 1979 than in Canada, Germany or Japan. Compensation for those jobs dropped here in 2008 but jumped in South Korea and Australia. Soon, however, Americans may be spared the demoralization in these numbers: The White House wants to shutter the unit that produces them.

In his State of the Union address, of course, Obama called for a massive expansion of the NAFTA trade model into Colombia, South Korea and Panama. So you can bet this announcement by the White House is no accident – it’s preemptive.

Apparently, no matter which party is in power, when bad news hits, the response is bury the news – don’t address the actual problem.

David Sirota is the author of the best-selling books Hostile Takeover and The Uprising. He hosts the morning show on AM760 in Colorado and blogs at OpenLeft.com. E-mail him at ds@davidsirota.com or follow him on Twitter @davidsirota.

Portal:Real Economy Project

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gas_maskVist the Center for Media and Democracy Portal for the latest news, profiles and resources; and check out their Bankster campaign for economic justice.

Toxic Assets Getting You Down?

The big banks on Wall Street have blown a hole in the economy that will take many years to repair. Since the recession began in December 2007, the number of unemployed Americans has risen from 7.6 million to 15.1 million. The formal unemployment rate is rapidly approaching double digits and many of these lost jobs are being permanently shipped overseas. Americans are losing health care benefits at a rapid clip and the historic stimulus package passed by the Obama administration is beginning to run out of steam. We are in a big hole and it is going to take big ideas to climb out of it. The goal of our www.BanksterUSA.org website and our larger “Real Economy Project” is to simplify these complex issues and give you a voice in the debate surrounding proposed public policy fixes. As policymakers get ready to tackle much needed financial-sector reforms, your voice is essential if the needs of Main Street America are to be prioritized over the narrow interests of Wall Street.

This fully-sourced research companion to BankstersUSA.org is a collection of editable wiki profiles of the bankers, financial companies, lobbyists, reformers, front groups, issues and legislation related to the financial crisis and the bank bailout. Don’t let the Banskters write the history of this tumultuous time in America! You can help us build this library and document the people and policies behind the financial crisis by visiting the “Help Out” section below. Our motto is “fair, accurate and documented.”(About/contact)

Take action to reform of the finance industry at CMD’s BanksterUSA site. 
 

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