A China labor shortage
For those manufacturers out there looking to outsourcing production to China, you may want to think again.
That’s right, because there are factories suffering from a lack of workers. A labor shortage in China? No way.
If, in fact, there is a consistent and prolonged shortage in labor in the country, then that could have an affect on the manufacturing industry. The New York Times reported the shortage of workers is pushing up wages and hiking the ranks of the country's middle class, and it could make Chinese-made products less of a bargain. Now, the newspaper reported, global manufacturers are already talking about moving factories to lower-cost countries like Vietnam.
Wow, that didn’t last long. But you had to see it coming. Look at what happened in Mexico. Manufacturers went there and when labor costs started to inch up, there was movement to other countries. Now workers in China are doing the same thing that workers anywhere else will do: Look out for themselves and work for the highest bidder. In the growing and bustling manufacturing industry in China, it definitely is a market geared for workers. Companies can’t hire them fast enough.
Just because China may or may not have the beginning of a labor shortage, don’t think outsourcing and offshoring will go away. There are manufacturers that will always be looking to find the cheapest labor and the lowest manufacturing costs you can get.
Talk to me.
That’s right, because there are factories suffering from a lack of workers. A labor shortage in China? No way.
If, in fact, there is a consistent and prolonged shortage in labor in the country, then that could have an affect on the manufacturing industry. The New York Times reported the shortage of workers is pushing up wages and hiking the ranks of the country's middle class, and it could make Chinese-made products less of a bargain. Now, the newspaper reported, global manufacturers are already talking about moving factories to lower-cost countries like Vietnam.
Wow, that didn’t last long. But you had to see it coming. Look at what happened in Mexico. Manufacturers went there and when labor costs started to inch up, there was movement to other countries. Now workers in China are doing the same thing that workers anywhere else will do: Look out for themselves and work for the highest bidder. In the growing and bustling manufacturing industry in China, it definitely is a market geared for workers. Companies can’t hire them fast enough.
Just because China may or may not have the beginning of a labor shortage, don’t think outsourcing and offshoring will go away. There are manufacturers that will always be looking to find the cheapest labor and the lowest manufacturing costs you can get.
Talk to me.
0 Comments:
Post a Comment
<< Home