For my white paper, I plan to discuss the ethical issues surrounding the outsourcing of labor. Companies outsource to avoid certain types of costs or to avoid the burden of many regulations and taxes. When companies offshore products and services however, those jobs may leave the home country for foreign countries which decreases the amount of jobs available and contributes to unemployment. We have seen many examples of this in our discussions of Apple and Nike which I plan to reference in my paper.
I plan to discuss the positive aspects of outsourcing labor which are related to lower costs and more efficiency in the business. I also plan to discuss the negative aspects of doing this and what it means for several companies who were forced to close down due to the cheaper costs of overseas labor that they couldn’t compete with. Two of my uncles actually owned a clothing manufacturing company near my home town. Several years ago, the company was booming and produced clothing for several well known brand names. However, as outsourcing has become more common, clothing companies find it cheaper to give business to foreign manufacturers rather than united states manufacturers. What has this meant for factories like my uncles used to own? They were forced to close down in response.
I have not decided how exactly I plan to come up with a solution to this problem. I have decided however, that as efficient as outsourcing labor may be for several companies, this is severely hurting the U.S economy and making us much more dependent on foreign partners.