Indiana Unions Are Against Outsourcing Jobs
The American manufacturing company Rexnord wants to ship over 350 jobs over to Mexico due to the cheaper cost of labor. These jobs were originally located in Indianapolis and many employees and ex-employees are very upset. Rexnord claim that they are not phased by the current president elect’s stance against outsourcing and will move on to Mexico.
The company met with the Steeworkers Union and told them their doors will be closing in 2017. The company could not maintain their operations paying an average wage of $24 per hour. These types of wages cannot compete with a typical wage of $3 per hour in Mexico, which is actually very good for unskilled labor in the country. They claim a final decision has not been made and the specifics still need to be discussed. The plant that was located in Tennessee had already fully transferred operations to Mexico.
Rexnord is a company that is involved with manufacturing gear drives, bearings, industrial chain, brakes and other industrial components. They hold contracts that with many corporations within the transportation, mining, energy and food industries.
Other companies have moved their operations to Mexico just like Rexnord wants to. Carrier is another manufacturing company that had moved much of its operations to Mexico due to the cheaper labor. A final decision from Rexnord will be publicly made by June 2017.