Plant closing

[BillG_in_TX]

According to the 2006 CIA Fact Book;

2005 China GDP - $2.225 trillion
50% of China's GDP = $1.1125 trillion
2005 China Total Exports - $752.2 billion

Therefore, the aforementioned 'fact' that 50% of China's GDP is sold to Walmart is more than a litttle questionable.

Mike,

According to the Wal-Mart 2005 annual report - http://walmartstores.com/Files/2005AnnualReport.pdf - their total cost sales was $220 billion, and that includes the Neighborhood Markets and Sam's Club sales. That would mean if they bought 100% of their goods from China (including groceries) it would represent 10% of China's GDP and 29% of their exports.

The only minor correction to those numbers would be the transportation and domestic labor costs included in the cost of sales numbers, but since it has been established in other threads that Wal-Mart doesn't pay enough to live on, the labor costs probably don't affect the %'s much.

 

[Dusty]

You guys have sure posted some interesting things on jobs moving to China. But, did you know that China is losing new plants due to their skilled labor costs being too HIGH! True, latest industry trend is to move plants to India instead of China or other Asian countries. Skilled labor in China is now in the "job jumping" phase with electronics engineers moving to new jobs for a 100% bump in pay. (Up to about what Walmart pays the guy at the door...minus all health care, vacation, OT, safe working environment, etc).

Oh, yeah you do know that many CAT scans, X-rays, MRI's are e-mailed to India for a doctor to evaluate and send results back for a call to the patient in the morning. Think about it, if they can outsource medicine what's next?

jb

About the only thing that they can't outsource to other countries is funerals. That is one business that will keep going and people are dying to do business with the local funeral home.
Dusty

 

[rback33]

About the only thing that they can't outsource to other countries is funerals. That is one business that will keep going and people are dying to do business with the local funeral home.
Dusty

All I can do is sit here and shake my head after that one.. Couldn't help yourself could you?

 

[Dusty]

All I can do is sit here and shake my head after that one.. Couldn't help yourself could you?

 

[Agro-oti]

I think what CurlyDave said is exactly right. What these companies say now and what actually happens down the road are very different things. I can remember back in the early 80's when International Harvester was about to file bankruptcy that they ran ads in all the farm magazines denying the rumors and saying how secure they were. I think that this actually created more suspicion about their plight than if they had said nothing. From what I hear and read there is more and more speculation that CNH may sell of the New Holland division and concentrate on the Case name and dealers. I can remember the late 80's when all the farm equipment companies were merging and going out of business.

If Fiat spins off anyone it will be CIH long before NH. Through Ford and Fiat's market share NH is a bigger seller world-wide then CIH. If you remove the Steyr,Shibaru and Fiat based tractors from CIH,you are left with nothing under the MX Magnums.

 

[Beez]

Just wanted all you posters to know that the real reason that CNH is closing their farm equipment plant in Belleville PA is due to the new UnAmerican way of global companies doing business in the U.S. It is not because the Belleville plant is losing money for them. It is because many of the workers are becoming of age where they are due the pension package promised them.

With 30 years of service, employees were promised to be able to retire with a nice pension which, if they are over 55, includes lifetime health benefits. About one-fourth of Belleville workers will reach that milestone within the next two years and three years after that, another large group will be eligible.

With the closing of Belleville, workers who have 30 years in the company will get the full promised pension, but no health coverage unless they are over 55 years old. Those who are over 55 and have only months to go until they reach 30 years of service, will be able to retire with health benefits, but a lot less money per month than was promised. Younger workers get neither, and they are the ones with kids and house payments.

So, despite a 148 percent increase in overall profits from last year at this time, CNH is closing Belleville to get out of paying these benefits. Like bullies on the playground, they decided to take their ball and go play somewhere else when the other team started to become a challenge. CNH is putting millions of dollars into building new facilities in Canada, Mexico and other locations in the U.S. and are even asking new locations for grants to enable them to do this.

When the Belleville closing was first announced, workers were told they could transfer to other locations to finish out their 30 years or reach age 55. This is not the case. Oh yes, they can transfer, but they must start out as new employees, with no earned time toward their 30 years.

CNH's decision to close Belleville was based on greed, pure and simple. It is just another example of the war on the middle-class in America.Though CNH touts their heritage brand, they certainly don't deserve to use the word "heritage" in their advertising after what they are doing to their loyal employees.

 

[MikePA]

Just wanted all you posters to know that the real reason...

No offense intended, but anyone can make a post indicating they have the 'real' information on a topic. Where did you obtain this information? It's also interesting you just joined a tractor focused web site and your first post is to slam CNH.

Jury awards $11.3M over defamatory Internet posts

 

[Redneck_Randy]

Just wanted all you posters to know that the real reason that CNH is closing

If that is the case and it's true then someone should inform the US Attorney's office.

 

[riptides]

...pensions...

Pension Benefit Guaranty Corporation. Set up by the US Congress in 1974 to insure defined-benefit corporate pensions.

Pension Benefit Guaranty Corporation (PBGC)

Suggested reading.

-Mike Z.

 

[whitetiger]

Just wanted all you posters to know that the real reason that CNH is closing their farm equipment plant in Belleville PA is due to the new UnAmerican way of global companies doing business in the U.S. It is not because the Belleville plant is losing money for them. It is because many of the workers are becoming of age where they are due the pension package promised them.

With 30 years of service, employees were promised to be able to retire with a nice pension which, if they are over 55, includes lifetime health benefits. About one-fourth of Belleville workers will reach that milestone within the next two years and three years after that, another large group will be eligible.

With the closing of Belleville, workers who have 30 years in the company will get the full promised pension, but no health coverage unless they are over 55 years old. Those who are over 55 and have only months to go until they reach 30 years of service, will be able to retire with health benefits, but a lot less money per month than was promised. Younger workers get neither, and they are the ones with kids and house payments.

So, despite a 148 percent increase in overall profits from last year at this time, CNH is closing Belleville to get out of paying these benefits. Like bullies on the playground, they decided to take their ball and go play somewhere else when the other team started to become a challenge. CNH is putting millions of dollars into building new facilities in Canada, Mexico and other locations in the U.S. and are even asking new locations for grants to enable them to do this.

When the Belleville closing was first announced, workers were told they could transfer to other locations to finish out their 30 years or reach age 55. This is not the case. Oh yes, they can transfer, but they must start out as new employees, with no earned time toward their 30 years.

CNH's decision to close Belleville was based on greed, pure and simple. It is just another example of the war on the middle-class in America.Though CNH touts their heritage brand, they certainly don't deserve to use the word "heritage" in their advertising after what they are doing to their loyal employees.

Whats that smell??????????