Saturday, April 16, 2011

Outsourced to the U.S.

And you and I thought that we were doing the outsourcing. Well, Sweden, in the person of Ikea is also outsourcing and they are outsourcing to us because our wages and benefits are less. Ikea has a plant in Danville, Va., which makes bookcases and tables. Employees here start at $8/hour and get 12 vacation days, 8 of which are scheduled by Ikea. The comparable Swedish plant pays $19/hour and provides 5 weeks of vacation. Given these discrepancies the workers are trying to unionize and Ikea is fighting them all the way.

Ikea explains the difference in pay and benefits as follows, "That is related to the standard of living and general conditions in the different countries."

1 comment:

R J Adams said...

Ever felt like a third world country?