Boeing cuts predicted 5 years ago

I was in Seattle last week and all everyone was talking about was the 8,000 jobs Boeing just announced would be cut this year. In July of 2011 I published an article titled “The Beginning of the End for American Manufacturing? about the National Labor Relations Board (NLRB) trying to block Boeing from building a new plant in South Carolina.http://www.therightapproachconsulting.com/wp-content/uploads/2015/07/201107Beginning-of-the-End-American-Manufacturing-July2011_1.pdf

The key to this article was that this move would allow the company to improve their global competitiveness as South Carolina is a non-union, lower cost labor state. By-the-way, the new plant would also create 3,800 new jobs in South Carolina, and while the lawsuit was not successful, the union is still trying to organize there.

Fast forward 5 years to last week, when Boeing announced that they will be cutting 8,000 jobs (10% of its commercial airline unit) citing the $1 billion in cost savings “…part of a broad cost-cutting drive to keep them competitive.”

Is this a coincidence? I think not.

Increased governmental, regulatory and compliance oversight in business is making it difficult to remain globally competitive, and if this can happen to an industry giant like Boeing, thing of the impact to small and medium-sized businesses like ours…