Oreos Will No Longer Be “American Made”… Thanks Obama

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Barack Obama has apparently put together a trade deal with Mexico.  We get 50 million illiterate, unemployable Mexicans and they get to produce Oreos.  The only good part is that the the jobs are moving out of Chicago.

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The makers of Oreos and Ritz crackers is moving production to Mexico.  It costs too much to make them in Chicago.

The company is enlarging its Mexico facilities as it closes nine bakery lines in the Windy City, some of which have been operating for 60 years.

The company has been cutting costs since its 2012 separation from Kraft Foods’ grocery business. The goal is to reduce costs by at least $1.5 billion by the end of 2018.

In 2013, Mondelez said its cost-cutting strategies included outsourcing white-collar jobs to countries where labor was less costly, shutting down old plants and bakery lines, improving plants in less costly areas, and corporate reorganization.

By 2015 the company had already reduced its work force from an estimated 107,000 employees to 104,000.

Mondelez says changing customer interests in pre-packaged foods, rising U.S. costs, and cheaper foreign labor costs are at the root of the changes.

Remember, the Democrats are beating their drums for a “living wage” of at least $15 per hour.  One of the problems with that number is that unions – like the Oreo/Ritz workers – tie their wages to the minimum wage and that raises labor cost across the board.

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Labor costs go up and jobs go away.  Businesses aren’t going to pay wages above the value the workers bring to the table, that’s basic arithmetic.  You don’t need calculus for that one.  When the cost/value equation tips the wrong way bad things happen, and they mostly happen to the people Democrats say the want to “protect.”

Hellofa job Barack.  You too Hillary and Bernie.  I’m sure the workers who are about to lose their jobs can’t wait to volunteer for your campaigns.  Lord knows they’ll have plenty of free time on their hands.

 


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About Author

Michael Becker is a long time activist and a businessman. He's been involved in the pro-life movement since 1976 and has been counseling addicts and ministering to prison inmates since 1980. Becker is a Curmudgeon. He has decades of experience as an operations executive in turnaround situations and in mortgage banking. He blogs regularly at The Right Curmudgeon, The Minority Report, Wizbang, Unified Patriots and Joe for America. He lives in Phoenix and is almost always armed.

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