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Wednesday, April 3, 2013

The Era Of Offshoring American Jobs Is Ending

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Wednesday, April 3, 2013
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The Era Of Offshoring American Jobs Is Ending

One of the big economic stories that America is looking for forward to is the manufacturing renaissance.

This is the idea that rising overseas labor costs and falling domestic energy costs will cause jobs and manufacturing capacity to return to the U.S.

While we have yet to see significant evidence that this has actually begun, we at least know that the offshoring of jobs has decelerated and may have hit an inflection point.

"The offshoring boom does appear to have largely run its course," writes Capital Economics' Paul Ashworth, pointing to the Bureau of Labor Statistics' data on mass layoffs.

"Offshoring layoffs have fallen sharply relative to both total layoffs and layoffs due to relocations elsewhere within the US," he writes. "This would seem to confirm that offshoring has lost a lot of its appeal over the past couple of years."

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