|IS MANUFACTURING REALLY BACK?|
Aruba, January 23, 2012 - Is America in the middle of a manufacturing job revival? The latest numbers would make it seem so. The U.S. has added more net manufacturing jobs since the start of 2010 than the rest of the G7 nations put together, with only two other economies, Germany and Canada, increasing factory employment at all.
The jump is due to a number of factors, including American productivity growth (which has outpaced Europe as a whole), compressed wages, and higher energy costs (which make it more costly to ship products back from locations with cheaper labor, like Asia). As the FT recently reported, from 2002-10, U.S. manufacturing unit labor costs in dollar terms fell 11 percent, compared with rises of 3 percent rise in Japan and 41 percent in Germany. Companies that are now bringing jobs back home include some of America’s largest blue chip multinationals, like Ford, GE, and United Technologies.
Read more: http://business.time.com/#ixzz1kIq2ZM5s