The line in the article about the rate of pay was highlighted. Is this meant to imply that the union scale pay is high? I frankly don't think that $15.20 an hour--a little over $30K per year--is at all an unreasonable rate of pay for an adult. It does not buy a very fancy lifestyle in that area of PA.
The rate of pay isn't high, but still substantially more than Mexico. Of course, Mexico lost a ton of jobs to China, where the pay is even lower.
The bottomline is very simple: If American workers don't want to compete with Chinese and Mexican wages, then the solution is in trade policy.
I thought it was a good wage, too...but it comes with union ties, so therein lies the rub.
The article also stated the plant that's closing/moving was only functioning at 62% of capacity; they were moving and combining plants for a better output.
I'm a business owner. Relatively high wages for a depressed area and under-production at the same plant don't add up to making money for the stockholders...or anyone in the long run.
I meant to also add:
$18.78 was the average wage, the $15 was the low-end wage. And then I'm sure there's health insurance and other benefits on top of that.
It is if the rate is set by thugs and physical intimidation to award it to people with 6th grade educations; in a truly free market that would never occur.
Regardless, what you think is not going to stop the flight from outrageous wages and high taxes.
Better get used to it.
No, as the article says that is the lowest pay. If people are complaining about losing their jobs there the pay must be more than adequate. I'm sure that the dollar figures quoted don't include any of the benefits.