Jobs Coming Back To America?


Many U.S companies move the years have exported their labor abroad to save on costs and increase profit margins. If you have listened to any of Donald Trump’s presidential campaign speeches, you will have heard him constantly say that other continents are stealing jobs away from hard-working Americans. This is not entirely true though as over the last few years a recent study shows a substantial shift in companies reshoring.

Why Companies Are Moving Back To The U.S.

Recent data trends have shown that it is becoming a lot less expensive to use and manufacture in America. T.he reason why the productivity gap is widening is due to labor in the U.S been cheaper that other main competitors. In Italy the costs are up to 20% higher, France and Germany up to 16% higher, Japan 10% and in the UK it is 8% greater.

American Employment Laws

One of the main factors that have driven reshoring is the fact that American companies have a lot higher flexibility that favors the company. In countries like Germany shutting down a company can costs millions depending on the size of the company due to strict Government enforced laws. When a company closes in Germany the works are well looked after and have rights to high severance packages and in some cases, the company is required to pay the works salary for up to one year.

China’s Developing Economy

While the rest of the world have gone through a recession, Chain has continued it staggering year on year grow. This has developed the economy fast which has led to rising wages along with production and development costs increasing. It is estimated that wages in China have risen by up to 200% during the last 10 years. In the U.S they have only gone up by around 30%.

U.S. Technological Advantages

The main types of jobs resourcing back to the U.S are ones which can be highly automated. For jobs that need labor intensive products, they are still using less developed nations.

American Exports

The changes along with the regulatory labor laws have meant that now the U.S. is back in the business of exporting all over the world. It is estimated that this trend will continue to rise and it will strengthen the American economy. Recent reports have shown that the increased combination of domestic creation and exporting will create up to 1.2 million jobs in factories along with 1.9 up to 3.5 million in transport, logistics and retail.

Is The China Revolution About To End?

China is still the world leader in most aspects of producing inexpensive manufacturing. The shift

Is starting to take place, though, with the costs of added expenses, it is becoming more economically viable for U.S produces to be made and exported from their home soils.


The trend of U.S costs compared with once undeveloped nations is getting less appealing to companies who are looking to save money on production. With American jobs been low paid and employment laws that benefit the companies, it is possible in our lifetime we will see an economic and manufacturing revival in the America.