Although the current jobs crisis is thought to be a product of the past recession, the Huffington Post reports that a government analysis has found U.S. multinational companies have been firing American workers and hiring foreigners for 10 years.
The Commerce Department's Bureau of Economic Analysis revealed that corporations cut nearly 864,000 jobs in the United States during the past decade. At the same time, the companies added 2.87 million jobs outside the country, including 1.61 million jobs in the Asian-Pacific region, the Huffington Post reports.
These findings reveal a trend of businesses hiring in the places where they are growing, which is in emerging countries.
According to the Wall Street Journal, U.S. businesses also cut 14,700 workers in Germany during the decade and added only 8,700 in France, while increasing their payrolls in Poland by 135,500 and in Hungary by 53,700.
Overseas, U.S.-based corporations still employ more people in Europe than in any other part of the world, the Wall Street Journal reports, but most of the hiring during the 2000s took place in lower-wage countries in Eastern Europe.
As emerging nations have accounted for growing portions of company revenues, they have been rewarded with jobs, apparently at the expense of Americans.
Reversing this trend could be problematic, because many of the emerging nations are projected to continue experiencing stronger growth than the U.S. in the next couple years and their citizens are likely to continue fattening companies’ bank accounts.
That U.S. based multinationals concentrated their growth opportunities abroad is likely to become fodder in the political debate over U.S. and foreign corporate tax codes and policies aimed at encouraging companies to produce more jobs at home, the Wall Street Journal reports.
© 2013 Moneynews. All rights reserved.