posted 10-04-2003 05:44 PM            

By Andrea Hopkins

WASHINGTON (Reuters) - When Jerry Wilmouth moved to Galesburg, Illinois, five years ago, everyone told him to get a job at Maytag Corp.'s refrigerator plant. Maytag paid the best, they said, and the 50-year-old factory was the lifeblood of the city.

Now, Wilmouth and 379 others are spending their first week of life after Maytag -- the first of 1,600 workers to be laid off between now and the end of 2004, when the plant closes for good and Maytag moves the work to Mexico.

The 46-year-old father of three said he has little hope of finding work in Galesburg to match the $15 an hour he made on the assembly line, and now his 17-year-old daughter is thinking about joining the Army to pay for college.

"Every decent-paying job in the area is going, going or already gone overseas and I'm faced with taking a job for $6, $7, $8 an hour," said Wilmouth.

The loss of 2.5 million manufacturing jobs since January 2001 has devastated factory towns across middle America, where once-dominant local employers are pulling up stakes and heading to Mexico or Asia in search of lower costs and cheaper labor.

The exodus of 1,600 Maytag jobs is only the tip of the iceberg in Galesburg. Everyone from sheet metal suppliers to local firms providing toilet paper and light bulbs rely on the plant for business in the town of about 33,700 about 150 miles southwest of Chicago

According to a study by the Institute for Rural Affairs at Western Illinois University, the Maytag plant is the dominant industry for nine surrounding counties. For every Maytag worker laid off, nearly three other jobs will disappear as the loss of so many high-paying jobs ripples through the economy -- taking total jobs losses to 4,166.

"Never in my life have I lived in a place that is sort of going backwards like this," said Chris Merrett, an associate professor at the institute.

"Along with agriculture, this kind of manufacturing was the economic base and those jobs are going elsewhere."

PINK SLIP DREAMS

Since the end of the 2001 U.S. recession, job losses have ballooned in many sectors despite economic growth. This "jobless recovery" has drained one in six factory jobs, squeezing many of the nation's more highly paid workers.

Manufacturing pays an average $45,580 in annual wages -- about 17 percent higher than the average U.S. job, according to the National Association of Manufacturers (news - web sites).

The layoffs have carved a swath of unemployment through the Midwest, where cornfields made way for factories after World War II as industry shifted from big cities to comparatively low-cost rural areas.

In Wichita, Kansas, some 11,000 aerospace workers have lost their jobs since 2001 as employers outsourced both parts supply and assembly overseas, sideswiping the local economy.

Carolyn Summers, a 41-year-old mother of two was laid off from her job at Boeing Co.'s Witchita plant (NYSE:BA - news) two years ago, and she mourns the devastation she has seen.

"I see so many people that I worked with at Boeing, and they're still unemployed just as I am," said Summers. She blames free trade and President Bush (news - web sites) for allowing U.S. companies to outsource overseas.

"I wish the government would really see what it is doing to the American people. We built this country, and I feel that they're letting it turn into almost a ghost town," she said.

A single mother, Summers most regrets the impact the loss her $18.67-an-hour job has had on her 21-year-old daughter, who was away at college studying nursing when the pink slip came. She now works at Wal-Mart to pay for her part-time studies at Wichita's local community college.

"That's one dream you're always saying -- 'My child is going to go to college'," lamented Summers. "All my American dreams just seem to (have been) written on a pink slip."

***********

THANKS NAFTA/GATT

THANKS CLINTON/BUSH LEGACY

posted 10-05-2003 06:51 AM            

Job Growth in September Suggests "Turnaround" in the Job Market

A report released today shows that 57,000 new jobs were created in September, "suggesting a turnaround" in the job market according to the Associated Press.

The growing job market is just the latest sign of a stronger economy. With 3.3% growth in the second quarter of 2003 and a projected 6% growth in the third and fourth quarters, one economist saw a "Bush Boom" ahead.

President Bush met with small business owners today to discuss his plan to sustain economic growth and create jobs. His six-point plan will help small business owners provide health insurance to their employees, reduce bureaucracy, and focus on job creation rather than junk lawsuits.

Learn more about President Bush's jobs and growth agenda.
Read the President's remarks to small business owners today.



Leadership Teams Announced in Florida, Georgia and Maine

The grassroots team that will lead the effort to re-elect President Bush and Vice President Cheney made dramatic strides this week. Leadership teams in the key states of Florida, Georgia, and Maine were announced.

Governor Jeb Bush will lead the team in Florida, Governor Sonny Perdue and Senator Saxby Chambliss will head the Georgia campaign, and Peter Cianchette, along with Senators Susan Collins and Olympia Snowe will lead the Maine effort.

Commenting on the strong teams in place, Campaign Manager Ken Mehlman said, "These states will play an important role in this election. We are honored to have such a seasoned group of leaders at the helm of Bush-Cheney '04, and their efforts will be crucial to our success."

Read the complete Florida campaign announcement.
Read the complete Georgia campaign announcement.
Read the complete Maine campaign announcement.
President Bush Continues War on Terror, Says Nation "Refuses to Live in Fear."

The President outlined America's successful strategy for protecting the American people and winning the war on terror, in a speech to workers of the Department of Homeland Security. President Bush said, "We are not waiting while dangers gather. Along with fine allies, we are waging a global campaign against terrorist networks -- disrupting their operations, cutting off their funding, and we are hunting down their leaders one-by-one. We are enforcing a clear doctrine: If you harbor a terrorist, if you feed a terrorist, if you support a terrorist, you're just as guilty as the terrorists, and you can expect to share their fate."

posted 10-05-2003 10:03 AM            

TURN AROUND? My @$$!!!

Over the past few years companies have been fleeing America like a mass migration.

There will not be a "good economy" in a jobless recovery.

posted 10-05-2003 11:23 AM            

This reminds me of a promotional movie poster I saw a few years ago.....

posted 10-05-2003 11:54 AM            

Its going to affect 80% of all sectors in the US.

Think it wont affect you? THINK AGAIN.

Mr Bush has NO desire in changing this either.

Bush Administration Won't Impede Offshore Outsourcing

Story by Patrick Thibodeau
http://www.computerworld.com/governmenttopics/government/
policy/story/0,10801,85468,00.html?SKC=policy-85468