General Electric is one of the five biggest companies in America and the biggest producer of appliances, such as dishwashers, refrigerators, stoves, and TVs. The biggest outlet for GE goods is Wal-Mart. During the last few years, GE has conducted a large amount of outsourcing. The IUE union, which represents GE workers, has estimated that during the last five to seven years, GE has fired more than 100,000 workers, one of the nation's biggest outsourcing massacres. Most of this work was outsourced to Mexico, China, and Asia in general.
At Masterlock, 250 union workers lost their jobs in 2000 when Wal-Mart suddenly dropped the company's products and switched to an offshore, low-wage competitor.
Levi Strauss is one of the biggest manufacturers of jeans and denim products, including the line of Docker slacks. Wal-Mart is the biggest retailer of Levi Strauss products. During the past 18 months, after meetings with Wal-Mart, Levi Strauss announced it will shut down its four remaining production plants in North America and shift the work to Ibero-America and Asia. Several hundred jobs will be lost.
Dial Soap sells 28.3% of its production to Wal-Mart. Under Wal-Mart pressure, Dial is shutting down its Compton, California plant and shifting work to Argentina.
There are hundreds of similar stories. As a result of the Wal-Mart model, combined with the depression, more than 1 million manufacturing production jobs producing consumer goods have been lost since July 2000 alone.
Overseas Slave-Labor
Meanwhile, Wal-Mart is operating slave-labor camps overseas. It does this through its suppliers and, increasingly, in its own name. One of the most infamous slave-labor camps is that in American Somoa—the Daewoosa Factory, where 230 workers, mostly young women from Vietnam and China, worked under conditions of indentured servitude. According to records, they were cheated of their meager wages, beaten, starved, sexually harassed, and threatened with deportation if they complained. On Feb. 21, 2003, in a court in Hawaii, the proprietor of the factory, Kil Soo Lee, was found guilty of 14 of 18 counts brought against him for indentured servitude. This factory sewed clothing for Wal-Mart, under Wal-Mart's "Beach Cabana" label (as well as producing for other retailers).
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