600 more American jobs heading to Mexico because of corporate gluttony

a reply to: SM2

Wow, they need to hire the accountants that General Electric uses, they paid Zero taxes.
My point is there is a difference between statutory tax rates and real taxes paid. Do a google search, the info is out there.

Over the 2001-2003 period, effective tax rates ranged from a low of -59.6 percent for Pepco Holdings to a high of 34.5 percent for CVS.

reclaimdemocracy.org...

Or these companies that paid zero tax in 2014:


Goodyear Tire
TE Connectivity
Eaton
Tyco
Masco
Royal Caribbean
Wynn Resorts
Darden Restaurants

americasmarkets.usatoday.com..." target="_blank" class="postlink">americasmarkets.usatoday.com... 11-big-profitable-companies-pay-no-u-s-tax/

originally posted by: seasonal
a reply to: Blueracer

Not being able to get that info is just the way a big corporation that shifted it's production to a 3rd word country would like.

Yep
They do not want the Consumer to be informed nor have a choice as is required under Capitalism

a reply to: SM2

a reply to: Bluntone22

Revenue, for the annual period ending 12-31-2015 was 29,636 millions USD (29.6 billion), so their after tax profit was over 24%.

Mondelez financials

Look it over. I don't think I've confused revenues with profits. Nor do I think they operate on razor thin margins. At $20 million a year, I would expect the CEO to figure out how to make the business as whole more efficient to be able to keep those jobs in America.


Thanks for all of the responses, ATS!

a reply to: Olivine

Hi Olivine,

The US executives and managers who travel into Mexico, to set up their outsource sites
will need to update their wills. Their travel to Mexico will be one way, their
life expectancy in Mexico will be a few days to a few weeks, at best.
They're delusional if they believe otherwise.

I won't post the images, they're beyond horrible.

To see their future, as they travel into Mexico, do a search-engine search
for "mexican cartel deaths" then click view images.

well.. that's despicable. Those CEO payrates are obscene. I used to work in payroll and would cringe during meetings discussing how "we can't afford... blah blah blah... so no one will be getting a raise this year..or, your benefits will be cut.. or.." all the while I was cutting these huge bonus checks for our 'great leaders'.
Are we seeing more companies bailing to Mexico because they think Trump might win and they will lose the chance? If he does try and stop the outflow of jobs, I wonder if it will be effective immediately or if the companies already out will get a free pass?
I don't need their products. Sadly, the average American isn't aware of their food sources.. ( Even if we are sometimes we have to just do the best we can)
I don't use FB but maybe someone who does can start an "Oreos Now Made in Mexico! ' page or smthng?

In the 1990’s Nabisco took $90 million in subsidies from Illinois taxpayers. Wonder if Illinois has a potential breech of trust case looming for these scumbags. Would it not be great if it cost them double what they are going to make by moving the manufacture of those fattening cookies to Mexico? Hey, another bunch of products off my buy list (too bad, the grandkids liked em). I think the last one was Wendy's for choosing Robots over giving their employees the new $15 per hour minimum wage......

These are the latest examples of what customer loyalty has become. We actually made these companies huge and rich...
Time for corrective action. IT's all we have as consumers. Choosing not to purchase these products, enough people... they lose bigtime.

Well, hopefully those 600 employees will go into a company still up here, and help make them bigger and more successful than Nabisco. Heck, with that amount of employees they could start their own cookie company.

2% margin on their product. lol.

I wonder why they let the stores get a 30% markup. I suppose they are making products to help stores make money instead of their company..

originally posted by: Olivine
a reply to: SM2

a reply to: Bluntone22

Revenue, for the annual period ending 12-31-2015 was 29,636 millions USD (29.6 billion), so their after tax profit was over 24%.

Mondelez financials

Look it over. I don't think I've confused revenues with profits. Nor do I think they operate on razor thin margins. At $20 million a year, I would expect the CEO to figure out how to make the business as whole more efficient to be able to keep those jobs in America.


Thanks for all of the responses, ATS!

No, you confused that. That 29,636 m USD is total revenue, not profit, thats every penny the company brought in 2015. That is according to the income statement. Gross profit was 11,512 . Gross profit is not profit that is free and clear. That's called EBIT, earnings before interest and taxes. Out of that comes a lot more. 20,739m USD for operating expenses for example. PLus like I said earlier, this is spread out of the entire company. Each brand will be treated as a different entity for internal purposes. The only thing at that plant, would most likley be Oreo, and the plant finance people will do a forecast and budget , etc. If that plant is losing money for whatever reason, be it cost of labor is higher then other plants in the same rough geographical area that are in the same category, they will seek to remedy that. It's called a cost benefit analysis. I think you have more reason to blame the union for moves like this and local economic policies then the company itself, they are in it to make money afterall.

I have seen fortune 500 companies (one that everyone talks about how awesome they are and how worker friendly, environmentally green etc) that shutttered a factory and moved it to another state because the healthcare costs were too high in the original location, and the local city government was charging them sales tax on energy.

originally posted by: digitalbluco
Well, hopefully those 600 employees will go into a company still up here, and help make them bigger and more successful than Nabisco. Heck, with that amount of employees they could start their own cookie company.

There is a certain wisdom in this.

Here we have a large group of people who have been the back bone that led to all of those profits, they could pool their knowledge and resources to build a business that doesn't resort to making their employees pay for the bad decisions made by executives and board members. Unfortunately most will just collect their unemployment check and struggle on.

originally posted by: seasonal
a reply to: SM2

Wow, they need to hire the accountants that General Electric uses, they paid Zero taxes.
My point is there is a difference between statutory tax rates and real taxes paid. Do a google search, the info is out there.

Over the 2001-2003 period, effective tax rates ranged from a low of -59.6 percent for Pepco Holdings to a high of 34.5 percent for CVS.

reclaimdemocracy.org...

Or these companies that paid zero tax in 2014:


Goodyear Tire
TE Connectivity
Eaton
Tyco
Masco
Royal Caribbean
Wynn Resorts
Darden Restaurants

americasmarkets.usatoday.com..." target="_blank" class="postlink">americasmarkets.usatoday.com... 11-big-profitable-companies-pay-no-u-s-tax/

some of that material on the reclaim democracy website is very misleading and they seem to willfully ignore some items, such as offshore tax havens. The money that is off shore, is money that is made off shore and remains off shore. if any of that comes back to the U.S it is hit with a 35% tax. Any of these companies that has a US arm, even if they are based in Bermuda, will pay the US taxes on US based facilities and product just like anyone else operating in the US. They are not making billions in the US and sending that money to Bermuda to shelter the taxes. Thats not how it works. If they didnt do that, and they broght the money back to the US, they would be taxed on the money in the country it was made, then taxed again when it comes to the US, which is why the double dutch irish sandwhich and other methods are in existence .

Buy Hydrox (they are back) Made In America by Leaf, and made with sugar not high fructose corn syrup. Taste far better too.


I have noticed gigantic stacks of oreos piling up in stores, I hope sales have tanked.

Better yet buy local and non name brand corporate products, non GMO, no HFCS, non BPA containers the product is held in, etc., filled garbage foods. These name brands such as in the Op will continue to sell out employees until American says no more. Plus a lot of the name brand crap sells for more, might as well save money buying the alternatives.

I’m afraid it’s too late…the train has left us all behind.

The President and US congress has long ago sold us all out

And all we’ve got is Trump, a lying hypocrite and racist madman and Hillary a lying two faced puppet for Goldman Sachs


Only Bernie could have helped...

originally posted by: Olivine
Mondelez International is an American food company headquartered in Illinois.

Note that Mondelez banked $7 billion in profit last year.

They are closing their Oreo cookie plant in Chicago and moving it to Salinas, Mexico.

The company offered to stay, if the 600 Bakery Union workers would take a $46 million dollar pay cut. That is equal to the cost savings the company claims moving operations to Mexico will net.

Let's look at the salary of the top 3 company executives:

If its executives are so inept they can't find an honest way to fill a $46 million hole, they should dock the pay of their top three executives by that amount. They can damn sure afford it, for they totaled $37 million in compensation last year. CEO Irene Rosenfeld alone took a $20 million paycheck in 2015, bringing her eight-year total pay and benefits to almost $200 million.

source


This is just one more example in a long string of manufacturing moves that hurts the American economy and citizens, while delivering another body blow to Chicago.

Buy Made in America products. And don't buy Oreos; they aren't really food. Yuck.

Your source is geared towards people that are unable or simply refuse to think for themselves. Doesn't anyone check facts anymore? Although, it is sad that more workers are losing their jobs.

a reply to: anton74

Which facts were incorrect?

just bake your own cookies

a reply to: Olivine

Holy crap!! A whole 600 jobs?!

Well, that's it. The economy is over.

originally posted by: Olivine
a reply to: anton74

Which facts were incorrect?

For one the factory isn't closing. Second, if they had upgraded the factory in Chicago 300 workers would still have lost their jobs.

A $46,000,000 pay cut for 600 workers comes out to $76,666.67 each. At that rate they would be paying to work there. That should be a huge red flag for anyone reading the article.

originally posted by: onequestion
Simple...

Don't buy Nabisco products.

Problem solved.

If you look at the details of any company supplying you a product you're going to find something you disagree with. Not only is it impossible to know who you should and shouldn't support but eventually you're going to have to give someone your money if you want the product. Don't want to buy Nabisco? All those other cookie companies are doing the same thing, or they're putting chemicals in the food, or they mistreat the workers.

Why is this particular issue the reason why a company should be pushed out of the market? Others feel just as strongly about different cookie brands.