Nadler: Stop Corporate Welfare for Companies that Export Jobs Overseas

Mar 2, 2004

Washington, DC -- Congressman Jerrold Nadler (D-NY) today joined Congressman Bernie Sanders (I-VT) to announce the introduction of the Defending American Jobs Act, legislation that would prohibit American corporations from getting federal grants, loans, and loan guarantees if they lay off a greater percentage of workers in the United States than workers in other countries. Nadler is an original co-sponsor of the legislation.

"It is appalling that when Americans are losing jobs, the Bush Administration is advocating the practice of sending jobs overseas. Yet this should come as no surprise, since the Bush Administration has proven time and time again that it is a friend to corporate America and a foe to the millions of Americans who are out of work due to these corporations' destructive actions," said Nadler.

Because of the deliberate decision of some American companies to ship jobs overseas, where they can pay dismal wages and fire workers who try to form a union, the United States has lost almost three million manufacturing jobs over the last three years. Yet while these corporations lay off American workers and ship the jobs overseas, the federal government has rewarded the corporations with hundreds of billions of dollars in corporate welfare.

For example, at the same time that General Electric eliminated more than 260,000 American workers while investing over $1.5 billion in China, the corporation received more than $2.5 billion in corporate welfare from the U.S. Export-Import Bank. The Defending American Jobs Act would ensure that corporations such as General Electric do not benefit from federal grants and loans if they continue such business practices.

"As would be expected, President Bush has not admonished corporations that lay off American workers to only fill those jobs with workers overseas. Incredibly, members of his Administration have actually stated that the practice of transferring jobs overseas is good for the American economy. I am still waiting for someone to explain to me how, exactly, sending jobs overseas is good for the millions of Americans who are still struggling to find jobs here in the United States," said Nadler.