The above chart measures percentage growth in employment from U.S. multinational corporations both in the U.S. and abroad.
Worldwide employment by U.S. multinational companies (MNCs) increased 1.5 percent in 2011 to 34.5 million workers, with the increase primarily reflecting increases abroad. In the United States, employment by U.S. parent companies increased 0.1 percent to 22.9 million workers, compared with a 1.8 percent increase in total private industry employment in the United States. The total employment by U.S. parents accounted for roughly one-fifth of total U.S. employment in private industries. Abroad, employment by majority-owned foreign affiliates of U.S. MNCs increased 4.4 percent to 11.7 million workers.
U.S. multinationals accounted for 20.9% of U.S. private sector payrolls in 2011, 21.8% in 1989. Yet from 1989 to 2011, U.S. MNCs decreased their employment in the United States by 3.3 million workers while expanding employment abroad by 6,5 million employees. The share of employment by MNCs in the United States went from 79% of their total employees in 1989 to 66.3% by 2011. Multinational corporations are clearly doing their hiring abroad.
This is why I don’t understand why so many people still think the current economic doldrums is just a product of the banking/housing crisis and a poor government response to it. These are permanent changes in the economy. There simply are not stable jobs for Americans anymore. Extreme capital mobility has shifted more and more jobs overseas. At first this was just manufacturing, now it is lower level law positions and middle management. What jobs that haven’t been moved are in the process of being mechanized to the point that the jobs won’t exist any longer (such as professors and MOOCs). People’s blind faith in capitalism’s ultimate beneficence to the American people have blinded themselves to the reality of 21st century America–a land increasingly without steady work or meaningful job creation, unless you are in the corporate elite.