skip to main | skip to sidebar

Saturday, June 14, 2008

Offshoring our future?

Many large firms are moving their corporate headquarters to low tax havens. Companies like Halliburton the main contractor in Iraq moves its headquarters from Houston to Dubai. VP Cheney was once CEO of Halliburton. The company did well after the invasion of Iraq getting lucrative government contracts, now it returns the favor by leaving the US.

What was once a trickle of companies leaving is turning into a flood. This process of moving corporate headquarters offshore to avoid paying taxes is called - offshoring. It causes job loss in the US as well as revenue loss. This means the American workers will have fewer jobs in the future and face higher taxes.