|
|
|
 |
|
Home / Washington Business - July/August 2003 / It’s still true: What’s good for Boeing is good for Washington |
|
|
|
 |
|
|
|
It’s still true: What’s good for Boeing is good for Washington |
|
|
|
Written On: July/August 2003 |
|
|
|
Written By: By Don Brunell - AWB President |
|
|
|
Washington is battered by an economic hurricane. We’ve led the nation in unemployment over much of the last 18 months, and we’ve lost 60,000 manufacturing jobs since July 2000. That means one out of every six factory jobs are gone forever.
Many of those job losses are at Boeing. What once was a stalwart workforce of 110,000 in our state now is around 60,000 and dropping – 50,000 family-wage jobs have vanished.
That is why Gov. Locke and lawmakers are alarmed at the prospect of losing Boeing’s big 7E7 project. Realizing they must stop the erosion of jobs in Washington, they drew a line in the sand and mounted an all-out effort to lure production of the new fuel efficient jetliner to our state.
In the past, siting a Boeing project was a slam dunk. Just decide whether to build the
new plane at Everett or Renton and let plants in Wichita fight to manufacture component parts. Not anymore. Alabama, California, Georgia, Kansas, Texas – even Japan – are all bidding to assemble the new fuel-efficient 7E7.
With the airline industry still reeling in the wake of 9-11, it is all about cutting production expenses in a deflationary market. Either Boeing lowers the costs of its airplanes and maintains its quality, or cashstrapped airlines buy from Airbus or forego purchases entirely.
Boeing has company
Boeing is not alone. Nearly every maufacturer in our nation faces stiff foreign competition.
For example, just because Weyerhaeuser has millions of acres of trees in the Pacific Northwest does not mean a new sawmill will be built in Washington. If it can’t compete with 2x4s from North Carolina, Canada or Chile, those manufacturing jobs are gone.
The same goes for even small manufacturers. While companies like Nelson Irrigation in Walla Walla use quality products, innovation, customer service and motivated, well-trained workers to maintain market share, they face stiff challenges from foreign competitors with lower production costs.
In today’s high tech, web-based world, information travels quickly and competitors can manufacture and market products in a matter of weeks.
High tech world moves fast If that’s the world in which we live and compete, we must recognize that reality and do what it takes to regain our competitiveness. Gov. Locke and the legislature got a good start in 2003, but here is what they must continue to do:
1. Reduce government-imposed costs by continuing to reform workers comp and unemployment insurance.
2. Improve infrastructure such as roads and airports.
3. Don’t raise taxes and fees. Washington employers already pay a higher portion of state and local taxes than competitors in other states.
4. Improve education and workforce training at all levels. That doesn’t mean simply appropriating more money. We need to set priorities and spend our tax dollars more wisely and allow charter schools.
5. The regulatory morass needs reforming. State and local regulations must be clear, concise, reasonable, enforceable and based on common sense. We cannot afford months of bureaucratic processing and court challenges.
6. Continuing implementing the Priorities of Government (P.O.G.) to insure we are spending our tax dollars wisely.
7. Recognize that this threat is serious, and is not just about Boeing. Boeing’s pressures are shared by every other manufacturer in America.
We are in a global economic war for survival. It is fast paced and high tech. Our elected officials must continue to take bold and decisive action or, as former Boeing CEO Frank Shrontz warned a decade ago: “Washington could become the next rust belt!”
|
|
|
|
|
 |
|
