Two articles of note

The reader is invited to ask why I link these two together.

Educational Offshoring: “

Offshoring of the educational system, part XVIIII:

http://online.wsj.com/public/article/0,,SB112052870627477026-1DMgflZ9RVqMtnbLdqA443LHSPA_20060705,00.html?mod=blogs

Enter the next phase of outsourcing: online math education. Not only does the U.S. increasingly lag behind other countries on international math scores, it’s also short of qualified math teachers. This could make it tough for America to improve its grade and retain the competitive edge that keeps good jobs at home.

Into the breach step a handful of Indian companies like Career Launcher India Ltd., which provide math tutoring through two U.S. online tutoring companies and directly to students like Ms. Basu…

(Via Brad DeLong’s Website.)

Toyota to build 100,000 vehicles per year in Woodstock, Ont., starting 2008

WOODSTOCK, Ont. (CP) – Ontario workers are well-trained.

That simple explanation was cited as a main reason why Toyota turned its back on hundreds of millions of dollars in subsidies offered from several American states in favour of building a second Ontario plant.

Industry experts say Ontarians are easier and cheaper to train – helping make it more cost-efficient to train workers when the new Woodstock plant opens in 2008, 40 kilometres away from its skilled workforce in Cambridge.

‘The level of the workforce in general is so high that the training program you need for people, even for people who have not worked in a Toyota plant before, is minimal compared to what you have to go through in the southeastern United States,’ said Gerry Fedchun, president of the Automotive Parts Manufacturers’ Association, whose members will see increased business with the new plant.

Acknowledging it was the ‘worst-kept secret’ throughout Ontario’s automotive industry, Toyota confirmed months of speculation Thursday by announcing plans to build a 1,300-worker factory in the southwestern Ontario city.

‘Welcome to Woodstock – that’s something I’ve been waiting a long time to say,’ Ray Tanguay, president of Toyota Motor Manufacturing Canada, told hundreds gathered at a high school gymnasium.

The plant will produce the RAV-4, dubbed by some as a ‘mini sport-utility vehicle’ that Toyota currently makes only in Japan. It plans to build 100,000 vehicles annually.

The factory will cost $800 million to build, with the federal and provincial governments kicking in $125 million of that to help cover research, training and infrastructure costs.

Several U.S. states were reportedly prepared to offer more than double that amount of subsidy. But Fedchun said much of that extra money would have been eaten away by higher training costs than are necessary for the Woodstock project.

He said Nissan and Honda have encountered difficulties getting new plants up to full production in recent years in Mississippi and Alabama due to an untrained – and often illiterate – workforce. In Alabama, trainers had to use ‘pictorials’ to teach some illiterate workers how to use high-tech plant equipment.

‘The educational level and the skill level of the people down there is so much lower than it is in Ontario,’ Fedchun said.

In addition to lower training costs, Canadian workers are also $4 to $5 cheaper to employ partly thanks to the taxpayer-funded health-care system in Canada, said federal Industry Minister David Emmerson.

‘Most people don’t think of our health-care system as being a competitive advantage,’ he said….”

One thought on “Two articles of note”

  1. Hard to believe there are people here in Canada looking to see that health-care advantage dismantled, isn’t it?

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