Posts Tagged ‘Current Events’

In defense of military spending

August 24th, 2012
By: Dan Davis

Who do you believe the Mayans or the political pundits?

If the Mayans' ancient beliefs are correct, you shouldn't plan anything after Dec. 21 because that's supposedly the end of the world. For those that have their doubts about the prognostication power of ancient people, all they have to do is look ahead to the end of the year as the U.S. government approaches the dreaded "fiscal cliff," the time when a combination of tax cuts suddenly end and $100 billion in federal government spending cuts are enacted. Pundits believe that'll bring any U.S. economic growth to a complete stop and cause a slump that makes the Great Recession look like spring break.

Will it be the end of the world as we know it by the start of 2013?

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Crazy to think things are getting better?

August 10th, 2012
By: Dan Davis

Positive thinkers make me nervous, and motivational speakers make me roll my eyes. I'm a self-motivated individual who has a clear understanding of the reality around him. I believe in the ability to scale mountains, but those that believe they can move them through sheer will deserve to have Tony Robbins take their $350 in exchange for an autographed book and an afternoon of self-help babble.

So back in 2008 I laughed as manufacturers tried to convince me that the media was causing the economic downturn initiated by the collapse of the real estate market. So if everyone had ignored the facts around them, the economy magically would have improved overnight? Reality wasn't going to cooperate. (more...)

Please rain on this parade

July 20th, 2012
By: Dan Davis

The rain fell so hard on June 18 in my hometown of Crystal Lake, Ill., that the power went out because broken tree limbs snapped power transmission wires. It was a great night.

Forget any perceived sarcasm. I'm totally serious. Like other states, northern Illinois is in dire need of rain. It's been a brutally dry and hot summer.

Of course, I have to take care of just six tomato plants, four pepper plants, two cucumber vines, and my ever-growing pumpkin plant. I don't have to worry about an entire farm. (more...)

Don't fear the summer swoon

July 5th, 2012
By: Dan Davis

Is the U.S. manufacturing slowdown a speed bump or a sink hole? Honestly, the answer really doesn't matter.

The June 2012 Institute for Supply Management™ Manufacturing Business Survey—the Purchasing Managers Index—declined 3.8 percentage points from the May numbers, falling to 49.7 percent, which typically means U.S. manufacturing went into contraction. This is noteworthy because the retrenchment comes after almost three years of consecutive months of growth; the last time the survey came in under 50 percent was in July 2009.

Enlightened manufacturers might show some concern, but they are looking ahead because they know U.S. manufacturing is about to undergo a big change. The work is going to be there for those that can deliver quickly and be cost-competitive. (more...)

Where there are fumes, there's no fire for welding companies

June 15th, 2012
By: Dan Davis

In a day when class action lawsuits centering on such things as asbestos, concussion injuries, or tobacco seem to be in the news quite often, don't expect to be reading about suits targeting welding rod manufacturers. Attorneys targeting those welding consumable manufacturers appear to have given up.

That point of view comes from Michael Degan, who works with the Gas and Welding Distributors Association and is a partner with the law firm of Husch Blackwell LLP. "… [R]umors have been floating that the steering committee for plaintiffs [in these suits against welding companies] has been negotiating a proposal to terminate all currently pending welding fume cases. Such an agreement would effectively end welding fume litigation as a mass tort," Degan wrote. You can read the synopsis here. (more...)

Manufacturing expansion to press ahead

May 25th, 2012
By: Dan Davis

The Congressional Budget Office (CBO) is being a buzz-kill.

The nonpartisan government agency that watches the cost of legislative action reported this week that if the President George W. Bush-era tax cuts are allowed to expire around the same time that automatic spending cuts in the federal budget are enacted in the first half of 2013, the U.S. could slip back into a recession. The CBO estimates that the U.S. economy could shrink by 1.3 percent in early 2013.

That's a pretty alarming warning, but who's really concerned about a potential crisis? We've got a presidential election under way. 

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Addressing the "moral imperative"

April 5th, 2012
By: Dan Davis

Have you read Senior Editor Tim Heston's most recent blog post? If not, you should.

In the blog post, Heston discussed recent media coverage of Apple reported the multimedia gadget maker can't make products in the U.S. because the workforce isn't flexible enough to respond to fickle consumer demand. Toward the end, Heston stated: "I’d say it’s a moral imperative that we again build our U.S. manufacturing infrastructure so we can respond to companies like Apple, with skilled workers and automation."

I don't think the issue can be stated any more clearly. It's time for the U.S. to put the iPhone down, get off the couch, and make a better future for itself.

I could go into the list of reasons that manufacturing is important, but I'll let Jerry Jasinowski, the former president of the National Association of Manufacturers, address the points in this recent editorial. Simply put, manufacturing is a wealth creator that other segments of the economy simply can't match.

Hopefully, people are getting the message, especially knowing that manufacturing continues to lead this slow economic recovery. Job creation is also increasing, with small and medium-sized companies accounting for 89 percent of the 209,000 new workers in March, according to payroll processor Automatic Data Processing.

Where does it start? I'd argue that it already has with the new focus on vocational skill development in community colleges. Unfortunately, the new talent isn't being educated fast enough for many manufacturers, but help is on the way in some areas of the U.S.

How does it continue? There are numerous places to start: tax reform, regulatory relief, and supportive legislative action.

Yes, the U.S. economy is still a consumer-driven entity. Yes, manufacturing as a percentage of the U.S. gross domestic product will continue to shrink—just as agriculture has over the years—as fewer workers are needed to produce the same or more amount of goods. Those are facts that cause some pundits to frown on any special treatment given to manufacturers.

I'd say look at other facts. The unemployment rate is still higher than 8 percent. The average age of a manufacturing worker is late 50, and although they may be working longer to add to their retirement coffers, they soon will be walking out the door. Jobs are available and will be available for some time.

We have a moral imperative to support our neighbors who are looking to rebuild their lives after the tumultuous events of the past five years. We can do that by supporting manufacturing.

Manufacturing deserves special treatment

January 20th, 2012
By: Dan Davis

I apologize for being absent from the blog for most of the past six weeks. I guess I got wrapped up in Republican primary politics coverage.

That's a joke. I also was engrossed in "Storage Wars" and "American Hoggers" on A&E.

But it's kind of hard to ignore the political proceedings that are taking place all over the U.S. An election year means some sort of change is coming, and metal fabricators are no different from any other voters: They hope the change is consistent with their own political beliefs. To say that there is a little interest in this upcoming election would be a grand understatement. (more...)

Not all for one, one for all

September 21st, 2011
By: Dan Davis

I just got off the phone with a retired "sheet metal mechanic," as he called himself. He wanted to send in a letter to the editor about his experiences in metal fabricating, and I'm not sure we'll have enough room to include all of the points he covered in our 10-minute phone call.

This was his main point, however: You can bust your butt to be a good employee, but companies "will toss you aside when they are done with you." After making that statement, he went on to describe how he worked a 1 p.m.-to-9 p.m. shift for one shop, often working into the early morning, for 27 straight days. After putting together that long streak of consecutive days worked, he was laid off several weeks later. On the way out, the owner of the company told him his contributions were appreciated, and he replied, "You have a funny way of showing it." (more...)

College isn't for everyone

August 26th, 2011
By: Dan Davis

The technology press is all atwitter about the resignation of Steve Jobs as the day-to-day leader of Apple. The hullabaloo is probably warranted given that his company's products have revolutionized the world. The Apple® I was the first personal computer, forever influencing the way people communicated and conducted business. The iPod® turned the music industry on its head because a music collection was now as mobile as the music collector. The iPhone® is a smart phone that's destroying other market segments, such as mobile gaming and global positioning systems. Meanwhile, people still are trying to wrap their heads around what the iPad® means to everyone's personal and professional lives. Arguably, Jobs might have the best resume of anyone alive today.

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