JEFF GREENFIELD, SCOTT SIMON RAY SUAREZ, AND THIS WEEK MARI HINOJOSA >> ON THIS EDITION, MAIN STREE FINDLAY, OHIO.
>> 26,000.
THAT'S PROBABLY WITHIN IF, I THEY HAVE FAMILIES, THAT'S PROBABLY WITHIN THE POVERT LINE >> IT'S RIGHT AT THE POVERTY LINE >> BUT DOWN DOESN'T NECESSARIL MEAN OUT >> JUST IN NORTH WESTERN OHI ALONE IT'S ESTIMATED THERE'S GOING TO BE 59,000 JOB OPENING IN MANUFACTURING THE MOST INDUSTRY WE TALK WITH THEY HAVE NO IDEA WHERE THEY'R GOING TO FIND THOSE WORKERS.
>> ON THE REBOUND.
NEXT ON "NEED TO KNOW.
>>> WELCOME TO "NEED TO KNOW."
THANKS FOR JOINING US.
IT'S GREAT TO BE WITH YOU.
WE BEGIN THIS WEEK WITH QUESTION HOW MANY TIMES DURING THE PAST SEVERAL YEARS HAVE YOU HEARD ONE COMMENTATOR OR ANOTHER EXPRESS THE SAME FAMILIAR LAMENT WE JUST DON'T MAKE ANYTHING TH WAY WE USED TO ANYMORE IT'S NOT EVEN TRUE NO COUNTRY EXPORTS MORE THAN THE UNITED STATES EXCEPT CHINA WHAT IS TRUE IS THAT MILLIONS OF MANUFACTURING JOBS HAVE BEEN LOST, SHIPPED OVERSEAS WHERE LABOR COSTS ARE OFTE DRAMATICALLY LOWER AND THAT'S HAD A PROFOUND EFFECT ON MANY FACTORY TOWNS ACROSS THE UNITED STATES, PARTICULARLY IN THE INDUSTRIAL HEARTLAND, TH MIDWEST.
SO WHAT IS THE STATE OF AMERICAN MANUFACTURING TODAY?
IS IT COMING BACK AS THE PRESIDENT SAYS AND WILL WE BE ABLE TO COMPETE ONCE AGAIN RECENTLY A "NEED TO KNOW" TEAM TRAVELED TO FINDLAY, OHIO, A MANUFACTURING TOWN THAT IS STILL GROWING EVEN AS TOWNS CLOSE BY HAVE STRUGGLED CORRESPONDENT JOHN LARSO REPORTS FROM MAIN STREET ♪♪ >>> I WAS DOING STUFF FO FRIENDS AND STUFF LIKE THAT FO FREE AND THEY'RE LIKE, MAN, YOU NEE TO OPEN UP A BIKE SHOP SO WE DID.
SOMETIMES THEY'RE VERY TOUCHY.
TAKES A WHILE TO DIAL IT IN JUST PERFECTLY.
>> AT MUDDY RIVER BICYCL COMPANY AT 403 SOUTH MAIN STREET IN FINDLAY, OHIO, EIGHTH GENERATION FINDLAY IDENTITY ERIC McKEE RUNS A FAMILY BUSINESS >> THANKS, DAD >> ERIC'S DAD COMES IN A COUPL TIMES A WEEK HIS WIFE AND KIDS WORK HERE TOO.
>> YOU'RE GOING TO HAVE TO FIN ROOM OUT ON THE FLOOR.
>> WE'VE COME TO HIS HOMETOW FINDLAY IN NORTHWESTERN OHIO T LEARN WHAT WE CAN ABOUT AMERICAN MANUFACTURING, ABOUT ITS NEW PROMISE OF FACTORY JOBS AND WHAT IT MIGHT MEAN IN THIS TOWN O JUST OVER 40,000 FOR THE MIDDL CLASS.
WHICH IN FINDLAY BY THE WA STILL BUILDS THINGS.
>> I CAN DO IT RIGHT NOW IF YO WANT TO WAIT >> WE BEGIN IN ERIC'S MODERN SHOP BECAUSE IF YOU TAKE A LOO AROUND, YOU GET A QUICK LESSON IN GLOBALIZATION EVEN THE AMERICAN BRANDS O BICYCLES HERE AREN'T REALL AMERICAN TAKE THIS ONE FOR EXAMPLE.
>> IT'S A BICYCLE THAT'S DESIGNED AND ENGINEERED IN ORANGE COUNTY, CALIFORNIA.
BUT AS WE LOOK CLOSER AT THE SADDLE, THE SADDLE IS MADE I TAIWAN THE TIRES ARE AN ITALIAN COMPANY MANUFACTURED IN THAILAND THE WHEEL SET IS A FRENC COMPANY, PROBABLY MANUFACTURED IN FRANCE.
THE COMPONENTS THAT WE HAVE HERE ARE SHIMANO FROM JAPAN, BU MANUFACTURED IN CHINA, MALAYSI AND SINGAPORE.
>> AT LEAST SIX INTERNATIONA COMPANIES MAKING PARTS IN EIGH DIFFERENT COUNTRIES, REMEMBER IT WASN'T TOO LONG AGO -- >> IT'S SCHWINN BIKE TIME AGAI BOYS AND GIRLS >> -- THAT MANUFACTURING BICYCLES WAS ALMOST DONE ENTIRELY BY AMERICAN FACTORY WORKERS.
NOT ANYMORE.
>> YOU CAN SEE YOUR SCHWIN DEALER FOR BIKES, PARTS AN ACCESSORIES TOO.
>> THE LOSS OF AMERICA MANUFACTURING AROUND THE MIDWEST AND ACROSS THE COUNTRY HAS BEE STUNNING TWO MILLION MANUFACTURING JOBS LOST SINCE THE BEGINNING OF TH RECESSION.
MORE THAN SEVEN MILLION LOST SINCE THE PEAK IN 1979 AND MANY OF THOSE JOBS WEN OVERSEAS FOR ONE PRIMARY REASON, CHEAP LABOR.
>> HE HAD WORKED AT AMERIC STANDARD FOR, I DON'T KNOW, 25 YEARS.
SO HE WAS KIND OF STRESSED ABOUT WHAT LINE OF WORK HE WAS GOING TO FIND AND THAT TYPE OF THING >> AT DON'S BARBERSHOP AT 34 NORTH MAIN, YOU REALIZE IN A TOWN THIS SIZE EVERYONE SEEMS TO KNOW EVERYBODY SO WHEN YOU'RE WALKING AROUN TOWN ARE YOU ALWAYS LOOKING AT PEOPLE'S HEADS >> OH, YEAH.
I CAN'T HELP IT.
EVEN PEOPLE I DON'T KNOW >> HOW DID THAT PERSON GO ABOU CUTTING THEIR HAIR OH, YEAH, CAN'T HELP IT.
>> AND EVERYBODY SEEMS TO KNOW SOMEONE WHO HAD A FACTORY JO AND LOST IT.
>> DAD WAS A THIRD GENERATIO EMPLOYEE OF AMERICAN STANDARD.
MY GRANDPA AND GREAT-GRANDPA WORKED THERE AND QUITE A FEW OF HIS BROTHER WORKED THERE SO THEY DIDN'T KNOW ANYTHING ELSE >> THREE WEEKS BEFORE CHRISTMA IN 2007 AMERICAN STANDAR ANNOUNCED THAT AFTER MANUFACTURING TOILETS IN NEARB TIFFIN SINCE THE 1890s IT WA CLOSING ITS PLANT.
THE LAST 200 JOBS GONE >> AND THEY MADE A GOOD LIVING AT IT FOR A LOT OF YEARS BUT HE HAD A PRETTY GOOD ATTITUDE ABOUT, YOU KNOW, THINK HE WAS MAYBE READY FOR A LITTLE CHANGE.
>> AS WE LISTEN TO FINDLAY MUSICIAN JOSH WOOD WARD, IT' SAFE TO SAY WHAT IS STIL HAPPENING IN FINDLAY AND ON MAIN STREETS ACROSS THE COUNTRY I MORE THAN JUST A LITTLE CHANGE MIDDLE CLASS JOBS WERE THE LARGEST CASUALTY OF THE RECENT RECESSION AND HAVE NOT RECOVERED AS FAST AS THEY DISAPPEARED.
UNIONS HERE AND IN MOST TOWN HAVE SEEN THEIR INFLUENC DIMINISH AND MANY AMERICANS FEEL CAUGHT BY FORCES BIGGER AND MOR COMPLEX THAN ANY MACHINE >> ALL RIGHT, HANG ON A SEC, I GOT TO FEED IT THROUGH >> JEFF STAHL HAS WORKED FOR 2 YEARS IN A LOCAL TIRE FACTORY.
AND EVEN THOUGH HE'S A MEMBER OF THE ONCE POWERFUL UNITED STEEL WORKERS UNION, MOST WEEKS HE WORKS A SECOND JOB SORT OF MOONLIGHTING, BASICALLY, RIGHT?
JEFF LIVES WITH HIS WIFE, TAMMY, IN A HANDSOME WELL-KEPT HOME A 2428 SOUTH MAIN.
TOGETHER THEY'VE RAISED THRE KIDS AND SENT THEM TO COLLEGE.
MUCH OF IT THANKS TO JEFF' UNION JOB AT THE COOPER TIRE PLANT IN FINDLAY, THE OLDEST TIRE FACTORY IN THE UNITED STATES >> BASICALLY EVERYTHING I HAVE HAS COME FROM COOPER TIRE.
I MEAN, I'VE WORKED HARD THERE BUT IF IT WASN'T FOR COOPER, I WOULDN'T HAVE WHAT I HAVE TODAY.
>> SO WHEN YOU FIRST ENTERED THE COMPANY IN YOUR MID TO LATE 20s, WHAT WAS YOUR SALARY BACK THEN >> PROBABLY $75,000.
>> SO MONEY WAS GOOD >> ACTUALLY A LOT HIGHER PROBABLY MORE LIKE $90,000 >> SO AS A YOUNG MAN YOU WER ROLLING IN IT.
>> OH, YEAH, RIGHT >> BUT THAT WAS BEFORE COOPE TIRE BEGAN CUTTING NEW EMPLOYE PAY, RETIREMENT AND HEALTH BENEFITS WITH ALMOST EVERY NEW CONTRACT JEFF AND HIS FELLOW UNIO WORKERS EVENTUALLY MADE $3 MILLION IN CONCESSIONS AND AGREED TO WORK 12-HOUR SHIFTS.
IT WAS HARD ON THE OLDER WORKERS LIKE JEFF WHO'S 52 >> YOU KNOW, THEY DON'T STAND AT THE DOOR AND HAND MONEY TO YOU WHEN YOU WALK IN YOU WORK FOR THE MONEY YOU WORK HARD.
IT'S HEAVY LIFTING CONTINUOUS HARD WORK BEATS YOUR BODY DOWN MOST OF THE GUYS NOW MY AGE THEY HAVE SOMETHING WRONG WITH THEI BODY, THEY LIMP.
YOU KNOW, WE'RE ALL SORE AND TIRED AT THE END OF THE DAY.
12 HOURS IS A LONG DAY IN THERE.
>> AND THEN IN 2011 WITH THE UNION'S CONTRACT ABOUT TO EXPIRE AND NEGOTIATIONS AT STANDSTILL, THE COMPANY LOCKED OUT ITS 1,000 UNION WORKERS AN BROUGHT IN REPLACEMENT LABOR IT EVENTUALLY SUCCEEDED IN LOCKING IN LOWER WAGES AND BENEFITS FOR THE NEW HIRES WHILE JEFF ONCE WAS ABLE TO MAKE $90,000 A YEAR AS AN UNSKILLED NEW HIRE, AN UNSKILLED NEW HIR NOW MAKES $26,000 A YEAR $26,000.
THAT'S PROBABLY WITHIN -- IF THEY HAVE FAMILIES, THAT'S PROBABLY WITHIN EYESIGHT A LEAST OF POVERTY LINE.
>> THAT'S RIGHT AT THE POVERTY LINE >> RODNEY NELSON REPRESENTS TH 1,000 STEEL WORKERS EMPLOYED A THE COOPER PLANT >> IT'S A STRUGGLE WE HAVE TO KEEP LOWERING OUR COST BUT WE CAN'T GET DOWN SO LOW O WAGES THAT WE CAN'T SURVIVE.
>> THE UNITED STATES HAS LOST AT LEAST 8,000 TIRE MANUFACTURING JOBS SINCE 2004.
MANY CASUALTIES OF CHEAP TIRES IMPORTED FROM CHINA.
>> MOTION HERE TO SUSPEND TH READING OF THE MINUTES >> FINDLAY'S TIRE WORKERS FEARED THEIR JOBS COULD BE NEXT, BUT CHANGE OCCURRED AT THE FEDERAL LEVEL.
>> WE'VE BROUGHT TRADE CASES AGAINST CHINA AT NEARLY TWIC THE RATE AS THE LAST ADMINISTRATION >> THE OBAMA ADMINISTRATIO PLACED A THREE-YEAR TARIFF O CHINESE TIRES ENTERING THE U.S IN 19 -- ANNOUNCER [NARRATION]: THIS IS NEED TO KNOW WITH JEFF GREENFIELD SCOTT SIMON... RA SUAREZ AND THIS WEEK MARIA HINOJOSA >> IT'S RIGHT AT THE POVERTY LINE >> BUT DOWN DOESN'T NECESSARIL MEAN OUT >> JUST IN NORTHWESTERN OHIO ALONE IT'S ESTIMATED THERE'S GOING TO BE 59,000 JOB OPENING IN MANUFACTURING THE MOST INDUSTRY WE TALK WITH THEY HAVE NO IDEA WHERE THEY'R GOING TO FIND THOSE WORKERS.
>> ON THE REBOUND.
NEXT ON "NEED TO KNOW.
>>> "NEED TO KNOW" IS MADE POSSIBLE BY BERNARD AND IREN SCHWARTZ THE CITY FOUNDATION.
THE JOHN D. AND KATHRINE T MACARTHUR FOUNDATION THE MARGARET A. CARHIL FOUNDATION THE SHOEMAN MEDIA CENTER CORPORATE FUNDING IS PROVIDED BY MUTUAL OF AMERICA, DESIGNING CUSTOMIZED INDIVIDUAL AND GROU RETIREMENT PRODUCTS, THAT'S WH WE'RE YOUR RETIREMENT COMPANY.
AND BY CONTRIBUTIONS TO YOUR PBS STATION FROM VIEWERS LIKE YOU, THANK YOU.
FROM THE WNET STUDIOS AT LINCOLN CENTER, THIS IS "NEED TO KNOW" >>> WELCOME TO "NEED TO KNOW."
THANKS FOR JOINING US.
IT'S GREAT TO BE WITH YOU.
WE BEGIN THIS WEEK WITH QUESTION HOW MANY TIMES DURING THE PAST SEVERAL YEARS HAVE YOU HEARD ONE COMMENTATOR OR ANOTHER EXPRESS THE SAME FAMILIAR LAMENT WE JUST DON'T MAKE ANYTHING TH ANYMORE.
IT'S NOT EVEN TRUE NO COUNTRY EXPORTS MORE THAN THE UNITED STATES EXCEPT CHINA WHAT IS TRUE IS THAT MILLIONS OF MANUFACTURING JOBS HAVE BEEN LOST, SHIPPED OVERSEAS WHERE LABOR COSTS ARE OFTE DRAMATICALLY LOWER AND THAT'S HAD A PROFOUND EFFECT ON MANY FACTORY TOWNS ACROSS THE UNITED STATES, PARTICULARLY IN THE INDUSTRIAL HEARTLAND, TH MIDWEST.
SO WHAT IS THE STATE OF AMERICAN MANUFACTURING TODAY?
IS IT COMING BACK AS THE PRESIDENT SAYS AND WILL WE BE ABLE TO COMPETE ONCE AGAIN RECENTLY A "NEED TO KNOW" TEAM TRAVELED TO FINDLAY, OHIO, A MANUFACTURING TOWN THAT IS STILL GROWING EVEN AS TOWNS CLOSE BY HAVE STRUGGLED CORRESPONDENT JOHN LARSO REPORTS FROM MAIN STREET ♪♪ >>> I WAS DOING STUFF FO FRIENDS AND STUFF LIKE THAT FO FREE AND THEY'RE LIKE, MAN, YOU NEE TO OPEN UP A BIKE SHOP SO WE DID.
SOMETIMES THEY'RE VERY TOUCHY.
TAKES A WHILE TO DIAL IT IN JUST PERFECTLY.
>> AT MUDDY RIVER BICYCL COMPANY AT 403 SOUTH MAIN STREET IN FINDLAY, OHIO, EIGHTH GENERATION FINDLAYITE ERIC McKEE RUNS A FAMILY BUSINESS >> THANKS, DAD >> ERIC'S DAD COMES IN A COUPL TIMES A WEEK HIS WIFE AND KIDS WORK HERE TOO.
>> YOU'RE GOING TO HAVE TO FIN ROOM OUT ON THE FLOOR.
>> WE'VE COME TO HIS HOMETOW FINDLAY IN NORTHWESTERN OHIO T LEARN WHAT WE CAN ABOUT AMERICAN MANUFACTURING, ABOUT ITS NEW PROMISE OF FACTORY JOBS AND WHAT IT MIGHT MEAN IN THIS TOWN O JUST OVER 40,000 FOR THE MIDDL CLASS.
WHICH IN FINDLAY BY THE WA STILL BUILDS THINGS.
>> I CAN DO IT RIGHT NOW IF YO WANT TO WAIT >> WE BEGIN IN ERIC'S MODERN SHOP BECAUSE IF YOU TAKE A LOO AROUND, YOU GET A QUICK LESSON IN GLOBALIZATION EVEN THE AMERICAN BRANDS O BICYCLES HERE AREN'T REALL AMERICAN TAKE THIS ONE FOR EXAMPLE.
>> IT'S A BICYCLE THAT'S DESIGNED AND ENGINEERED IN ORANGE COUNTY, CALIFORNIA.
BUT AS WE LOOK CLOSER AT THE SADDLE, THE SADDLE IS MADE I TAIWAN THE TIRES ARE AN ITALIAN COMPANY MANUFACTURED IN THAILAND THE WHEEL SET IS A FRENC COMPANY, PROBABLY MANUFACTURED IN FRANCE.
THE COMPONENTS THAT WE HAVE HERE ARE SHIMANO FROM JAPAN, BU MANUFACTURED IN CHINA, MALAYSI AND SINGAPORE.
>> AT LEAST SIX INTERNATIONA COMPANIES MAKING PARTS IN EIGH DIFFERENT COUNTRIES, REMEMBER IT WASN'T TOO LONG AGO -- >> IT'S SCHWINN BIKE TIME AGAI BOYS AND GIRLS >> -- THAT MANUFACTURING BICYCLES WAS ALMOST DONE ENTIRELY BY AMERICAN FACTORY WORKERS.
NOT ANYMORE.
>> YOU CAN SEE YOUR SCHWIN DEALER FOR BIKES, PARTS AN ACCESSORIES TOO.
>> THE LOSS OF AMERICA MANUFACTURING AROUND THE MIDWEST AND ACROSS THE COUNTRY HAS BEE STUNNING TWO MILLION MANUFACTURING JOBS LOST SINCE THE BEGINNING OF TH RECESSION.
MORE THAN SEVEN MILLION LOST SINCE THE PEAK IN 1979 AND MANY OF THOSE JOBS WEN OVERSEAS FOR ONE PRIMARY REASON, CHEAP LABOR.
>> HE HAD WORKED AT AMERIC STANDARD FOR, I DON'T KNOW, 25 YEARS.
SO HE WAS KIND OF STRESSED ABOUT WHAT LINE OF WORK HE WAS GOING TO FIND AND THAT TYPE OF THING >> AT DON'S BARBERSHOP AT 34 NORTH MAIN, YOU REALIZE IN A TOWN THIS SIZE EVERYONE SEEMS TO KNOW EVERYBODY SO WHEN YOU'RE WALKING AROUN TOWN ARE YOU ALWAYS LOOKING AT PEOPLE'S HEADS >> OH, YEAH.
I CAN'T HELP IT.
EVEN PEOPLE I DON'T KNOW >> HOW DID THAT PERSON GO ABOU CUTTING THEIR HAIR OH, YEAH, CAN'T HELP IT.
>> AND EVERYBODY SEEMS TO KNOW SOMEONE WHO HAD A FACTORY JO AND LOST IT.
>> DAD WAS A THIRD GENERATIO EMPLOYEE OF AMERICAN STANDARD.
MY GRANDPA AND GREAT-GRANDPA WORKED THERE AND QUITE A FEW OF HIS BROTHER WORKED THERE SO THEY DIDN'T KNOW ANYTHING ELSE >> THREE WEEKS BEFORE CHRISTMA IN 2007 AMERICAN STANDAR ANNOUNCED THAT AFTER MANUFACTURING TOILETS IN NEARB TIFFIN SINCE THE 1890s IT WA CLOSING ITS PLANT.
THE LAST 200 JOBS GONE >> AND THEY MADE A GOOD LIVING AT IT FOR A LOT OF YEARS BUT HE HAD A PRETTY GOOD ATTITUDE ABOUT, YOU KNOW, THINK HE WAS MAYBE READY FOR A LITTLE CHANGE.
>> AS WE LISTEN TO FINDLAY MUSICIAN JOSH WOODWARD, IT'S SAFE TO SAY WHAT IS STIL HAPPENING IN FINDLAY AND ON MAIN STREETS ACROSS THE COUNTRY I MORE THAN JUST A LITTLE CHANGE MIDDLE CLASS JOBS WERE THE LARGEST CASUALTY OF THE RECENT RECESSION AND HAVE NOT RECOVERED AS FAST AS THEY DISAPPEARED.
UNIONS HERE AND IN MOST TOWN HAVE SEEN THEIR INFLUENC DIMINISH AND MANY AMERICANS FEEL CAUGHT BY FORCES BIGGER AND MOR COMPLEX THAN ANY MACHINE >> ALL RIGHT, HANG ON A SEC, I GOT TO FEED IT THROUGH >> JEFF STAHL HAS WORKED FOR 2 YEARS IN A LOCAL TIRE FACTORY.
AND EVEN THOUGH HE'S A MEMBER OF THE ONCE POWERFUL UNITED STEEL WORKERS UNION, MOST WEEKS HE WORKS A SECOND JOB SORT OF MOONLIGHTING, BASICALLY, RIGHT?
JEFF LIVES WITH HIS WIFE, TAMMY, IN A HANDSOME WELL-KEPT HOME A 2428 SOUTH MAIN.
TOGETHER THEY'VE RAISED THRE KIDS AND SENT THEM TO COLLEGE.
MUCH OF IT THANKS TO JEFF' UNION JOB AT THE COOPER TIRE PLANT IN FINDLAY, THE OLDEST TIRE FACTORY IN THE UNITED STATES >> BASICALLY EVERYTHING I HAVE HAS COME FROM COOPER TIRE.
I MEAN, I'VE WORKED HARD THERE BUT IF IT WASN'T FOR COOPER, I WOULDN'T HAVE WHAT I HAVE TODAY.
>> SO WHEN YOU FIRST ENTERED THE COMPANY IN YOUR MID TO LATE 20s, WHAT WAS YOUR SALARY BACK THEN >> PROBABLY $75,000.
>> SO MONEY WAS GOOD >> ACTUALLY A LOT HIGHER PROBABLY MORE LIKE $90,000 >> SO AS A YOUNG MAN YOU WER ROLLING IN IT.
>> OH, YEAH, RIGHT >> BUT THAT WAS BEFORE COOPE TIRE BEGAN CUTTING NEW EMPLOYE PAY, RETIREMENT AND HEALTH BENEFITS WITH ALMOST EVERY NEW CONTRACT JEFF AND HIS FELLOW UNIO WORKERS EVENTUALLY MADE $3 MILLION IN CONCESSIONS AND AGREED TO WORK 12-HOUR SHIFTS.
IT WAS HARD ON THE OLDER WORKERS LIKE JEFF WHO'S 52 >> YOU KNOW, THEY DON'T STAND AT THE DOOR AND HAND MONEY TO YOU WHEN YOU WALK IN YOU WORK FOR THE MONEY YOU WORK HARD.
IT'S HEAVY LIFTING CONTINUOUS HARD WORK BEATS YOUR BODY DOWN MOST OF THE GUYS NOW MY AGE THEY HAVE SOMETHING WRONG WITH THEI BODY, THEY LIMP.
YOU KNOW, WE'RE ALL SORE AND TIRED AT THE END OF THE DAY.
12 HOURS IS A LONG DAY IN THERE.
>> AND THEN IN 2011 WITH THE UNION'S CONTRACT ABOUT TO EXPIRE AND NEGOTIATIONS AT STANDSTILL, THE COMPANY LOCKED OUT ITS 1,000 UNION WORKERS AN BROUGHT IN REPLACEMENT LABOR IT EVENTUALLY SUCCEEDED IN LOCKING IN LOWER WAGES AND BENEFITS FOR THE NEW HIRES WHILE JEFF ONCE WAS ABLE TO MAKE $90,000 A YEAR AS AN UNSKILLED NEW HIRE, AN UNSKILLED NEW HIR NOW MAKES $26,000 A YEAR $26,000.
THAT'S PROBABLY WITHIN -- IF THEY HAVE FAMILIES, THAT'S PROBABLY WITHIN EYESIGHT A LEAST OF POVERTY LINE.
>> THAT'S RIGHT AT THE POVERTY LINE >> RODNEY NELSON REPRESENTS TH 1,000 STEEL WORKERS EMPLOYED A THE COOPER PLANT >> IT'S A STRUGGLE WE HAVE TO KEEP LOWERING OUR COST BUT WE CAN'T GET DOWN SO LOW O WAGES THAT WE CAN'T SURVIVE.
>> THE UNITED STATES HAS LOST AT LEAST 8,000 TIRE MANUFACTURING JOBS SINCE 2004.
MANY CASUALTIES OF CHEAP TIRES IMPORTED FROM CHINA.
>> MOTION HERE TO SUSPEND TH READING OF THE MINUTES >> FINDLAY'S TIRE WORKERS FEARED THEIR JOBS COULD BE NEXT, BUT CHANGE OCCURRED AT THE FEDERAL LEVEL.
>> WE'VE BROUGHT TRADE CASES AGAINST CHINA AT NEARLY TWIC THE RATE AS THE LAST ADMINISTRATION >> THE OBAMA ADMINISTRATIO PLACED A THREE-YEAR TARIFF O CHINESE TIRES ENTERING THE U.S IN 2009.
THE MOVE RAISED THE PRICE OF TIRES HURTING AMERICAN CONSUMERS STILL REELING FROM THE RECESSION AND TIRE COMPANIES JUST SHIFTE MANUFACTURING FROM CHINA T OTHER COUNTRIES WHERE LABOR WA CHEAP AND BEGAN IMPORTING MORE INEXPENSIVE TIRES FROM THOSE COUNTRIES.
NONETHELESS, THE TIRE WORKERS WE SPOKE WITH AT FINDLAY REMAIN CONVINCED TARIFFS HELPED SAV THEIR JOBS >> THE IDEA WAS TO PROTECT AMERICAN JOBS.
YOU FEEL LIKE THEY DID THAT?
>> ABSOLUTELY.
>> BUT THERE'S A PROBLEM, TH TARIFFS ENDED IN SEPTEMBER AND SINCE THEN COOPER TIRE, WITH PLANTS IN CHINA, MEXICO AN SERBIA HAS BEGUN FURLOUGHING WORKERS FOR TWO DAYS, THRE DAYS, A WEEK AT A TIME LESS WORK EVERY MONTH AN THERE'S NOTHING THE UNION CAN DO ABOUT IT SO UNDER THIS CONTRACT THEY CA ESSENTIALLY LAY YOU OFF ANY TIME THEY WANT TO >> THAT'S CORRECT.
>> AND IN THE END YOUR WAGES KEEP SLIPPING AS A RESULT.
>> YEP >> I ENJOYED WORKING FOR COOPE IN THE EARLY YEARS, I REALLY DID.
>> EVERYONE WE SPOKE WIT INCLUDING THESE RETIREES DESCRIBED A SHIFT IN CORPORATE CULTURE.
>> YOU GOT TO TAKE CARE OF YOU PEOPLE IF YOU WANT YOUR BUSINESS TO GO.
AND THEY USED TO DO THAT BAC FOR US >> A DISMANTLING OF THE CLOS COMPANY FAMILY THEY ONCE ENJOYED WHERE TOP OFFICERS HAD PICNICS WITH WORKERS OR SHARED A BEE AFTER WORK >> THEY USED TO HAVE FAMILY DAY.
THEY DID AWAY WITH THAT.
THEY HAD A 25-YEAR CLUB.
THEY DID AWAY WITH THAT.
THEY'VE TAKEN ALL THE FAMILY PART OF COOPER AWAY.
>> WHEN COOPER TIRE LOCKED OUT ITS WORKERS IN 2011, THE COMPANY PUBLISHED A LETTER SAYING TH PLANT WAS ONE OF THE HIGHEST COMPENSATED IN THE U.S., THA THE AVERAGE HOURLY EMPLOYE EARNED OVER $61,000 IN TOTAL WAGES AND ENJOYED A HANDSOME BENEFITS PACKAGE THE DESCENDANTS OF THE COMPANY'S FOUNDER HOWEVER ALSO WROTE A PUBLIC LETTER WHICH STILL HANG ON THE UNION WALL.
DEAR MR. ARMS, THE UNION BEGAN ADDRESSING THE KURNLT CEO, THE COMPANY'S FOUNDER DROVE A 1936 PLYMOUTH UNTIL THE DAY H RETIRED AND DID NOT TAKE A HUG RETIREMENT PACKAGE AND FELT RESPONSIBILITY FOR THE WELL-BEING OF NOT ONLY THE SHAREHOLDERS BUT THE WORKERS AND THE COMMUNITY.
THE LETTER THEN CALLED THE COMPANY'S LOCKOUT AND TREATMEN OF ITS WORKERS CALLOUS AND UN-AMERICAN AT THE CORE.
"NEED TO KNOW" WANTED TO HEA THE COMPANY'S SIDE WE WONDERED HOW RISING MEDICAL COSTS AND INTERNATIONA COMPETITION MAY HAVE INFLUENCE THEIR DECISIONS.
BUT ITS DIRECTOR O COMMUNICATIONS SENT TWO-SENTENCE RESPONSE SAYING THE COMPANY WOULD DECLINE YOUR REQUEST FOR AN INTERVIEW AT THIS TIME TWO WEEKS LATER COOPER TIR AGAIN TEMPORARILY LAID OFF 1,000 OF ITS FINDLAY FACTORY WORKERS FOR ANOTHER EIGHT DAYS WHAT ABOUT THE ARGUMENT THAT TIMES ARE CHANGING AMERICAN INDUSTRY HAS TO BE MORE COMPETITIVE, YOU KNOW, LABOR COSTS HAVE TO COME DOWN AS EVERY OTHER MEDICAL COST GO UP, THAT KIND OF STUFF?
>> YOU KNOW, THE FOREIGN COUNTRIES DON'T PAY THEIR PEOPLE NEAR THE LABOR THAT WE EARN HERE IN AMERICA AND I THINK THEY'RE TRYING T MAKE THAT HAPPEN HERE.
THE MORE MONEY THEY CAN STICK IN THEIR POCKETS AND TAKE AWAY FROM THE LABOR, THE BETTER OFF FO THEM >> WHAT OF THE ARGUMENT MAYB BACK IN THE DAY YOU ABUSED A GOOD THING THAT GUYS JUST WOUND UP MAKING TOO MUCH MONEY, $90,000 MAYB $100,000 OUT ON THE FLOOR?
>> WELL, NOBODY COMPLAINS ABOU HOW MUCH THOSE CEOs ARE MAKING WE JUST HAD ONE HERE IN TOWN THE OTHER DAY THAT HAD A $20 MILLION BONUS.
AND OUR CEOs IN MY COMPANY ARE DOING VERY WELL.
>> IN FACT, THE CEO OF MARATHO PETROLEUM ON FINDLAY'S MAI STREET LAST YEAR DID COLLECT MORE THAN $20 MILLION IN COMPENSATION THE CEO OF COOPER TIRE, THE SAME MR. ARMS MENTIONED IN TH LETTER, COLLECTED NEARLY $ MILLION IN COMPENSATION.
ALMOST HALF OF THAT AS A PERFORMANCE BONUS BECAUSE WHIL COOPER TIRE HAS CUT AVERAG WAGES AND BENEFITS FOR ITS FACTORY WORKERS IN FINDLAY, IT PROFITS IN NORTH AMERICA LAS YEAR NEARLY TRIPLED.
ITS STOCK SOARED WALL STREET LOVED IT MAIN STREET, NOT SO MUCH HOW MUCH HOPE DO YOU HAVE FO THE ECONOMIC FUTURE?
>> I DON'T HAVE MUCH HOPE.
I MEAN, YOU KNOW IT IS WHAT IT IS I FEAR FOR MY KIDS, YOU KNOW WHAT THEY'RE GOING TO FACE I THE FUTURE THE FUTURE'S NOT BRIGHT.
>> BUT THE STRUGGLE AT COOPE TIRE IS NOT THE ONLY STORY HERE.
BECAUSE EVEN WITH ALL OF ITS DIFFICULTIES, COOPER TIRE HA NOT ONLY STUCK IT OUT IN FINDLAY, BUT WILL OPEN A NEW RESEARCH AND DEVELOPMENT FACILITY HERE.
IN THIS WAY, FINDLAY IS AT THE CENTER OF ANOTHER SURPRISING DEVELOPMENT.
AFTER DECADES OF DECLINE, TH NUMBER OF AMERICAN MANUFACTURING JOBS IS RISING AMERICAN FACTORY JOBS AR ACTUALLY COMING BACK FINDLAY WITH 150 MANUFACTURING FACILITIES HAS BEEN UNUSUALL SUCCESSFUL AT ATTRACTING FACTORY WORK WHIRLPOOL AT 4901 NORTH MAIN STREET IS THE LARGEST DISHWASHER PLANT IN THE WORLD IT EMPLOYS MORE THAN 2,000 PEOPLE AND LAST YEAR IT ADDED 114 NEW EMPLOYEES AND BECAME PART OF A STORY MUCH BIGGER THAN FINDLAY AFFECTING THOUSANDS OF COMPANIES AND POTENTIALLY MILLIONS O WORKERS.
>> AFTER SHEDDING JOBS FOR MOR THAN TEN YEARS, OU MANUFACTURERS HAVE ADDED ABOUT 500,000 JOBS OVER THE PAST CATERPILLAR IS BRINGING JOBS BACK FROM JAPAN.
FORD IS BRINGING JOBS BACK FRO MEXICO AND THIS YEAR APPLE WILL START MAKING MACS IN AMERICA AGAIN >> WHILE ONE CAN ARGUE HOW MUC THE PRESIDENT OR HIS ADMINISTRATION HAD TO DO WIT IT, AT LEAST 220 AMERICA COMPANIES HAVE REPORTEDL BROUGHT AN ESTIMATED 50,000 JOBS BACK TO THE U.S.
SINCE JANUARY OF 2010, MOST OF THEM COMING FROM CHINA BUT WHY NOW AFTER DECADES OF LOSING FACTORY JOBS?
>> IT'S POTENTIALLY ENORMOUS >> DR. GREG ARBURN IS PROFESSOR OF ECONOMICS AT TH UNIVERSITY OF FINDLAY ON MAI STREET HE SAYS THE AMERICAN MANUFACTURING IS RETURNING I PART BECAUSE OF THE TREMENDOUS EXPANSION OF DOMESTIC OIL AN GAS PRODUCTION >> FOR THE UNITED STATES THE COST OF NATURAL GAS IS MUC LOWER THAN IT IS FOR A LOT O OUR COMPETITORS.
JAPAN, THE PRICE OF NATURAL GAS, CHINA, THE PRICE OF NATURAL GA IS MORE THAN IN THE $17 RANG WHERE HERE IN THE UNITED STATE IT'S MORE IN THE $3.5 RANGE.
THAT'S HUGE ADVANTAGE.
>> SO IT'S SIX TIMES LES EXPENSIVE HERE IN THE U.S. >> THAT'S A BIG DEAL >> IT'S NOT A COINCIDENCE THAT MARATHON PETROLEUM I HEADQUARTERED ON FINDLAY'S MAI STREET IN THE LATE 1800s THE COMPAN FORMED TO TAKE ADVANTAGE OF RICH LOCAL OIL AND GAS FIELDS AND MANUFACTURING RUSHED TO FINDLA TO TAKE ADVANTAGE OF CHEAP EVE FREE ENERGY.
NOW IT APPEARS IT MAY BE HAPPENING AGAIN.
NEW TECHNOLOGY OF HYDRAULI FRACTURING AND SHALE OIL RECOVERY WHILE ENVIRONMENTALLY CONTROVERSIAL HAS TRIGGERE UNPRECEDENTED OIL AND GA DISCOVERIES, DROPPED THE PRICE OF ENERGY AND LAUNCHED WHA ARBURN AND OTHERS BELIEVE MAY BE A NEW ERA OF AMERICAN FACTOR JOBS >> IN THE CASE OF OHIO ESTIMATES RANGE WILDLY FROM 20,000 T 200,000 JOBS IN OHIO OVER TH NEXT THREE YEARS JUST IN - ESPECIALLY IN THE NATURAL GA INDUSTRY >> EVEN IF YOU TAKE THAT -- TH AVERAGE OF THAT, YOU'RE TALKIN 100,000 JOBS JUST IN THIS STATE.
>> THAT'S A LOT OF JOBS.
THAT'S A LOT OF PEOPLE WITH MORE INCOME PUTS KIDS THROUGH SCHOOL >> A SECOND REASON FOR MANUFACTURING GROWTH IS THAT AMERICAN CORPORATIONS AR INVESTING IN TECHNOLOGY, HELPING AMERICAN LABOR BECOME EVEN MOR EFFICIENT.
>> ONE OF THE THINGS THAT' HAPPENED IS INTEREST RATES HAV GONE DOWN AND GONE DOWN AND GONE DOWN AND SO FIRMS HAVE FOUN THEMSELVES IN A SITUATION WHER WITH A VERY REASONABLE COST IN CAPITAL THEY CAN ADAPT NEW TECHNOLOGIES, MAKE CAPITAL INVESTMENTS, BECOME EVEN MOR PRODUCTIVE >> TAKE ONE LOOK AT THE BALL CORPORATION'S CAN MANUFACTURIN PLANT JUST A BLOCK OFF MAI STREET 24 HOURS A DAY, SEVEN DAYS A WEEK 3,000 CANS A MINUTE, BILLION A YEAR, IT'S THE LARGEST RECYCLABLE ALUMINUM CA MANUFACTURER IN THE WORLD.
BUT JUST LAST YEAR BALL INVESTED ANOTHER $14.6 MILLION HERE T BRING IN MORE LINES AND FURTHE IMPROVE ITS TECHNOLOGY THE FACTORY'S EFFICIENCY JUMPE TO UNPRECEDENTED LEVELS.
>> THERE'S A DRIVE ALL OF US WANT TO SUCCEED.
EVERY PLANT I KNOW OF OUT THER IN OUR DIVISION WANTS TO D BETTER >> GLENN JOST IS THE MANAGER BALL RECENTLY CLOSED PLANTS IN FLORIDA BUT RECENTLY EXPANDE THE PLANT IN FINDLAY ADDING 30 NEW EMPLOYEES.
STILL, THE MASSIVE PLANT IS SO EFFICIENT, THERE ARE ONLY 90 EMPLOYEES ON THE FACTORY FLOOR >> MY FIRST REACTION WHEN I SA IT WAS, WOW.
AND MY SECOND REACTION WAS SOR OF, WHERE IS EVERYBODY YOU KNOW, I EXPECTED TO SE 1,000 PEOPLE RUNNING AROUN THESE MACHINES >> THE MACHINES TO A DEGREE RU BY THEMSELVES.
BUT THEY DON'T RUN UNLESS WE HAVE PEOPLE CAPABLE OF PROGRAMMING THOSE MACHINES PEOPLE CAPABLE OF KEEPING THEM RUNNING MECHANICALLY ELECTRONICALLY, YES, IT LOOK LIKE IT RUNS BY ITSELF BUT I DOESN'T.
>> THESE HIGHLY SKILLED WORKER OPERATE PROGRAMMABLE LOGIC CONTROLS, SOPHISTICATED COMPUTER SYSTEMS THAT AUTOMATE TH PRODUCTION LINE AND MAKE ADJUSTMENTS DOWN TO A MILLIONt OF AN INCH AND THEN THERE ARE WAGES JOBS ARE RETURNING TO THE U.S.
IN PART BECAUSE WAGES IN CHINA ARE RISING WHILE NATIONALL MANUFACTURING WAGES HERE IN TH U.S. ARE FALLING GOVERNMENT STATISTICS FOR TH FINDLAY AREA REFLECT THI SHOWING WAGES IN LOCAL MANUFACTURING ARE SIGNIFICANTL HIGHER THAN SERVICE INDUSTRY JOBS, FOR EXAMPLE.
BUT NOT AS HIGH AS SOME MIGH THINK.
AND THE MANUFACTURING WAGES HERE ARE DROPPING >> THEIR BENEFITS PACKAGE IN INDUSTRY IS STILL GOING TO B BETTER THAN IF THEY WORKED I THE SERVICE INDUSTRY BUT THE REALITY IS ALL OF US ARE STRUGGLING WITH HEALTH CARE AN THE EXPENSE OF HEALTH CARE AND THE BENEFITS PACKAGES PROBABLY ARE NOT WHAT THEY USED TO BE ALL ACROSS THE BOARD >> FEW ARE MORE FOCUSED ON THE FUTURE OF INDUSTRY WAGES AND JOBS THAN CHRIS RENN, DIRECTOR OF FINDLAY'S MILLSTREAM CAREER CENTER IN 2007 THE BLANCHARD RIVE JUMPED ITS BANKS AND FLOODED FINDLAY.
ONE OF THE WORST FLOODS IN THE YEAR FOR THE MIDWEST AFTER THE YEAR HOWEVER VOTER APPROVED THIS NEW $19 MILLIO HIGH SCHOOL FOCUSED ON TECHNICAL TRAINING PREPARING STUDENTS FO A FUTURE IN AMONG OTHER THINGS MANUFACTURING.
>> JUST IN NORTHWESTERN OHIO ALONE OVER THE NEXT SEVEN YEAR IT'S ESTIMATED THERE'S GOING T BE 59,000 JOB OPENINGS I MANUFACTURING.
THAT'S GIGANTIC.
AND MOST INDUSTRY THAT WE TALK WITH, THEY HAVE NO IDEA WHER THEY'RE GOING TO FIND THOS WORKERS.
>> RENN IS HOPING THEY FIND THEM HERE HIS STUDENTS ARE WORKING WIT COMPUTER AIDED DESIGN, THREE DIMENSIONAL PRINTING AND ROBOTICS WALK AROUND THE SCHOOL AND YOU'LL SEE STATE-OF-THE-AR FACILITIES WHICH RENN SAYS PREPARES STUDENTS FOR COLLEGE OR FOR MORE IMMEDIATE CAREERS I MANUFACTURING.
ITS WELDING CLASS FOR EXAMPL WAS WORKING ON A BRIDGE DESIGNED BY STUDENTS.
>> OUR WELDING PROGRAM, WE GRADUATE 22 SENIORS EVERY YEAR AND WE HAVE 100% JOB PLACEMENT RATE WITH OUR WELDING PROGRAM.
>> YOU MEAN EVERY ONE OF THEM?
>> EVERY SINGLE ONE OF THEM.
>> HAS A JOB >> HAS A JOB >> A JOB THAT STARTS AT $18 AN HOUR RIGHT OUT OF HIGH SCHOOL.
WHICH IS WHY RENN BELIEVES TECHNICAL TRAINING IS SUDDENLY CRITICAL TO THE NE MANUFACTURING BLOOMING IN OHIO >> THE BIGGEST MISCONCEPTION OUT THERE IN THE GENERAL PUBLIC IS YOU HAVE TO HAVE A FOUR-YEAR DEGREE FROM A COLLEGE TO GET A GOOD PAYING JOB.
AND INDUSTRY TELLS US THAT'S THE FARTHEST THING FROM THE TRUTH.
SKILLED LABOR IS WHAT THEY'R AFTER.
>> BUT THE GREATER QUESTIO FACING THOSE ON MAIN STREETS ACROSS THE COUNTRY OF COURSE I HOW GOOD WILL THESE NEW JOBS BE?
REPORTS SUGGEST A RECENT TREND TOWARDS HIGH SKILL, HIGHER WAG JOBS SOME ARE OPTIMISTIC.
>> YESTERDAY I HAD LUNCH WIT SIX OF OUR EMPLOYEES ONE OF THEM WAS A RELATIVELY NEW GENTLEMAN TO THE PLANT YOU COULD SEE WHERE HE'S PLANNING OUT HIS FUTURE, POSSIBLY BUYING A HOUSE, GROWING A FAMILY BUT YOU CAN SEE IN HIS EYES HE'S GOT A FUTURE IN THIS PLANT AND HE DOES.
>> OTHERS WHO ONCE FELT PART O A RISING MIDDLE CLASS ARE NOT SO SURE >> THE VIEW FROM MAIN STREET I DEFINITELY A CONCERN AND HOPEFULLY WE CAN KEEP TH FUTURE BRIGHT.
>> DON'T SOUND REAL SURE >> I'M NOT SURE.
YOU KNOW, I'M NOT SURE I'M NOT SURE WHAT TOMORROW'S GOING TO BRING >> I SUPPOSE IT FEELS THAT MANUFACTURING IS PICKING U SOME, BUT IT ON THE SAME TOKEN I'M NOT SO SURE THAT THE WAGES ARE PICKING UP ANY >> AND THAT'S ONE OF MAN TRUTHS JOBS ARE COMING BACK IN PART BECAUSE OF LOWER ENERGY COSTS, IN PART BECAUSE WAGES AR DROPPING CORPORATE PROFITS ARE FOR MANY AT NEAR RECORD HIGHS WHILE THOSE WHO HAVE WORKED THE LINES IN BOTH CHAPTERS OF AMERICA FACTORY WORK, PAST AND PRESENT FEEL THE SQUEEZE >> IT DOESN'T SEEM LIKE THEY'R DOING ANYTHING TO HELP MIDDL CLASS AMERICA.
I MEAN, I KNOW THEY ALWAYS TAL ABOUT THAT'S ONE OF THE MAIN GOALS, BUT IT SEEMS LIKE WE'RE FORGOTTEN.
>> IT'S BEEN YEARS SINCE LIFE ON MAIN STREET WAS SIMPLE, IF I EVER REALLY WAS.
BUT IN FINDLAY YOU GET THE SENSE THAT DISTANT COMPLEX FORCES AR AT WORK, BIGGER THAN ANY ONE WORKER, STRONGER THAN EVEN THE RIVER WHICH FLOODED THE TOWN THE HARD WORKING PEOPLE OF FINDLAY MAY HELP WRITE A NEW HOPEFUL CHAPTER FOR AMERICAN MANUFACTURING.
BUT FOR MOST OF THEM, IT'S STILL AN UNWRITTEN STORY WITH LARGEL UNKNOWN RULES AND RISING DEMANDS.
>> THEY'RE VERY HARD WORKING PEOPLE AND THEY JUST WANT TO CONTINUE TO WORK.
THEY WANT TO SUPPORT THEIR FAMILIES THEY WANT TO BE ABLE TO MAKE I TO RETIREMENT.
AND THEY WANT TO ENJOY LIFE.
THEY JUST WANT TO KEEP WORKING AND KEEP PROVIDING >>> THIS WEEK ONLINE, TAKE PAR IN OUR WEEKLY POLL THE TOPIC, ECONOMIC IMPROVEMENT.
VISIT PBS.ORG/NEEDTOKNOW THAT'S IT FOR THIS EDITION O "NEED TO KNOW.
RAY SUAREZ WILL BE WITH YOU NEXT WEEK I'M MARIA HINOJOSA THANKS SO MUCH FOR WATCHING.