News Conference - Job Outsourcing and the Job Czar Controversy

Date: March 11, 2004
Location: Washington, DC

Federal News Service

HEADLINE: REMARKS IN A NEWS CONFERENCE WITH SENATOR CHARLES SCHUMER (D-NY) AND SENATOR DEBBIE STABENOW (D-MI)

TOPIC: JOB OUTSOURCING AND THE JOB CZAR CONTROVERSY

LOCATION: SENATE RADIO/TELEVISON GALLERY, CAPITOL BUILDING, WASHINGTON, DC

BODY:
SEN. CHARLES SCHUMER (D-NY): Good afternoon, everyone. We apologize for being late. I'm joined, of course, by my indefatigable, hard-working, intelligent and effective colleague from Michigan --

SEN. DEBBIE STABENOW (D-MI): He's going to-thank you.

SEN. SCHUMER: Thank you. You know the old Sid Caesar line? When Sid Caesar would get applause, he'd say, "No more. No more, please."

SEN. STABENOW: Yeah that's right, that's right. (Laughs.)

SEN. SCHUMER: Okay, yesterday the U.S. trade deficit hit a monthly record because, above everything else, Chinese imports continue to flood into the United States. If you have a manufacturing job or have lost one, those numbers confirmed once again that this country has a major economic problem. The only solace that came out of yesterday was the news that the long awaited manufacturing czar that the president promised to create six months ago, was going to be announced today.

But it looks like once again, our hopes were dashed with the decision to hold off after the White House took fire for appointing Tony Raimondo, chairman and CEO of Behlen Manufacturing, a person who has shipped jobs overseas. The guy they want to pick to be the manufacturing czar is sending his jobs overseas. Well, ladies and gentlemen, the White House is so bad at jobs it can't even fill the one it's created. It's becoming increasingly clear that the White House economic ship is going further and further out to sea and it's in serious need of a rudder. The country's hemorrhaging jobs at an alarming rate and the administration's inability to take the small step of getting someone in place capable of devising policies to stop that export's a major problem.

So today, we are urging the president to show some leadership and set a date certain for naming the manufacturing czar position he announced last Labor Day. We also want to know why it's taking six months to fill this job. If they care so much about jobs, why is this job still vacant and why is the leading candidate pulled because they-because he didn't keep jobs here in America? More than 2.8 million manufacturing jobs have been lost since the Bush administration came into office. Last month, again, another 3,000 were lost bringing manufacturing employment to a 53-year low. We haven't had as few manufacturing jobs since Harry Truman and the Korean War.

In a country of successful entrepreneurs and businesspeople, can't the administration find at least one person who has a proven record of keeping and creating jobs in the U.S.? I know lots of them in New York! I'll recommend somebody. The administration's had six months to choose a serious candidate for this position and still can't appear to do it. You need to scratch your head and wonder why.

Debbie.

SEN. STABENOW: Thank you, Senator Schumer. I join with Senator Schumer, first of all in saying that six months is long enough to fill a critical position to provide leadership on manufacturing for our country. And then secondly, regardless of the circumstances of the gentleman involved as to how he created a plant in China and what kind of jobs he's creating overseas, my concern is that we want somebody focused on jobs here, who's made a commitment to American jobs, who is focused on American jobs and I, too, can offer many people from the great state of Michigan, where we have been leaders in manufacturing, that could easily fill this position.

So first of all, we need someone that we can work with in the administration who understands what is happening to our manufacturers in this country. And secondly, I would ask that the president support our jobs amendment on the floor of the Senate right now. During the budget debate, we have offered a comprehensive jobs amendment that will provide incentives by lowering the tax rate for those manufacturers that create jobs in the U.S; it would help pay for the costs of health care for our small businesses; it addresses issues of technology innovation. Whereas just as the president now is saying that rather than focus on a level playing field for trade, or China's currency manipulation which my colleague has been the leader on, he said focus on education and innovation. But his budget has zero in it for the advanced technology program which has been one of the most successful partnerships in Michigan with the auto industry and the universities working together to create industry-wide standards. In fact, I'm very proud that Consumer Report is indicating the strides being made by the American automobile industry in reliability, now surpassing our European competitors.

Those kinds of things are being done through joint partnerships with the federal government, the auto industry and our universities. Now the president wants to zero out that program, zero out the manufacturing extension partnership, which is a series of small, regional centers around the country to help our small and medium-sized manufacturers become more efficient and be able to compete in a global economy. The bottom line is: this makes no sense. From one into the other, they promise a manufacturing czar. Six months later: no czar. And the person that they've come forward with is someone who in fact has had his eye on creating jobs in China. And then they have a series of policy ideas and approaches that go counter to what is needed to protect and create American manufacturing jobs. We need the president to come join us on those things, what will really create jobs in the United States.

SEN. SCHUMER: Questions?

Q Senator Stabenow, many of the companies in Michigan certainly have operations in China-General Motors and others-have grown jobs in China. Would they not be qualified to be a manufacturing czar-people from the auto industry or other companies based in China-based in Michigan with operations in China?

SEN. STABENOW: Well, my main concern right now is that we keep those tool and die shops, and engineering enterprises, and small and medium-sized manufacturers that support the auto industry-those are the places where we are losing jobs. We are losing-well , plants that are closing-and we need to be focused on the problems of those who choose right now to be American-based and be creating American jobs. There is no question that, in a global economy, there are going to be partnerships going on around the world, but we've got to have policies that provide incentives to create jobs here, to help lower costs of health care and, certainly for the big three automakers, the health care cost is a critical issue as well as for small and medium- sized manufacturers.

But our concern right now in terms of manufacturing base of the country relates to the ability of small and medium-sized manufacturers to be able to compete in a global economy and I believe that it would be most effective to have someone coming from that industry, small and medium-sized manufacturers, who really understands what's at stake in creating a level playing field.

Q Senator Schumer, a similar question. What sort of qualifications would you be looking for?

SEN. SCHUMER: Well, I want somebody who probably has been successful at growing jobs here in America and knows how to encourage governmental policies that will encourage other companies to be able to do the same.

Q Senator Schumer, a member of your own caucus, Senator Nelson, is very-he praises Mr. Raimondo and is a good friend of his and he strongly supported him. What do you say -

SEN. SCHUMER: -- we're a big tent. (Laughs.)

SEN. STABENOW: You know, and I might just add, with my colleague, that this is not personal for me. I've indicated on the floor of the Senate-I don't know the gentleman, I'm not in any way attacking his personal qualifications or integrity. It's really about two things. It's about his focus and, at a critical time when we are losing jobs right and left, we need someone focused on jobs in the U.S. And then secondly, it's about the administration and mostly about the administration because we're six months after Labor Day when the president said in fact we would have this person and it hasn't even yet happened.

SEN. SCHUMER: There's real news up there, right on the screen there. Did you know that Secretary Thompson's on steroids? (Laughter.)

SEN. STABENOW: Thank you very-oh yeah.

Q Senator Schumer, can I ask you to talk to me about the Judiciary Committee --

SEN. SCHUMER: Sure.

SEN. STABENOW: I'm going to let you do that and I'll just say thanks.

SEN. SCHUMER: Okay. Goodbye, Debbie.

SEN. STABENOW: Yeah, thanks.

SEN. SCHUMER: Thank you.

Q What do you think the committee is going to do today? What would be acceptable to you?

SEN. SCHUMER: Well, we are really coming close to a bipartisan agreement where we could send a letter to the Justice Department, to the attorney general, making some recommendations. And, as you know, I feel strongly about a special counsel, simply because either the U.S. Attorney for Washington, D.C. and many parts of the Justice Department have conflicts of interest. People who worked on the Senate Judiciary staff are now in that Justice Department. But we had a very good meeting today-it was a public meeting where there seems to be a coming together and Senators Durbin and myself and Graham and Saxby Chambliss, are trying to put together a letter with the blessing of both Senator Hatch and Senator Leahy.

Q And that letter was to refer the matter to Justice and suggest a special counsel?

SEN. SCHUMER: Correct. You'll see the-well, let's not prejudge the letter-but it should be available later today if we can come to an agreement. Okay? Thanks everybody.

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