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Until the government turns to dealing with offshoring. Lot more appetite in both parties to attack that business practice.
by master_crab 1y ago
Until the government turns to dealing with offshoring. Lot more appetite in both parties to attack that business practice.
- projectazorian 1y agoAnd how would they do that? The available methods - tax penalties mainly - are too easy to dodge.
- DeepYogurt 1y agomake them harder to dodge
- master_crab 1y agoYup. This is not difficult and it’s a fairly bounded problem. Only a few hundred companies are capable of the level of outsourcing that is considered significant. And those companies are highly sensitive to regulatory demands
- projectazorian 1y ago"This is not difficult and it’s a fairly bounded problem" Epic handwave. And you're wrong btw. If anything small business outsources even more than large companies. Tons of small business owners have zero US employees but have a personal assistant/CX agent in the Philippines, IT contractor in Latam, design contractors in Eastern Europe, etc.
- paxys 1y agoWhat's the "dodge" here? All these companies already have a large presence in other countries. They can adjust employee counts in each of these locations as they see fit.
- projectazorian 1y agoLet's say you make companies pay a tax per non-US employee. So they transfer the non-US employees to a contractor, and pay the contractor. This is often the default arrangement anyway. What do you do now? You would need China-level capital controls to make this work and that is not compatible with the dollar remaining as a reserve currency. Nor will Congress or the Supreme Court go for it.