13 Articles Worth Reading
13 Articles Worth Reading
Date: Wednesday, November 16, 2005 4:01 AM
JOB DESTRUCTION NEWSLETTER
November 16, 2005 No. 1369
<<<<<<<<<< COMMENTS FROM ROB >>>>>>>>>>
Article #1: This op-ed about the plight of engineers is excellent except for the author's assertion that engineers are organized. Nothing could be further from the truth. I don't know what organizations he thinks lobby on the behalf of engineers because the truth is that there are none. So far very few engineers, programmers, or scientists seem to want to help themselves by getting politically active or by organizing in a meaningful way. He claims that "the masses of salaried engineers are not totally helpless in the currents of historical change." I totally disagree because the large majority of engineers have decided to sit and watch on the sidelines as their jobs are sold off as global commodities. The few that do want to work to reverse the job destruction will remain powerless until more engineers decide to fight back.
Article #9: Young veterans returning from Iraq and Afghanistan are having a tough time finding a job. The article comes up with all sorts of explanations but never mentions the obvious reasons: outsourcing, guest-worker visas, and illegal immigration. If Bush and the Congress really cared about our war veterans they would have a 0% unemployment policy for all military personnel that have served their duty and have returned to civilian life. Our government considers jobs for its soldiers to be collateral damage in the war to impose "free trade" on the world. Sweden's official policy is 0% unemployment for their entire country, so why can't we at least grant this to our greatest patriots?
Articles are appearing all over the media decrying the fact that not enough immigrants are being let into the U.S. to take jobs that supposedly Americans don't want. These articles are part of a coordinated campaign by organizations such as the Chamber of Commerce and CompeteAmerica to pressure the House to approve the massive increase in visas that the Senate voted to put in the Omnibus spending bill. One of the few places where there is a voice of reason is Vdare, but unfortunately they aren't a mainstream media outlet. One of the only organizations that is fighting to save our jobs is NumbersUSA, and I hope you gave them a donation after reading the previous newsletter!
<<<<<<<<<< END OF COMMENTS >>>>>>>>>>
Article 1:
http://www.nspe.org/etweb/11105florman.asp
My Profession and My Nation: A Worrisome Situation
With the coming of globalization, the climate for American engineers has turned ominously inhospitable. Specifically, the outsourcing of technological work requires American engineers to compete with skilled professionals abroad whose salaries are very low. At the same time, Congress has attracted thousands of foreign technical workers to the U.S. by authorizing a special new visa category (H-1B).
Article 2:
http://www.azcentral.com/business/articles/1113ITjobboom.html
Tech-worker gap
Companies face shortages as demand for IT skills grows
Software developers, design and systems engineers, network administrators and others are finding companies with a slew of openings eager to make offers and willing to negotiate better pay and benefits. America has been good to its engineers: rewarding their efforts, if not with riches or fame, at least with plentiful employment opportunities and, if polls are to be believed, with ample respect. Suddenly, however, this happy liaison is being threatened. With the coming of globalization, the climate for American engineers has turned ominously inhospitable.
Article 3:
http://www.northjersey.com/page.php?qstr=eXJpcnk3ZjczN2Y3dnFlZUVFeXkyOSZmZ2JlbDdmN3ZxZWVFRXl5NjgxMzQ1MyZ5cmlyeTdmNzE3Zjd2cWVlRUV5eTI=
French jet maker sues Honeywell
At one point, Honeywell asked Dassault to lend it 60 engineers to work on the project.
Article 4:
http://www.lvbusinesspress.com/articles/2005/11/15/news/news03.txt
Restaurants find hiring is no short order
Retailers aren't the only ones who are fretting over the labor shortage as the holidays approach. Local restaurant owners report a dire need for workers. That need will only get worse if stricter immigration policies are put in place they say.
Article 5:
http://www.newsmax.com/archives/ic/2005/11/8/93515.shtml
Bill Clinton: Immigration Crackdown Hurting U.S.
Ex-president Bill Clinton is arguing that tighter immigration laws are hurting America. He said the U.S. needed foreign students because "we are nowhere near graduating enough scientists and engineers to maintain, given the size of our economy, a leadership role in the global economy."
Article 6:
http://www.newswithviews.com/Wooldridge/frosty96.htm
AMERICAS GROWING EDUCATIONAL AND JOB NIGHTMARE
Democratic Senator Byrd of West Virginia got so sick of the 350,000 H-1B visas that he offered an amendment to strip the bill of the visas. Your Senate voted to delete Byrds amendment and passed the 350,000 H-1B visas by 84 to 14 votes. Your own senators voted to screw 350,000 American workers out of a job.
Article 7:
The nationwide visa shortage is particularly dangerous for the Bay State because technology-driven sectors like biotechnology and information technology have the multiplier effect of bringing new money and jobs to the state, said William Guenther, president of public policy consultancy Mass Insight Corp. "If we hold those businesses back, we're holding the whole state back," Guenther said. Efforts to expand the cap have gained momentum -- yet remain tied up at the federal level. Some companies can sidestep H-1B's limitations by hiring workers under separate categories, such as for master's degree-level employees or an "O" visa for extraordinary achievement, but those visas generally stipulate higher salaries. The Compete America coalition of more than 200 corporations, universities and trade groups fought for 60,000 more visas per year, but 30,000 now appears to be a more politically realistic number.The shortage of U.S. workers and visas for foreign-born workers may push firms to chase labor around the globe and relocate some operations overseas.
Article 8:
http://itmanagement.earthweb.com/career/article.php/3559661
Gartner Analyst: Stop Outsourcing Now
It's time to stop outsourcing.
That's a pretty strong statement coming from most anyone in the industry. But it takes on even more weight when it's coming from Gartner's chief of research for outsourcing. ''What we're doing is compulsive outsourcing,'' says Linda Cohen, a vice president and chief of research at Gartner, an industry analyst giant.
Article 9:
http://www.military.com/NewsContent/0,13319,80320,00.html?ESRC=eb.nl
Unemployment Rate Skyrockets
The return to civilian life for U.S. Soldiers deployed in Iraq and Afghanistan is full of pitfalls, with an unemployment rate three times the national average. The U.S. Bureau of Labor Statistics says that for the first three quarters of 2005, nearly 15 percent of veterans aged 20-24 are jobless -- three times the national average.
Article 10:
http://www.metrowestdailynews.com/columnists/view.bg?articleid=113177
Hightower: A message from corporate America
The internal memo is dated April 2005 and tagged: "IBM Confidential." The reason for the hush-hush treatment is that this document is written confirmation of corporate America's intention to send America's middle-class future abroad -- shipping out the jobs in engineering and other sciences that require advanced degrees and pay top wages.
You must click the link to read these articles:
Article 11:
http://www.vdare.com/rubenstein/051110_nd.htm
National Data,
By Edwin S. Rubenstein
"Skills Shortage" -- Or Immigration Overreach?
From Gates to Greenspan, business leaders say a mismatch between the skills of American workers and the needs of employers puts our ability to compete internationally at risk. And the growing U.S. income inequality is often blamed on this shortage of skilled workers and a glut of incompetents. But University of Wisconsin sociologist Michael J. Handel begs to disagree. In his new book Worker Skills and Job Requirements: Is There a Mismatch?, he offers proof that American workers are as competent as those in other advanced nations.
Article 12:
http://www.vdare.com/roberts/051106_no_jobs.htm
Still No Jobs: Corporations Deserting American Workers
By Paul Craig Roberts
The October payroll jobs report from the Bureau of Labor Statistics shows employment growth for the month essentially at a standstill. The economy created only 46,000 private sector jobs. The bulk of those -- 33,000 -- were in construction. Powerful lobbies that benefit from low cost foreign labor have invested heavily in public relations campaigns to create the impression that American jobs have to be outsourced and foreign workers brought into the US because there are shortages of US engineers, scientists, nurses and school teachers. It is amazing that the occupations in which shortages are alleged to exist are the very occupations in which qualified Americans cannot find jobs.
Article 13:
http://www.vdare.com/rubenstein/051107_nd.htm
National Data, By Edwin S. Rubenstein
American Worker Displacement Soars in October
Hispanic employment rose by a whopping 212,000 positions in October while only 2,000 new jobs were created for non-Hispanics. In percentage terms the Hispanic job count rose by 1.137 percent, or 569-times the miniscule 0.002 percent growth in non-Hispanic jobs.
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http://www.nspe.org/etweb/11105florman.asp
November 2005
My Profession and My Nation: A Worrisome Situation
By Samuel Florman, P.E.
I've always felt comfortable-indeed complacent-about the relationship between my profession, engineering, and the society in which I live. Engineers have been good for America: diligent creators of comfort and wealth and as individuals, by and large, upright citizens. America has been good to its engineers: rewarding their efforts, if not with riches or fame, at least with plentiful employment opportunities and, if polls are to be believed, with ample respect. Admittedly there was for a while, starting in the 1960s, an antitechnology movement, stemming largely from concerns about the environment. But that seemed to dissipate as it became apparent that protection of the environment was itself a form of engineering. At the same time, acceleration of technological change added an element of uncertainty to engineering careers, particularly in fields such as aerospace. Yet that eased as the end of one program invariably heralded the beginning of another where engineers were in demand. And when competition from abroad brought new pressures, and American industry was forced to turn lean and mean, engineers, hardworking and resourceful, were usually able to adapt. As we entered the new millennium it remained hearteningly true: The profession and the nation had a strong and mutually beneficial relationship.
Suddenly, however, this happy liaison is being threatened. With the coming of globalization, the climate for American engineers has turned ominously inhospitable. Specifically, the outsourcing of technological work requires American engineers to compete with skilled professionals abroad whose salaries are very low. At the same time, Congress has attracted thousands of foreign technical workers to the U.S. by authorizing a special new visa category (H-1B). It is difficult to prove statistically that globalization is jeopardizing the well-being of American engineers. Yet sudden spurts in unemployment-such as the seven percent figure experienced by electrical engineers in 2003-plus abundant anecdotal evidence, have created widespread feelings of anxiety and anger.
Granted, workers in many industries have long complained about unfair competition from abroad, only to be told that this is the way of the world. But for engineering professionals the problem is new and alarming. Other professions-notably medicine and law-have licensing requirements that protect their practitioners from foreign competition. Yet, aside from the PE seal, required mainly for construction work, engineering for American enterprises can be done legally by just about anybody on the planet. To rub salt in the wounds, at the very moment that American engineers are faced with multitudes of new competitors worldwide, an energetic campaign is under way to recruit more young Americans to study engineering.
Numerous authorities have argued that these developments are good for the nation, good for the world, and in the long run will prove beneficial for technologists of all sorts in all places. Many American engineers respond bluntly that their legitimate present interests are not being given fair consideration. Is it possible-appalling thought-that the legitimate interests of American engineers have come into conflict with those of the nation as a whole? For a particular group of engineers, charged with playing an active role in establishing technology policy, this question presents a uniquely troubling and personal dilemma. I refer to members of the National Academy of Engineering (NAE).
As a member of NAE, I have often been reminded that membership is not to be considered as simply honorific. In the words of the academy's president, Dr. William A. Wulf, the organization's mission, in addition to honoring professionals deemed worthy, is "to serve the nation by providing authoritative, unbiased advice on technical issues." Or, as set forth on the cover of a recent academy report: "Promoting the technological welfare of the nation by marshalling the knowledge and insights of eminent members of the engineering profession." Founded in 1964 (under the Congressional charter granted to the National Academy of Sciences in 1863), NAE carries out its advisory responsibilities through committees of carefully selected volunteer experts convened when requested by governmental agencies. This committee work is generally handled by the National Research Council, an organization administered jointly by the academies of science and engineering and the Institute of Medicine. NAE also initiates programs internally using its own resources.
For NAE members the bitter outsourcing debate brings into focus an issue we have seldom had to confront: potential conflict between the technological welfare of the nation and the welfare of many of our co-professionals. Like Engine Charlie Wilson, who famously opined-in ill-chosen words but with a kernel of truth-that what's good for General Motors is good for the country, and vice versa, most of us have assumed that the well-being of the engineering profession and the technological health of the nation are synonymous. But now this assumption appears open to question.
So far, aside from inviting public discussion on its web site, NAE has not moved formally into the outsourcing controversy. Perhaps it never will, because the problem is at least as much economic and political as it is technological. (The Department of Commerce has asked the National Academy of Public Administration to assist in a study of the issue.) However, our president, Dr. Wulf, has expressed an unambiguous opinion: "I don't believe in a protectionist approach to solving the problem of access to engineering talent. Protectionism might be OK in the short run, but it's not in the long-term interest of the country." I suspect that many NAE members will agree because, as leaders of industry and academe, they tend to look at the big picture-however much they may empathize with engineers who toil in the lower ranks. (Ironically, those of us who are not personally faced with fierce competition for our own jobs, particularly those of us who are ourselves employers of engineers-and here I must include myself-seem willing to indulge in a bit of our own protectionism. Without apparent reluctance, we seek advantage in trade and tax policies and such subsidies and incentives as the government sees fit to grant. And our academic colleagues appear to value their own ultimate security: faculty tenure.)
Of course, the masses of salaried engineers are not totally helpless in the currents of historical change. They are represented by a number of the professional societies, and these societies have lobbied vigorously to protect their members from the adverse effects of globalization. They have called upon Congress to curtail the number of H-1B visas and to consider various ways of discouraging the outsourcing of engineering work. The matter is painfully vexing: not only, on the one hand, for NAE members who are aware of their designated responsibilities and, on the other, for engineers fearful of losing their jobs to foreign competitors-but inevitably for every thoughtful engineer. We all want to further the technological welfare of our nation. At the same time most of us feel an allegiance to our fellow professionals, although we may be hard pressed to define this sentiment in detail. Enough of lamenting the situation. Where do I stand? My instinct-contrary to the well-considered and well-intentioned opinion of NAE President Wulf-is to support the engineering societies which seek, by legitimate political means, to protect their members from excessive foreign competition. What is excessive? Well, John Kenneth Galbraith said that politics "consists in choosing between the disastrous and the unpalatable," and in this instance I believe it would be disastrous to so disenchant a large number of American engineers that the profession's image would be damaged and its appeal to talented youngsters diminished. Thus might the hard-headed pragmatists reduce our nation's technological well-being, the very cause they seek to support.
And, while I'm quoting economists, let me use the words of John Maynard Keynes to respond to Dr. Wulf's comments about protectionism perhaps being OK in the short run but not in the long. It is widely known that Keynes said, "In the long run we are all dead." Less familiar is his preceding sentence in the same essay: "Long run is a misleading guide to current affairs."
Samuel Florman is an author, civil engineer, and chairman of Kreisler, Borg, Florman General Construction Company. Views expressed are those of the author and not necessarily those of NSPE.
This article was originally published in The Bent, the magazine of Tau Beta Pi.
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http://www.azcentral.com/business/articles/1113ITjobboom.html
Tech-worker gap
Companies face shortages as demand for IT skills grows
Jane Larson
The Arizona Republic
Nov. 13, 2005 12:00 AM
Nuclear winter is over in the high-tech job market.
Software developers, design and systems engineers, network administrators and others are finding companies with a slew of openings eager to make offers and willing to negotiate better pay and benefits.
Online job postings in Phoenix alone top 3,000 and classified ads proliferate, a huge change from 2001-02, when the information-technology industry went through a cold, brutal shakedown.
"That winter has thawed, and we are definitely into the spring-summer sizzle," says Chuck Vermillion, chief executive officer of OneNeck IT Services Corp. in Scottsdale.
Three to four years ago, Vermillion would advertise a job and get 200 to 300 responses. He posted one last week and got five. It's among the nine positions he is trying to fill on top of the 25 employees he has already hired in the past year.
The hot Phoenix market, which lost more than 26,000 jobs in the field in 2001-03, reflects a national trend. A stronger economy has spurred investment in infrastructure, Internet needs have grown, and the demand for networking solutions and storage have exploded.
Suddenly, jobs that once could have gone vacant or software-development jobs that could have been offshored are being filled close to home. Starting salaries are expected to be 3 percent higher than last year, and up to 5 percent higher in some specialties.
"We've definitely seen an upturn, and it is across the country, not just Phoenix," said Tina Angle, division director for Robert Half Technology in Phoenix. "Finally, people are starting to bring back their tech department."
The numbers back up the buzz:
Computer and mathematical jobs rose for the fifth-straight month on the Monster Local Employment Index, which measures job opportunities on more than 1,500 Web sites, including its own. In metro Phoenix, architectural and engineering jobs saw one of the largest rates of growth of all the job categories during September.
Careerbuilder.com has seen postings for IT and engineering jobs in Arizona increase 20 to 25 percent from a year ago. The IT jobs are tracking slightly below the national average, while the engineering jobs are slightly above, spokeswoman Jennifer Sullivan said.
Robert Half Technology's survey of metro Phoenix chief information officers found for the past three quarters, the executives expected to hire a net 17 percent more IT staffers than in the same period a year ago.
With Google Inc. setting up an engineering center in the Valley in the coming months, demand is likely to escalate further. Google's hires could tighten the job market for other employers, but the company's expansion here also is likely to lure other high-end technology employees and companies.
Pent-up demand
Experienced IT workers say they are getting e-mails weekly about positions at other firms.
One network administrator at a Tempe insurance company, who asked that his name not be used because he is considering a job hunt, said two co-workers have interviewed elsewhere in the past two weeks and are already weighing offers.
"Everyone's looking for the right fit," he said. "We have the qualifications and skills, and at this point we have options."
The demand is coming from a range of industries, including health care, hospitality and banking.
Those in the business say companies are updating their technologies, systems and networks. When competitors see those kinds of moves, they scramble to keep up, too.
Infrastructure projects, where companies are physically building and expanding networks, are hot. And despite the persistent threat of offshoring, job Web sites list a variety of applications development posts.
The strong economy is the main reason, companies say.
Low interest rates have enabled companies to invest in their infrastructure. Projects that were put off during the last economic downturn are getting done now. Companies also are adding technology to enable them to do new things that make or save money, particularly over the Internet.
"When the economy is growing and doing well, businesses are expanding, and they have capital or access to capital they didn't have before," said Carl Westphal, senior project manager at Bryan Vincent & Associates Inc. in Phoenix.
The demand also is driven by the sheer volume of information being processed and stored, as well as more networking and more software applications.
"The amount of storage for information that companies need is unbelievable," said Ann Robie, site human resources manager for IBM Corp. in Tucson.
Mike Fong, chief executive officer of Tempe-based network integrator Calence Inc., remembers posting an entry-level engineering job during that nuclear winter and getting 100 responses overnight, many of them from desperate, overqualified job seekers. Now he has hired three recruiters to beat the bushes in hopes of filling 30 positions.
Hot skills
Skills in demand on online job site Monster.com involve customer relationship management software, Web development and security, said Steve Pogorzelski, group president, international, of Monster Worldwide Inc. Database managers, help desk technicians and engineers skilled in SAP business software also are prized.
Package delivery giant DHL, which has grown its Scottsdale IT center to 900 employees from 350 over the past two years, now has 50 openings due to the growth, said Tony Treglia, director of human resources.
"We've been planning for the tech market to get tight, but we don't think it is tight today," he said. What is tight are certain skill sets, he said. Last year it was PeopleSoft, now it's SAP, he said.
IBM recently announced it is adding 50 technical jobs in Tucson, ranging from engineers and coders to people with deep technical skills in computer storage.
Uptick in 2004
It's a huge change from just a few years ago. Arizona lost 1.1 percent of its high-tech jobs in 2001, 15 percent in 2002 and 6 percent in 2003, for a net loss of 26,652 jobs in three years, according to AeA, a high-tech trade association.
The tide started to turn last year. Nationally, the technology sector added a net 190,000 jobs, for a 3.4 percent increase, between January 2004 and June this year, AeA reported. Most of them came in engineering and technology services, followed by software services.
Today's candidate-short market is good news for job seekers or employees willing to make a change.
"Candidates are harder to find, and they are more in control than they were in January," said Allen Plunkett, president of Phoenix Staff Inc.
A candidate who got a job offer earlier in the year took it, said Chad Heinrich, market director for Kforce Technology Staffing in Phoenix. Now the same candidate is getting other offers or is taking time to weigh it.
"The good candidates are having more job offers, and employers are having to one-up each other," Angle at Robert Half said.
Companies are making hiring decisions more quickly, too. They will offer a desirable candidate a job within days, instead of taking weeks to interview multiple candidates.
And pay is starting to inch up.
Starting salaries in IT are projected to rise an average of 3 percent next year, compared with the 0.5 percent projected a year ago, according to Robert Half Technology. Workers in hot specialties, such as IT auditors, lead application developers and network security administrators, would command 5 percent or better, the firm said.
Technology jobs already rank among the top 100 highest-paying jobs in the state, according to 2004 research by the Arizona Department of Economic Security. They ranged from computer and information systems managers, who averaged $42.78 an hour, to computer systems software engineers, at $35.78 an hour, and network and computer systems administrators at $28.32 an hour.
High-end competition
The boom, though, isn't so strong that prodigal IT workers from the pre-bubble days are being welcomed back. And competition appears stiff for top management positions, due to the Valley's shortage of corporate headquarters.
"Two or three years is a long time to be out of technology," Heinrich said. "They're just so far behind the curve I'm not seeing it happen."
"It's still a very viable career choice, but you need to be able to adapt," Westphal said. "Jobs that are high-paying at one point can become lower-paying if you don't keep up or don't have a career progression."
From the employers' viewpoint, the healthy market means having fewer candidates from which to choose. Where Kforce used to send clients five job candidates, it now sends two or three, Heinrich said.
Companies are raiding each other for talent. Some have resumed training employees in new skills when they can't find them in the market.
Part of the urgency comes because companies are staring at the prospects of baby boomers retiring in five to 10 years, fewer students pursuing advanced degrees and a shrinking pool of youngsters interested in technology careers.
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http://www.northjersey.com/page.php?qstr=eXJpcnk3ZjczN2Y3dnFlZUVFeXkyOSZmZ2JlbDdmN3ZxZWVFRXl5NjgxMzQ1MyZ5cmlyeTdmNzE3Zjd2cWVlRUV5eTI=
French jet maker sues Honeywell
Thursday, November 10, 2005
By ANDREW DUNN
BLOOMBERG NEWS
NEW YORK - Dassault Aviation SA, the French aircraft maker, has sued the technology company Honeywell International Inc. over delays in delivering a cockpit control-panel system for two models of business jets.
Dassault claims it signed a contract in 1999 with Morris Township-based Honeywell believing that Honeywell's flight-deck system was fully developed.
Delays by Honeywell in production and delivery followed, the suit says. At one point, it says, Honeywell asked Dassault to lend it 60 engineers to work on the project.
"As a result of Honeywell's delays, Dassault was compelled to incur significant additional costs," the company says in its complaint, filed Oct. 11 in federal court in New York.
Dassault is asking for compensatory damages of at least $60 million, plus interest. The breach of contract suit was first reported today in the Wall Street Journal.
Attorneys for Paris-based Dassault didn't immediately return calls seeking comment.
"We've worked with Dassault for more than 40 years," said Bill Reavis, a Honeywell spokesman.
"We look forward to continuing that long and successful relationship." He would not comment on the litigation.
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http://www.lvbusinesspress.com/articles/2005/11/15/news/news03.txt
Tuesday, November 15, 2005
Restaurants find hiring is no short order
By VALERIE MILLER
BUSINESS PRESS
Retailers aren't the only ones who are fretting over the labor shortage as the holidays approach. Local restaurant owners report a dire need for workers. That need will only get worse if stricter immigration policies are put in place they say.
Nevada Restaurant Association President Paul Hartgen met with Nevada Sen. Harry Reid last month to express his industry's concerns over possible crackdowns on undocumented workers. Many of the estimated 11 million immigrants laborers in the U.S. find work in food preparation.
Hartgen worries that the labor shortage, driven by a 4.2 unemployment rate in Clark County, will reach critical mass if immigrant workers are pulled out of the mix.
The Mediterranean Cafe is one of the restaurants running short of workers.
"Probably a lot of (undocumented workers) now are working and contributing to the Las Vegas economy. The unemployment rate in Las Vegas is incredibly low," he says. "Our growth is on such a fast pace that we need access to that workforce."
Mediterranean Cafe Owner Paymon Raouf has struggled to staff his two local restaurants. "We have to run multiple ads in papers just to fill a single position," he says. "We offer incentives for employees. We say, 'If you bring somebody in to work for us, we will pay you $150.'"
The Mediterranean Cafe's wages have jumped from the minimum a decade ago to $9 for entry-level positions today, but even that's not enough to draw interest, Raouf complains.
"Even with the hostess only being 16 years old with no experience, if you offer $9 an hour, she rolls her eyes at it," he says. "We have a hostess that we are paying $11 an hour."
Other employers come in and hand out cards to his workers too, in an effort to recruit them. "Wynn (Las Vegas) Resorts makes a card saying, 'You caught my eye ... For employment call ...'" Retailers, including Brookstone, have also complained about other companies' recruiting practices.
Experiences like that only add to Raouf's belief that immigrants workers fill a desperate need in the restaurant Industry. "It is easy to say, 'Let's get rid of them,' but even without them we are shorthanded."
Small restaurant owners, he adds, have it the worst because often they can't afford to pay benefits like health care. After all, he sometimes just barely makes ends meet. "I go to the bank and get a loan to pay them during the slow season," the owner says of making payroll.
This holiday season is shaping up to be one of the toughest for employers looking for new hires. Employees are picking over job offers much like shoppers being barraged by after-Christmas sales, Raouf laments.
"The good old days where you interview them are gone," the owner reflects. "They interview us now."
vmiller@lvpress.com | 702-871-6780 x331
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http://www.newsmax.com/archives/ic/2005/11/8/93515.shtml
Tuesday, Nov. 8, 2005 9:33 a.m. EST
Bill Clinton: Immigration Crackdown Hurting U.S.
Ex-president Bill Clinton is arguing that tighter immigration laws are hurting America, saying the new restrictions aren't worth it even if they stop the "one out of a zillion [foreigners] who might have a bomb."
"I'm very worried that one of the consequences of our tightness on immigration and visas as a result of 9/11 and terror, has led to a drop in many places of the number of foreign students coming to the United States to study and be graduate students," Clinton told an audience at the University of Minnesota on Saturday.
He said the U.S. needed foreign students because "we are nowhere near graduating enough scientists and engineers to maintain, given the size of our economy, a leadership role in the global economy."
Clinton said the terror trade-off wasn't worth it.
"When we got real tough on visas - because one out of a zillion of them might have a bomb - we lost a lot of brains. We might have dodged a bomb but we lost a lot of brains."
On another subject, the former president also praised actress Geena Davis, star of the new ABC Show "Commander in Chief."
"I did see one episode of 'Commander in Chief'," Clinton told the crowd. "Geena Davis is good for two reasons. She looked tough but not macho. She didn't look lion-tough. And she spoke Spanish. So I thought those two things were good."
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http://www.newswithviews.com/Wooldridge/frosty96.htm
AMERICAS GROWING EDUCATIONAL AND JOB NIGHTMARE
By Frosty Wooldridge
November 11, 2005
NewsWithViews.com
Most Americans over 40 witnessed the dumbing down of our schools in the 70s 80s, 90s and into this century. As a teacher, I was encouraged to pass minority students who did not work for excellence nor did they study toward academic success. Students quickly learned they didnt have to study for learning or passing grades. Thus, they coasted from grade school without effort and finished high school with spurious diplomas. Recently, Lou Dobbs of CNN, presented Americans with some disturbing facts on our schools.
What erodes Americas foundation?
Fifty percent of black and Hispanic teenagers do not graduate from high school. The United States does not stand in the top ten industrialized nations of high school graduation rates. Robert Reich, former labor secretary, said, "Our children are not going to do as well as we are doing because they wont be able to command decent paying jobs. And thats the first time in many years since the Depression."
The facts show American students rank 28th in math while trailing China, Finland and Korea. America is no longer the most college educated nation in the world. Eric Hanushek, Hoover Institution, Stanford said, "I think it tells us something about the long-run prospects if we dont in fact take a new tact and improve our schools. Other countries are pushing very hard at developing their human resources and skills of their populations."
According to the Dobbs report, 37 million people live in poverty. Functional illiteracy affects over 35 million Americans. One in five American children lives below the poverty level. Each year, 1.5 million unwed women give birth.
What are the inevitable results? The American Dream degrades to lower and lower expectations. Wages stagnant, mortgage defaults rise, 47 million Americans lack health insurance. Frustration and crime accelerate.
Whats causing the demise of our educational systems? Four aspects of our Constitution erode every single day of the year because of massive, unrelenting legal and illegal immigration. What does it take to run a successful American society? First, it takes a highly educated populace. Two, everyone must buy into and adhere to a similar moral code. Third, each citizen must appreciate and abide by the same ethical system and finally, a single language is imperative to discuss, debate and evolve solutions for the common good. We continue losing all aspects with massive immigration from Third World countries.
America is a constitutional republic invented by very intelligent men such as Hamilton, Madison, Adams and Jefferson! However, it takes a highly educated public to advance that brilliant piece of governance. Were losing that ability on all fronts.
A prime example stems from a report by the Rocky Mountain News, May 16, 2005, What Happened? www.rockymountainnews.com ; In 1999, 5,663 students enrolled in Denver Public Schools. In 2005, only 1,884 graduated from high school. That studied showed more than 65 percent flunked out or dropped out. What caused such a massive failure rate? The report showed that 30,000 illegal alien kids attended school with little to no ability to speak English. Their parents suffered functional illiteracy in English and Spanish. Additionally, the classroom experience suffered such degradation that one in five teachers quit or transferred out of DPS system every nine month cycle.
With 1.3 million illegal alien children in schools across America and hundreds of thousands of anchor babies born to illegal mothers who cannot and do not speak English, its little wonder America classrooms suffer similar problems across the country.
Writer Vicky Davis brings this national educational and job nightmare to a burning focal point when she said, "Assume the following are true: America has a population of about 300 million people. Minimum wage is between $5.00 and $7.00 per hour. A computer programmer makes an average salary of about $60,000 per year.
Davis declares facts about overpopulated countries like India and China. She knocks you upside the head with the following realities facing American workers:
"China has about 1.3 billion people," she said. "A common wage for a manufacturing job is about 50 cents per hour. India has over 1.1 billion people. A computer programmer makes between $7,000 and $10,000 per year."
Question 1: If you were a corporation, where would you locate to ensure the highest profits assuming that there are no barriers to re-importation of your products and services back into the U.S.? Answer: China or India.
Question 2: Will more education for Americas children solve the problem of the wage differential between China, India and the United States? If so, explain how. Answer: Frightening!
Question 3: Consider the following as one option for solving the problem of the wage differential: Encourage massive immigration of foreign workers - labor and professional into America so that the cost of labor decreases by simple supply and demand rules. How many people would the United States have to import to equalize wages between China, India and the United States? Answer: You dont want to know because youll get sick to your stomach.
Bonus A How many new people would need to be added to the U.S. population to equalize wages between China, India and the United States?
Bonus B What would that do to the standard of living in the United States?
Bonus C What would be the impact on American Workers?
Bonus D What would happen to American culture and values?
Question 4: Assuming that more education wont solve the problem and the selected remedy is to lower wages in the United States to match those of India and China, consider the following and answer the questions:
a. Explain the impact of the increased population on our natural resources.
b. Explain the impact of the increased population on our infrastructure.
Question 5: One argument used to justify free trade with China is that American consumers reap the benefits of being able to buy cheaper products produced by the Chinese. Considering that American workers are also American consumers, explain how cheaper products are a benefit to the consumer if the consumer must work for wages that are competitive with the Chinese and Indians and they must pay for the increased infrastructure costs and loss of natural resources to accommodate the increased population.
Question 6: Who benefits most from Free Trade and the global economy?
Question 7: Define the vision you have for the future of America and for Americas children. Is this vision possible if the U.S. policy is Free Trade and competition in the global economy?"
With Davis sobering pop quiz, how do you think Americas Middle Class will survive the free trade onslaught with the continuing development of a highly uneducated population?
Short answer: It wont. It will no longer remain the Middle Class. It will become the lower class.
Why? We dont have enough educated people willing to take action to stop insourcing, offshoring, outsourcing and downgrading of American jobs.
Who did this? Look to the president of the United States and Congress.
Last week, senators Teddy Kennedy and Specter promoted Senate Bill 1932 bringing another 350,000 H-1B visas foreign workers into the USA with green cards to work American jobs. Thats on top of the already 1.1 million legal immigrants they approve annually. And, thats on top of the 1.0 million H-1B, H-2B and L-1 visas ALREADY HERE! Bush did not raise a finger to stop last weeks addition of another 350,000 that insanity. He must get a kick out of seeing Americans lose their jobs to foreigners!
In the meantime, even Democratic Senator Byrd of West Virginia got so sick of the 350,000 H-1B visas that he offered an amendment to strip the bill of the visas. Your Senate voted to delete Byrds amendment and passed the 350,000 H-1B visas by 84 to 14 votes. Your own senators voted to screw 350,000 American workers out of a job.
It leads me to the following quote by Mark Twain, ""Sometimes I wonder whether the world is being run by smart people who are putting us on or by imbeciles who really mean it."
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http://boston.bizjournals.com/boston/stories/2005/11/07/story1.html
From the November 4, 2005 print edition
Meager visas, needy employers
With limited number of H-1B visas available, companies scramble for front of line
Sheri Qualters
Journal Staff
When finding new researchers to work on breakthrough drugs, local biotech companies like Genzyme Corp. have long been indifferent to a scientist's country of origin.
But in the high-stakes game of securing H-1B visas for foreign workers -- those with at least a bachelor's degree or the equivalent experience -- such companies are increasingly throwing more cash at an already expensive problem to boost their chances of securing coveted foreign worker visas.
Political issues have sharply narrowed the pool of available H-1B visas for the past two years, forcing companies to make early hiring decisions and pony up premium processing fees of $1,000 per worker.
The skewed supply and demand relationship highlights the skills gap in the U.S. work force, particularly in Massachusetts' technology-centric economy. Companies that adapted by rushing applications through the system scooped up all available applications two months before the fiscal year began on Oct. 1, leaving many smaller or less visa-savvy companies in the cold and experienced visa players with fewer foreign worker approvals than they need.
About 1,600 local companies and business units, including many based outside the Bay State and even the United States, applied for nearly 16,600 U.S. Department of Labor certifications for job openings in Massachusetts during the six-month period between October 2004 and March 2005, according to government data. The Labor Department passes those applications to the U.S. Citizenship and Immigration Services office, which has recently been sending the U.S. Department of State a little more than 100,000 approved visa applications each year for 65,000 annual visa slots.
The nationwide visa shortage is particularly dangerous for the Bay State because technology-driven sectors like biotechnology and information technology have the multiplier effect of bringing new money and jobs to the state, said William Guenther, president of public policy consultancy Mass Insight Corp.
"If we hold those businesses back, we're holding the whole state back," Guenther said.
Efforts to expand the cap have gained momentum -- yet remain tied up at the federal level.
Working the system
Companies will pay dearly to avoid the uncertainties of the H-1B visa game, said labor and employment lawyer Joseph Piacquad of Goodwin Procter LLP.
One of Piacquad's local software development clients coughed up an extra $40,000 this year for premium processing, which guarantees a decision from the immigration services (the second leg of the process) within 15 business days. Although the company offshores much of its software development, it rotates foreign senior executives through the U.S. headquarters for a year or two to learn the business, Piacquad said.
"I can't remember the last time I filed the petition without the premium processing fee," Piacquad said.
Communications-equipment maker Analog Devices Inc. (NYSE: ADI) of Norwood is also sinking more resources into the H-1B process, including premium processing for some of its applications. Premium processing, plus a $500 fee added this spring to help the government identify fraud, boosted Analog's average spending on H-1B visas to about $2,200 per application, or $66,000 for 30 visas this year.
Although the visa ceiling rises and falls with political attitudes towards foreign labor, 65,000 H-1B visas have been released each October since 2003. The relatively stingy H-1B visa cap, which was temporarily expanded to 195,000 per year between fiscal 2001 and fiscal 2003, (which ended on Sept. 30 of that year) has altered companies' recruiting patterns in the past two years.
But strategic measures have limited effectiveness in an environment of scarcity. Although the Labor Department denied only nine of the 16,600 visas for Massachusetts jobs and put 250 on hold (which is usually to review the submitted salaries) in the first half of fiscal 2005, available slots dwindle as the year progresses.
Ultimately, the Labor Department certified 26,736 H-1B jobs in Massachusetts in fiscal 2004, up from 17,350 in fiscal 2003. Labor Department approvals are "a pretty good indicator" of which visa applications immigration services eventually confirms, but only about 65 percent of applications approved by those two agencies have yielded visas in the past two years, according to immigration services spokesman Chris Bentley.
"We know historically that so much of a percentage equates into visas (and) that's how we manage our aspect of the cap," said Bentley.
Losing out
The sciences, financial services and health care sectors are grappling with work force gaps, but immigration lawyers and local think tank leaders say the information technology and software sector is the most afflicted. Some companies can sidestep H-1B's limitations by hiring workers under separate categories, such as for master's degree-level employees or an "O" visa for extraordinary achievement, but those visas generally stipulate higher salaries.
Although plagued by high unemployment in recent years, software engineers aren't interchangeable, said UMass Donahue Institute economist Michael D. Goodman.
"Obtaining a worker with needed expertise appears to be difficult even if there's someone who may have worked in that same occupation who is available and looking for work," Goodman said.
And not all companies have the resources of a global outfit like storage giant EMC Corp. (NYSE: EMC) and its 90-person legal department. The Hopkinton company maximizes its chances of getting H-1B visas by moving workers from the one-year "optional practical training status" sponsored by a college or university to company-sponsored H-1B status well before the school visa expires, but the company still missed out on a couple of desirable candidates during fiscal 2005, said Corporate Counsel Stuart Broder.
Many companies seek visa expertise only when they stumble upon a stellar job candidate. One local wireless company, for example, recently ended its courtship of a midlevel European research scientist when it failed to secure a visa this year.
Both sides spent money on the process, but the loss of potential research and development expertise stung the company more, according to its lawyer Don Parker of Waltham-based Morse, Barnes-Brown & Pendleton PC.
Many companies simply don't identify potential candidates fast enough, experts say. Even Genzyme, an experienced visa applicant with 82 employees in H-1B status, has walked away from preferred candidate rather than wait six or nine months for the next batch of H-1B visas, said Amy Katz, senior counsel for employment and litigation. The company also struggles with the logistical complexities of having workers on three-month unpaid leaves after their optional practical training expires and before the H-1B kicks in.
Finding alternatives to H-1B candidates is a priority when visas run out, but Genzyme will hold positions open rather than hire less-qualified workers, Katz said.
"It makes it more challenging for the people who are here to meet the high quality demands we place on ourselves if we have open positions," Katz said.
Local job vacancies illustrate the need for skilled technical talent, according to state data. Open professional, scientific and technical jobs, which includes such typical H-1B jobs as computer specialists, engineers, life and physical scientists and life science technicians, spiked 46 percent in one year to 5,724 vacancies at the end of last year. Health care vacancies, which account for 22 percent of the state's job openings, climbed 3.7 percent to 15,695 in a year's time.
"We particularly need to encourage skilled foreign immigrants to come to live here and work because we've got a limited work force," said Mass Insight's Guenther.
Fighting back
Some experts also hold out hope of an extension along the lines of the 20,000 visas added in May for master's degree-level job applicants.
In its budget reconciliation package passed last month, the U.S. Senate's Judiciary Committee approved a proposal to release up to 30,000 unused H-1B visas each year, but the measure must clear several Congressional hurdles before becoming law. As of press time, the Senate was reviewing an amendment to reverse the visa relief measures approved by the Judiciary Committee.
The Compete America coalition of more than 200 corporations, universities and trade groups fought for 60,000 more visas per year, but 30,000 now appears to be a more politically realistic number, said Susan L. Traiman, the director of education and work force policy for a Washington, D.C.-based coalition member, the Business Roundtable.
"It's not what we had hoped for, but we believe it's a good step in the right direction," Traiman said. "Ideally, the numbers would be need-driven and market-driven."
In another stop-gap measure, Massachusetts Sen. Edward Kennedy and four other senators fought to free up the leftovers of 6,800 H-1B visas set aside last year for nationals of Chile and Singapore through trade agreements. The U.S. Department of Homeland Security rebuffed the request on the grounds that the cap was "reached and exceeded" without reserving slots for Chile and Singapore.
Visa caps have kicked in several times in recent years, but, according to State Department data, more than 300,000 unused visas have piled up since 1991. "It's very hard for employers to understand this," said employment lawyer Carolyn Fuchs of Looney & Grossman LLP.
While the wrangling continues in Washington, the Bay State's competitive edge in innovation-driven industries remains at risk, said UMass' Goodman. The shortage of U.S. workers and visas for foreign-born workers may push firms to chase labor around the globe and relocate some operations overseas.
"It's much better for us to compete with international labor here in the U.S. than overseas where the prevailing wage is lower," Goodman said.
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http://itmanagement.earthweb.com/career/article.php/3559661
Gartner Analyst: Stop Outsourcing Now
By Sharon Gaudin
October 27, 2005
It's time to stop outsourcing.
That's a pretty strong statement coming from most anyone in the industry. But it takes on even more weight when it's coming from Gartner's chief of research for outsourcing.
''What we're doing is compulsive outsourcing,'' says Linda Cohen, a vice president and chief of research at Gartner, an industry analyst giant. ''We're trying to solve a problem, and that's a very tactical approach to outsourcing. And it's resulted in too much outsourcing. We need to stop and consider the strategy, so we're enabling a business goal rather than fixing a problem.''
Cohen, who is co-author of Multisourcing: Moving beyond Outsourcing to Achieve Growth and Agility, says companies are in trouble because executives are making knee-jerk outsourcing decisions. And it's causing chaos in IT departments, as well as on the business side.
In that chaos is a lot of failed outsourcing, and offshoring, projects, says Cohen in a one-on-one interview with Datamation. Gartner research suggests that 50 percent of all outsourcing contracts signed during the last three years will fail to meet expectations.
And that's largely because executives are being short-sighted when it comes to moving work outside the company's walls or even off U.S. shores.
''The problem with outsourcing to solve a problem is that it's not enduring,'' says Cohen. ''Tomorrow there will be a new problem. And next year there will be another problem. They have to be able to be flexible with changing problems.''
And costs are usually the problem that companies are trying to remedy.
''Today, outsourcing is applied to basically be a remedy for cost problems or assumed cost problems,'' adds Cohen. ''The thought is if they outsource this, it will be cheaper. And that's not usually the case. We've gotten to a state of compulsive outsourcing. It's this need to outsource because everybody else is doing it... It's keeping up with the Joneses. If my competition is doing it, then we better do more of it.
''When your CEO stops asking, 'Should we be outsourcing this?' and starts asking, 'Why aren't we offshoring this?' or even worse, 'What more could we outsource?'... It's gotten to the point that it's almost a compulsive reaction.''
Lasting Results?
And while outsourcing and offshoring might save a company money in the short run, it's often not a lasting result, according to Cohen, who says many companies will save money the first year. If a company was in really bad shape before they outsourced some work, they might save money for two years. However, when the deal hits the third-year mark, things tend to blow up, says Cohen.
''The buyers and sellers disconnect on why they're still in this deal together,'' says Cohen. ''Maybe there's a need for an improvement but it's not happening because the deal was never structured for that... Two or three years into it, the deals start to lose their value. We need to take a more strategic approach to making these decisions. What will this do for us over time? What will we get from this relationship two years out, three years out? What will drive this over the long haul?''
Cohen says there are three basic reasons to outsource:
Cost Improvement;
Operations Improvement, and
Business Performance Improvement.
The problem is that most corporate and IT executives only look at cost improvement, disregarding the other two reasons. It's time, Cohen says, to align outsourcing goals with business goals.
Cohen says it's time to come up with a multi-sourcing model that would handle in-house operations, along with outsourcing and offshoring.
And that doesn't mean scrapping every outsourcing deal and pulling all that work immediately back in-house. It means it's time to slow down and think it all through.
''It's the way we approach it,'' says Cohen. ''It's the way we make decisions and manage it that's wrong. Of course we're not going back to a time when you provide all resources internally. That's just not going to happen... I'm saying it's time to stop the madness.
''[Companies] need to go back and analyze why they're outsourcing and why their work is offshored,'' Cohen adds. ''Go back and restructure those deals. They may require a new set of service metrics or new terms and conditions... First go back and put together a sourcing strategy that relates directly to the business strategy and align a sourcing plan and a business case. Then look at the whole portfolio of providers and realign expectations and details of the deal.''
Cohen says this will entail a large change -- a change in thinking, a change in processes, a change in organization and management. But without making this change, companies can expect service disruptions and that cuts directly into profits.
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http://www.military.com/NewsContent/0,13319,80320,00.html?ESRC=eb.nl
Unemployment Rate Skyrockets
Agence France-Presse | November 14, 2005
WASHINGTON - The return to civilian life for U.S. Soldiers deployed in Iraq and Afghanistan is full of pitfalls, with an unemployment rate three times the national average.
The U.S. Bureau of Labor Statistics says that for the first three quarters of 2005, nearly 15 percent of veterans aged 20-24 are jobless -- three times the national average.
According to the website VeteransToday, published by veterans for veterans, the high unemployment rate is "partly because most service members seriously injured in Iraq and Afghanistan are in the early stages of their military careers and possess limited transferable job skills or very little civilian work experience".
The government is also worried about the number of veterans without a permanent address.
"The tragedy of homelessness among veterans persists, even when the economy is robust and unemployment is low," the California Department of Veterans Affairs said.
"Homeless veterans require remedial education, job-search and counseling assistance, medical services and transitional housing in order to re-enter the labor market," the agency said in a statement.
Some 200,000 persons leave active military service each year. The government wants to convince U.S. employers to hire them.
To tackle the problem, the U.S. government launched a series of initiatives to come to their aid. The U.S. Veterans Administration created in October a project titled, "Fulfilling the Commitment -- Coming Home to Work" a public-private effort so they "will have employment opportunities when they return home from the war on terrorism," the Veterans Administration said in a statement.
"The young men and women who protect our way of life need to know that they will have the opportunity to work and to take care of their families once they are discharged from military service," said James Nicholson, secretary of Veterans Affairs.
The Department of Labor announced Thursday a six-month public relations campaign aimed at veterans returning to work in civilian life.
The Veterans Administration also plans a web page, REALifelines, especially for veterans wounded in combat.
Job fairs for veterans are also being organized. One of them, earlier this month, was attended by thousands of vets. One of the organizations at the Veterans Job Fair and Career Expo in New York, the National Hire Veterans Committee, encourages employers to recruit veterans on its website www.HireVetsFirst.gov.
"Your organization depends on reliable, resilient human capital. Veterans of America's armed forces have the skills, training and character to meet your toughest challenges for today and tomorrow. That's why the President's National Hire Veterans Committee wants you to know that hiring veterans is not just goodwill. It's good business."
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http://www.metrowestdailynews.com/columnists/view.bg?articleid=113177
Hightower: A message from corporate America
By Jim Hightower / Guest Columnist
Tuesday, November 1, 2005
The internal memo is dated April 2005 and tagged: "IBM Confidential." The reason for the hush-hush treatment is that this document is written confirmation of corporate America's intention to send America's middle-class future abroad -- shipping out the jobs in engineering and other sciences that require advanced degrees and pay top wages.
The International Business Machines Corp. has become the leading practitioner of shopping the globe for the cheapest high-tech workers and knocking down the wage floor to the lowest common denominator. Because of the wrenching economic, social, and political impacts this will have on U.S. society, IBM has not wanted to concede publicly that undermining middle-class opportunities is a corporate goal.
Yet this leaked memo confirms that while the top honchos are cutting 13,000 of these high-tech jobs in America and Europe this year, IBM will add 14,000 in the low-wage tech centers of India. Experienced software programmers in our country earn maybe $75,000 a year, creating a sound middle-class base for our economy and communities. But the hell with such democratic notions of the common good, say the profiteers; we can replace American programmers with ones from India who'll do the work for an annual $15,000.
That's $60,000 per job, per year, that the corporate and investor elites can take out of the middle class and put in their own pockets.
Adding insult to injury, Robert Moffat, an IBM senior vice president, says that the corporate rush to India is not merely a chase for the cheapest workers:
"It's mostly about skills." He then lectures America's high-tech workers: "You are no longer competing just with the guy down the street, but also with people around the world."
And there you have a sparkling-clear statement of what corporate America thinks of you, and what it has in store for you. How does it think it will hold society together when it knocks all of our wages down to $15,000 a year?
Jim Hightower is author of "Thieves in High Places: They've Stolen Our Country and It's Time to Take It Back." This article is published in cooperation with minutemanmedia.org.
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