Deloit Industries to Open Another Factory
Deloit Industries, a leading producer of construction equipment, plans to open another factory in 2007. The new factory will be built in Rayong, Thailand, where a number of other large-scale manufacturing companies are located.
The company's decision was criticized by many local officials, who claim that Deloit Industries plans to exploit local laborers. In the last decade, many companies have migrated to Thailand because the country's average wages are significantly less than those in North America and Europe. By operating in Thailand, companies are able to decrease their annual expenditures and increase profitability.
Unfortunately, these profits do not always benefit the local communities. According to a company spokesman, however, Deloit Industries will implement a couple of strategies that will benefit the local laborers and their families. Among these "positive plans" are providing health insurance for employees and their families, and giving academic scholarships to employees' children.
The company has implemented similar strategies for employees working at its mines in South Africa, processing plants in the Philippines, and packaging faciities in Brazil. In each place, the company has attempted to hire local workers and integrate itself into the local community. In July, the company hosted a charity event in Buenos Aires, Argentina, to raise money for local schools.