Romney’s Bain Capital Invested in Companies That Moved Jobs Overseas

Government and business leaders don’t share the same goals. An investment firm must maximize profits for shareholders while governments must maximize a range of benefits, including secure jobs, for all citizens. US presidential candidate Mitt Romney began working for the consulting firm Bain & Company in 1977 and co-founded private equity investment firm Bain Capital in 1984 – coincidentally a period when US companies looked to reduce costs by shifting operations to low-wage countries. With the US experiencing high unemployment, outsourcing has emerged as an acute issue in the presidential election. Bain, while not the largest player in the outsourcing wave, did advise companies on outsourcing trends and call centers. “While economists debate whether the massive outsourcing of American jobs over the last generation was inevitable, Romney in recent months has lamented the toll it’s taken on the U.S. economy,” writes Tom Hamburger for the Washington Post. Given that jobs and economic prosperity are priorities for US voters, Romney must make a case that he can deliver US jobs without lowering wage standards and work conditions common in Asia. Or, he can convince voters that they’re culpable as consumers in pursuit of low prices. – YaleGlobal