Boeing Outsourcing More U.S. Jobs to India While Making Billions from Taxpayer-Funded Defense Contracts

FILE- In this Nov. 6, 2018, file photo, models of Boeing passenger airliners are displayed during the Airshow China in Zhuhai city, south China's Guangdong province. China’s airline industry association has thrown its support behind 13 Chinese carriers seeking compensation from Boeing for groundings of the 737 Max 8. (AP …
AP Photo/Kin Cheung, File

The Boeing Company is set to outsource to India hundreds of coveted white-collar American jobs, beginning this year, while making billions in profits from taxpayer-funded contracts with the Defense Department.

Late last month, Boeing executives announced that 150 accounting and finance jobs in the United States would be sent to India via a contract with Tata Consulting Services. Tata is responsible for an outsourcing-offshoring business model that widens profit margins for multinational corporations by sending American jobs to lower-wage countries like India.

Hundreds more American jobs at Boeing are expected to be outsourced to India next year. The move comes as Boeing has laid off tens of thousands of employees and sent most of its high-paying American tech jobs to India.

For years, as The Atlantic noted in 2019, Boeing has been importing $9-an-hour foreign H-1B visa workers to take coveted software engineering jobs at its American plants. The goal was to cut costs for the company.

While outsourcing American jobs, Boeing remains of the most well-connected corporations among Democrats and Republicans in Washington, DC.

Most recently, Boeing scored a $5 billion contract with the federal government’s Missile Defense Agency. In 2019, the Defense Department remained Boeing’s largest customer as nearly $30 billion of its profits came from taxpayer-funded federal contracts — representing more than 30 percent of the company’s annual profits.

In addition to billions in Defense Department contracts, Boeing has profited immensely from tax cuts passed by Republicans in Congress in 2018. The GOP tax cuts saved the corporation about $1.1 billion — this after years of already paying relatively low taxes at an average federal tax rate of less than nine percent over ten years.

Political Action Committees (PACs) associated with Boeing give hundreds of thousands of dollars each year to Democrats and Republicans alike. This year alone, Republicans in Congress have raked in nearly $875,000 in Boeing donations, while Democrats have taken almost $750,000.

John Binder is a reporter for Breitbart News. Email him at Follow him on Twitter here


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