The Teamsters are issuing their support for new legislation introduced last week that would attempt to curb jobs from moving overseas by providing incentives for businesses to keep work in this country.

The End Outsourcing Act, introduced by Rep. Mark Pocan (D-Wisc.) in the House and Sen. Kirsten Gillibrand (D-N.Y.) in the Senate, would use federal spending as a tool to end the practice. The bill would prevent employers from deducting expenses related to outsourcing, deny certain tax breaks to outsourcing employers, and require federal agencies awarding contracts, loans, loan guarantees and grants to establish a negative preference for employers who have outsourced in the last three years.
The legislation would eliminate the incentive to keep corporate earning overseas by taxing foreign profits at the same rate as domestic profits. In addition, the bill would claw back tax credits and grants given to employers for new building specific facilities if the employers outsource jobs at such facilities. And it would create an insourcing tax credit for new business activity located in underutilized business zones or low-income communities.