Offshoring and the Global Marketplace

American companies, however, that are aware of the issues facing China's work force, often take extra care to ensure that any foreign company they partner with has respectable, safe working conditions and fair wages, if not a bit strenuous by many Americans' standards.

Banta, for example, hired a manager of its Hong Kong office with 25 years of sourcing experience in the Far East and who is a native of China. "We have visited about 20 of the major printers in Hong Kong and mainland China, and work with some in South Korea as well," explains Mead. "The wages are pretty much standard from company to company in Southern China. They average about $125 (U.S.) a month, based on 12-hour shifts, six days a week."

Weekly, that figure would average out to about $31. But dollar conversions vary greatly as you compare wages internationally. The weekly minimum wage in Australia is $321.53 (U.S.). In Thailand, the minimum wage (in many provinces) is 170 baht a day, which translates to just over $24 (U.S.) per week, based on a maximum six-day (48-hour) work week. In the United States, the federal minimum wage is $5.15 an hour, or $247.20 for a 48-hour work week.

In China, "The business model is [also] quite different than the U.S., however, in that employees live in dormitories on site and have room, board, meals, sometimes medical facilities and transportation provided by the company," says Mead.

"As far as working conditions, many of the plants are quite sensitive to the employee conditions, and their U.S. and European customers' perceptions of it. The plants are quite modern in many cases, and working conditions similar to what you would find in the U.S.," he says.

For any publisher or printer considering outsourcing globally, many suggest researching any potential partners thoroughly and visiting the facilities.