Some jobs finally return at Master Lock

MILWAUKEE -- Amid the all-too-familiar tale of exporting American jobs to countries with lower wages and labor standards comes a beacon of hope that glimmers in the shape of a combination lock.

Master Lock, which began to outsource manufacturing to Mexico and China in 1993, has now begun to re-source work to the United States, most notably at its flagship factory in Milwaukee, Wis.
The company’s iconic padlocks were first produced there in 1921.

Jerry Jilling operates the screw machines that make internal parts for lock mechanisms. Photo by Mike Bink/UAW Local 469.

 This massive industrial complex spans the length of nearly seven football fields – and is at capacity for the first time in 15 years with the recent callback of about three dozen workers.

For members of UAW Local 469, who successfully negotiated a five-year contract with Master Lock in 2008, this expansion marks a favorable turn of events amid the climate of so many manufacturing jobs being sent overseas.

UAW Region 4 Director Ron McInroy, believes the continued efficient and quality work performed by the members of Local 469 have a direct correlation to the work returning to the Milwaukee facility. Master Lock should be commended for supporting their workers , members of UAW Local 469, their families and the community they all live in.

“The return of solid middle-class jobs to Milwaukee is huge for us, especially in this economy,” said McInroy.

“While there might not be as many new jobs as we would like, Master Lock’s willingness to bring work back home is a major shift. I’m hopeful that this will help other companies realize that American workers are able to compete with the Chinese and are all the better for the pride they take in their work,” he added.

While the current factory head count of 379 is much fewer than the 1,300 who worked at Master Lock’s Milwaukee facility in the early 1990s, the return of jobs is encouraging given what some economists are beginning to dub the “China bubble.”

Recent raises in the minimum wage in 30 provinces across China – along with significantly higher costs of shipping across the country – are making many companies reconsider their decisions to set up shop in the rapidly growing Asian economy.

Together with China’s weakening of the dollar, Master Lock’s decision to return jobs to the United States might prove to be a growing trend among manufactures. Other companies such as General Electric Co. and Wham-O Inc., which manufactures Frisbees and Hula Hoops, are also moving jobs back to America.

While experts fall short of declaring a complete resurgence in manufacturing jobs, the increasing costs of production in China may shift many companies’ long-term plans to send work abroad – perhaps more so as Master Lock makes public the fact that unionized American workers can produce locks at the same cost as nonunion Chinese workers without having to make any concessions.

Owned by Fortune Brands Inc., Master Lock is a Fortune 500 company that markets a range of items, including Titleist golf balls, Jim Beam whiskey and Moen faucets.

Beenish Ahmed