Honeywell’s Secret Five Year Globalization Plan Exposed
By Jeff Nachtigal
WashTech News
Honeywell International Inc. is planning to move 5,000 aerospace division jobs offshore over the next five years, according to internal documents that outline the company’s global development strategy.
The documents, titled, “Strategies In-Place to Enable 5-Year Plan,” detail key Honeywell priorities, including establishing avionics manufacturing in Brno, Czech Republic, outsourcing selected manufacturing, reducing high-cost staff and increasing the use of technical capabilities at international locations based in Mexico, India and the Czech Republic.
In the five-year-plan projection, Honeywell will increase the total number jobs in emerging markets by over 5,000. Emerging markets are defined as Mexico, Eastern Europe, Asia, South America and Africa, but not “high-cost” countries such as Japan, Australia or the U.S. Over the past year, Honeywell has increased its workforce in the Czech Republic by 30 percent.
“I was surprised at the numbers, at how big it was,” said a Honeywell avionics employee, who agreed to discuss the plans on condition of anonymity. “The numbers are two to three times bigger than I expected.”
The documents, obtained by Washtech News, show a long-term strategy of Honeywell jobs being offshored to “emerging markets” that offer a lower-cost workforce. Although Honeywell has not discussed its long-term outsourcing plans or what effect they may have on workers in its U.S. locations, its plans mirror hundreds of companies that are now increasingly moving both low- and high-cost job, positions overseas.
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