Catherwood LibraryILR School

Maytag already has two parts factories in Mexico and is preparing to move some refrigerator manufacturing operations there as well. Consumers have become increasingly more cost-conscious, pressuring companies to lower their prices. Moving operations to places like Mexico where labor is cheap and there are few regulations is an easy way to cut costs. These moves have drawn criticism from unions because they cause the loss of American jobs. According to Ralph Hake, chief Executive at Maytag, the company has no plans to shut down more U.S. factories, and he maintains that most of Maytag's large appliances continue to be assembled in the United States.