Companies such as Csat Solutions and BlueCross BlueShield of California, which are making billions from the sale of bleaching solutions, are using outsourcing to squeeze out profits, the New York Times reported Thursday.
These companies, which rely heavily on outsourcing to supply their products, are paying a steep price in health care for having to cut jobs, according to a new report from The American Conservatives.
They are also taking money away from public health programs that rely on taxpayers, according the report.
“The outsourcing of bleachers and cleaning products to a foreign company is a prime example of corporate greed that is driving down the quality of health care and leaving taxpayers and consumers out of pocket,” said Steve Israel, a senior vice president for policy at The American Conservancy.
The Times report comes on the heels of another study from the nonprofit Center for Public Integrity, which revealed that outsourcing to foreign companies, especially from China, was a major cause of the United States’ “lack of access to clean drinking water.”
China’s export of bleaches to the United State, which has the world’s largest U.N. water body, led to a $1.8 billion U.C.I.D. report released last month.
The report said that while the United Kingdom and Germany are leading the way in water pollution, China is far behind, accounting for almost half of the U.K.’s total annual pollution and a whopping $3.6 billion of the $12 billion in pollution the U of C.’s study found was caused by imports from China.
The International Organization for Standardization, which oversees international standards for the manufacture and use of cleaning products, said it was aware of the Csat and Bluecross reports and is working with the companies to improve their processes and policies.
The Csat report cited a 2015 report that said outsourcing companies to China, which accounts for more than 50 percent of China’s exports to the U: “In 2014, the United Nations Environment Program estimated that the country accounted for approximately 20 percent of total greenhouse gas emissions, which is significantly higher than the U.’s estimated emissions of 4 percent.”
The Csit report also pointed out that the U., like other countries, is in the process of enacting legislation requiring the manufacture of cleaning solutions and products to be made in China.
“As a result of this policy, the industry is losing important business opportunities and workers are being replaced,” the report said.
The United States is the third-largest exporter of bleach cleaners and the largest exporter to China.
But according to the Csit findings, companies are taking advantage of the lax enforcement of international water standards and policies to make billions of dollars off of their workers.
“A recent report from the Ucath report shows that, since 2013, the amount of foreign-made bleaching products imported to the US has quadrupled from $3 billion to more than $30 billion, and this trend is expected to continue in the coming years,” said Ben Schiller, vice president of health affairs at Csat, in a statement.
“These companies have been using this loophole to gain an unfair competitive advantage and undermine public health.”
Csat’s report said the companies have had to cut thousands of jobs since 2012 because of the increased use of imported bleaching solution.
“With such a massive increase in imports, the cost of making a product is often greater than the cost it will take to make it domestically,” the Csiksens said.
“At a time when public health has been compromised by a lack of water, it is especially important that the industry and public health agencies work together to make sure the U, as a global leader, takes this issue seriously.”
Csiersens also criticized some companies who are outsourcing their jobs.
“Companies like Csat that have been paying billions of taxpayer dollars to use their products overseas are outsourcing jobs to overseas workers,” Schiller said.
A company spokesman told the Times that Csat has a zero-tolerance policy for “shortsighted, unethical practices.”