The Cutting Edge – January 2004

Association News

Philadelphia, December 2003 - Wood Machinery Manufacturers of America® (WMMA®) is proud to announce that WMMA®’s Executive Vice President, Kenneth R. Hutton was the recipient of the 2003 National Association of Manufacturers (NAM) Council of Manufacturing Associations’ Leadership Award. Mr. Hutton was selected for his leadership role as a catalyst for the NAM “Pro U.S. Manufacturing" campaign currently sweeping across the United States. The Award was presented to Mr. Hutton during the NAM Winter Leadership Conference. The Leadership Award, first presented in 2001, is given annually to the chief staff officer who has done the most to further the NAM Council’s mission.

“Wood Machinery Manufacturers of America® is on the leading edge of this campaign in large part to Mr. Hutton’s leadership, commitment and hard work, and we are very appreciative of his efforts,” said Chuck Granger, current President of the Wood Machinery Manufacturers of America®. When WMMA® empowered him with the task of asking NAM what their position was on the Future of Manufacturing in the United Sates, we had no idea things would take off like this. U.S. manufacturing issues are getting the media attention they deserve and it will only continue to grow as people understand its importance to the U.S. economy.”

Over the past few years, U.S. manufacturers have seen the growing pressure from the high costs of production from well intended regulations - forcing them to either downsize their manufacturing operation or take advantage of the lower labor costs and currency exchange rates and move their operations overseas to remain competitive. The only other alternative is to cut their losses and shut down all together, which is often a forced alternative rather than one of choice.

“This growing trend has been the topic of discussion within almost every WMMA® meeting or gathering for the past few years and it was time to take action,” said Mr. Hutton. “Manufacturers were looking in all directions for relief but there didn’t seem to be anyone (Association or Governmental) looking out for the U.S. manufacturer. The common answer heard from elected officials was a perception that manufacturing no longer matters.”

It was during a National Association of Manufacturers (NAM) meeting held in July 2002 that Mr. Hutton stood up and challenged the NAM Council by asking: What is NAM’s position to ensure the future of manufacturing here in the United States? “I was the voice for nearly 250 wood machinery manufacturer members and the wood processing industry which has been so drastically impacted by the swell of imports hitting U.S. soil. I felt it was my responsibility to draw attention to the fact that no one seemed to be fighting to save manufacturing businesses and jobs here in the United States.”

”Ken Hutton has played a critical role in launching what has become the Campaign for the Future of Manufacturing in the US,” said Thom Dammrich, Chairman for the NAM Council of Manufacturing Associations and President of National Marine Manufacturers Association. “He put the spotlight on the issue of the loss of American manufacturing jobs and the need to raise awareness of the vital importance of manufacturing to the U.S. He got the NAM Council of Manufacturing Associations behind his ideas. And progress is being made. The issue has more visibility today than ever before among members of Congress, the Administration, the media and the general public. Ken dropped the proverbial stone in the ocean that is creating a typhoon. His efforts are clearly making a difference.”

NAM responded by initiating a critical study commissioned by the NAM Council of Manufacturing Associations entitled, “Securing America’s Future: The Case for a Strong Manufacturing Base,” a study which clearly demonstrates the essential role that manufacturing has played – and continues to play – in improving the American standard of living.

For complete details on the study, visit the WMMA website - downloadable file.

The results of the study have been poured into a White Paper, which is making its way throughout all federal, state, and local governments, and to each member’s very own hometown. All manufacturers are called upon to read the White Paper, spread the word, and help to enact change through the steps outlined below.

To quote directly from the executive summary, “Manufacturing is the engine that drives the U.S. economy. It is the heart of a process that has long generated prosperity for Americans: the innovation process. This intricate, intensely interactive process presently faces serious challenges which, if not overcome, will almost assuredly lead to a decline in the American standard of living.”

Because this study can help foster new public policies that recognize the importance of manufacturing and contribute to the revitalization of U.S. industry, Mr. Hutton encourages every manufacturer to: (1) familiarize themselves with the report's contents; and (2) add their voice to the call for the development of policies to address the myriad problems facing American manufacturing.

Manufacturers are encouraged to take any number of actions, including:

• Send a copy of the Executive Summary, together with the information as to how to access the complete report, to local media. Be sure to emphasize the important role that manufacturing plays in your state and/or city. If possible, cite specific examples from their own company, such as their number of employees, the total cost of wages and benefits to their company in their last business year.

• Write local, state and national elected representatives and urge them to stand up and be counted among the growing list of legislators who are willing to do something positive to help strengthen the U.S. manufacturing base. Invite them to visit your facility to see firsthand precisely what a manufacturing company like yours does.

• Hold a meeting with their employees and share the information in the report with them. Tell them in direct terms how very important they are both to your company and to the American economy. Show them how the compensation that they and millions of other manufacturing employees earn compares to jobs in the service sector. Encourage them to get involved in the letter writing campaign to build support for pro-manufacturing policies.

How to get involved:
The NAM has launched a “Coalition for the Future of Manufacturing” to help coordinate the efforts of organizations around the country as they campaign for pro-manufacturing policies. A statement of mission, principles and activities can be found at www.nam.org/renewal, where interested parties – associations, manufacturers and nonprofit allies – can sign up. The coalition is dedicated to raising awareness, particularly among elected officials, of the critical importance of a strong manufacturing base to American prosperity and the challenges facing U.S. manufacturers today, and to seeking pro-growth public policy changes that will ensure a vibrant U.S. manufacturing base in the future.

The immediate emphasis of the coalition over the next 12 months will be to enact a handful of achievable policy changes, probably including efforts to level the international playing field (currency manipulation), lower the cost of doing business in this country (class action reform, natural gas, OMB analysis of manufacturing regulations), promote innovation and investments here (permanent R&D tax credit), and ensure an adequate supply of skilled workers (effective help for workers needing re-training and re-employment). There may be others, including a permanent manufacturing advocate on the White House staff as well as in Commerce.

For more information on the efforts of NAM, visit www.nam.org.

To register for the Coalition for the Future of U.S. Manufacturing, click here.

For more information on the second NAM study on “How Structural Costs Imposed on U.S. Manufacturers Harm Workers and Threaten Competitiveness,” click here.