President-elect Trump gave workers at Rexnord a shout out on Twitter Friday. But that viral mention doesn’t offer them much consolation. All 300 will lose their jobs when the ball-bearing plant relocates to Mexico next April.
It’s the latest episode of coming corporatism in which the government picks winners and losers. Regardless of the outcome, Trump comes out ahead in the eye of the public.
The incoming executive won praise for saving the Carrier plant, albeit misdirected and premature applause. Trump’s vice president, Mike Pence, made the sale from his post as Indiana governor, offering the air-conditioning factory $7 million in tax breaks for 7 years.
When that money runs out and Trump’s presidency ends, there’s nothing to stop the Indiana company from moving south. In fact, they’re already shipping away 700 jobs. Regardless, the deal allowed Trump to cash in on earned media and appear like a savior even before taking office.
After the Carrier deal came through, many in the media and in the Hoosier state’s workforce began asking why Trump couldn’t save Rexnord just up the street. The company didn’t get any tax cuts, though, just a stream of less-than-presidential tweets.
“Rexnord of Indiana is moving to Mexico and rather viciously firing all of its 300 workers,” he wrote, “This is happening all over our country. No more!”
That public whipping might provide temporary catharsis. Ultimately, though, it does little to help Rexnord’s workforce. It only distracts from the fact that Trump can’t bail out factories one by one to keep thousands more manufacturing jobs from leaving.
The jury’s out on whether Trump’s carrot and stick economic plan can coax and coerce business into staying domestic. The president-elect has positioned himself so that it doesn’t matter either way.
When Trump picks a winner, he’ll be there to take the credit. But when he lets a company lose, he can deflect the blame toward the business owners. The system’s rigged in his favor and he’ll never get tired of winning.
Philip Wegmann is a commentary writer for the Washington Examiner.
