As with most problems outsourcing focuses on profit. Remove the profit incentive from outsourcing, and the problem disappears. What is needed is a financial incentive that makes outsourcing unattractive to the American employer while at the same time does not create a barrier to trade.

Offering tax credits to employers who do not out source may be one answer. The Federal Government has successfully done this in the past by offering employers tax credits for employing welfare recipients. I know of one temp help agency that used the incentive very successfully. They were able to charge clients the market rate for the temporary employee, pay the former welfare recipient a livable wage and claim a good tax credit at the end of the year for having gotten people off the welfare rolls.

Something similar could be devised to limit outsourcing. The employer would have the choice of outsourcing to save funds or not outsourcing and claiming a valuable tax credit. The employer is free to choose the system that works best, and it does not create any protective barrier to trade. It makes the American worker more competitive.