Outsourcing: Good for America?
Is it bad for other countries too? What about insourcing? How many jobs are out sourced to the USA. What about the plants that Toyota, BMW, Honda, Nissan, and others have built in the USA. It works both ways IMO. It sucks bad for those losing their jobs but it doesn't suck for those getting jobs in other areas because of it happening in other countries also.
> about the plants that Toyota, BMW, Honda, Nissan, and others have built in the USA.
Totally different story. These products are sold in the United States, software is written in different countries to be used in the US.
Totally different story. These products are sold in the United States, software is written in different countries to be used in the US.
Hell no, it is NOT good. Too many tech, texile, call centers and manufacturing job going over seas for very cheap labor and cost. Travelocity recently closed their call center in VA and is now outsourcing from abroad.
Here's a link to a very interesting article that provides some statistics on this topic. Here's part of the abstract:
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Even in good times, job losses are an inescapable fact of life in a dynamic market economy. Old jobs are constantly being eliminated as new positions are created. Total U.S. private-sector jobs increased by 17.8 million between 1993 and 2002. To produce that healthy net increase, a breath-taking total of 327.7 million jobs were added, while 309.9 million jobs were lost. In other words, for every one new net private-sector job created during that period, 18.4 gross job additions had to offset 17.4 gross job losses.
International trade contributes only modestly to this frenetic job turnover. Between 2000 and 2003, manufacturing employment dropped by nearly 2.8 million, yet imports of manufactured goods rose only 0.6 percent. Meanwhile, despite the new offshoring trend, the Department of Labor is forecasting a 35 percent increase in computer-and math-related jobs over the next decade.
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And:
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Employment in IT-related occupations has experienced a significant decline recently. In 2002, the total number of IT-related jobs stood at 5.95 million
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Even in good times, job losses are an inescapable fact of life in a dynamic market economy. Old jobs are constantly being eliminated as new positions are created. Total U.S. private-sector jobs increased by 17.8 million between 1993 and 2002. To produce that healthy net increase, a breath-taking total of 327.7 million jobs were added, while 309.9 million jobs were lost. In other words, for every one new net private-sector job created during that period, 18.4 gross job additions had to offset 17.4 gross job losses.
International trade contributes only modestly to this frenetic job turnover. Between 2000 and 2003, manufacturing employment dropped by nearly 2.8 million, yet imports of manufactured goods rose only 0.6 percent. Meanwhile, despite the new offshoring trend, the Department of Labor is forecasting a 35 percent increase in computer-and math-related jobs over the next decade.
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And:
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Employment in IT-related occupations has experienced a significant decline recently. In 2002, the total number of IT-related jobs stood at 5.95 million
Although I don't like it... I think its a change that definitely needs to happen.
I used to work for the financial software side of Reuters, and our site was closed due to the engineers at our site making what it takes for whole offices to be opened in other countries... can't argue with that financially.
The same thing happened years ago with the textile industry, people just need to adapt and change.
There really is no sense griping about it, it's happening, there's little that can be done, and those who don't change, adapt... what can you say..
I'm not happy about it either, but the number of people in the industry is waaaaay too high
I used to work for the financial software side of Reuters, and our site was closed due to the engineers at our site making what it takes for whole offices to be opened in other countries... can't argue with that financially.
The same thing happened years ago with the textile industry, people just need to adapt and change.
There really is no sense griping about it, it's happening, there's little that can be done, and those who don't change, adapt... what can you say..
I'm not happy about it either, but the number of people in the industry is waaaaay too high
Here is a copy of an internal email someone forwarded me today.
They found out the indian coders were hardcoding causing major problems in the system
Just had to laugh when i saw this.
They found out the indian coders were hardcoding causing major problems in the system
Don pretty much hit all the high points. I'd agree with Don in that the external user security is just not going to fit with GMS and will require a drastic reworking. Aside from throwing all the GMS standards out the window (which will make GMS a logistical nightmare when debugging and deploying), I have the most concern for direct SQL in the code, not using EJBs, and changing the build script for no reason (which will cause HEADACHE downtown and for us since they are very used to the way things build currently). And as usual, if something breaks, the finger will be pointed at us even if it is REI's problem. Clearly, REI sucks and their so-called "programmers" don't know Java well at all. I say we put them all in a boat back to India where they can go back to their job as phone reps. :-)
Just had to laugh when i saw this.
Give Dell a call and let us know what you think about outsourcing. Calling dell is a NIGHTMARE!
It's obvious that while companies try to sell CUSTOMER SERVICE, CUSTOMER SERVICE! It's obviously nothing more than marketing.
And if you look at all of the tech jobs available out there, ALL want experience and ALL want to hire for jobs that applicants have already preformed. How is someone supposed to advance their career?
Now what happens when all the baby boomers retire/die off? There will not be enough qualified workers to fill their shoes and companies will have to compete for and train quality people and a lot of companies will not last.
It's obvious that while companies try to sell CUSTOMER SERVICE, CUSTOMER SERVICE! It's obviously nothing more than marketing.
And if you look at all of the tech jobs available out there, ALL want experience and ALL want to hire for jobs that applicants have already preformed. How is someone supposed to advance their career?
Now what happens when all the baby boomers retire/die off? There will not be enough qualified workers to fill their shoes and companies will have to compete for and train quality people and a lot of companies will not last.
One issue that doesn't make it in a lot of news stories about outsourcing to third world countries is the problem with organized crime.
The company I work with (credit card company) recently had to suspend all outgoing calls from one of our Indian call centers due to the fact that they were giving credit line increases illegally. This was apparently a case where an organized crime gang got several of their members employed at the call center and they set about increasing the credit limits of certain customers who were connected to the gang. The company isn't saying how much money they've lost.
Apparently there's an issue regarding how you have to treat call center employees in India vs. here in the states. Here, there are enormous security restrictions that are placed on our call center employees. No papers on the desks, no writing implements, no camera phones or recorders of any kind, etc., etc. Basically, it's a job from hell.
In India, the folks who work at the call centers are highly educated and have to be treated with respect. You can't restrict them there like you can here, so you give up some of the control you have over their domestic counterparts. Combine this with the lack of effective background checks in these countries, and you've opened the door to fraud.
Some types of jobs can be outsourced. Corporate America has to recognize that some types of jobs cannot. As for programming, I believe that any cost savings you incur in the actual programming is going to be more than eaten up by your review, testing, and re-coding costs.
The company I work with (credit card company) recently had to suspend all outgoing calls from one of our Indian call centers due to the fact that they were giving credit line increases illegally. This was apparently a case where an organized crime gang got several of their members employed at the call center and they set about increasing the credit limits of certain customers who were connected to the gang. The company isn't saying how much money they've lost.
Apparently there's an issue regarding how you have to treat call center employees in India vs. here in the states. Here, there are enormous security restrictions that are placed on our call center employees. No papers on the desks, no writing implements, no camera phones or recorders of any kind, etc., etc. Basically, it's a job from hell.
In India, the folks who work at the call centers are highly educated and have to be treated with respect. You can't restrict them there like you can here, so you give up some of the control you have over their domestic counterparts. Combine this with the lack of effective background checks in these countries, and you've opened the door to fraud.
Some types of jobs can be outsourced. Corporate America has to recognize that some types of jobs cannot. As for programming, I believe that any cost savings you incur in the actual programming is going to be more than eaten up by your review, testing, and re-coding costs.








