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It's India calling for US white collar exodus
Economic Times of India ^ | July 30, 2003 | DEBJIT CHAKRABORTY

Posted on 07/30/2003 2:20:00 AM PDT by sarcasm

NEW DELHI: The United States of America is currently facing a double whammy, thanks to the growing tide of "outsourcing" worldwide. While high-paying tech jobs are moving overseas - especially to India, US workers are being replaced by their less demanding (in terms of dollars) foreign counterparts.

Just as millions of American manufacturing jobs were lost in the 1980s and 1990s, it's now turn for the white-collar American jobs to disappear. Foreign nationals on special work visas are filling some positions but most jobs are simply contracted out overseas.

A US media report said that till now nearly half-a-million American tech jobs have already found their way offshore, and India has been the hottest spot for these migrants. The other destinations include Philippines, Malaysia and China.

A survey done by Gartner Inc. says that one out of 10 jobs in the US computer services and software industry could shift to lower-cost emerging markets by the end of 2004.

Research director at Forrester Research, John McCarthy, who has studied the exodus of white-collar jobs overseas, was quoted as saying in ABC TV, "The train has left the station, the cows have left the barn, the toothpaste is out of the tube... you're not going to turn the tide on this in the same way we couldn't turn the tide on the manufacturing shift."

After all, it's all about cost savings that matters. Indians are all working at a fraction of the cost paid to the American workers. For example, American computer programmers earn about $60,000, while their Indian counterparts only make $6,000.

California-based consulting company - NeoIT - that advises American firms interested in "offshoring" jobs previously held by Americans feels, "They need to significantly reduce their cost of doing business."

While, Wipro's Vivek Paul notes that American workers might resent the "offshoring" trend, but all Americans will benefit in the long run.



TOPICS: Business/Economy; News/Current Events
KEYWORDS: india; outsourcing
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1 posted on 07/30/2003 2:20:01 AM PDT by sarcasm
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To: sarcasm

The Indians celebrate new trend in outsourcing.

2 posted on 07/30/2003 2:24:32 AM PDT by zarf (Dan Rather is god.)
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To: sarcasm
I wish someone could explain how this benefits Americans. I've yet to hear a cogent explanation. What do we have to gain from the wholesale export of large sections of our economy?
3 posted on 07/30/2003 2:26:54 AM PDT by thoughtomator (Objects in post may more clever than they first appear)
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To: thoughtomator
The satifaction that while we're sending them all the jobs of our middle class, that any of us who are still working will be subsidizing the construction of more colleges and general infrastructure in India through our tax dollars and foreign aid, while our children have to fight 6 foot sewer rats, roof cave-ins and asbestos poisoning just to make it through home-room attendance at school, only so they can graduate and find all our jobs have been sent to India. /RANT
4 posted on 07/30/2003 2:31:03 AM PDT by Caipirabob (Democrats.. Socialists..Commies..Traitors...Who can tell the difference?)
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To: thoughtomator
I wish someone could explain how this benefits Americans. I've yet to hear a cogent explanation. What do we have to gain from the wholesale export of large sections of our economy?

The whole of capitalism must appear a black box.

5 posted on 07/30/2003 2:36:11 AM PDT by laredo44
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To: thoughtomator
It's the ultimate in strategery. By the time terrorists strike again, our industrial base and high-tech sector will be securely hidden away in China and India...
6 posted on 07/30/2003 2:40:21 AM PDT by AntiGuv (™)
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To: sarcasm
Indians are all working at a fraction of the cost paid to the American workers. For example, American computer programmers earn about $60,000, while their Indian counterparts only make $6,000.

Not sure how the $6000 is calculated but for application development and support, we pay closer to $35,000 -- that's to the company, obviously the individual gets less than that.

7 posted on 07/30/2003 2:41:40 AM PDT by laredo44
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Comment #8 Removed by Moderator

Comment #9 Removed by Moderator

To: Willie Green
ping
10 posted on 07/30/2003 3:31:13 AM PDT by raybbr
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To: skeetr
What the hell is wrong with you?!? Don't you know that nobody is guaranteed a job? If you live in America you just suffer the sinking ship. We like the dirt cheap prices and quality from China. Fu#k you American workers. Eat dirt!

You forgot - You can just change careers, as many will tell you here. Just find a new career after 10, 15, 20 years honing your skills at your last job. Yea, that's right - overnight, shouldn't take more than a minute. And of course, just keep repeating all of the "global economy", "wake up and smell the capitalism", "just maintaining competitive edge", "they're all international companies now" mantras as you lose everything you ever worked for as I am right now. It'll give you a warm feeling for a moment while you are realizing that money really is the most important thing in life when you are out of it.

They're outsourcing senior management positions too, right? Didn't think so..

11 posted on 07/30/2003 3:40:04 AM PDT by Sunnyvale CA Eng.
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To: skeetr
If you live in America you just suffer the sinking ship.

I just want to say that as a minor stockholder in some large corporations, I am outraged, OUTRAGED that CEO and other executive positions have not been outsourced to India and China!! It's a global economy, you know, and I bet some of these hard workers would bankrupt corporations and sell out US laborers for a mere million or so a year.

And why stop there? There are plenty of hard-working, qualified potential and cheap executives in places like Afghanistan and Ethiopia.

Geesh...get with the program.

(sarcasm, of course) <^._.^>

12 posted on 07/30/2003 3:54:35 AM PDT by grania ("Won't get fooled again")
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Comment #13 Removed by Moderator

To: sarcasm
G.W. Bush is handing the Democrats a golden Campaign Issue – they'll hand him an October Surprise when it is too late for him to do anything about it. And once elected, the Democrats will continue George's “giant sucking sound” trade policy, of course.
14 posted on 07/30/2003 4:14:22 AM PDT by bimbo
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To: laredo44
We just received a quotation from C.G. Smith (An Indian Company) for software validation at the rate of $25/hr. The Indian that actually performs the work will receive somewhat less.

By the way, we chose an American Company whose price was about 40% higher and spoke a language we could understand.
15 posted on 07/30/2003 4:47:33 AM PDT by MrSpencer
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To: Sunnyvale CA Eng.; clamper1797; sarcasm; BrooklynGOP; A. Pole; Zorrito; GiovannaNicoletta; ...
They're outsourcing senior management positions too, right? Didn't think so..

Of course not these are the new feudal nobility in the uSA.

Ping to the rest.

If anyone wants on or off my ping list please let me know.

16 posted on 07/30/2003 5:25:28 AM PDT by harpseal (Stay well - Stay safe - Stay armed - Yorktown)
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To: skeetr
What can we do?!?

Write a handwritten note to the White House and your Congress critters about these issues. I suggest that you include asking for teh abolishment of OPIC, H1B visas and enforcvemnet of the L1 visa law. Also make it clear that perhaps it is time for teh USA to consider tariffs on software and computer services. You may not get anywhere alone but if you write and you get some friends to write eventually the polidiots may take notice.

Note I did not go into the violent alternative because that will manifest itself quite clearly if we do not get government action to remedy a problem with government policy.

17 posted on 07/30/2003 5:29:32 AM PDT by harpseal (Stay well - Stay safe - Stay armed - Yorktown)
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To: sarcasm
While, Wipro's Vivek Paul notes that American workers might resent the "offshoring" trend, but all Americans will benefit in the long run.

Isn't this like pissing on your back and telling you it's raining?

18 posted on 07/30/2003 5:30:33 AM PDT by BA63
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To: bimbo
And once elected, the Democrats will continue George's “giant sucking sound” trade policy, of course.

Yes they will, they're all talk, and will say whatever they have to in order to get elected. Once in office, they'll continue on with the same policies that are obviously failing.

"Free trade" deals with third world countries are nothing more than corporate welfare.

19 posted on 07/30/2003 5:35:55 AM PDT by Reaganwuzthebest
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To: MrSpencer
We just received a quotation from C.G. Smith (An Indian Company) for software validation at the rate of $25/hr.

So where's the savings?

You'd have a ton of new liabilities, namely distance, language, time zones, and culture. But you'd have no real savings. You'd be able to get a decent guy at 60k in todays market.

By the way, we chose an American Company whose price was about 40% higher and spoke a language we could understand.

BRAVO FOR YOU!

20 posted on 07/30/2003 5:42:52 AM PDT by Lazamataz (PROUDLY POSTING WITHOUT READING THE ARTICLE SINCE 1999!)
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