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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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To: Jeff Head
I stand corrected as per India.

Our trade policies need to reflect an increasing carrot (meaning less and less tarriff and restrictions) to countries that come closer and closer to a true free market where those moral values and those liberties are represented.

Just my opinion.

Just mine, too. I have gone from a staunch free trader to a virulent opponent of same.

41 posted on 07/30/2003 7:33:58 AM PDT by Lazamataz (PROUDLY POSTING WITHOUT READING THE ARTICLE SINCE 1999!)
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To: Reaganwuzthebest
The service economy shall truly turn into an economy of servants.
42 posted on 07/30/2003 7:34:14 AM PDT by Jeff Head
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To: mlmr
I think the standard answer is lower prices.

What lower prices? I'm paying the same amount of money for cheap labor products like clothing, electronics, and food that I paid when they were made or processed in the states. The only difference is the foreign companies can afford to temporarily lower prices to undercut their American competitors, then raise them again once those competitors are out of business.

That's not fair trade.

43 posted on 07/30/2003 7:37:25 AM PDT by Reaganwuzthebest
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To: sarcasm
I don't get the griping. You just have to be prepared for a career change that takes advantage of the New Economy. I've already begun "re-careering" for the inevitable. So far I've got it narrowed down to Millionaire Star Athlete or Millionaire Hollywood Actor.
44 posted on 07/30/2003 7:38:06 AM PDT by Wolfie
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To: harpseal
Our adversaries, particularly the Chinese, have indicated that it is an economic warfare.

Ultimately, if we do not awaken to that fact and where they intend for it to lead, and then act accordingly now...it will lead to physical warfare. It may be unavoidable already...but unless we reverse the trends now, we are going to be placed into a very bad situation in a few years and it will require a lot of blood, harsh reality, austerity and abject sacrifice to reverse it then, and it will be a very dicey, and iffy proposition.

45 posted on 07/30/2003 7:44:13 AM PDT by Jeff Head
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To: Wolfie
LOL!

...or useless eater.

46 posted on 07/30/2003 7:45:48 AM PDT by Jeff Head
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To: Sunnyvale CA Eng.
Not to worry. I am opening a 7-11 and a cheap motel on the road to Bombay. I will need an engineer partner to keep the AC running and to double as a punkah wallah when it's not.

On the other hand, we could open a consulting firm to teach Americans how to deal with Indians: Praise them to the skies constantly, Never send them a memo (they will reply with 3,000 absolutely unintelligible pages), never blame them for anything bad that happens, never ask a question that presupposes a "Yes or No" type answer, never expect closure in any negotiation, or fulfillment of contractual obligations... good solid intercultural stuff like that.

47 posted on 07/30/2003 7:47:24 AM PDT by Kenny Bunk
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To: Lazamataz
I have gone from a staunch free trader to a virulent opponent of same.

I pray tens of millions of more do the same Laz, that they have the forsight and, IMHO, the openess and commitment to fundamental moral principle to do so. I am afraid our way of life and our liberty, or that of our children and grandchildren, will depend on it.

48 posted on 07/30/2003 7:49:04 AM PDT by Jeff Head
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To: Wolfie
I'm hoping to be the Hawaiin Tropic oil boy (I prefer man, but whatever the girls want to call me). As for cheap labor replacing me, I'm willing to work CHEAP for this job.
49 posted on 07/30/2003 7:49:28 AM PDT by RockyMtnMan
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To: Kenny Bunk
...and make sure you budget an adequate amount of bribe mnoney for their customs people and almost anyone else in the delivery chain.
50 posted on 07/30/2003 7:50:35 AM PDT by Jeff Head
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To: Jeff Head
The service economy shall truly turn into an economy of servants.

Someone said on another thread that even certain McDonalds jobs like taking orders are now being serviced out to Taiwanese. The order is taken and submitted by computer.

So what's going to be left... can they offshore toilet cleaning jobs?

51 posted on 07/30/2003 7:51:33 AM PDT by Reaganwuzthebest
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To: Reaganwuzthebest
...the elite politicians, the elite entertainers...and a bunch of us useless eaters.

Ahh...but we're still armed...so LOOK OUT!

52 posted on 07/30/2003 7:54:22 AM PDT by Jeff Head
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To: Reaganwuzthebest
Not a problem. Indoor plumbing is one of those quality of life things we'll have to do without in the new, globally-competitive, Third-Worldized U.S.
53 posted on 07/30/2003 7:54:30 AM PDT by Wolfie
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To: Wolfie
I don't get the griping. You just have to be prepared for a career change that takes advantage of the New Economy. I've already begun "re-careering" for the inevitable. So far I've got it narrowed down to Millionaire Star Athlete or Millionaire Hollywood Actor.

What about hitting the lottery? Becoming a hip-hop rap star? Don't just limit your career choices to two ya know. (/sarcasm)
54 posted on 07/30/2003 8:01:52 AM PDT by Nowhere Man ("Laws are the spider webs through which the big bugs fly past and the little ones get caught.")
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To: Jeff Head
Ahh...but we're still armed...so LOOK OUT!

And that Second Amendment will have to go eventually won't it? After all, in Brazil they don't have the same gun rights as Americans, and for good reason.

55 posted on 07/30/2003 8:01:53 AM PDT by Reaganwuzthebest
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To: sarcasm
OK, so if you're an optimist, you would say that 90% of the jobs are staying here. But this is the issue, that's great if you can keep your current job. The problem is that IT is an industry where traditionally people have to constantly move around, either to gain new marketable skills, or to just have a job period. This environment makes it much tougher to do that. I think the only way to survive is to get published, or to become an SME that is regularly sought out for giving presentations at user groups or conferences. Before it was a nice thing to have, now it is a matter of survival.
56 posted on 07/30/2003 8:09:21 AM PDT by dfwgator
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To: Reaganwuzthebest
Funny how all this stuff rolls around to the same fundamental principles isn't it?

The adversaries of our way of life, system of government and liberty have always known they would have to weaken us morally and ultimately take the guns.

Our founders understood this too.

"A general dissolution of the principles and manners will more surely overthrow the liberties of America than the whole force of the common enemy.... While the people are virtuous they cannot be subdued; but once they lose their virtue, they will be ready to surrender their liberties to the first external or internal invader.... If virtue and knowledge are diffused among the people, they will never be enslaved. This will be their great security." - Samuel Adams

57 posted on 07/30/2003 8:11:13 AM PDT by Jeff Head
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To: Alouette
If it is any comfort, inevitably the Indians and Chinese will be squeezed out by the Africans.
58 posted on 07/30/2003 8:12:01 AM PDT by dfwgator
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To: Wolfie
Indoor plumbing is one of those quality of life things we'll have to do without in the new, globally-competitive, Third-Worldized U.S.

Yeah back to the outhouses. Hey, what's the problem with that anyway, nothing like a little fresh air when it's 20 below I'm sure the free traders will bellow. We're all living under tyranny and repression in that bathroom anyway, we just don't know it.

59 posted on 07/30/2003 8:12:31 AM PDT by Reaganwuzthebest
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To: Reaganwuzthebest
We're all living under tyranny and repression in that bathroom anyway, we just don't know it.

Damn Lo-Flo toilets.

60 posted on 07/30/2003 8:15:13 AM PDT by dfwgator
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