The 3bicle
Working and living in post-Enron Texas.
With nary a buyout clause, golden parachute, or stock option in sight.



Subscribe to "The 3bicle" in Radio UserLand.

Click to see the XML version of this web page.

Click here to send an email to the editor of this weblog.
 

 

Thursday, October 16, 2003
 

Why all the tech jobs are going overseas

Silly us. We thought the reason corporate America rushed to move tech jobs to India was because they thought it saved money. Not so.

According to an Indian research and IT group, the US population is aging and will suffer a labor shortage by 2010. Coupled with slow population growth, there just won't be enough qualified IT workers to go around. Hence, India will be poised to pick up the slack.

According to the report, the US can fend off the crisis by global sourcing in the form of immigration, temporary workers and offshoring.

"The study clearly shows the necessity of offshore activity to support the growth of the US economy. The report also found that offshoring keeps US businesses competitive, creates new markets for US goods and services, and fills the shortfall in services labour that the US is expected to face in the next seven years," said the Nasscom statement.

Wow. And you thought Rumsfeld was a spin expert. But clearly, the economy is not growing enough. So if offshoring is necessary to support growth, that must mean we haven't sent enough jobs overseas yet.

Don't you just love it when a plan comes together?

Not to worry, though. The good jobs are staying here.

The offshoring of IT services, the report argues, has allowed US workers to tackle specialised and creative work, while more run-of-the-mill tasks have been pushed abroad. The proportion of specialists in the US IT workforce, it notes, increased from 38 percent in 1983 to 74 percent last year.
Ah, so that's it. Just the run-of-the-mill jobs went offshore. Although my C++ and Java programming friends who were recenlty laid off may disagree with the characterization of their jobs being so run-of-the-mill. Or like my tech writer friends at Computer Associates, who recently discovered their jobs were being sent to India. Yep, their documentation will now be written by non-native speakers of English.
The report admits that there will be a short-term impact on the US employment market as 1.3 million jobs move offshore in the next seven years. About 1 million workers in the country will be affected, but 70 percent of these will be only temporarily out of work, says the report.

As more than 8 million jobs are reallocated every quarter in the US economy, the reallocation process should not be a strain. The remaining 300,000 workers will require retraining, suggested the report.

That pesky short-term impact, huh? I'm sure those who will be defaulting on mortgages will be comforted to know it won't be "a strain".
3:02:52 PM    Oh yeah? []


Click here to visit the Radio UserLand website. © Copyright 2003 3bicle.
Last update: 10/16/2003; 3:04:23 PM.
This theme is based on the SoundWaves (blue) Manila theme.
October 2003
Sun Mon Tue Wed Thu Fri Sat
      1 2 3 4
5 6 7 8 9 10 11
12 13 14 15 16 17 18
19 20 21 22 23 24 25
26 27 28 29 30 31  
Sep   Nov