[Vision2020] OUTSOURCING White Collar Jobs
Ron Force
rforce@moscow.com
Tue, 11 Feb 2003 13:35:48 -0800
The Feb. 3, 2003 issue of Business Week has an extensive artice on this
trend: http://www.businessweek.com/magazine/content/03_05/b3818001.htm
Some of the services they predict will move (or are already moving) to
low-wage, education-rich, countries are:
Architecture
Financial Analysis
Aerospace (Boeing has laid off 5,000 U.S. engineers, while moving work to
Russia)
Accounting
Chip Design
Info-tech Support
Insurance and Business Transaction Processing
"It's globalization's next wave--and one of the biggest trends reshaping the
global economy. The first wave started two decades ago with the exodus of
jobs making shoes, cheap electronics, and toys to developing countries.
After that, simple service work, like processing credit-card receipts, and
mind-numbing digital toil, like writing software code, began fleeing
high-cost countries.
Now, all kinds of knowledge work can be done almost anywhere. "You will see
an explosion of work going overseas," says Forrester Research Inc. analyst
John C. McCarthy. He goes so far as to predict at least 3.3 million
white-collar jobs and $136 billion in wages will shift from the U.S. to
low-cost countries by 2015."
********************************************
Ron Force rforce@moscow.com
Moscow Idaho USA
********************************************
> -----Original Message-----
> From: vision2020-admin@moscow.com [mailto:vision2020-admin@moscow.com]On
> Behalf Of Tim Lohrmann
> Sent: Tuesday, February 11, 2003 11:47 AM
> To: vision2020@moscow.com
> Subject: [Vision2020] OUTSOURCING White Collar Jobs
>
>
> Visionaries,
> This sarcastic/satirical letter followed by
> informative response should be of special interest to
> the "Lexus Liberal" New Democrat types who smugly
> supported the Clinton administration's successful
> teaming with the majority of the GOP to ram through
> NAFTA, GATT, WTO expansion, etc.
>
> The massive loss of "living wage" manufacturing jobs
> was just the beginning of the OUTSOURCING phenomenon.
> Too bad no one listened to the curious coalition of
> organized labor, environmentalists, Perotistas, etc
> who warned of just this situation years ago.
>
> Of course the yuppie Clintonites and GOP neocon
> supporters never thought eliminating blue collar
> America could ever affect THEM.
> TL
>
>
> > (The following article was published in the
> > Connecticut Post yesterday. It
> > was in the B section of the paper. A prospective
> > new member called me
> > and told me about it. I read it and thought the
> > whole party should see
> > this because it is actually a published report in
> > the newspaper which is
> > telling us what is going on. It is in the Woman's
> > career section.)
> >
> > WOMANWISE
> >
> > Working Smart
> >
> > This week's "Working Smart" features a "Career's
> > Now" column by Joyce
> > Lain Kennedy
> >
> > Dear Joyce: I am looking for information on how to
> > transition into the
> > offshoring business. In case I have the terminology
> > wrong--I am VERY
> > new to this exciting opportunity--by "offshoring" I
> > mean the effort
> > under way to ship the economy of the United States
> > permanently overseas.
> > The companies that are leaving or sending jobs
> > overseas are the main
> > engines of this opportunity, of course, but I've
> > heard there are
> > companies that expedite the process in various ways.
> > I don't want there to be so much as a Dairy Queen
> > left anywhere in
> > the United States in 10 years. I want to ship it
> > ALL out of here. With
> > networking and aggressive offshoring, that goal may
> > be obtainable
> > Exporting the U.S. economy overseas will be the
> > biggest and most
> > exciting and profitable business in the world in
> > years to come. How can
> > I get started?
> > ----S.S.
> >
> >
> > Your satirical letter accurately reflects
> > the very serious new reality that few Americans have
> > heard about
> > yet---the offshore outsourcing of good jobs.
> > It began with jobs in IT (information technology,
> > including computer
> > programmers). Now offshoring is starting to chip
> > away at a wide range
> > of America's wanted jobs, as executives boast that
> > they can get two,
> > three and four "heads" across the ocean for the
> > price of one
> > professional in the United States.
> > The cheaper-heads trend sweeping corporate
> > America will have an
> > enormous impact on U.S. workplaces---and sooner than
> > you think. So pay
> > attention as major media begins to come alive on the
> > borderless job
> > market issue.
> > JOB SPECTRUM
> > From the Feb. 3 edition of Businessweek: "A new
> > round of
> > globalization is sending upscale jobs offshore.
> > They include chip
> > design, engineering, basic research---even financial
> > analysis. Can
> > America lose these jobs and still prosper?"
> > ON THE MOVE
> > The trend was made possible by the Internet and
> > computers but only
> > reality took off within the past several years. Few
> > industries and
> > career fields are immune from being given a one-way
> > ticket to expatriate
> > status. Of 700 service job categories, about 550
> > may be impacted,
> > including those in art and design, business
> > operations (customer service
> > and accounting), office support (home loans and
> > insurance claim
> > processing), sales, life sciences (medical and lab
> > testing)---even
> > management.
> > BIG NUMBERS
> > Industry reports say over 100,000 good jobs in
> > 2000 alone were
> > shipped abroad. That figure for white-collar
> > service/ knowledge jobs is
> > expected to reach nearly 600,000 by 2005, and 3.3
> > million and $136
> > billion in wages overseas by 2015. (Estimates and
> > forecasting chiefly
> > come from two leading research firms: Forrester
> > Research Inc. and
> > Gartner Inc.)
> > DESTINATIONS
> > To what low-wage countries are these service jobs
> > wandering? India's
> > the number 1 destination followed by others offering
> > a glut of young,
> > college trained, grateful workers in Ireland,
> > Phillipines, China,
> > Russia, Hungary, Poland, Czech Republic, Romania,
> > Bulgaria and Latin
> > America. These are countries where the talent can
> > be bought for dimes
> > on the dollar.
> > Although most of the offshoring action is
> > championed by big-name
> > corporations, smaller firms send off as few as three
> > or four jobs, such
> > as construction design firms hiring Indian
> > architects cheaper than they
> > can hire American drafters.
> > Job exporters claim lower costs and higher
> > profits for the employer,
> > as well as increased production from
> > around-the-clock hours.
> > WINNERS AND LOSERS
> > The borderless job market will cause major
> > upheaval and lower wages
> > for many middle Americans, but will be a boom to
> > Third World nations and
> > American executives seeking to improve their own
> > compensation packages.
> > In some cases, where remote employment results in
> > subpar performance,
> > national security concerns and political blow-back,
> > employers may offer
> > to trade offshoring for importation of additional
> > numbers of foreign
> > workers on H -1B visas and the like---which would
> > still be a net loss of
> > American jobs for American citizens.
> > READ MORE
> > These web sites further illuminate the future of
> > giving American jobs
> > away that critics say will turn America into a third
> > world country
> > within 20 years: washtech.org; cio.com/offshoremap;
> > toraw.org, Also use
> > google.com and such search terms as "offshore
> > outsourcing"
> >
> >
>
>
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