Outsourcing to add 22 mn US jobs

[kalian]

http://economictimes.indiatimes.com/articleshow/msid-478100,curpg-1.cms

MUMBAI: On Day 1 of Nasscom ’04, speakers tackled the issue of outsourcing and how politically sensitive it has become in the US, because jobs are moving out of that country. But speakers from the US, including analysts, CEOs and researchers, all said they believed outsourcing was here to stay and that going offshore was the only way companies stay competitive.


Diana Farrell, director, McKinsey Global Institute, said, “People in the US are looking at it as a job issue. They are not economists and therefore, they don’t necessarily see the whole picture. What’s going to happen is that offshoring is actually going to benefit US businesses even more than India.” She said it was a profoundly new way of doing things and would change the structure of organisations. Offshore was about global wealth creation and integrating economies, she explained, adding that it would create more high-value jobs in the US than people could imagine today.

...more...
Considering the news source...I find this reasoning HIGHLY suspect.

[mhr]

1. Unemployed 43 Months, Don't See Any New Jobs In Dallas

Last job fair had 3000 people for 300 positions.

Jobs? Let me know if you find some. Please!

[madrchsod]

3. 24 months here

if it wasn`t for my wifes job,savings,inheritance,and refinancing we`d be out on the sreet...thanks george

[SlavesandBulldozers]

2. here comes the wisdom of Cato

"Daniel Grisworld, associate director, Centre for Trade Policy Studies, Cato Institute said, 'People don’t understand what a great opportunity offshoring is for US companies. Apart from huge savings, it allows US companies to concentrate on their core competencies and the people (in the US) can move on to higher paying, more creative, more value generating jobs.'

actually, people do realize how good it is for companies, Dan, it's how bad it is for workers - and thus for the economy - that is the topic of discussion. What a dick.

[EstimatedProphet]

5. That doesn't even make sense on the face of it

OK, their argument is basically this:
Business A has 10 jobs; 5 skilled, and 5 management
Business A outsources the skilled jobs;
People are now free to move into the management jobs.
WTF?!?!
Apparently Cato thinks that the skilled jobs are absorbing people and preventing them from moving up. It's as if an employee HAS to start at the bottom and work up, instead of applying for management even if they're skilled at it.
What freaking bizarro world do they come from?

[lastknowngood]

4. New speak unemployment is Jobs let's be clear when you take

jobs from people and no jobs new jobs are created you nuts to try to explain to the unemployed/underemployed how great it is for wall street. The shrub said that last year his tax cuts would create 1.7 million jobs. The economy lost 53000 and so this year he says it will create 2.6 million jobs to do so it would have to create 360000 jobs every month left this year. During the 90's boom economy the best they did was about 265000 how dumb do they think we are?

6. "It will create more high-value jobs???"

WTF?

An absurd argument that giving jobs away will create more jobs.

Giving jobs away just leads to the temptation to give still more jobs away.

Hence, the current situation.

[ramapo]

9. Like cutting taxes to balance the budget

Work less to pay off your debt would also be good advice under the new world order.

It's the bizarro world

[jason_au]

15. We must remember what is meant by the word "jobs".

I think it was Noam Chomsky who pointed out that whenever the word "jobs" is used by the Republican/Mr Greed/PNAC freaks, it's actually a code for "profits".

Try it - you'll find that a lot of the business media then makes sense..

"Outsourcing will create more high-value jobs"

*decoded*

"Outsourcing will create more high value profits".

It's truthful, if nothing else.

Jason

[TrogL]

7. Reminds me of the arguments for over-automation

That unskilled people could move into more "interesting and creative" work. Problem is, most of them aren't and never will be capable of interesting and creative work - they just don't have the tools.

[54anickel]

8. When they use the historic record of the past, it seems to have a

valid point. For instance, when robotics came into assembly some people lost their job, but most were retrained by that same company for another position.

Problem is you can not compare what is happening today with what has happened in history. We have never had so much job lost simultaneously across so many sectors in such a short time frame.

Also, job loss in the past was not due to companies packing up all of their capital and inventory and moving it oversees, the facilities stayed in the US. They may have relocated to a different region, causing localized issues but they stayed in the US.

[2004Donkeys]

16. Then lets invest in our school system and educate them

Next thing I'm going to hear is that we should ban self-serve at gas stations to create more jobs.

It won't work. Education will work.

17. Why educate Americans?

It's much cheaper and faster to outsource to other countries, who have already paid for the educations of the workers!

Outsourcing solves a lot of budgetary problems, like paying for education.

[2004Donkeys]

10. Opposing outsourcing is not the answer to our economic woes

Let the Indians have their jobs. Why do white people think all of the jobs belong to us?

Instead, lets focus on real ways to help the economy, such as alternative energy.

11. ahem, that is kinda racist

"Why do white people think the jobs belong to us"???

That's not the issue.

There are plenty of Indians and non-whites unemployed in the US. In fact, the unemployment rate for non-whites went UP last month, even though the overall rate went DOWN!

People in India don't pay taxes, or elect people in the US (yet).

[idlisambar]

12. Hmmm....

I don't think there are a lot of people out there that would not like for Indians to raise there standard of living. The issue is that anyone who says that outsourcing is good for Americans is feeding us bull. You are kidding yourself if you think "alternative energy" or other "new economy" technologies is going to be enough, in fact there is no reason why the few jobs in these fields cannot be outsourced just as easily.

Outsourcing is just one more kick in the teeth from the investor class to the middle-class. Outsourcing means that education, the one stable ladder that poor and middle-class Americans can still rely on to get ahead, is becoming rickety and may collapse.

13. Wow nice quote!!!!

You said that sooooooooooooooo well:

Outsourcing means that education, the one stable ladder that poor and middle-class Americans can still rely on to get ahead, is becoming rickety and may collapse.

Can I use your quote on my website?!??

[idlisambar]

14. sure thing

glad you liked it. :)