Job Outsourcing In America

It is believed that offshoring will have minimal effects on the employment rate in America due to the theory that when jobs are moved to other countries, the workers who have become unemployed will find employment as new opportunities are created. In reality, the adjustment will be difficult as proven by data collected by the Bureau of Labor Statistics Displaced Workers Survey in the year 2004. A survey showed that workers who were laid off between the years 2001 and 2003 remained unemployed at the beginning of 2004. It was also recorded that 43 percent of those who managed to find work earned the same pay as they did prior to being laid off, but the remaining 22 percent did not. These facts rely on the rate at which

Outsourcing: a practice used by companies to save money by moving some jobs overseas rather than hiring local workers.

Did you know that “the nation has lost more than 2.5 million manufacturing jobs and more than 850,000 professional service and information sector jobs, due to overseas shipping since 2001? (Aflcio)” It is clear to me that some big business companies don’t value the protection of employees very highly. By some big business, ill single one out and state that Goldman Sachs has shipped approximately 500,000 American jobs overseas in the past few years. That’s about half of the total net job loss during these past years (Aflcio). This shows that companies are reluctant to stay in American and scared of the current economic situation. It upsets me to see American jobs being shipped overseas at such a rough time

Specifically, companies are transferring these services overseas as in the case of call and help center services or companies are ordering manufacturing supplies from overseas at a much cheaper price than they could obtain them inside the U.S. Outsourcing is a term that is often used interchangeably with off shoring (Bhagwati, Panagariya, & Srinivasan, 2004).

Outsourcing of American jobs overseas is displacing American's in the United States. American blue-collar workers and the Middle Class American will soon be a word of the past if the US government continues outsourcing the low-skill jobs overseas.

Everyone tries to achieve the American dream, which is the opportunity for prosperity, success and upward mobility. For a lot of people, they get nowhere near their American dream because they are struggling trying to make a living. Lots of people are losing their jobs due to outsourcing which leads to people not attaining their goals of being in the higher class or even middle class status. So, what exactly is outsourcing? Outsourcing “occurs when an organization transfers some of its tasks to an outside supplier” (Gnuschke 1). In other terms, outsourcing is when a company shifts its business to a different country to produce goods and services at a much cheaper rate. A lot of people argue that outsourcing is bad for America while some people believe that outsourcing is actually beneficial for America. While outsourcing causes goods to price drop in America, outsourcing causes a lot of jobs to be lost which can cause an

Since outsourcing has begun effecting both party lines, Republican and Democrat officials will be interested because members of congress are self-interested. Congressmen who continue to evade the issue and avoid taking a strong stance on this issue will lose votes when it comes to election time and that doesn’t serve in the best interest for any politician. The other big player in this issue is big business. As labor is offered at cheaper rates overseas, it is very tempting for businesses to take advantage of that resource. Saving money is a great way to raise profits and stock values of companies. This brings up the hardest part of this issue. Americans own stock in the big companies that outsource jobs, if the company does well then the stock does well and it helps the investor. The average family makes between 33 to 45 thousand dollars a year. People in this bracket generally rely on their job to provide income and security for their family, not the value of stock. The middle class is taking the biggest hit and has the most to loose from outsourcing. The middle class has traditionally been the backbone of America ever since WWII. It has always been in any candidate’s best interest to appeal to this group of voters.

Arguably the most notable change has been in terms of lost employment for Americans. Between 1994 and 2002, 897,000 American jobs were outsourced to Mexico (Hufbauer and Schott). This was 400,000 more jobs than the highest projected estimates. This outsourcing disproportionately affects our least educated members of the workforce who hold make up 43 percent of our jobs. 53 percent of the members of this demographic have been displaced. However, the effects are harder felt in some states such as North Carolina and Arkansas where 80 percent of blue collar workers have been affected in one manner or another (Hufbauer and Schott).

The main goal of a business is to break even, spending about the amount as profits gained, or gain a net profit and expand. While expanding is expensive, companies will attempt to outsource jobs to different countries for a cheaper cost . Outsourcing is an issue for multiple unemployed and employed Americans, where the businesses could be supporting families by creating jobs for those who need them. Flatworld solutions, a company made to help businesses outsource jobs, would argue, “You can get your job done at a lower cost and at better quality as well” (Flatworld). It does lower the cost,

How is outsourcing affecting American Citizens, its not only taking jobs away from us Americans but is also hurting our US economy. Outsourcing is when a company such as Apple sends jobs overseas to a country such as China and has factory workers there assemble the product for a much lower price. Yes this lowers the price of products but we have to take into account how many jobs this it taking from American citizens. Outsourcing jobs does lower the price of products but jobs should stay here in the US to build our economy and give American’s their jobs back.

“Outsourcing refers to the practice of contracting workers outside of a company or business for work duties or services previously performed by company employees or “in-house”. This practice is also often referred to as offshoring due to the increasingly prevalent use of “non-U.S.” service providers for these outsourced duties. However, strictly speaking, outsourcing can and does refer to the use of contracted labor provided by individuals outside of an organization, but still within the U.S.; whereas when these same services are provided outside the U.S., it is both outsourcing and offshoring.”

America has always been the leader in science and innovation. It has the best universities and research labs. Many successful entrepreneurs have been raised from this nation. Thus, it has to take benefit from these significant comparative advantages to generate new pools of jobs for its people. As I mentioned in the introduction, we should let history to be our guide to plan for future. Toward the end of the last century Japan was getting ahead of U.S. in most aspects of technology and industry including in automotive and home appliance industries. Most economists at that time predicted that in near future Japan’s economy would pass America’s economy, but this did not happen. Thanks to Americans innovation and ingenuity, the Internet was born in U.S.A which became the prevalent technology of the future and revived the U.S economy. Today, America is in need of such innovations. The world is in shortage of energy and the oil and natural gas resources are running out. Therefore, the price of energy will definitely increase. I believe that the capability of storing and using alternative and renewable energies in day to day life can be the next big discovery that is very likely to revitalize the economy and to create a new generation of jobs. Thus, emphasizing on research on alternative energies can be a feasible strategy to maintain a healthy workforce in the mist of outsourcing.

Outsourcing is the practice of a company hiring people from outside of their company to do work for them. Usually when companies outsource, they do it outside of the country, where they can hire labor for considerably less than they would in

What are the true reasons that companies are doing business around the world and outsourcing American jobs to other countries? Mainly, American jobs such as Accountants, Technicians and Programmers are losing their Jobs because of globalization. Most of American jobs are outsource to countries such as China or India, therefore, before this taken place Americans had more of a better stable career path or even more jobs to choose from eventually, times have changes very rapidly due to companies moving American jobs overseas. As stated by many politicans, executives, prominent corporate executives and academics “have argued that we have no choice, that with globalization it’s critical to tap the lower costs and unique skills of labor abroad to

To the opponents of outsourcing these statistics correctly state why outsourcing is a negative solution to cost cutting and affects the dignity of the people who used to work these jobs. To the people who have lost their jobs their dignity has been partially lost because they are now with out a job that they have worked for most of their lives and now they can’t provide for themselves and their dependents. Also for the companies that have outsourced these jobs they don’t provide adequate services for their employees who’s jobs are being outsourced. To the companies that outsource should help their former employees find other jobs. This would be beneficial to the worker and industry because the worker would loose a means of income and the industry would regain workers. On the other side the supporters of outsourcing say that it helps the dignity of workers who receive the jobs from the American corporations. An example of how outsourcing helps dignity is if you have an industry like web-design and you don’t get a job over a cheaper outsourced company you will have the extra motivation to improve your business or product (Business, ethics, morality).