Why Outsourcing Hurts United States Economy? Essay

The impact outsourcing had to United States was for some Americans bad. They claim the jobs they loose and the disadvantages that Americans were facing due to this radical change. While in the United States some people were disgusted, in the other side of the world, the young people were very thankful. This change made a revolution on their culture; the new Indian generations were entering to a whole new world, making a big change between Indian generations.

Everybody has their own worries and opinions, so they choose to care about different things. Barbara Ehrenreich puts it this way, “The world may be flat, as New York Times columnist Thomas Friedman has written, but I always liked to think that I was standing on a bit of a hill” (608). The truth about outsourcing flies over the heads of many Americans, but hits Ehrenreich right in the face. She writes this article because it’s a journalist’s job is to take in new information that may be hard to understand or meant to be kept on the down low and convey it in a way that’s appealing to many. She implicitly blames CEOs and other high class positions for some of the more outrageous and negative outsourcing situations. Zakaria directly addresses this problem stating: “There is a growing gap between America’s worldly business elite and cosmopolitan class, on the other hand, and the majority of the American people, on the other” (622). America’s worldly business elite and cosmopolitan class are the ones that understand and control outsourcing, while the rest of Americans stay uninformed and are the real victims of outsourcing. Zakaria describes “the rise of the rest” as the third major tectonic power shift. His theory, which makes perfect sense, implies that these power shifts are a natural occurrence. According to Zakaria, the third shift shouldn’t hurt America and Americans shouldn’t feel threatened or worried by it. The thing that Americans should be worried about is the growing gap of power that exists between the elite business class and the rest of Americans. Because the higher class only looks out for themselves and only seeks profit for the firms that they control, many negative things are happening to the lower class, the biggest being the outsourcing of their jobs. This gap in power is what Zakaria thinks could hurt America and make it impossible to adapt to the more globalized world. Americans need

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

As the world has gotten “smaller” in terms of trade, outsourcing has become a hot topic in much political and economic debate in the United States.

     The exporting of American jobs is an issue that is important and will become increasingly so as more and more white collar jobs are shipped overseas. American companies in the past few decades have been sending American jobs overseas paying residents of other countries pennies on the dollar what they had paid American workers to do. This saves the companies millions of dollars on labor costs but costs Americans precious jobs.

Ehrenreich's ideas about outsourcing in the article “Your Local News- Dateline Delhi” help to understand Zakarias statement in the article, “The Rise of the Rest” about “the rise of the rest” which means that the rest of the world is catching up with the United States on a economic scale because the reason the U.S. is outsourcing jobs, is because other countries are growing to become more equipped to handle the jobs. Ehrenreich talks about how outsourcing is such an awful thing because Americans are losing their jobs. However Zakaria talks about how outsourcing is helping the entire world because it allows nations to increase their standard of living.

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

If we cannot count on American companies to provide Americans with jobs, just whom can we count on? The unemployment rate hit 10.2% in October 2009. This is only the second time since WWII that joblessness in America has topped 10%. Certainly the use of technology to increase productivity accounts for some of the unemployment rate; however, another major factor in the high unemployment rate is companies engaging in offshoring (“10% jobless is tougher than it used to be,” 2009, p. A7).

Contrary to popular opinion, jobs should not be brought back to the United States. Outsourcing and offshoring jobs are entirely beneficial to companies not only in the United States of America, but any company doing it around the world. Like anything else in the business world, it should be regulated and have laws to abide by, but it should not be eliminated as a possibility to utilize this for companies on U.S. soil and abroad. It should not be a philosophical debate over responsibility and inevitability1. No more should a company having workers abroad be deemed unethical due to past experiences with companies abusing its potential. With this subject, it should be brought to the Judicial

With the United States’ economy in a depression and our unemployment rate skyrocketing to record highs, job-outsourcing has moved to the top of the list of controversial issues. Froma Harrop’s essay New Threat to Skilled U.S. Workers and Thomas Friedman’s essay 30 Little Turtles discuss two different viewpoints of job-outsourcing, and their effects on society. Does our government really want to cut back on job-outsourcing, and what can society do to help the issue? Friedman’s standpoint on job-outsourcing shows how it is emotionally beneficial to other countries and Harrop’s factual standpoint shows job-outsourcing regulation, however, I feel that our citizens are unaware of the opportunities and our government is eager to send the jobs

Though in the very distant future we can reap the benefits of that outsourcing, largely, Americans have no jobs and often in this lazy economy, go without for months on end. This just hurts our current economy, creating more struggles and causing less spending, which is needed to get out of the current economic despair. Outsourcing is a way for greedy corporations to make more profits, lay off more workers who have seniority and corresponding wages, and to end up bringing in new workers at starting salary. According to the president of eInnovate, Bill Bryant, “America is losing more than two-thousand jobs a day across every field due to outsourcing”. Outsourcing is affecting American industry and it will only become a larger issue.

Critics see outsourcing as impacting both domestic and foreign countries in a negative way. Domestic economics falters since business is transferred to outside sources, therefore local employment suffers, prices may rise, and people may lose their jobs. The United States loses about 230,000 jobs a year due to outsourcing and new jobs are not crated that frequently or rapidly, therefore local unemployment rises. At the same time, the US also loses skills due to outsourcing. Developing countries also experience global stratification where, even though the imported business upgrades social conditions, social demarcation and hierarchy occurs where the labor class is exploited by newly formed elite. This is called "Global stratification". Consequences may be disastrous not only for the country

Outsourcing is controversial and often politically manipulated to make claims about job losses in the United States with little to no discussion on job creation from outsourcing by U.S. companies. However, outsourcing by U.S. companies provides benefits to foreign economies and to the U.S. economy. Foreign economies are boosted by demand for products by U.S. consumers, and the U.S. economy benefits as well. The U.S. economy engages in international trade and obtains needed goods at lower cost, which results in better returns on investment and more economically priced goods for U.S. citizens. Components produced through outsourcing and incorporated into larger products in the United States results in a demand for higher skilled jobs in the

No matter what type of business you investigate, they all have the same bottom line. They are all in business to make a profit. Sometimes those profit margins can be slim. And sometimes it can be certain aspects of the business that cause such slim margins. They have higher costs that cause some companies to second guess whether a department is worth having. Higher costs in some departments may cause cuts in other departments to help fund the activities. Sometimes businesses don’t have an option when it comes to having a certain department, most businesses only have departments that are crucial to the business and just cutting those departments out would ruin the business entirely. No one will ever show up to work if the part of the

Due to corporations outsourcing a vast majority of jobs are being sent overseas and the American people are finding it harder and harder to obtain employment. Specifically but not limited to, Information Technologies, Human Resources, and Call Centers are being relocated to the overseas markets. Labor cost in the United States is the main reason that corporations are sending jobs to other countries as well as the corporation will save additional funds by not having the cost of benefits paid for the employee in the United States. With the availability for corporations to outsource, they are looking to place a footprint in the overseas market in order to expand their business globally. The costs associated with corporate outsourcing are