The Hindu Business Line : `Outsourcing is basically a debate on globalisation'

THE outsourcing or offshoring debate currently on in the US is essentially a debate on the American economy rather than one on a loss of jobs, according to the former US ambassador to India, Mr Frank G. Wisner.

The issue has been brought into sharp focus in an election year in the US as well.

The debate should be viewed as one on the modern economy or as a debate on globalisation. It was a serious issue since many had lost jobs, but the good news was that people who had lost jobs were able to get comparable jobs without a long delay, he said.

Outsourcing was not the reason for the joblessness in the US. The real cause for concern, he said, was the many changes that the US economy had been through in the past 20 years. "US industry has undergone a profound transformation involving restructuring, the concept of jobs for life, the stability of pensions, and healthcare issues, among many others," he said.

Mr Wisner, who is now a member of AIG's board, was speaking at a press conference called to announce the Global Offshore Outsourcing Summit 2004 (GOOS) to be organised by the Indo-American Chamber of Commerce here on April 21 and 22. According to him, outsourcing had brought down costs for companies that did not outsource were bound to lose out in the long term. He predicted that the US economy would generate 30 million jobs in the next 10 years, of which about 3 million would be outsourced.

More Stories on : Outsourcing | Politics

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
`Outsourcing is basically a debate on globalisation'

Now it's MTNL's turn to slash ISD rates

Factors that are worrisome for BPO sector

Peopleone to expand via franchisee route

Software export growth target will be met: Karnik

Excellence must become an obsession: Premji

Software testing — Maveric Systems offers BOT model to clients

TCS, BHEL software for power plants

Foursoft bags US order

Apertio adopts HSS solutions

MphasiS BFL to acquire Kshema Tech for $21 m

Kenexa buys Oramasters

Call centres come calling for candidates in Kerala