India group: Outsourcing saves U.S. jobs

[Trek234]

Sending software coding and business process jobs out to India have improved employment figures in the United States, says an Indian IT association.

Nasscom (National Association of Software and Services Companies) said it wanted to tell its side of the story by "placing the facts and figures in perspective."

Citing statistics from market research firms such as McKinsey, the body said the United States stands to save over $300 billion over the next six years by shifting some business operations overseas.

http://zdnet.com.com/2100-1104_2-1025410.html

[Systematic Chaos]

1. !!!meht ckuF

[Nambe]

2. Thank you India. We hate work, money, food, toys, and all that....

clutter in our lives.

[NYC]

3. It took some really convoluted thinking to come up with that statement.

Alas.

[dfong63]

6. it's complete bullshit

"we allowed the industry to save money, and thus save jobs." yeah, right. a variant of trickle-down economics.

of course, he "forgot" to factor in the cost of unemployment (both social and economic) for hundreds of thousands of Americans who were tossed out of work by outsourcing.

[the_sam]

4. Assumes profits=jobs

Obviously false.

[Julien Sorel]

5. I have argued here before about why outcourcing is necessary, but

this is bad sophistry:

"US banks, financial services and insurance companies have saved $6 billion to $8 billion in the past four years owing to IT outsourcing to India," Nasscom claimed. "Helped by these savings, companies have prevented layoffs and instead added 125,000 more jobs."

In fact, companies do not use money saved by outsourcing to keep on otherwise unprofitable employees; to do so would defeat the purpose of outsourcing in the first place. They use that money to improve their competitive standing, or to increase profits when it is possible. Whoever put this bit of fluff out must think americans are too dense to be insulted or something, because that's what this is.

[JaySherman]

7. That's like saying

The 6.4% unemployment rate is a result of people who had given up job searches reentering the unemployment rolls to look for jobs again.

Anyone else catch that little nugget?

[laconicsax]

8. This is such bullshit

Boeing is planning on moving most, if not all, of it's IT jobs (programmers, system administrators, tech support, etc.) to India to save money in the next few years.

That's going to be a ton of US jobs lost, not saved.