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Essay / Research Paper Abstract
This 3 page paper looks at the problem of outsourcing in the US and considers how the trend of losing jobs to developing countries may be reversed. The bibliography cites 2 sources.
Page Count:
3 pages (~225 words per page)
File: TS14_TEoutsource.rtf
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Unformatted sample text from the term paper:
the pressure for lower costs form shareholders are both pushing companies find the lowest cost alternatives. The cost issue is the push factor behind the recent announcement by United Airlines
that 650 call centre jobs would be moved to India (Skertic, 2004). If there is a desire reduce the level of outsourcing which is expected to grow by 20% each
year in the United States until the year 2008 (Lewis, 2004), then the government needs to consider ways in which this trend may be halted or slowed down. This
can be appreciated by looking at the reasons why many firms have outsourced. In most cases the cause is cited as rising costs. In the case of United
Airways one fo the major factors appears to have been the costs associated with a high staff turnover,, 50 staff were leaving each month, this increased the recruitment and training
budget beyond their cost constraints (Skertic, 2004). Of 588,000 jobs that are expected to be outsource this year it is mot only the wage costs that arte a factor, but
many of the associated costs, including health insurance costs and legal costs. To reverse the trend these are factors that need to be dealt with. The cost of outsourcing
may be attractive, but the companies need to be attracted to stay within the US either due to a foundation that helps create a more competitive environment for jobs in
the US. In addition to this there may be the possibility of intruding potential measures to counteract the attraction of other counties, if these are the closing of loop holes
then this may be acceptable, but if these are increased barriers then this could be dangerous. The latter of these may be more difficult as this is likely to result
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