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Pace of Offshore Job Drain Expected to Increase

Story:

Globalization is becoming another word for unemployment to information technology workers. IT outsourcing has become easier for a variety of reasons, including low offshore labor costs and telecom costs in free fall.

At present, about 8% of IT work for US companies has been outsourced. Forrester Research predicts that $136 billion in wages, about 3.3 million jobs, will move offshore in the next 15 years. If you talk with people who work in the industry, they will tell you that they expect the numbers to be higher.

India and Russia are the current recipients of this movement of jobs, but China, the Phillippines and Canada are the new destinations. Programming, the darling of the dotcom boom, is the first function to be outsourced.

Analysis:

It's not clear how this will immediately affect small businesses that operate in the United States. It is likely that you will still be dealing with local labor when you modify your website. However, if you deal with larger website design firms, it becomes more likely that your job will be sent out of the country for completion.

Link:

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