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U.S. Jobs Jumping Ship

An anonymous reader writes "As painful as February's big job cuts were, they're even more painful since many of those jobs are never coming back as U.S. employers in a wide range of industries move more and more jobs overseas. CNN has the story." Salon has a good piece detailing how job requirements are changing, asking more and more for less and less pay.

42 of 1,179 comments (clear)

  1. Estate of the Nation by ackthpt · · Score: 5, Interesting
    With the news about India Institute of Technology (IIT) carried by Sixty Minutes, it is a bit ironic that Indias best and brightest, who leave India for better wages in the USA would may be competing with those back in India.

    Sure fire ways to make a living in the USA, providing the trend continues:

    Farm. People have to eat. If americans can't afford the food, someone else can, there's always a buyer, if you can afford to set the right price. (Sound unethical? You're probably not a republican then)

    Become an entertainer (something about americans dancing and singing on a stage works for extracting money from the pockets of everyone else in the world. As of yet americans still make what the world wants to buy in terms of image.)

    Own an overseas company, employing locals for a pittance, and selling goods and services to anyone, anywhere who can still afford them. China looks like a good place to sell, it's got one of the few growing economies.

    Go into politics. If americans can't afford your price for selling out your country, someone, somewhere will and hopefully you know how to keep your payments away from prying eyes, not that the public really cares anymore, but they might.

    Cynical? Why not. You can't expect the current administration or house to insist upon a tariff on imported services, can you?

    --

    A feeling of having made the same mistake before: Deja Foobar
    1. Re:Estate of the Nation by frodo+from+middle+ea · · Score: 5, Insightful

      You can't expect the current administration or house to insist upon a tariff on imported services, can you?
      Sure you can, but remember that the american companies like coke, pepsi, McDonalds, KFC, PnG, Nike , etc etc have huge markets outside US, especially in far east populous countries like india, china, japan, korea
      Now if govt. of these countries were to impose the same tariff that you speak of on imported american goods, .... Well you get the picture.
      face it, the world is shrinking day by day, and if affects everybody's life in some way or another
      America is a super-power in the world not because of its military , rather because of its economic dominance. But that economy can not be self contained, To be a world leader you have to play the same game on equal fields
      To stay competetive in world markets the american companies need to reduce costs at all options, and labor cost is a very convenient option.

      --
      for the last time people, I am "frodo from middle eaRTH", not "middle eaST".
    2. Re:Estate of the Nation by GreyWolf3000 · · Score: 4, Insightful
      I honestly would vote libertarian if their candidates weren't usually total cooks.

      I don't vote for people like Bush, because they're only concerned with War and God (in that order). I think most of the Republican Party's core values are good, and would benefit this country, so voting Republican is a pragmatic decision to get those policies implemented. IF the Republican party swung things too far to the right, then I WOULD vote democrat.

      Liberal-conservative is a phony paradigm that defines the parameters of the debates in a rather silly fashion, but I can't help but to be annoyed with Democratic policies with respect to the economy (and the other way around with civil rights, but only within the last 5 years).

      --
      Slashdot: Where people pretend to be twice as smart as they really are by behaving like children.
    3. Re:Estate of the Nation by vsprintf · · Score: 5, Insightful

      To stay competetive in world markets the american companies need to reduce costs at all options, and labor cost is a very convenient option.

      Oh, really? Then why is it that it's only the worker's jobs that get offshored? American companies could save many millions of dollars per year by offshoring management jobs, but that never happens.

      We have American companies claiming offshore workers are better and cheaper (which is one-half bullshit) except when it comes to management. Now isn't that remarkable? We have American CEOs getting obscene salaries and bonuses for putting American residents out of work.

    4. Re:Estate of the Nation by rppp01 · · Score: 4, Insightful

      If I had mod points, you'd get them all. Well said.

      If companies like HP would simply hire management offshores, or even a low cost, intelligent CEO from another country, they could save millions a year.

      But somehow, that isn't happening, is it?

      I am for tariffs on good from other countries. Impose them left and right. As I recall, prior to income taxes being imposed (which was supposed to be a temporary thing, btw) we mainly relied on tarrifs. This brought the 'best and brightest' here, instead of now where we ship the best and brightest jobs to them.

      I do not see how creating a 'world economy' helps anyone but the rich. It deflates wages. Maybe I am missing the picture here. Maybe there is a grand schema that will allow balance across the globe. If that is the case, then this isn't capitolism, it is socialism, right? Get everyone on an equal ground? But I can't and don't see that. I only see that somehow jobs are harder to find, and those I do find pay a lot less. I am not speaking of .Com era wages, but prior to that- the early to mid 90s era.

      --
      They stuck me in an institution, said it was the only solution, to...protect me from the enemy, myself
    5. Re:Estate of the Nation by Tackhead · · Score: 5, Insightful
      > I do not see how creating a 'world economy' helps anyone but the rich. It deflates wages. Maybe I am missing the picture here.

      I can think of one part of the picture you're missing: In the eyes of 5,000,000,000 people of the 6,000,000,000 on the planet, you are "the rich".

      > Maybe there is a grand schema that will allow balance across the globe.

      If by "balance", you mean "equally distribute all wealth among all 6,000,000,000 people", here's another part of the picture you're missing.

      If you want that kind of "balance", be prepared to give up air conditioning, your automobile, your paved roads, your heart surgeon, your chemotherapy, your MRI scans, your broadband and 56k modems for a 2400-9600 baud serial line, and a couple of hours a day of electricity.

      In short, be prepared to live a lifestyle below that of the poorest inner-city welfare mother. If that offends you as a racist stereotype, replace it with "the most inbred hillbillies in the Appalacians".

      I won't presume to speak for you, but as for me, I'm not prepared to do that. As a citizen of a Western nation in a capitalist economy, I was born into the top 15% of the planetary socioeconomic pyramid. I like it here. I'm staying here. And I'm willing to pay 20% of my earnings, every year, to the top 1% to keep it that way. (The top 1% currently takes about 40% of those earnings, but that's haggling over price, not a fundamental argument about the principle :)

      > I only see that somehow jobs are harder to find, and those I do find pay a lot less. I am not speaking of .Com era wages, but prior to that- the early to mid 90s era.

      The first part is called a "recession". They tend to be finite in length.

      The second part is called "deflation". It happens to CPU prices when better CPU designs reach the market, and/or when competing companies design a comparable CPU but charges less. It happens to wages when skills become obsolescent, and/or when competing workers offer the same work you do, for less price.

      If you're in the CPU business, you can either cut your price, or build a better CPU. If you're in the job market, you can either lower your salary expectations, or learn about a new technology.

    6. Re:Estate of the Nation by Rinikusu · · Score: 4, Insightful

      I was reading through a Java Developer's Journal that had a slight discussion about all these "brilliant" java programmers out of work due to the recession. They made an offhand remark about "Well, now that they have all this spare time, let's see what they come up with if they're really all that brilliant". I don't think I've seen much..

      Really, folks, this is really the break some people need. Remember when IBM laid off those thousands of engineers in the 80s? Those engineers couldn't find work, but had lots of ideas, and went and started their own small tech firms which fueled the Silicon Valley upswing. (No, not the .bomb people, but the real, honest to goodness engineers).

      Instead of blogging about not having a job, why not write something? Why not create something that you've always wanted to do but never had the time to do it (and now you're unemployed and you still don't have time?)? Don't just "learn" a new technology, CREATE the new technology. A recession/depression is simply an opportunity for many people and the seeds for success are being sown now.

      --
      If you were me, you'd be good lookin'. - six string samurai
  2. So much hand ringing over jobs... by ChaoticChaos · · Score: 5, Interesting

    I have no doubt that some have gone overseas, but without a doubt, the worst problem is the economy. No company is going to hire anyone until this mess with Iraq starts to straigten out. Once that happens though, look for mega job listings to start appearing. There has to be a lot of pent up demand out there considering that everyone has been stalled for a couple of years now.

    1. Re:So much hand ringing over jobs... by ackthpt · · Score: 5, Insightful
      No company is going to hire anyone until this mess with Iraq starts to straigten out. Once that happens though, look for mega job listings to start appearing.

      It's my firm belief that we are about to invade Iraq because the current batch in W. DC can't figure out how to improve the economy. (Hint: Economies flourish in a stable and peaceful world)

      There has to be a lot of pent up demand out there considering that everyone has been stalled for a couple of years now.

      No. If there's no demand, there's no demand. Interest rates are at incredibly low levels. Go an idea and can convince a bank to fund it? Go into business, best time ever for loans, no competition for the money. Why? People afraid nothing will succeed and they won't be able to pay back the loan.

      I'm quite positive the image projected by the president has 90% to do with the health of the economy, and Bush projects fear and loathing. Clinton (what ever his other warts) projected a positive, inclusive image. It took a while, but economy grew. It started to shrink when it sunk in that the ride was almost over.

      If we're saddle with Mr. 'Axis of Evil' for another 4 years, after 2004, we might as well open trade schools for ditch diggers.

      --

      A feeling of having made the same mistake before: Deja Foobar
    2. Re:So much hand ringing over jobs... by JWW · · Score: 4, Insightful

      Oh if only the president had a more POSITIVE attitude, then every thing would be better. What a load of crap!!

      True the uncertainty over Iraq is stalling economic recovery, but the flip side to this is that the bust is so bad precisely because the boom was waaaaayy too big. Nasdaq worth 5400?

      No, the Nasdaq was never really worth 5400, people just kept throwing money at the market, inflating it to unsustainable highs. One of the big problems we're facing now is people are complaining about when the Nasdaq will get back that high, when in reality it never should have been even clost to that high in the first place.

      In reality the "irrational exuberance" of the late 90's, whether or not attributed to Clinton, is the reason the downturn is what it is and why it is so hard to get out of. In reality the President at the time has very little to do with economy in many circumstances. The .com boom wasn't Clintons charisma, it was collective investors' flight of fantasy.

  3. World ending! News at 11! by Anonymous Coward · · Score: 5, Insightful

    Humanity is so ridiculous in its endless tendency to linearly extend every trend into the infinite future. As a "Daily Show" the other night humored: If an infant keeps its rate of growth for several decades, soon it will be the size of giant office buildings and killing us all! Of course we know that isn't the case, just as we know that the economy shifts and sways, and companies try endless tactics to seem to be doing something. In 3 years this will all seem idiotic, but that won't stop the idiots from doing the same thing during the next cyclic downswing.

  4. Sad Sad day by 4doorGL · · Score: 5, Interesting

    Yup, it's a sad sad day when college graduates in America are losing jobs to those overseas (particularly India). I was doing Tech Support for Dell for awhile (I know, I know....it paid) and during that time they started outsourcing most of their tech support and customer service to call centers in India. I can't even count how many customers I talked to that were hung up on, or couldn't understand the person, etc etc etc. It might have saved them a few bucks, but it goes to show these companies don't really care about their customers.

  5. So what's the solution? by HealYourChurchWebSit · · Score: 4, Insightful



    The CNN article makes an intersting point good point
    In the 1990s, it seemed all one had to do to buy a ticket to Easy Street was learn a programming language or how to manage corporate computer networks.

    Okay, so I've learned a dozen ways to shoot my foot clean off -- and now this article asserts that my skills are just as easily found abroad as here locally.

    But is that really what is happening. When I read the above quote, I wonder, how many QUALITY programmers are losing their jobs to concerns overseas?

    Similarly, if this is the case, okay, so now what? The computers didn't disappear, nor is the need for software going to go away.

    Do we work for less? Do we (dare I say it) unionize? Pass laws? Comments, please.

    --
    --- have you healed your church website?
  6. Supply and demand by evilpenguin · · Score: 4, Interesting

    This is hardly a revelation. When the supply of some good (labor) exceeds demand (jobs), the price of the good (labor) falls. Big shock. Having been a programmer in the 1980s, I well remember when you were lucky to get $25,000 for a programming job. When the number of jobs increases (when we stop insisting the world admire our mighty power and get back to real work), labor prices will rise again.

    1. Re:Supply and demand by geekoid · · Score: 4, Insightful

      in 1980, the nhouse I am currently living in sold for 40K. Now it is worth 200K. gas was under a buck.
      so don't compare 1980 money to tadays.

      I would gladly lower my salary to 25K, if the price of everything I pay for was in 1980 prices.

      --
      The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
  7. Recessions by Galvatron · · Score: 5, Insightful
    Jesus, you'd think people had never lived through a recession before. This shit happens. This recession is no more likely to be eternal than the Dot Com boom was. Of course salaries are falling from their formerly inflated rate. Then, once they've fallen sufficiently, companies will start moving jobs back to the US, and salaries will rise again.

    Christ, if you think this is bad, thank God that we weren't alive during the Great Depression. That didn't sink us, and this won't either. Also, for those who argue that this time it's different because of globalization: the world was more globalized in 1910 than it is now, because of European colonialism.

    --
    "The question of whether a computer can think is no more interesting than that of whether a submarine can swim" -EWD
    1. Re:Recessions by Billly+Gates · · Score: 4, Interesting

      Actually the economy is very close to the late 1930's towards the end of the depression. The stock market has been down 3 years in a row and has not recovered. This only happened once during the 1930's in American history. Unemployement is rising near %10 and is alot higher for IT workers.

      The situation I think is worse then anyone relizes. I am willing to code c++, java, or do webpage design for 8/hr with no medical benefits. I am that desperate yet, still viewed as overvalued. I have a friend who use to make $70k a year who now makes 12k designing webpages and is about to lose his job to an Indian outsourcing firm for less! ITs silly.

      An Indian can work half that wage and miminal wage laws prohibit making under 6.50/hr. Indians have free health care and a very low cost of living so they can work cheaper then Americans can.

      I am not an ego maniac and would love to work for under 20k ayear. The fact is even people with many years of experience also are willing to work for about that price while CIO's are getting woodies. Its very sad.

      But you know what really gets me? Microsoft and Sun are lobbing for more h1b1 visa's and are outsourcing to India and Singapore at the same time. Go read any of the jobs being offered at Microsoft's website. Most of them are at Microsoft India.

      May American IT work r.i.p.

  8. An Intel guy told me ... by gupg · · Score: 4, Funny

    I asked a reasonably senior guy at Intel if they were hiring. His reply: "Sure we are hiring ... in China and India."

  9. Aren't we being Selfish? by Anonymous Coward · · Score: 5, Insightful

    Hey, aren't we being selfish?

    Think of the people in India that just had their standard of living raised. Who is to say that their living standard is less important than your living standard?

    We complain and complain about the Recording Industry backing up a "inferior business model".

    So are we! Its time we found something else that we can do better/different.

  10. Economic rationale... by CommieLib · · Score: 4, Interesting

    All of this reminds me of Schumpeter's famous phrase "creative destruction". What has happened is that there was an enormous swell in the demand curve for IT workers in the late nineties with the tech boom. This drove wages up, as the supply curve lagged. As new people entered the field, the supply curve slid out to accomodate demand.

    Here's where it always sucks for those workers. The demand curve contracted sharply after the tech bubble burst, so the wages dropped correspondingly. This of course is what every sector (except for the government sector, unfortunately) faces from time to time. A micro-example is the set of jobs created for building a house. Suddenly the house is finished and demand falls to zero.

    So what's the long term prognosis? Unless some new wave emerges that causes another correspondingly large shift in demand for tech workers, wages will be where they are, and probably fall further with international competition.

    The bright side of all of this, and it's hard for us tech workers to see, is that everyone else gets cheap software and information services. This is the way the system works. The alternative is to chase demand curve shifts and change careers every ten years or so, which is probably not such a bad idea from a spiritual point of view anyhow.

    --
    If your bitterest enemies are people who hack the heads off civilians, then I would say you're doing something right.
  11. Trend by truthsearch · · Score: 4, Informative

    I agree. I just want to add that the trend's been here for a while, it's just now hitting a larger mass of people and multiple industries. Manufacturing (textiles) has been moving overseas for over a decade. NAFTA helped speed this up with Mexico. Now that mass amounts of our industrial work is done overseas it's moving into more diverse fields, like telephone support and software development. The more expensive we make it to do business here, and the more we lock employers into taking care of employees for their lifetime (unions), the more companies will look overseas.

  12. My Company Uses Offshore Labor... by puppetman · · Score: 5, Interesting

    We have a team in India doing basic database monitoring and support (mostly to back me up, as I'm a finite resource).

    They are cheap - about $1000 US a month for their services.

    From their resumes and other clients, you would think that they are well trained and efficient.

    Unfort, I don't find their work that valuable.

    First, while their English is good, it's not good enough. The communication barrier has caused several problems, resulting in database downtime that need not have occurred.

    Second, while they advertise themselves as DBAs, there is only one that I marginally trust. We have had to create detailed instructions for doing simple things. They take days to do what I can do in hours, and often fail at what I consider simple, bread-and-butter DBA tasks.

    Third, we don't have much of a stick over their head. Should they walk off with our data, our schema, our code, or just trash our site, there is little if anything we could actually do.

    An article (recently posted on Slashdot) mentioned that the larger the company, the more likely they were to move IT jobs overseas. In the long run, this is a counter-productive move. Firing a bunch of people will lower the demand for your goods and services; the unemployed don't have the money to spend. And you create a group of seriously pissed off people with time on their hands.

    The Salon story mentioned a website called a site where people post these ridiculous jobs. Perhaps someone will come with a site that will list companies that have fired local workers to ship the jobs overseas.

    The whole thing makes me wonder if it's time to start thinking about a new career. It's kind of scarey to wonder if tech jobs will become as scarce as those well paying manufacturing jobs of the 50's and 60's (you know, the ones that are now in China, Taiwan, and Mexico).

  13. Prosperity went down in the 80's and 90's by hirschma · · Score: 4, Insightful

    Let's see...

    In the early 70's, you could:

    Buy an average car for 1/4 to 1/3 of a yearly average household income.

    Buy a house for 2x-5x of a yearly average household income.

    Today, its more like:

    Buy an average car for 1/2 or more of a yearly average household income.

    Houses start at 5x yearly average household income.

    But here's the kicker: in the early 70's, there was almost always ONE breadwinner making up the average household income. Now, its almost always TWO.

    When I was a kid living in Brooklyn, taxi drivers routinely owned homes and cars, and mom didn't work. Today, Mom and Dad work in some service drone job, and can't make ends meet. And that was true 10 and 20 years ago.

    Things have gotten a lot worse.

  14. Unions by Bull999999 · · Score: 5, Insightful

    Perhaps they are sending jobs overseas because they won't have to deal with unions. Remember not too long ago, the dock workers went on strike (at the cost of US economy) despite the fact that they were already highest paid blue collar works and management promised job security. How about the mechanics of United Airlines? UA was facing bankruptcy and they still refused a paycut. RTD (Mass transit system for Denver metro area) bus drivers are threatening to go on a strike lately. RTD already were being subsidized by the cities even when the economy was good because they weren't making any money. Now dispite the fact that the cities are hurting for money and jobs are scarce, they want a raise?

    --
    1f u c4n r34d th1s u r34lly n33d t0 g37 l41d
  15. and I'm glad we still have H1B's galore by CrudPuppy · · Score: 5, Insightful

    gosh, in hindsight, I cant believe I could have ever doubted the government's plan to increase the number of H1B's to such a ridiculously high number.

    now I see that they truly did have our best interests in mind. Employers say "the industry no longer pays salaries like that" when they mean "there are hungry immigrants that are willing to do your job for half your salary"

    a big "cheers" to the US government.

    --
    A year spent in artificial intelligence is enough to make one believe in God.
  16. Let's Outsource CEOs by tokki · · Score: 5, Funny

    Let's face it. Times are tough. Budgets and earnings aren't what it used to be. We need to find ways to save money and tigthen our belts.

    In short, we've got to outsource upper management to off-shore countries.

    There are plenty of well trained and highly educated people in foreign countries that can do excellent upper-management work: CEOs, CFOs, vice presidents... and they'll do them for pennies on the dollar of the exhorbatent prices we pay for CEOs now. 40 million dollar golden parachute? No more!

  17. I don't buy this by The+Bungi · · Score: 5, Insightful
    While many jobs are being shipped offshore, consider the following points:
    • The quality of the work being done by Indian (or whatever) programmers (or whatever) varies wildly. Some of it is good, a lot if it is not.
    • In my experience, companies like Amex who outsourced their entire IT needs to IBM India (yes, IBM India) and let loose hundreds of employees are now rehiring those same employees (mostly analysts and PMs) through third-tier consulting firms at a much lower cost. So they get the quality they need (because they can't get it from Indians) but they save a bundle of money. It's not uncommon to find a project manager at Amex directing 15 indians that used to be manager or director of so-and-so two years ago. This is (I think) more about deflating the job market than shipping jobs to other countries.
    • The perennial "web programmer" and "web designer" and so on is out of work because there is no more market for them. There are no more dotcoms hiring teams of 20 people to "design" three web pages at ~$60K+ per year. No way. But software developers and architects and so on with solid experience and real skills are still finding jobs. The subject of the Salon article sounds to me more like one of those foofy "html programmers" or equivalent than anything else.
    The dotcom boom created thousands of jobs that were filled by people with 6 months of experience and a "computer degree" from a community college or Devry. Sorry, but those are gone. No more demand. These people should go back to what they were doing before the went into "computers" to make "big bucks".

    It sounds callous, but it's true.

  18. Re:Protectionism by Taldo · · Score: 5, Insightful
    I'm getting a little tired of the attiude I see from so many that we should either 'just suck it up and deal with it' or 'move.'

    Tell you what.... when it's as easy for me to go to another country and work as it is for foreigners to come HERE and work for peanuts.... then maybe I'll think about not complaining about it.

    As it is, I'm competing with foreign workers, college educated (at no cost to themselves generally, or they're from one of the few wealthy families in their home region,) who are willing to do the same job for less money because they don't care about having an american standard of living even tho they're living in america, and they aren't as deep in debt as I am from student loans.

    Know what? I'd love to spend a few years working in another country. Australia? Yeah.... I can work for three months at a time. Most of Europe? I have to either be independantly wealthy... (be able to prove I can support myself for a given number of months) or have a business to start up. (No.... websites don't count.)

    People are bitching about 'protectionism' a lot on this thread... but none of them ever seem to mention the protectionist policies of OTHER COUNTRIES.

    When I actually CAN 'follow the jobs' the way people from other countries can, we can talk.

  19. Re:Here's a job I saw last year by Billly+Gates · · Score: 4, Insightful

    I would be willing to do that for 15k a year!

    %100 dead serious!

    I am unemployed and I am about to apply for a 7.50/hr job at OfficeMax stocking shelve's. I moved back in with my parents because I can no longer afford rent. It would look so good on my resume to do any tech work that I would be willing to work for the same pay as a merchandiser at a store.

    This is the reason why many jobs are going to India. You guys are not willing to work for this price range. Believe it or not an Indian could do that job for 5k a year! No shit!

    20k a year is expensive in the eyes of CIO's. If we volunteer to work for 15k then they might not ship us off to India. If we demand 40k then you can kiss your career goodbye.

  20. Re:I had an Indian Dell Encounter... BAD! by dbrutus · · Score: 4, Interesting

    This should have been your response after the 2nd round
    "Please pass me through to your supervisor. Whover is writing your support script has made an error"

    1st level techs are highly scripted and you need to know how to break out quickly when the problem is something that isn't going to be in their scripts.

  21. The US has ALWAYS been third world by lysium · · Score: 5, Interesting

    In the socio- and anthropological fields it is pretty much accepted that the United States is a Third World country that basically won the lottery. I won't provide statistics, but check out (a) Literacy rates (b) Infant mortality (c) Homicide rates (d) % of population below the poverty line, and (e) the gap between the rich and poor. A large middle class running in hamster wheels does not a First World country make. Also: Labor unions are a reaction against the insane exploitation of the 19th century. If the need wasn't there, they would not have been formed, 'cause Americans hate that shit. And in pure opinion, I believe it has less to do with Democratic myopism and more to do with some extremely rich people pulling the ladder up after themselves. Figuratively speaking.

    --
    Together, we will drive the rats from the tundra.
  22. The politicians have sold out the American Worker by Eric+Damron · · Score: 4, Interesting

    I can't believe that everyone didn't see this situation coming. It is the logical path of a world controlled by corporations in an emerging global economic system.

    For the corporations the equation is always simple and, for the most part, always the same. The path that reaps the greatest profit is the path to follow. Period, end of story, no appeals allowed.

    Out sourcing work to cheap labor increases profits so it will continue. There are three ways that jobs may start coming back to the US.
    1. We lower our wages to compete. (Not a good option)
    2. The legal system does something that impedes jobs from being outsourced. (Not a good option)
    3. It becomes more expensive to outsource than to keep jobs in the US. (The best option)

    Option number 3 will slowly occur as the living standard rises in the countries where the work is currently being outsourced. As the workers wages rise and come in line with the wages in the US costs of producing goods in those countries will rise.

    This could take a long time, however, and one of the big questions is: When the cost of production comes to parity where will the factories that produce the goods be located? We may be loosing jobs for a lot longer if there is no incentive to move the jobs back to the US. The startup expense is one thing that is keeping some factories in the United States but once moved it will be the same startup expense that will keep them out.

    It will be interesting to see how politicians deal with the effects of selling out the American people to the corporations.

    --
    The race isn't always to the swift... but that's the way to bet!
  23. Lot more than web designers by coyote-san · · Score: 5, Interesting

    This is affecting a lot more than just "web designers" who had no skills beyond that covered in "MS Frontpage for Dummies."

    My extended circle of friends and I all have solid educations and lots of experience covering pretty much every aspect of IT that you can name, but no potential employer will give us the time of day. It's not a matter of demanding unreasonable salaries either - if we call their bluff and say that we're willing to accept a low salary just to pay the mortgage, we're told that we're out of consideration since the boss is sure that within a month the economic fairies will come around and we'll bolt for a well-paying job at a new startup.

    Finally, my connections on "the other side of the fence" have told me that the ridiculous requirements on these lists are there for a reason - the powers that be want to give the appearance of looking for an employee, but they have no intention of actually hiring anyone. The way they hid this is by creating lists that no single person could possibly satisfy, then offering a wage far below what such a mythical person would actually accept.

    If somebody actually had all of that experience and was desperate enough to accept the salary, some overlooked requirement would be discovered. E.g., for a while a popular overlooked requirement was that you had to speak fluent Japanese - and have spent several years in that country.

    --
    For every complex problem there is an answer that is clear, simple, and wrong. -- H L Mencken
  24. Falling off the Wave by ChaoticCoyote · · Score: 5, Insightful

    I've had my share of ups and downs in this industry. I started my career in the Savings & Loan industry -- and after that industry went bust in the early 80s, I had to find a new place to make a buck. A similar collapse hit the "web industry" over the last five years (lots of unjustified hype, bad management, etc.) -- and while I wasn't writing web pages or Flash animations, I was affected nonetheless. I worked as a development director/lead technologist at a couple small businesses that killed themselves by leaving reliable industries to "webify" their product. Both companies are gone, but I'm still here.

    There's nothing unique to the computer industry when it comes to bust-boom cycles. It happens all the time in other industries. My wife began her working life 25 years ago as a geological drafter -- you know, with pens, ink, fancy templates. The collapse of the oil and minerals industry did more to end her career than any new reliance on computer-aided drafting. Is she crying in her soup? Heck no -- she worked for various social agencies, often for low wages or free, and built herself a new career in disaster recovery and education. Businesses may come and go, but there'll always be disasters. ;)

    Right now, I'm doing contract work, writing a book, and placing myself for a "coming thing" that may or not be big in our industry. My wife has a nice, stable job; our kids learned long ago that their Mom and I don't listen to "gimme, gimme." It's sometimes difficult, but we keep surviving. Never surrender, never give up -- a good philosophy from a very funny movie.

  25. Where do you live? by raygundan · · Score: 4, Informative

    Dude, you need to move out of brooklyn. Or the valley. Or wherever it is you're living that costs are that high. And stop looking at BMWs.

    A nice, new Honda Accord is less than 1/4 the national average household income. A house in a less inflated real-estate market should work well for you also. $120K for 4 bedrooms here in Indiana, and interest rates are rock-bottom.

    For the record, the average household income in 2002 for the whole US was $58K. Your numbers for the value of stuff in the 70s are still true today. 1/3 of $58K is a little over $19K. Plenty for a new car. Houses start at only a little more than 1x that here! Lots of small houses in the $85-$90K range. Huge houses (by valley/nyc standards) are available for $150K.

  26. Let me break it down for you by asscroft · · Score: 5, Insightful

    First Ammendment - Why is this even an argument? Republicans tend to want to censor speech more than the dems, so the dems win this one.

    Gun Laws - ridiculous. 2nd ammendment is there in the CONSTITUTION. Republicans win this one.

    4th Ammendment - Republicans want to search you, your house, your moms house etc in the name of the "war on drugs" and now the "war on terror" Dems aren't much fuckin' better. But dems are a little looser so dems win this one.

    Abortion - Well in reality making it illegal doesn't prevent it from happening, it simply makes it punishable. so even if you are against abortion, you have to realize outlawing it is futile. Dems win this one. Women truly have a choice in reality. A choice between a safe & legal abortion or no abortion is better than a choice between a dangerous illegal abortion or no abortion. Even God would agree with this logic.

    Corporate welfare vs worker rights/ Labor. Until I own a corporation, I have to consider myself a worker. Dems win this one. How anyone can vote for something that will reduce their wages, reduce their health care, make them work longer hours all so that some asshole in a board room can export thier job to india to make even more money is beyond me. WAKE THE FUCK UP. How 'bout a little self preservation!!!! Unless you own a corporation, you need to see the light!!!

    Jails versus Education: hmm, spend money on educating our children so that they will be prepared to lead our country when they inherit it, or cut spending in schools and parks & rec programs only to eventually spend more money on jails to house our misguided uneducated forgotten youth? tough one here. gee, what should we do ?
    Democrats win. Republicans are greedy assholes who can afford private shools for their children. What about the rest of the nations. Those punk asses that are not getting education and resort to crime will hopefully rob your house you greedy fuckheads. (unfortunately you rich bastards live ina gated community, so they'll rob my house and the house of other working men and women, which is unfortunate because it's YOUR POLICY that destroyed thier chances of making it in this world).

    Corporate friendly env. policy versus environmental friendly environmental policy. Hmm, in my short life time I've seen 200-500% growth in my home town. Land Development is BIG BUSINESS. It's sad to see them rape the land to build a shitload of cheap ass houses all crammed in tight next to eachother. If those greedy fucks would build one or two less houses per project then all the families that moved in would get yards and a little bit of privacy. Instead they are living in a future ghetto that frankly looked better as natural land. That's the friendliest of the land uses. Chemical plants, manufacturing plants, refineries, junk yards. SHEESH!!! This whole country will be one paved piece of shit in less than 50 years. It's fine if you own a big ass ranch in texas, who cares if your refinery pollutes the fuck out of some poor neighborhood in the wrong side of town. Maybe it will kill those "niggas" before you have to arrest them after they drop out of that shitty high school you wouldn't approve the tax dollars to fix up because you wanted some tax cuts to afford to pay off the crooked politician who allowed the refinery. FUCK!!! Democrats win this one too.

    You see, aside from the gun thing, republican policy benefits only a small minority of wealthy assholes. The rest of us get screwed every which way in a increasingly painful cycle. We lose our jobs so our kids go to cheap schools which don't get good funding because money is going to corporations so our kids poor and pissed off do drugs or get pregnant or drop out or graduate and go to college despite the odds, then they lose their jobs and their kids go to crap schools, etc. etc. over and over again while more and more of us become poor and a few fortunate a-holes get richer and richer.

    well, it can only go on for so long before we unite and kill you you fuckin rich assholes

    --
    because I have been enjoined by this Holy Office to abandon the false opinion which maintains that the Sun is the centre
  27. Re:I hate to point fingers but... by wulfhere · · Score: 4, Insightful
    Take the auto workers, for example. Let's say they made just 8$ an hour. That's a large cut in pay, but still about ten times what a Malaysian would make.

    Have you tried raising a family on $8/hour lately? Here in Indiana (where prices are also much less than on the East Coast), there are McDonalds hiring for $7/hour. Good luck buying a house, or even renting one, on $8/hour.

    Or cut down on the programs, let business boom, and pass that economic gain to the average American? The biggest problem I see with this is that trickle-down economics DON'T WORK. When the people at the top of the economic food chain make more money, they don't pass that money down to the guys making $8/hour, they keep it.

    --
    -- Sent from a computer.
  28. Loss of jobs and a nightmare thread of thought by StandardCell · · Score: 4, Interesting

    I know I may get modded down for this, but I'll stand up for this particular point. If one looks back at all of the technological innovation in the past 50 years, the vast majority of it has come from within the United States. Telecom, semiconductors, software, you name it - if it was commercially viable, that commercial viability pretty much originated here. Now that the expertise is being outsourced, what will sustain further development of it here?

    If you look at all the new grads coming out, they have been told time and again that technology is their ticket to success. They've been pushed through universities like cattle, but they never expected the slaughterhouse to be right at the exit. Now that there's a glut, economics is dictating huge competition driving down salaries. Tech suddenly isn't as sexy any more, and people are flocking to jobs at more traditional companies. Tech companies keep outsourcing more and more.

    But let's move this one step further. People coming into university see this. They stop coming in. Innovation and research starts slowing down. Nanotech and biotech research vaporizes because the capital base that is partly cross-subsidizing it vaporizes slowly. There is no killer application driving the tech economy. We can do with what we already have.

    What we may end up with is the majority of our technological manufacturing and knowledge base outside the United States. The United States (and, to a large extent, the rest of the Western world) could become dependent on foreign technology the same way it is dependent on foreign oil. Yes, many of these jobs being outsourced are staying within the foreign subsidiaries US companies, but the bulk of the knowledge is not on US soil. Those workers can walk away at any time without recourse for the US companies.

    My point is that there are very serious implications for everyone's life in general. If the majority of the expertise and manufacturing ends up outsourced to what are effectively third world countries, we could be subjected to embargoes by cartels in the same way OPEC has power today. It could even impact national security, since overall research into technology could stagnate and the pool of available scientists and engineers dwindles.

    If you think it can't happen, think again. It already has in large part. If not for cooperative trade agreements, many of the bulk goods coming into the United States would disappear overnight, from Tommy jeans to Sony TVs. This means that there may be greater reliance on the US military to protect us. Unfortunately, many of these countries possess big weapons that they didn't have 50 years ago. The US won't be able to push them around like they have already, and this will cause a loss of control.

    So what can we do about this? We need to vigorously publicize the nightmare stories of outsourcing. We need to show homegrown successes. We need to get these people waking up before we end up hanging ourselves by our own rope. We need to prove that we are better than those working in third world countries. We need to show what made the United States a great country - hard work, perserverance, and a good brain.

    OR

    We had better give up now and accept a much lower standard of living, and all of the shock it will create. It will be either one scenario or the other. But not both.

  29. Re:So? What's wrong with that? by frank_adrian314159 · · Score: 4, Insightful
    Since when did the CEO or owner of any company owe you or anyone in the US a job?

    Since the government started granting charters for corporations being a public good? Since businesses get many tax benefits that individuals don't get and cry about "lost jobs" any time anyone talks about getting rid of them? Since our tax dollars pay for the promotion of their products to overseas markets? Since we send our sons and daughters overseas to protect their economic interests in other countries?

    Perhaps they don't owe me a job, but they sure as hell owe some people in this country jobs for everything that we provide to them.

    --
    That is all.
  30. $10/hr after 4 years college? Make more at 7-11 by SourceHammer · · Score: 4, Interesting

    So I guess now you can work at a 7-11 and make more money within 2 years than you can with a 4 year degree in computer science? Plus the payback of the student loans. Even if you make more in the long run the payback will take another 5-10 years. I am not sure that we will have any programming work in US by then...go into a trade while you are young and you still can.

    --



    Open source development is my way of competing with the low-cost programmers in India...
  31. Re:News at 11 by Phragmen-Lindelof · · Score: 4, Insightful

    The great depression occurred, IN PART, because worker productivity increased (e.g. more cars and washing machines) but wages did not increase sufficiently. After some time, everyone (OK, many people) had many "things" and a lot of debt. Companies could not sell their new products in sufficient quantities and started having trouble.

    If too many US jobs go overseas, something similar might possibly happen. Economics "says" that if too few people can afford to buy your products, you may go out of business. If it happens to too many companies, the "economy" starts going downhill. Eventually, the accumulated capital in the US may be depleted and companies who moved jobs overseas will have no customers.

  32. i AM an "outside worker" by Suchetha · · Score: 4, Insightful
    this article hits home because i am one of the people the jobs are coming TO.

    i live in Sri Lanka and work for the webdev section of a british dotcom. at the moment the company has 20 webdev people in the UK and 4 in SL (the rest of the team are support staff and grafx ppls), but according to the ceo they are thinking of downgrading the entire uk structure and hiring more people here in SL.

    my point is here... by UK standards they are paying us peanuts!! i get paid less than 7% of what the job i do would cost if it were being done by a brit. (trust me, i checked the numbers, a dev guy would get UKP2,000 there i get the equivalent of UKP150)

    but this amount lets me make about 10x of minimum wage here which is a decent amount.

    but there are downsides to this.
    • MOST ASIANS ARE DRONES!!! if you want them to do a piece of work and keep doing it they are perfect. but our society and education system which puts more weight on conformity and herd-following (and no i DO NOT mean chasing a bunch of cows around 8-) ) means that if you want to do something innovative here you got to find those exceptional types who can think and improvise. and those ones are already in the US on their H1B
    • most people in asia don't speak english all that well. this leads to confusion and problems in communications with the westerners
    i was hired because i am one of those few nonconformists who decided to come back to my country (went to uni in OKC, USA, saw the dot bomb about to drop and buggered off, also my parents run a moderately successful company here), i can think on my feet and i am am bilingual (i speak both languages well enough to pass for a native, in fact when i was in the US i frequently was)..

    i see my friends trying to make a living in the US and i feel sorry for them (degree holding CS guys stacking shelves in wally world...) personally i would love to get them down here where the cost of living is low, and if you know how to manipulate the system (which, believe me i do) you can live and work. sure you'll miss your mega malls, and seeing the latest movies as they come out, no mtn dew, no game arcades and no DSL.. but we got great weather, cheap housing (by us standards anyway) and beaches...

    personally i would LOVE to have a few slashdotters come join me here, and i am already running a dotcom that could use some help (so its not making money atm but i'm working on that part)

    i guess the point i am trying to make is this. the US has been training its people for freedom and creativity, the east for drones. put the two together and you get a potent mix. we could use some creative thinkers here, you could do with some drones there.

    anyone wanna come mix it up??

    Suchetha
    --

    learn from yesterday, plan for tomorrow, party tonight
    or one out of three ain't bad