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Tech Sector Expansion Blunting U.S. Job Outsourcing

xzvf writes "BusinessWeek summarizes a new report from the American Electronics Association (now known as AeA) that they think mitigates the effect of outsourcing on IT employment. US demand for tech workers is through the roof, the highest it has been since the boom of the late 90s. The tech sector added some 150,000 new jobs 2006, and there are no signs that interest will flag in the near future. 'There is so much global demand for employees proficient in programming languages, engineering, and other skills demanding higher level technology knowledge that outsourcing can't meet all U.S. needs. "There would have been a lot more than 147,000 jobs created here, but our companies are having difficulty finding Americans with the background," says William Archey, president and chief executive of the AeA. One culprit is the dearth of U.S. engineering and computer science college graduates. Second, immigration caps have made it difficult for highly skilled foreign-born employees to obtain work visas. Congress has been debating whether to increase the numbers of foreign skilled workers allowed into the country under the H-1B visa program.' "

67 of 360 comments (clear)

  1. Incredible by Moggyboy · · Score: 4, Funny
    The industry chiefs finally realized that you get what you pay for. Amazing.

    (Sarcasm stemming from having to spend two years of my professional life on a contract fixing "subcontinental code" - ah well, I guess it paid MY bills).

    --
    Work smarter, not harder.
    1. Re:Incredible by rlp · · Score: 4, Informative

      > The industry chiefs finally realized that you get what you pay for. Amazing.

      Not really. This is part of a PR blitz to raise the H-1B cap. Otherwise, in order to increase supply they'd have to increase salaries. And we wouldn't want that, would we?

      --
      [Insert pithy quote here]
    2. Re:Incredible by HomelessInLaJolla · · Score: 2, Informative

      Or they realized that they don't need to pay Americans all that much. It's not just a salary vs. salary consideration. The relatively higher American salaries are offset by the feel-good increase in local stock prices which come with employing Americans. There's also a political consideration, as federal Senators and Representatives are more eager to share information with corporate heads who are employing their constituents.

      Besides, there are now enough startups in India and China that the banks are virtually guaranteed an entirely new population of debt customers within the next generation. They can afford to back off and allow the businesses to reinvest in American shops. It's still profitable. With the oversea outsourcing scare firmly in mind the American job market is like a slave being dunked in barrel. It'll come up gasping for fresh air willing to accept whatever salaries they feel like handing out.

      --
      the NPG electrode was replaced with carbon blac
    3. Re:Incredible by Maxo-Texas · · Score: 2, Funny

      What bothered me most about them was that they never understood the concept of paragraphs.

      It made it hard to read their writing.

      --
      She was like chocolate when she drank... semi-sweet at first and then increasingly bitter.
  2. 100% predictable by Russ+Nelson · · Score: 3, Insightful

    This was 100% predictable. I'm too lazy to go find where I predicted it, but every industry consists of a mix of inputs. The inputs are chosen based on their value to the company in producing the final product. If you make one of the inputs cheaper (by including outsourcing) (or by including Open Source) that causes the industry to use *more* of the product over time. In the short run, they'll use less because all of their processes are predicated on using the original mix. As they buy new equipment, hire people with different skills, and make new products, they can change the mix to make new of the new cheaper factor.

    PLus, I'm in teh race for fr1st p0st.

    --
    Don't piss off The Angry Economist
    1. Re:100% predictable by Russ+Nelson · · Score: 2, Informative

      2nd post; oh well. But here's where I predicted that this would happen (May 10th, 2005):
      http://angry-economist.russnelson.com/open-source- and-it.html

      --
      Don't piss off The Angry Economist
  3. Why bother getting into CS by Anonymous Coward · · Score: 5, Insightful


    thesedays when a plumber or car mechanic or even a house painter can make more money and doesnt have to bother with degrees etc

    dont blame education blame multi-millionaire executives (and shareholders who pay their wages) who think their workers are worth less than the person that paints their house or fixes their car, why would anybody bother ?

    pay peanuts get monkeys

    1. Re:Why bother getting into CS by Anonymous Coward · · Score: 2, Interesting
      thesedays when a plumber or car mechanic or even a house painter can make more money and doesnt have to bother with degrees etc

      I was helping my neighbor, who is in the trades, with his advertising fliers on MS Word - when I showed him the Ctl-Z combo, he loved it and thought is was the most awesome feature in Word. Anyway, I also helped him with his books...

      Me: grossed $87,000 working 60+ hours a week.

      Him: $150,000+ averaging 40hrs/week. Occasional weekends. But if he worked a weekend, it meant that he was OFF during the week.

      I felt really smart when I showed him the "Ctrl-Z" , then like the stupidest fuck in the World when I saw how much more he was making than me.

    2. Re:Why bother getting into CS by Mikachu · · Score: 3, Informative

      Because some people enjoy it?

      I don't know about you, but I could never see myself as a plumber or car mechanic or house painter. They're probably far easier than computer science could ever be, but I don't think I could find a fulfilling life in it.

      Why are people teachers when there's not a lot of money in it? Scientists? Come on.

    3. Re:Why bother getting into CS by Rotten168 · · Score: 2, Insightful

      90% of tech workers are worth less than house painters. Just look around on Slashdot... a bunch of bitter, ego-obsessed, antisocial losers. Completely unemployable and unlikeable.

    4. Re:Why bother getting into CS by 1u3hr · · Score: 3, Interesting
      I don't know about you, but I could never see myself as a plumber or car mechanic or house painter. They're probably far easier than computer science could ever be,

      Oh really. My father was a house painter, I worked at it on holidays for years. Try scraping rusty iron grill work down in 100 degree heat for a week. Try crawling on your knees for another few days sanding down skirting boards. Try lifting 20 foot scaffolds and walking along planks two storeys above the ground while using a power sander. Yeah spending a day in an Aeron chair playing with your nerf gun in between coding is much harder. And if you mean "brainless", well my father served a seven-year apprenticeship. Any idiot can slap on a coat of paint. The test is what it looks like six months later. That work was too damn hard for me to spend my life at. So I took the soft option of earning a Computer Science degree.

    5. Re:Why bother getting into CS by BoberFett · · Score: 2, Insightful

      Do you really think most IT jobs are all that interesting? For every CS whiz who's out there researching AI or writing games or some other area that's truly interesting, there's a dozen code monkeys or network admins who do the same thing day in and day out, and I doubt it's really all that much more interesting than painting houses.

  4. Holy unfounded optimism, Batman! by squarooticus · · Score: 3, Insightful

    The tech sector added some 150,000 new jobs 2006, and there are no signs that interest will flag in the near future.

    Emphasis mine. Now where have I heard this before? This should be your warning that the bottom is about to drop out of the economy again.

    Once burned, twice shy: be careful; protect your wealth; keep the best interests of your family in mind; avoid irrational exuberance.

    --
    [ home ]
    1. Re:Holy unfounded optimism, Batman! by timjdot · · Score: 3, Informative

      One problem I've seen is students have focused on Microsoft .net but in reality there are very few jobs there. Most large corporate systems rely on more standard technologies. Here in RTP we cannot find decent java/j2ee folks. Lots of posers who cannot answer basic CompSci questions... I hate to say it but I really question that some unscrupulous people from India may not even have the tech degrees they advertise. At a past company I asked the offshore team (HCL) to do a design document and even stubbed out the entire thing. They could not, within a month, produce anything worthy of even a D in a 102 CompSci class. I assume HCL actually has them staffed on 50 projects as the offshore team so they do little to nothing for each project. That allows HCL to have an L1 "manager" at each of the 50 projects who is really an individual contributor in fact. I saw Wipro doing this in the late 1990's too so it must be a common technique among the Indian contractors. Americans cannot compete because they send in resumes with real experience rather than hypothetical experience. Give me an MS from an American University any time over some poser claiming expertise in the latest fad technology.

      --
      Expect Freedom.
    2. Re:Holy unfounded optimism, Batman! by metlin · · Score: 4, Interesting

      Sadly, this is true.

      A lot of companies offshore do have employees with fake resumes. I know people from several "top" offshoring companies with resumes that look good but are full of crap. In a lot of countries (including India), your ability is gauged to be proportional to the length of your resume - you will find people with 4-5 page resumes and it gets ridiculous. If you have several years of experience and/or are a PhD with a godawful number of publications, two or three pages. Else, just give me a page long resume and nothing more. Of course, I am in R&D and usually people are sometimes asked to submit their CVs, which can be as long as they like.

      Secondly, these companies (HCL, TCS, Wipro, Infosys) hire engineers from all over the place. For instance, I know people who studied material sciences or marine engineering working as IT contractors or consultants. How much sense does it make? Of course, the reason they are hired is because you assume that having an engineering degree is representative of some level of analytical/quantitative skills. Which, of course, isn't always true because their hiring is a function of their academic performance. Once again, it boils down to the fact that academic performance != skill, which becomes especially true in an goal/achievement-oriented culture like India.

      On top of this, a lot of companies are known to add people to more than one project at a time. So, while you are technically a part of the project, you do not really do much. At the end of the day, your resume mentions several projects over a frame of just a few years, but you haven't really deserve putting them there.

      Add all this and you have the average resume from one of these companies looking way better than the average US kid. Any surprise then, that these kids aren't getting hired?

      (I'm not saying that all of this is true for everybody; obviously there are exceptions and some are better/worse than others, but there is definitely a significant percentage of people for whom this is true.)

  5. Outsourced Programming Skills by PrescriptionWarning · · Score: 2, Interesting

    how skilled is the average US programmer versus the average outsourced programmer? it seems it would be harder to communicate effectively to the outsourced person due to locality and language barriers, and would therefore possibly create some interesting roadblocks to development of a project.

    1. Re:Outsourced Programming Skills by xenocide2 · · Score: 2, Interesting

      Given the mix of master's international students that remain in the US, I'd say only marginally better. The good news is they communicate well with their foreign counterparts, and India has some history with English.

      --
      I Browse at +4 Flamebait

      Open Source Sysadmin

    2. Re:Outsourced Programming Skills by king-manic · · Score: 2, Interesting

      how skilled is the average US programmer versus the average outsourced programmer? it seems it would be harder to communicate effectively to the outsourced person due to locality and language barriers, and would therefore possibly create some interesting roadblocks to development of a project

      My cousin was top of her class in a regional tech college in Jiangmen, China. She can put up a lot of high quality code but she doesn't understand much about algorthms of any sort except implementing well solved problems based on references. She's basically the equivalent of a really good Community college grad in Programming with no theoretical back ground.

      She basically runs her firm along with her fiancee / company owner. They took on a outsorcing contract once. It was such a huge hassle working for an american firm. The contact had poor chinese skills (Chinese diaspora) and gave some fairly conflicting project requirements. The project ran over time, over budget, and was less profitable then some of the chinese onshore projects they had.

      Sometimes it's not the worker quality but the language thats the problem. If you can provide a good middle man who can sufficiently describe your needs and am willing to pay the right amount for the right firm to do it, it can be vert good. If you skimp and think the prices given 4 years ago are still valid then you will only hurt yourself in the end.

      --
      "There are more things in heaven and earth, Horatio, than are dreamt of in your philosophy."
  6. Mistakes learned. by jellomizer · · Score: 4, Insightful

    Great but now can we learn from our past mistakes of the 1990's?

    Mistake 1: Thinking IT is on top of the food chain. No we are not IT is on the bottom of the food chain we need to service everyone. You may get paid more then the other guy and you may be more skilled but who ever you are doing work for is your boss.

    Mistake 2: Not being professional. You should not stand out as the IT Guy because everyone else is wearing business casual and you are in tee-shirt and jeans. It is unfair and wrong but it is the way it is you need to dress to fit in. Otherwise you make people uncomfortable if they are uncomfortable your job can be at risk.

    Mistake 3: Saying No. They need to get the job done just not doing it because you personally don't like it will not help anyone.

    Mistake 4: Saying Yes. Being Blind to problems without brining them up in the beginning and getting someone else above you involved in a solution could lead you working on a quagmire.

    Mistake 5: Thinking you are better then everyone else. Just because they don't know the difference between USB and Firewire doesn't make them stupid. Just because you do doesn't make you a genius. Respect the people you are working with, and they will respect you back.

    Mistake 6: Respect your boss. They are a lot of bad bosses out there also a lot of good ones. Even if your boss seems to be cut from Dilbert you should give him the respect that they deserve. For being in that position. It means things like not publicly humiliating them and when arguing your point try not to make it personal.

    Mistake 7: Trying to change the world. Don't try to change the world just try to make your work environment better. Put your feelings about GNU, Patents, Microsoft.... Aside and focus on getting your work done.

    Mistake 8: Money doesn't matter. It does always keep an eye on how you are effecting the bottom line. You can save 10 minutes a day in computation but the cost for you to make that change would take 100 years to recover the costs then it is not worth doing.

    Mistake 9: Work should always be fun. If that was the case most people wont have a job. You need to do the annoying stuff as well as the fun stuff. They hire you to do the stuff that others can't or are unwilling to do.

    Mistake 10: You are separated from the business. Try to be involved in the business not make yourself a separate identity who just fixes the computers try to keep IT involved in the major decisions.

    --
    If something is so important that you feel the need to post it on the internet... It probably isn't that important.
    1. Re:Mistakes learned. by Red+Flayer · · Score: 4, Funny

      Even if your boss seems to be cut from Dilbert you should give him the respect that they deserve.
      Something tells me maybe I should give them more respect than they really deserve, since it wouldn't be professional of me to spit in their face every time they make a suggestion.

      and when arguing your point try not to make it personal.
      You must be new here, you jackass. ;)
      --
      "Trolls they were, but filled with the evil will of their master: a fell race..." -- J.R.R. Tolkien on Olog-hai
    2. Re:Mistakes learned. by sesshomaru · · Score: 2, Insightful

      Great but now can we learn from our past mistakes of the 1990's?
      You know, I actually remember being employed in the 90's. I remember the mistakes of the 90's.

      Well, except they weren't really mistakes, any more than a 3 Card Monty dealer has made a mistake when it turns out you can't actually win at 3 Card Monty.

      The truth is the mistakes of the 90's were primarily mistakes of finance, and this is a common problem in American business. The trouble is it is fairly easy to turn a business sector that's a home for honest, profitable business into a home for various scams.

      The stuff you are talking about? Well, a lot of it has to do with the lesser position IT workers are in now versus the 90's. In the 90's IT workers were at the top of the food chain. Investors were investing in Internet startups. In order to attract investing dollars, you needed tech workers and there weren't enough to go around.

      Tech was sexy and the idiocyncracies of West Coast tech workers (particularly former Phreakers like Woz and Jobs) were considered sexy. You didn't want to be the IT worker in the suit because that wasn't what investors wanted to see.

      I remember one of my bosses dressing up to go to a meeting with IBM and the IBM people taking pains to tell her that IBM was hip now and there was no need to be so formal in the meetings. The whole culture was different because it was a tech bubble.

      I never want to see a bubble like that in my line of work again because I value stability, but seriously, it had a lot more to do with button down finance types misreading the market and throwing money at dubious business plans than wearing jeans to work.

      --
      "MIT betrayed all of its basic principles."
    3. Re:Mistakes learned. by AgentSmith · · Score: 2, Informative

      A breakdown and rebuttal

      Mistake 1: Thinking IT is on top of the food chain. No we are not IT is on the bottom of the food chain we need to service everyone. You may get paid more then the other guy and you may be more skilled but who ever you are doing work for is your boss.

      Customer Service in an organization is vital. Who you work for is your client. But I ask you this: If IT isn't that important, why is IT is an after thought until something goes wrong? If I had a nickel for every war story where the company was saved by IT I'd be a very wealthy man. Don't under rate the importance of IT. The story's moral: IT is important, but be humble anyway ya prick!

      Mistake 2: Not being professional. You should not stand out as the IT Guy because everyone else is wearing business casual and you are in tee-shirt and jeans. It is unfair and wrong but it is the way it is you need to dress to fit in. Otherwise you make people uncomfortable if they are uncomfortable your job can be at risk.

      OK. This is right on the money. If you don't want IT to be involved in your workplace, go ahead and try to be an "individual". If people are comfortable with you, they will be willing to interact with you. Also they might trust your judgement more and get you more involved. Getting along sometimes is the grease on the wheel when pure logic isn't enough.

      Mistake 3: Saying No. They need to get the job done just not doing it because you personally don't like it will not help anyone.

      Saying 'No' just because you don't like it is BAD. Saying 'No' because you know it is NOT possible with the time,money and technology your organization has is GOOD. Have an open mind and at least look for a solution before completely canning it.

      Mistake 4: Saying Yes. Being Blind to problems without brining them up in the beginning and getting someone else above you involved in a solution could lead you working on a quagmire.

      Like Mistake 3. Too true. Mistake 4 is right on the money.

      Mistake 5: Thinking you are better then everyone else. Just because they don't know the difference between USB and Firewire doesn't make them stupid. Just because you do doesn't make you a genius. Respect the people you are working with, and they will respect you back.

      Completely on the money. Most low level IT work any monkey can do. You are hired because you took the time to learn those skills. Bob in accounting might be a wanker, but he too was hired for what he knows and what he can do! Also even if you are a genius, you can be replaced. Anytime anywhere.
      Like in Mistake 1 know your value but be humble.

      Mistake 6: Respect your boss. They are a lot of bad bosses out there also a lot of good ones. Even if your boss seems to be cut from Dilbert you should give him the respect that they deserve. For being in that position. It means things like not publicly humiliating them and when arguing your point try not to make it personal.

      I don't always like my bosses. Matter of fact I can hate my boss and think he is an embodiment of the Peter Principle. My boss also, signs my checks and does my performance reviews. I put my two cents in when asked and do my job. YMMV, but make sure you communicate with your boss and always CYA with emails if things go awry.

      Mistake 7: Trying to change the world. Don't try to change the world just try to make your work environment better. Put your feelings about GNU, Patents, Microsoft.... Aside and focus on getting your work done.

      Yup. Leave the soap box at home. If the opportunity opens to try to Open source etc. throw it out as an option, but don't look like a revolutionary fanboy while doing it. Nice concise logical arguments. Especially ones that show where your organization saves the money.

      Mistake 8: Money doesn't matter. It does always keep an eye on how you are effecting the bottom line. You can save 10 minutes a day in computation but the cost for you to make that change would take 100 years to recove

  7. Surprise, surprise by Red+Flayer · · Score: 3, Interesting

    AeA was founded to lobby the US Government for contracts for HP and HP suppliers.

    Today they lobby the US government for increased H1-B quotas to keep employment costs down, in addition to lobbying for contracts. It is in the best interests of tech companies to have an increased supply of qualified labor. Great -- although there will be a lag, if pay and prestige increase for these high-demand positions, more students will enter comp sci and engineering programs. Instead, AeA is asking the US government to subsidize their industry by increasing the labor supply.

    I'm not saying there wasn't job growth in tech sectors the past couple years. What I am saying is that AeA has an agenda to push, and it's not one necessarily aligned with tech workers.

    --
    "Trolls they were, but filled with the evil will of their master: a fell race..." -- J.R.R. Tolkien on Olog-hai
    1. Re:Surprise, surprise by radtea · · Score: 4, Interesting

      Increasing the number of H1-B visas won't address an important additional problem that the summary doesn't mention: increasing unwillingness of foreign tech workers to come to the U.S. because they have no rights there. Granted, some of them may be coming from countries where they have fewer rights than American citizens do, but once they enter the U.S. they have no rights whatsoever: not habeas corpus, not due process, not anything.

      I've worked in the U.S. in the past, but would be very unlikely to accept a position there since the passage of the Military Commissions Act of 2006, whose passage makes clear that the government believes that no constitutional protections apply to non-citizens, as it explicitly suspends habeas corpus for non-citizens suspected (for any reason) of terrorism. Given that the constitution explicitly forbids congress from passing any law that suspends habeas corpus except in cases of invasion or insurrection there is no reasonable interpretation that can be put on this except that foreigners have no rights in America. All it takes is one baseless accusation of terrorist activity against you, and you're out of luck.

      Given that this has actually happened, it is not at all unreasonable for foreigners to want to stay away.

      --
      Blasphemy is a human right. Blasphemophobia kills.
  8. conspiracy? by superwiz · · Score: 3, Interesting

    Let me be the first one (I think) to say that this is just another conspiracy to import more programmers to depress domestic programmmers' wages.

    --
    Any guest worker system is indistinguishable from indentured servitude.
  9. BS by timjdot · · Score: 4, Insightful

    This angers me alot. I grew up in SC and you can walk down the street and find people with IS and other tech degrees. These young adults are stocking shelves at K-Mart, selling cell phones, et cetera. Maybe its racial (they are usually but not always of African American ancestry) or maybe just plain horde mentality but with an annual household income of about $34K (less than 1/2 of most places in CA) I believe the claims companies cannot find American works are just flat out bullshit.

    --
    Expect Freedom.
    1. Re:BS by cmorriss · · Score: 2, Insightful
      I grew up in SC and you can walk down the street and find people with IS and other tech degrees. These young adults are stocking shelves at K-Mart...

      While I'm sure there are some cities in the U.S. that are suffering for a lack of IT jobs, it doesn't mean this is common everywhere. Available jobs of each type tend to group in certain areas. If those people were to move here, NY, I bet they would have no problem finding a job. I know several managers in companies who simply cannot find qualified candidates for needed positions. There are many other cities in the U.S. like this.

      Maybe if the job market sucks in your area, it might be time to look for a new job market.

      --
      10 minutes working on a sig. What a waste.
  10. Reap what you sow by pierced2x · · Score: 2

    "but our companies are having difficulty finding Americans with the background"

    If they didn't spend the past 5 or so years convincing the next generation of potential IT workers that all of their jobs were going to be sent overseas for next to nothing, they might have some people domestically with the skills they are looking for.

    The bottom line is their are people in the U.S. with the skills, they just cost more. Now they are running short of people overseas, and they have to start paying more.

    Yes, I am biased from my work on an Indian call center that included me being laid off at the completion of the project, so my ideas may be more emotional than rational. I think there is some truth in what I'm guessing.

  11. Consider the WAGES by TheGrapeApe · · Score: 4, Insightful
    which have been flat...
    Here's a quote from a Seattle Times article last week, that sums the point up rather nicely:

    Businesses bemoan the alleged shortage of Americans trained to do the work. But wait a second -- the law of supply and demand states that a shortage of something causes its price to rise. Wages in information technology have been flat.

    The companies fret that not enough young Americans are studying science and technology. Well, cutting the pay in those fields isn't much of an incentive, is it? I have yet to see any of the people complaining about the "lack of U.S. skill" answer that question adequately...
    1. Re:Consider the WAGES by lucabrasi999 · · Score: 2, Informative
      The companies fret that not enough young Americans are studying science and technology. Well, cutting the pay in those fields isn't much of an incentive, is it?.....I have yet to see any of the people complaining about the "lack of U.S. skill" answer that question adequately

      Oh, please. Hotjobs.com shows that the average salary for an entry level programmer in my hometown (Pittsburgh) is $55,000. No matter how you slice it, that's alot of freakin' money. I even checked a couple of other industries (Accounting and Architecture) and the entry-level salaries there are much lower --> I have to admit, I just picked two industries -- so I run the risk of not having a representative sample. But, I imagine if I spent an hour and picked most industries, we would see that IT still pays well. I believe that a 'lack' of salary is NOT the problem.

    2. Re:Consider the WAGES by Jah-Wren+Ryel · · Score: 2, Interesting

      Oh, please. Hotjobs.com shows that the average salary for an entry level programmer in my hometown (Pittsburgh) is $55,000. No matter how you slice it, that's alot of freakin' money.
      And if you look at the historical data, you'll see that entry level programmers were getting $54,400 5 years ago. After inflation, that means they are paid less today than they were 5 years ago. That's what the OP was taking about - if demand is up why are salaries down?
      --
      When information is power, privacy is freedom.
  12. Oh there's demand... by PingSpike · · Score: 2, Insightful

    I'm sure there's significant demand for skilled technical workers willing to work at crummy wages compared to other, easier to learn fields.

    In a related story, there is also significant demand for $1.00 lakefront homes.

  13. Re:In what universe? by ToxikFetus · · Score: 4, Interesting

    I graduated 2 years ago, and had a very, very, hellish time getting a decent job - especially in the entry-level programmer space.

    There's your problem. Most employers don't want to hire entry-level engineers. They figure they're just training you for your next job. It really sucks searching Monster and finding hundreds of 3-5 years-of-experience listings and zero entry-level listings.

    The good news is that once you land your first gig, within a couple years you'll be sitting pretty. I haven't updated my resume in about a year and I get interview requests on a weekly basis. If you live in a good market, those same companies that stiffed you in the past will be all over you like stink on a monkey.
  14. This statement is never qualified by arnie_apesacrappin · · Score: 4, Insightful
    There would have been a lot more than 147,000 jobs created here, but our companies are having difficulty finding Americans with the background


    Every article about outsourcing or jobs in general has a quote along these lines. And they never qualify it with "for the rates they are willing to pay." Unless a company is doing some serious, way-out, pie-in-the-sky research, there are people that can and will do the job for the right price. Employers just don't want to pay it. If a company really wants a CCIE with 20 years experience in networking for a position in New York City, they just might have to pay a premium rate. I didn't take Econ 101, but it seems like simple supply and demand to me. How come limited supply increasing demand is good when companies want to sell products, but bad when they are hiring?

    --

    Still, with a plan, you only get the best you can imagine. I'd always hoped for something better than that. -CP

  15. Re:In what universe? by Lockejaw · · Score: 4, Insightful

    They say there's higher demand, but higher demand is supposed to lead to higher salaries, more jobs, or both. Why do we keep hearing that neither one is happening?

    --
    (IANAL)
  16. Re:In what universe? by timjdot · · Score: 3, Insightful

    Someone ought to do a study on how many people got IT degrees over the last 7 years and do not work in IT. Now that would probably be well over 147,000. In fact, just conjecture, I'm guessing around 50,000 per year and as many as 350,000 and that's not including tech schools and other training programs.

    --
    Expect Freedom.
  17. Blame TV, it shapes kids' interests by Morgaine · · Score: 4, Interesting

    You harvest what you sow.

    When you sow the message that the path to gleaming limos and the high life is through thug culture and pimping out your women, and not through intellectual pursuits or even good old-fashioned productivity and invention, then that's the kind of youngsters you breed. And the effect on the nation's future in advanced technology is then 100% predictable.

    Cool high tech doesn't appear by magic out of nowhere. You have to be highly educated (or at least self-taught and highly motivated) to work at the advancing edge of technology, and that requires a large amount of skill and deep interest in the topic. The message delivered by the telly is that those things are extremely uncool, unhip, and frankly "really dull, man".

    But it's a free country, right? So people can broadcast whatever they want, even messages that are contrary to our self-interest?

    Sure. But eventually you lose that precious freedom if you forget that real wealth (not just money) comes from progress and invention, because you'll end up in servitude to those nations that understand that you have to safeguard your future freedoms too, not just your current-day ones. And that means making education and technology and being intelligent cool in the public eye.

    There is a solution, and it's compatible with our current concepts of daily freedom. We need special interest group and lobbying corporations and a whole raft of think tanks to be giving the message of "tech and education is damn cool, and very profitable" to media, business, politicians, the to blessed public too, alongside the output of MTV and the RIAA delivering the message of self-destruction.

    It *is* possible. But it will require some effort on our part.

    --
    "The question of whether machines can think is no more interesting than [] whether submarines can swim" - Dijkstra
  18. In a perfect equilibrium... by nick_davison · · Score: 5, Insightful

    The industry chiefs finally realized that you get what you pay for. Amazing.

    That statement is true only in a perfect equilibrium.

    Most equilibriums have a degree of lag. Supply increases in one area, demand takes a while to catch up so costs are low. Demand increases in an area, supply takes a while to catch up, so costs are high.

    Businesses are profitable by moving faster than that equilibrium shift and exploiting it. Businesses lose profitability the closer they are to an established equilibrium and they outright lose money when they fall behind it.

    India is a great example:

    There were a lot of very highly skilled engineers with minimal to no demand for their talents and thus would work for next to nothing. Smart businesses identified this and exploited them. Those businesses could now get high skill levels for very low cost.

    Everyone else saw these profits, Newsweek wrote articles on it, everyone moved in to the sector. As demand increased towards supply, profitability decreased. As demand exceeded supply with many dumb U.S. businesses working on articles and quotes from three or four years earlier, costs increased rapidly, the supply of skilled engineered diminished, many poor engineers saturated the market looking for the now great wages, it became a lousy area for U.S. businesses to exploit.

    The same has gone for big screen TVs. A few years ago, Circuit City, Best Buy, CompUSA, etc. were making a killing on every high end unit they sold. About a year ago, Walmart finally woke up, realized there was money to be made, slashed the margins so it could insert itself and killed their business model. For a long time, demand for TVs was greater than the number of stores supplying, profits were high. Once Walmart and Target realized there was money there, supply increased, profits decreased.

    It happened in the U.S. with the dotcom bubble and it's happened more recently with housing. For a while, a given market is massively exploitable. Over time, everyone thinks it's exploitable, everyone moves in to doing it, the margins decrease, it loses its exploitability.

    So, your statement is only partially true...

    Over time, yes, you get what you pay for (you may even get less if you're on the wrong side of the wave).

    BUT, if you're smart enough to identify the trends and get there ahead of others, you really can get far more than you pay for.

    For those that bitch about high executive salaries, that's what they're often really getting paid for: They're people who've established they're good at staying ahead of the wave, surfing its leading edge and keeping their companies hugely profitable. If your ability can keep your company on the leading edge of the equilibrium wave, making $500m more a year than a company that rode the top of the wave, isn't it worth paying you $50m for that edge?

    1. Re:In a perfect equilibrium... by miskatonic+alumnus · · Score: 3, Insightful

      For those that bitch about high executive salaries, that's what they're often really getting paid for: They're people who've established they're good at staying ahead of the wave, surfing its leading edge and keeping their companies hugely profitable. If your ability can keep your company on the leading edge of the equilibrium wave, making $500m more a year than a company that rode the top of the wave, isn't it worth paying you $50m for that edge?

      In a word, Enron.

    2. Re:In a perfect equilibrium... by syntaxglitch · · Score: 4, Informative

      For those that bitch about high executive salaries, that's what they're often really getting paid for: They're people who've established they're good at staying ahead of the wave, surfing its leading edge and keeping their companies hugely profitable. If your ability can keep your company on the leading edge of the equilibrium wave, making $500m more a year than a company that rode the top of the wave, isn't it worth paying you $50m for that edge? I don't think anyone would begrudge your hypothetical executive his huge salary. The complaints usually center more on poor evaluation of performance--the salaries of all executives are set at a level fully appropriate for the highly skilled exec you describe, but underperforming execs are typically not punished much and, because of organizational inertia, may even have already left with big bonuses before the problems they caused become apparent.
    3. Re:In a perfect equilibrium... by Grishnakh · · Score: 5, Insightful

      No one worth listening to is complaining about highly-paid executives of companies with stellar performance. What they're complaining about is overpaid executives who drive their companies into the ground and then collect huge bonuses for it. A good example of this is Bob Nardelli of Home Depot, who drove the stock price into the ground, was almost facing a shareholder revolt, and collected enormous bonuses while in the company and also on his way out. Why are companies paying this kind of money for incompetent people who are ruining their businesses?

      Personally, I no longer shop at Home Depot.

      Another good example is Carly Fiorina of HP; got rid of the test & measurement group that did actual innovation, turned the company into a printer maker and white-box builder, and then took a nice golden parachute.

      Or how about the guy who took over SGI, ran it into the ground by making them move to Windows NT, then took a golden parachute and went to work at Microsoft?

      There's so many examples of this crap it's not even funny. There are examples of well-paid CEOs of companies with spectacular performance, such as Whole Foods, but you don't hear much about these. Probably because no one's complaining about them and the shareholders are happy.

    4. Re:In a perfect equilibrium... by Maximum+Prophet · · Score: 3, Interesting

      This is how this happens:

      100 mid-high level executives take aim at the corporage dart board. 50 of them miss, 50 hit. The 50 that miss, more on to other "opportunities." The 50 that hit get promoted.

      Someone at company X, that needs a CEO, notices one of those 50 and says, "Hey, lets get them, they hit it big there!!!" Company X makes an offer to hire the executive, but the exec, not being too dumb, won't leave a good thing without guarantees, says "Ok, but I want A, B, and C and you have to give me M million dollars if you let me go early." Company X says, "No good exec would leave their current gig without a guarantee, so OK." Once the new exec is in place, not only do they not have their former support staff that may have been the reason for their success, but now they have the corporate equivelent of tenure and can try any goofy idea they want without fear that they will loose their shirt like if you or I if we lost our jobs.

      Sometime it takes several iterations of step 1 before you can become CEO, but it's a good job when you can get it.

      There are CEOs that worked their way up the ranks of the company they work for. We rarely hear their names associated with big corporate collapse do we? (Usually the insiders are too static for the board, so they go with a outsider to shake things up.)

      --
      All ideas^H^H^H^H^Hprocesses in this post are Patent Pending. (as well as the process of patenting all postings)
  19. PR blitz +1 by pkbarbiedoll · · Score: 5, Insightful

    My thoughts exactly. There are plenty of jobs available for workers, and plenty of US workers available for jobs. This article is yet another round in the ongoing saga of corporate interests applying downward pressure on wages.

  20. Simple explanation by geek · · Score: 4, Interesting

    Most of us burned int he dot com fiasco gave up. Myself and probably at least 20 friends all lost our jobs while some exec got rich with his golden parachute. We've all since moved on to other things, some, like myself, went back to school and switched careers. Others went blue collar so they could spend time with family. The truth of the matter is the industry is corrupt as hell. I still remember my companies President walking around the office bragging how he was going to sell the company, fire us all, and retire in Tahiti. I had multiple CEO's in a matter of 6 months, each one trying to pimp the company off to the highest bidder. They never wanted to build anything, make anything, or provide any security. It was, and still is, about a quick buck.

    I am a highly skilled IT person. I used to make a lot of money but have settled for less than a third of what I used to make simply to avoid being on call, working 18 hours a day and putting up with management that doesn't manage anything other than their own checkbooks. I would rather have a life, some self respect and dignity. Fuck IT. I'll never ever do that professionally again.

  21. Re:In what universe? by Rakishi · · Score: 2, Insightful

    Or instead of sitting on your backside waiting 9 months for a job you could go an get experience. I don't mean a job, I mean experience. Volunteer, network, talk to local companies, work with local companies, do work for local charities, etc. In addition to that learn new skills, if you can't be a programmer see if there are any related or more specialized fields open.

    If you can't put actual work or be even minimally creative in finding a job then its only your fault that you don't have one.

  22. I can believe it by MikeRT · · Score: 4, Insightful

    A few things you're not considering:

    1) The only two pretty reliable technical degrees on the software development side are Computer Science and Software Engineering; IS/CIS/MIS/BIS/IT are dumbed down, and they pay a lot less on average for the same position because they're assumed to be bringing a weaker knowledge with them.

    2) Non-software development positions are better filled by people with real experience of any kind that people with real technical degrees. There are very few schools that will teach you how to be an admin type.

    3) You may have to move. To get a good job, I had to leave rural Virginia for Northern Virginia.

    4) A lot of people who go into these degree programs are horrible at practical work. Not just lazy, but they genuinely suck at it. I'm not being elitist here, but just because you have a degree, doesn't mean you are capable of performing a job. GPA doesn't necessarily mean much either. Brilliant people often get 3.0 GPAs in Computer Science for a variety of reasons. I've known people who are mediocre at best who had 3.8-4.0 GPAs in the subject, all because of hard work and memorizing the textbook and lectures.

    1. Re:I can believe it by Cragen · · Score: 2, Insightful

      From one NoVA to another NoVA: if you are always sticking to the CS and SE folk, you are missing a treasure trove of talent that wants to do the work. Granted, there are folk who can't learn and those who won't learn, but there are also beaucoup folk who do want to learn and, believe it or not, are willing to pay the working dues necessary to work their way up the ladder, from the bottom. Face it, you and the rest of NoVA are never going to have enough CS/SE types. There are lots of jack-of-all-trades folk in everybody's woodwork. There's a management analyst kid here (w/2 kids & a wife) who built his own Linux (wireless) Music/Video Theater when he's not re-building 60's & 70's VW bugs. He's a better admin by nature now than I was by studying. I have no doubt that he could code with the best, if he thought it was fun. If I were my boss, no matter what the job, that is the kind of guy I want working for and with me. Fortunately, my boss feels the same way. Good luck.

  23. One big part of the growth by Anonymous Coward · · Score: 2, Insightful

    Don't forget that 180,000 H1-B Visas expire this year. This is the first part of the obscene growth in H1-B's from 6 years ago. We have two more years of 180,0000 limits to go through, because H1-B visas last for 6 years.

    THIS is why all of the H1-B's were issued in one day this year; you've got 180,000+ people competing for 65,000 (or 85,000 to be more accurate) Visas. And you can look forward to the exact same phenomena happening over the next two years, before the limits went back down to 65,000 in 2004.

    And this is exactly why the outsourcing industry has been pushing so hard to raise the limits. The big players stand to lose A LOT of money.

    It's no coincidence that the U.S. job market is now starting to take off. 95,000 jobs is a large chunk of the current unemployment rate for U.S. tech workers.

  24. Somewhat of a relief. by brain1 · · Score: 3, Insightful

    Well, I'm glad I didn't give up on engineering. After 20+ years in the field, working in analog, rf, and digital, I had almost given up and changed fields thinking that outsourcing plus imported workforces would finally kill my career off.

    Hopefully the demand will keep wages where they should be. I'm tired of jerks with nothing more than a "C"-average MBA in spewing worthless marketspeak make twice my salary.

    In order to attract good, skilled, qualified, dedicated people - you have to pay them. And add incentives, benefits, and merit raises to keep them. Not underpay them and have them sit under a dangling axe just waiting to be outsourced into oblivion.

    What sensible person would put in 6+ years of engineering education plus student loans just to be underpaid and fear their job might go away at any moment.

    Looks like the field might still have a chance of survival...for now.

    -dh

  25. Offshoring kills the ground level of tech by DemonWeeping · · Score: 4, Interesting

    I wrote this essay on my personal blog here but will duplicate it in this thread: Most of the complaints about offshoring service jobs center around the lower quality of service received. When a customer and a customer support representative have a language or accent barrier, the experience is already swinging into the negative. While this is a valid concern, there are more backlashes to offshoring than thick accents. I'm going to tell a story of a young man with no experience and no degree. Through basic computer knowledge and motivation alone, he started out as a level 1 tech support representative for a big modem company. This was a placement through a contract job and when a bigger networking company bought the modem company, the contract ended. (Later, the whole Skokie, Illinois building was sold and support was moved.) From there, he got several other fortunate contract placements that built his resume and experience significantly. From Level 1 tech support, he grew up through higher technical positions, then low to middle management positions, and mid-level to high-level engineering roles. Over a decade later, he's doing well for himself as a systems engineer for a very stable internet services company. While the lack of formal training and education have held him back a couple times, employers found his on-the-job skills and real-world experience to be very valuable. He's also a blogger. In fact, he's writing this post. I am sure I am not the only example of someone whose success is wholly attributed to "climbing the ranks." A decade later, there are more computers, gadgets, and connectivity systems than ever and it would be a great breeding ground the next generation of engineers... Except for one thing: There's no ground level. Entry-level CSR positions are now overseas, so anyone attempting to get into this industry must go into debt for a college degree. Four years and $80,000 later, they have to hope they can land one of the few remaining positions in the tech industry without any real-world experience. From there, it's a long, hard road to the higher positions. And what of the higher positions? What happens when the engineers do not have the experience and history of "face time" with end users? Do the designers know what the people want? Is there some fundamental disconnect that happens when engineers and developers are so far removed from customers? If you ever dealt with Windows Vista's security center, you may know. If corporations continue to destroy the ground floor of the technology base, we will have no more American engineers. Please, tech companies, bring the technical support and entry-level jobs back to America. It shows loyalty to your consumer base, dedication to quality service, and most importantly, a logical path for career growth for the next generation of geeks.

  26. Job Interviews by Khammurabi · · Score: 2, Informative

    I've interviewed job candidates for the past 2 years for a small company and the honest truth of the matter is that most people with CS degrees are horrible programmers. About 50% don't make it past the phone interview, and of those who do, we've probably hired about 20%. We're mainly a C# shop, but we look for anyone with OOP background and if they know a C language or Java we'll phone them up for a pre-screen.

    We require the candidate to do a couple critical thinking and programming tasks during the on-site interview, and you'd be surprised how bad other people's code can be. Three or more loops to collect data that could be done in one. No persistent data storage for objects. No comments in the code. Inability to fix code to the desired standard after being handed a spec. Not testing the code to see if it works (not even a paper run through).

    The critical thinking exercises help us see how an individual tackles and solves a problem. We can discern whether they have more of an academic or pragmatic approach to coding. It also helps us see whether people can catch obvious answers if they're available. We use it to gauge how much direction they'll need if we hire them, and where they'd be immediately useful.

    I doubt most companies are as rigorous as we are in the hiring process, but from my interviews it's blatantly apparent that the individuals who rely solely on academic credentials are at least 1-2 years from being useful to a company. Whereas candidates that do any kind of side project or personal coding on their own are more likely to be useful within a shorter amount of time.

    In summary, learn the latest technologies, bring your OOP skills up to snuff, and do some fun side projects of your own choosing. There are enough free development platforms out there that it shouldn't be difficult to keep your skills in practice. And remember that just because you have a degree doesn't mean you're any good at coding.

    Tip: Go to Worse Than Failure (formerly "The Daily WTF") and learn what NOT to do. So many people we've interviewed couldn't tell us what's wrong with some of the examples listed there.

  27. Fund schools, not visas by KC7GR · · Score: 3, Insightful

    Maybe, instead of rasing the cap on H1-B visas, it would be wiser to INVEST in our education infrastructure starting at the high school level. I don't know how many HS's are left that even teach things like basic electronics or engineering skills, but the earlier you start such the more likely you are to fire up interest in the students.

    Keep the peace(es).

    --

    Bruce Lane, KC7GR,

    Blue Feather Technologies

  28. You want to really know why collge grads are down? by LullySing · · Score: 2, Interesting

    You know, i've actually had little brothers and sisters of friends come and ask me about a career in computing. And i've been extremely honest in telling them that unless they have an extremely high resistance to bullshit and doing crap jobs for a few years post graduation "so they build experience" to forget about it, and do something more constructive for society than work for the computing industry.

    I'll give you a hot tip : because most of the "new" jobs are mostly trenchy and/or computer service over the phone type jobs. And while a lot of people win their lives with this stuff ( and i'm not knocking down the people working the trench, they should have their pay doubled, no questions asked ) it all comes down to quality of life. And stories of IT people going to work at K-Mart are too ingrained in our culture to make the prospect of that kind of employment a good strategy in the long term, UNLESS YOU REALLY DIG THE STUFF.

    An electrician actually contributes more to society, is well paid and has a respected profession that will be in demand for most of his professional life. I'm not sure i can say the same for most of the IT profession.

    --
    Peace and happyness to you, by LullySing ;)
  29. Imagine that.. by bmajik · · Score: 3, Insightful

    saving capital on one type of cost (90s era IT positions) frees up capital to spend it on other types of costs (domestic IT sector positions in 2007).

    Wealth is not a zero sum game.

    It sucks in the very short term to be a worker who is laid off because someone else can do their job more cheaply, but its better for everyone else in the entire world economy. By and large, those who direct the employment of stock do not simply horde it, as they know that they can get more return by skillfullly investing it.

    Humans are not insects. We can specialize when it suits us and we can adapt when it suits us. Do I ever fear losing my job? Sure. Do I have some money saved up to help? Yes. Am I developing contingency employment plans? Yes.

    Security and Freedom are often at odds, and employment is no exception.

    --
    My opinions are my own, and do not necessarily represent those of my employer.
    1. Re:Imagine that.. by bmajik · · Score: 2, Insightful

      Great. Bread will cost 15% less because the baking company and grocery store is spending less on IT.


      YES! That is the very defintion of progress. What is that 15% now going to go into? Some Grocers will pass on the savings to you and I (now what are we doing to do with that 15%? Maybe use the money we save as seed money for a small business?) Some grocers will retain all of it as profit.. (but probably not for very long, as the market corrects the price of bread). This profit will invariably be employed doing something else, and odds are, at least one grocer that has an extra 15% margin on bread will view that as a 15% budget surplus in their IT department.

      Meanwhile, all of us programmers will have gone from upper-middle-class salaries to scraping by on whatever we can find.


      I've forwarded your address to the Buggy Whip Manufacturers Union. I hear that they send the nicest Christmas cards.

      Computer Stuff is not some magic darling child of the professional world. We're worth what people are willing to pay us, and not any more. The same factors that make Software/IT a field where you can become a billionare in your garage mean that someone else can come along and steal your billions from their garage.

      Do you want freedom or security? There are other fields (like Law) where only Lawyers get to decide who can teach law, who can become a lawyer, and who can remain a lawyer. There's pretty good job security in law, i hear. But there are other downsides.
      --
      My opinions are my own, and do not necessarily represent those of my employer.
    2. Re:Imagine that.. by mutterc · · Score: 2, Interesting

      There's pretty good job security in law

      You might be surprised. I've heard about some law work (contract reviews, etc.) going to India. Ditto low-level doctoring (reading X-rays). Do a little Googling. Maybe law is primed for the same trouble IT has: All the entry-level stuff goes offshore, then after 5 years companies are shocked, shocked to find nobody local has only 5 years' experience, they start lobbying for guest workers, collapse.

      That's the part that makes this different than buggy whips: To what industry am I to move, even assuming I am infinitely intelligent and flexible, so I can learn to do anything well?

      I can't see any way that any job which does not have a strong requirement for physical presence (law does not) can keep any instances onshore. I also don't see any reason for manufacturing to have any presence onshore (how much is there today?) I have trouble seeing how a country can run an economy entirely on services, maybe you can help clarify that. (I've heard "foreign investment"; what foreign investor would invest in a 100%-services economy?)

      It's obvious that frictionless free trade would bring the entire world's standard of living to the same level (eventually, once an equilibrium is reached). Figure out the population-weighted average standard of living of the world. It's probably close to that of some of the poorer African nations. Let's assume that economic efficiencies freed up by frictionless free trade quadruple this standard of living. We're likely to still be at a level less than the poorest slums in the current U.S.

      Now we're at the real heart of the problem. The U.S. has such a higher standard of living than the rest of the world that the difference is unsustainable. As the world gets better-connected, the U.S. loses its comparative advantage, exerting a downward pressure. I personally think that surrent trends will lead to SOL's all squashed down to the absolute bottom (equivalent to the very poorest people in the world today), with a very small amount of super-rich. Your economic theories may vary, though.

      It might be a good and moral thing that we in the U.S. get whacked down to a SOL commensurate with the rest of the world, or even that 99% of the world lives in squalor while 1% live in luxury. I still have trouble liking it though. Call me selfish.

  30. Re:In what universe? by mcd7756 · · Score: 2, Insightful
    Perhaps the companies that really mean what they're saying will go to the local university and ask for a list of people who graduated with CS degrees over the last 7 years and start doing some calling/mailing.

    But being cynical as I am, I suspect it's really just an exercise to drive salaries down with H-1B hires.

    --
    Am I not destroying my enemies when I make friends of them? --Abraham Lincoln
  31. Entry Level Jobs by emeri1md · · Score: 2, Insightful

    One thing I have noticed in the past few weeks is the lack of entry level jobs. Many of them seem to require 1-2 years experience. One required 3-5. Furthermore, many required knowledge of something that cannot be found within the realm of academia. With all these requirements, how are college graduates supposed to find work?

  32. Re:In what universe? by HazMathew · · Score: 4, Insightful

    Thanks, I see a lot of "bad" attitudes on here, especially concerning the tech job market. Guys, the market is hot right now, companies WANT to hire Americans. The problem is they want people who have shown they can do the job which means a little experience. Where are your college internships? co-ops? Hardly anyone ever falls in love with their entry-level job. You work for a few years and find something better. Thats just the way it is. Don't expect to get a $70K/yr job with your shiny new CS degree and no experience. The point is to always be progressing. If you can't change something you might as well accept it rather than waste your time fighting. The universe owe's you nothing, you never get what you deserve, only what you negotiate.

  33. Re:storyteller by jedidiah · · Score: 2, Interesting

    If you are your own business then of course you can make more than someone that's an employee. That's simple, basic economics. It's like comparing yourself to a 1099 contractor who's encorporated himself. It's not so much that the tradesman is a tradesman as he is an independent businessman.

    If this tradesman is an employee and making 150K then it probably just is a made up story.

    Part of being your own boss is avoiding the surcharge on labor that your boss charges for your time to the final customer. Cut out the middleman and you can keep that surcharge for yourself.

    Pretty simple really.

    --
    A Pirate and a Puritan look the same on a balance sheet.
  34. Read the article carefully by monkeyboythom · · Score: 2, Insightful

    It comes from BusinessWeek. It's market place is for business management not employees. Offshoring is not a myth. It continues and is growing. The story states nearly 150K jobs created but it also mention the fact that over 1 million jobs were sent out of the country. And this trend is not likely to stop or slowdown any time soon.

    Also, Congress is looking to increase H-1Bs into this country. The dearth of qualified tech professionals was the same rallying cry for new visas ten years ago.

    Basically, it is not a myth to offshore. H-1Bs do not solve the issue of filling in the gaps for businesses. Job openings are filled as soon as they are posted. The ones that go unfilled are posted by business managers who fail to see why a a good developer should be paid almost as much as they even though they they think it's that "same web stuff my kid does on his cell phone" belief.

    Business will always want cheaper labor costs and they will continue to offshore until the benefits of it are no longer apparent. Dell is the perfect example: they pulled the business Help Desk call center from India when business threatened to stop paying on contracts and canceling orders because they couldn't understand what the heck Help Desk was saying. And this was only for business. They kept the personal computer Help Desk in India because losing one or two support contracts and people who have already bought the system was not losing them money.

  35. 1997 wages by tacokill · · Score: 2, Interesting

    I started at Ernst and Young in 1997 as a "consultant". Back then, there were 5 levels: Partner, senior manager, manager, sr. consultant, and consultant.

    My salary - directly out of college - was $48,500 + bonus.

    And that was back in 1997. Since then, I got out of IT because it "wasn't going anyware". Sure, I had PLENTY of mid-level job opportunities but for me, I could see the writing on the wall. And the writing said: this is a lousy career because nobody will pay you what you are REALLY worth.

    In almost every other type of career I can think of, the workers "share" in the success of a company. It may be delayed, but it eventually trickles down into better pay and better bonuses (and options if you are lucky). IT is the only area where I never saw that happen. I saw lots of capital expenditure budgets go up, but I never saw the actual workers making more money. That pretty much sums up why I still *love* technology and computers but I can not imagine how anyone "gets ahead" in this career. Unless you are an owner of one of these companies......and I am not.

  36. Re:Don't put down my mechanic by fishbowl · · Score: 2, Insightful



    >But what's this about plumbing? I haven't hired a plumber in over 7 years

    You have time for it. This probably means you aren't running a business or are any type of artist or working two jobs.

    The reason you hire a professional to do a job is because the value of your time to yourself is much higher than the cost of hiring the professional to do the job. In my case, time spent working on cars or plumbing or fixing drywall is time away from either my job, my academic research, or my music practice. (I'm a software developer, a part-time student, and a musician, and no, I do not have time for slashdot.)

    --
    -fb Everything not expressly forbidden is now mandatory.
  37. Re:Whole Foods?!?!?!?! Whole Foods???!!?!?!?! by Grishnakh · · Score: 2, Interesting

    Hmm, that's interesting. I only mentioned WF because I skimmed a magazine article about executive pay and that was one example they gave of a company that was doing well and didn't pay their CEO over $1m (around $600k IIRC).

    That magazine may have been a little old. According to Google Finance, WFMI had excellent performance until January 2006.

  38. Bullsh*t by Maxo-Texas · · Score: 4, Insightful


    Wages have been generally flat since 2000. (disclaimer; mine have been going up but that's what the paper said today-- interesting that multiple sources are pushing this slant today with non-identical articles-- astroturf campaign??)

    Our company has over 200 indian nationals working for us from infosys INSTEAD of Americans.

    And there are rumors they plan to offshore the rest of our jobs in the next two to three years. It is really a race against inflation and appreciation of the rupee (18% combined inflation and appreciation means indian workers will be *double* the cost in only four years).

    While I hope these companies fry in the pan they made by destroying so many american IT people's lives that the students all got the correct idea that you didnt' want to spend $50,000 to train for a field where you might get 3-5 years of work before being laid off for a year- lose your house- your insurance- etc.

    I understand that indians are cheaper and speak english. I have nothing against them and obviously work on a lot of projects with them. They can take these wages and live like kings back home for now.

    But I don't understand and agree with paying $5.50 a pill for my BP medicine that sells there for $.10. I don't understand paying $20.00 for the same DVD that sells there for $2.49. I dont' understand microsoft GIVING AWAY .net development software to them while it wants to charge me close to $800 for it.

    And I understand but burn with the hippocracy of laying off a $80k programmer but not laying off a $800,000 executive (whose job could easily be done by a competant indian executive).

    --
    She was like chocolate when she drank... semi-sweet at first and then increasingly bitter.
  39. Re:In what universe? by moeinvt · · Score: 3, Funny

    "Networking is a vital skill for any and all jobs, if you're incapable of it then maybe you should spend some time learning it instead of playing video games."

    Huh? Why the hell would you need to learn networking if you didn't have a job that was at least somewhat IT-related? Do you think a doctor or lawyer gives a damn about how their Linux machines are hooked up and how their packets are being routed? Most people just want the network up and running and otherwise don't give it a second thought.

  40. Re:Fine with me.. but make it REAL entry level. by Brownstar · · Score: 2, Interesting

    I live on the planet that where I did that.

    I co-oped between every semester of school while I was at school. Granted it took me 4 and a half years to finish school. But I had a job waiting for me when I graduated, and ~5 years out of school I'm making 100k. In addition if I wanted to leave my company I could get another 20k or more easily (I've been offered that by 3 companies without even looking).

    I could have probably done fewer internships and come out the same way, but I needed the money to help pay for school. And I figured it was better to do IT related stuff than work at the local McDonalds or tend bar.

    It also let me realize that I did not like doing Computer Setup, App installations and troubleshooting. And I didn't like doing Network Admin stuff. I really don't like laying network wire. Web design, and business applications were decent. I really liked doing DB stuff. I prefer working for a small consulting firm, rather than a large company. I now do ETL work. Based just on class work I would have never gone into DB or ETL work.

    And 2 years of internships, does not equal 2 years of full time work. Usually you do those between class semesters, so maybe a full year of working. If you do it all 4 to 5 years you're in school, it'll equal 2 years of full time work.

    But it is enough to get an "entry" level position. If you want something with out the requirements, look for junior or associate positions. Those are the true, "I'm just out of school with no experience" positions.

    And how is this any different than teaching, getting a business masters and doing an internship, trade skills where you work under some one else, law, nurses, doctors, or many other jobs? I know my older brother did the same thing in the mining/oil industry while in school. And most of my other engineering friends did the same.

    Internships also are not hard to find. Yes, it's hard to get an internship at MS or other large prestigeous company like that, but when I was in school there were plenty of smaller companies at job fairs looking for interns. More spots than we had CS/CE students. IT has it even easier, because non-IT companies still need IT people, and have IT departments. I interned for Ford, a Health Care software maker, a small computer consulting firm, a home mortgage company, and a CAD consulting company. Only 1 of those companies was programming/IT thier main business.

    If your school can't find you an intership during your summer months, either you need to find a better school, or more likely you need to try harder, go to job fairs, do some work on your own to find companies that offer internships, rather than spend the summer on your parents couch during the day, and getting drunk with your friends in the evening or playing WoW.