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Ask Slashdot: Why Are American Tech Workers Paid So Well?

Slashdot reader davidwr is "an American-born, American-educated mid-career IT professional." But he's still curious about why American geeks earn more than their IT counterparts overseas: If I'm a mid-career programmer looking for a job, why should I expect to be paid a whole lot more than my peer in India when applying for a job that could easily be outsourced to India? If I do get the job, why should I expect to keep it more than a year or two instead of being told "your job is being outsourced" before 2020? Is my American education and 5-25 years of experience in the American workplace really worth it to an employer?

Should we, as an industry, lower our salary expectations -- and that of students entering the field -- to make us more competitive with our peers in India and similar "much cheaper labor than first world" economies? If not, what should we be doing to make ourselves competitive in ways that our peers overseas cannot duplicate?

What's the secret ingredient that justifies those higher salaries? Leave your answers in the comments. Why are American tech workers paid so well?

587 comments

  1. Supply and demand by Anonymous Coward · · Score: 3, Insightful

    Employers wouldn't be paying it if we weren't worth it.

    1. Re:Supply and demand by Anonymous Coward · · Score: 1

      Obviously, it's our large penises.

    2. Re: Supply and demand by Anonymous Coward · · Score: 0

      Glad to know taht you're so proud that you're posting as AC.

    3. Re:Supply and demand by Anonymous Coward · · Score: 0

      Speak for yourself.

    4. Re:Supply and demand by monkeyzoo · · Score: 2

      Short but quite accurate. Supply and demand sets wages.
      1) Living costs are also much higher in the US than the nations with much lower labor costs.
      2) If a remote worker were really worth the same value to an employer as a local US worker, the difference in salary would not be so great. (Note: H1B workers fall between the two endpoints, indicating there is likely some value also created by "culture," mindset, or other non-strictly C.S. skills related attribute.)

    5. Re: Supply and demand by the_Bionic_lemming · · Score: 4, Insightful

      To live in cook county in the suburbs of chicago, a two bedroom home of less than 1000 square feet costs around 3500 a year in taxes. Add to that 4,800 a year to pay the mortgage for the home, retirement planning, gas, electric, water and food.

      That's before you can get internet - which has been driven up to over 600 bucks a year.

      Then there's mandatory car insurance and health insurance - also adding up.

      So when you need to be able to pay 20 grand after taxes to live near where you work just for the basics, you start to get annoyed that someone living in a cesspool thousands of miles away for pennies on the dollar is arrogant about stealing your job.

      --
      _ _ _ Go for the eyes Boo! GO FOR THE EYES!
    6. Re: Supply and demand by Anonymous Coward · · Score: 0

      I think managers that outsource to o India and h1bs should be investigated to make sure there aren't kickbacks.

    7. Re: Supply and demand by dgatwood · · Score: 1

      And that's still dirt cheap compared with the Bay Area, almost to the same degree that large cities in India are cheap relative to Chicago....

      --

      Check out my sci-fi/humor trilogy at PatriotsBooks.

    8. Re: Supply and demand by the_Bionic_lemming · · Score: 1

      the one great thing about who I am and where I work? You're screwed blued and tattooed trying to steal my job.

      I have to be on premises and fixing stuff when the need arises.

      Good luck on being able to not pay enough to live locally and offset my salary.

      --
      _ _ _ Go for the eyes Boo! GO FOR THE EYES!
    9. Re:Supply and demand by Z00L00K · · Score: 4, Informative

      The US total cost of living is also higher, just because the salary is high and you get more in your hands don't mean that you actually earn more since a lot of that money is used to pay for your living like property taxes and various fees.

      The US citizens pays property tax and a lot of fees, Europeans pays income tax - so the overall tax pressure isn't that different. The main difference is that cost of consumer products is relatively viewed lower in the US compared to Europe so a TV is cheaper.

      --
      If builders built buildings the way programmers wrote programs, then the first woodpecker would destroy civilization.
    10. Re: Supply and demand by Anonymous Coward · · Score: 5, Insightful

      Forty to fifty years ago, Japan was known for making crappy products. Then they (among other things) revolutionized how cars were built and anything made in Detroit after 1980 or so looked like absolute crap compared to Japanese cars. Only in the last fifteen years or so have the American cars caught up.

      India and China has been used largely as "hired hands" for crap work in dev/IT until recently so they didn't "own" the problem. As they become owners of the concept, solution, and problem, they will adapt and learn. As more of their devs have spent 36 hours straight getting a customer around a problem that someone in their organization created, they will push quality in to their work more and more or just go out of business.

      Don't be too smug. The US is tiny in population compared to China and India and there is no indication that the random melting pot in the US is genetically better suited for producing quality products. Hence, the center of international development will move to China and India -- it's inevitable just by the numbers. Additionally, many Chinese and Indians kids are striving (at their parent's insistence) to excel and learn to work hard at a very early age to get good grades etc. just as American kids are increasingly being praised for being "special snowflakes" and "the best you you can be" and getting "participation awards" just for showing up. It won't end well for Americans in HW/SW dev or IT unless we wake up (I don't think we will).

    11. Re: Supply and demand by Anonymous Coward · · Score: 0

      As lives in foreign countries are improved, they too form unions, government regulations are added, and people seek better wages and improve their living conditions. Good for them and 'Globalization'.

      Outsourcing to India, etc., has seen a drop and in some cases a reverse.

      As that happens, companies move elsewhere for cheaper labor or for automation.

      The problem is there are less and less places to 'hide' or do whatever in a 'connected world'. Ireland and companies there are facing this daily.

      Eventually this will all cycle back and affect us all both negatively and positively.

      Look at Uber and how everyone was so happy to have this new 'disruptive' business model. Oooo, wow.. until taxi drivers became effected. There were / are arguments at all levels back and forth. Fast forward to now and the future when Uber wants to do away with drivers... weeee, now the people that supported it are fighting along side their sworn enemies...

      FWIW: I'm all for globalization in moderation, until it reaches a sort of equilibrium if ever possible.

      To go back to the OP though, I think it's worth noting that India among many other countries were not 'leaders' in the tech-age. They were followers, that eventually caught up and are able due in large part to their economic statuses in the past, able to offer wages at these non-competitive points.

    12. Re: Supply and demand by Anonymous Coward · · Score: 0

      You've heard the expression, "You get what you pay for"? It's true for labor just as it is for capital. Some labor is worth paying more for. Smart people recognize this; others never do. Which type of person are you?

    13. Re: Supply and demand by Anonymous Coward · · Score: 0

      Please don't equate h1b with outsourced to India. They are very different.

    14. Re: Supply and demand by Anonymous Coward · · Score: 0

      I can't help but laugh when you point out that American costs of living are high. Try Europe - I reside in Switzerland and dream of retiring into a low-cost country like yours.

    15. Re: Supply and demand by larwe · · Score: 1

      You're aware, I assume, that the equilibrium position for globalization is a truly level playing field where the standard of living in a rural third world village is the same as that in, say New York City? (This assumes zero transportation costs, or a work mode, such as telecommuting, that doesn't require transportation).

    16. Re: Supply and demand by KermodeBear · · Score: 5, Insightful

      I've had good experiences with development teams from China, actually, but that's just one data point. India, however...

      It's like the developers out of India simply don't care. Code quality, functionality, deadlines, figuring anything out on their own, the amount of hand-holding I've had to do is extremely frustrating. So, I spent some time one night searching the 'net and looking for information on how the schools work over there.

      Turns out that many of the schools in India don't actually teach you much. Their courses are geared towards rote memorization and following instructions. If you want them to do A, and only A, with no changes, they can do A very, very well. Once you deviate from A, even just a bit, they won't know what to do.

      They call it "mugging" over in India (and no, not mugging as in attacking someone and stealing their cash - I have no idea how the term came to be). You memorize. You don't deviate. You do not think for yourself. You do not understand a concept and come up with a solution; you only follow the solution that's been provided.

      It really does seem to explain all of the issues I've ever had with IT workers out of India. There's limited capability for problem solving because they're not taught how to solve problems in a general sense, they're simply taught the solution to a specific set of problems. Give them a step by step set of instructions and it will be done - but then why not just automate?

      In contrast, American schools push students to understand concepts first and then apply them to find a solution. We're trained to solve problems and to think. That seems to be the core difference.

      --
      Love sees no species.
    17. Re: Supply and demand by Anonymous Coward · · Score: 0

      With a good retirement and savings plan which your insurance company will take care of, you should be able to retire in Switzerland. Zuerich is one of the most expensive cities to live in and yet I manage with no problems at all. Except the zueridutsch...

    18. Re: Supply and demand by javaman235 · · Score: 3, Insightful

      That's what people dont know, the fact that 50% of the world lives on less than $2 a day, and in India you can hire servants for that price in the boonies. The fantasy is that the US wages can keep dropping to compete with this, without things like real estate values crashing.

      --
      -The art of programming is the pursuit of absolute simplicity.
    19. Re: Supply and demand by servies · · Score: 1, Informative

      Only in the last fifteen years or so have the American cars caught up.

      In your dreams only....

    20. Re:Supply and demand by Anonymous Coward · · Score: 2, Informative

      That's why you're getting outsourced to India.

    21. Re: Supply and demand by Anonymous Coward · · Score: 0

      This is some kind of internet tough guy we got here.

      Too bad soon you'll loose your Burger king hamburger flipping job, because we're writing the code to automate your job!

    22. Re: Supply and demand by Darinbob · · Score: 4, Insightful

      Another problem is with Indian management. Any problem they will claim they can solve it. Get the business first, then yell at the employees to get the impossible task done. If it fails blame the workers. It feels somewhat adversarial between management and worker, rather than being parts of the same team.

      As for Indian workers who know how to do stuff, most of them are already in America and other countries.

      I do foresee a problem for India in the future as it seems they've put too much emphasis on a single things - basic IT. Manufacturing and design is lagging.

    23. Re:Supply and demand by AK+Marc · · Score: 3, Insightful

      Nope. Value sets the cap. If the person doing the job creates $1M in value for the company, then that position is worth $1M, and would pay 50-75% of that if there was only one person on the planet who could do that job. You hire that one person, or you lose out on $1M in value.

      But if 1M people could do that job, and they would work for $1 per day, then the value of the job is still $1M, but you'd pay someone $1 to do it. So the workers set the minimum at $1, and the company sets the maximum at $750k. So the supply and demand is a factor, but far from the only one. As there are billions of people that would work as a CEO for $20M a year, but the pay for that position is still insanely high. So supply and demand fails, as it's only just one piece.

    24. Re: Supply and demand by Darinbob · · Score: 0

      I'm not being replaced. I'm not a IT help desk flunky. If that's the career you chose then get used to being one in a million interchangeable employees. I'm sort of tired of slashdot thinking that "tech" means "IT". Not the same thing at all. IT at the moment is a service center job, helping out other employees rather than building things for customers (if you do build things for customers then you're a developer or engineer, not IT).

      If you are proud your staff is being replaced, then get ready to be replaced yourself.

    25. Re: Supply and demand by jtgd · · Score: 2

      Yeah it's pretty bad here in California too, paying $4,800 a month for mortgage and... wait... did you say $4,800 a year???

      --
      J
    26. Re:Supply and demand by DivineKnight · · Score: 1

      Is trick question: "a job that could easily be outsourced to India."

    27. Re: Supply and demand by Anonymous Coward · · Score: 2, Interesting

      Another problem is with Indian management. Any problem they will claim they can solve it. Get the business first, then yell at the employees to get the impossible task done. If it fails blame the workers. It feels somewhat adversarial between management and worker, rather than being parts of the same team.

      As for Indian workers who know how to do stuff, most of them are already in America and other countries.

      I do foresee a problem for India in the future as it seems they've put too much emphasis on a single things - basic IT. Manufacturing and design is lagging.

      What this poster states I saw firsthand at my last job (a Fortune 500 company).

      The Indians came into the company as part of an acquisition. They bamboozled the senior management into thinking the Indian teams can solve any problem. It took those Indian teams over 2 years to deliver a working product to market ... and that timeline was probably shorten by the help provided by the American teams that had already solved the same problem (albeit with a more complicated and costly system that did not scale very well, but worked consistently well and was very quickly implemented & upgraded whenever needed). Eventually the American teams were let go from the company, leaving only the Indian teams and their "products".

      It is interesting to note that 1 problem the Indians claim they could solve was eventually removed from them by senior management, not because the Indian teams could not solve the problem, but because the timeframe for solving that business opportunity had passed before the Indian teams delivered any type of working solution (even for lab testing).

      What I saw of the Indian teams, both US-based and India-based, was a "very mixed bag" in terms of quality, and most of them did "poor quality" work compared to the previous American team and the very few Americans that the Indians decided to keep on the Indian teams. Yeah, the Indian "leaders" could talk a "good game", but they always seemed to be "a day late and a dollar short" with any solution they ever delivered, not to mention "taking forever" to implement and the constant "upgrades & adjustments" needed to make their stuff work "as required".

      Why senior management still keeps those Indian teams employed is beyond me.

    28. Re: Supply and demand by JaredOfEuropa · · Score: 4, Insightful

      but then why not just automate?

      There's an intermediate step, and companies have learned to do it reasonably well in IT: do what McDonalds did. Reorganize the work so that it can be done by an army of cheap, replacable labour instead of a handful of ace professionals. The works isn't quite ready for robots or AI, but using strict processes to dumb down and compartimentalize the work means that you now can get away by having much cheaper workers. You do need more of them... at first I was surprised how much more, and how companies thought that this was a good and cost effective solution. But since then I've learned that offshoring has other benefits. For one: if you have only cheap workers with a narrow, well defined skill set, then you can get away with managing them as resources instead of people. Need 5 more of X or 3 less of Y? Need to temporarily replace a sick Z? That can be painlessly arranged if you have 100s of these to go around. If you have only 10 who do the same work, that problem becomes much harder and you quickly find yourself having to deal with individuals, with individual skill sets.

      --
      If construction was anything like programming, an incorrectly fitted lock would bring down the entire building...
    29. Re: Supply and demand by drsquare · · Score: 1

      Who says that 'on the premises' needs to be where you live though?

    30. Re:Supply and demand by drsquare · · Score: 1

      1) Living costs are also much higher in the US than the nations with much lower labor costs.

      Living costs are a function of income. If US wages go down then living costs should follow.

    31. Re: Supply and demand by supercell · · Score: 1

      I good not agree more. Had the exact same experience. The most frustrating and life sucking 2 years of my life was having an Indian web development company try and develop a custom e-commerce web site from the ground up. If you did not tell them exactly, and I mean *EXACTLY* what to do, they had no ability to be creative and problem solve. Given the 24 hour time delay to get things answered. It took 2 years to get a site up that should have taken 4 months. Never again!

    32. Re: Supply and demand by TheRaven64 · · Score: 4, Insightful

      The thing that you're missing about Japan's rise is that, as quality increased, so did price. The same thing is happening in India and China and this is a big part of why quality usually sucks when you outsource to India. If you're someone competent in India, then you quickly learn that many of the companies that are paying you 10% of what they're paying an American will happily pay you 50% of a US salary, which works out as a lot more than the US salary in terms of local purchasing power and quality of living. If you're not competent, then you stay with the outsourcing firms.

      The only companies that are doing well out of moving development to India are the ones that establish a big local presence, focus on retention, and pay well relative to the local market. Companies that aren't willing to do this are slowly learning that offshoring isn't worth the extra costs. The end result of this is more inflation in India, which will push up wages (this has already happened a lot and is a big driver for Indian companies moving work to China).

      --
      I am TheRaven on Soylent News
    33. Re: Supply and demand by TheRaven64 · · Score: 2

      It depends on where you are. Places like San Francisco are as expensive as Zurich. Parts of the midwest are a fraction of the cost. The real oddity is that more companies don't move to the cheaper cities in the US: Same infrastructure, but you can pay a much lower salary and still give your employees as higher quality of life.

      --
      I am TheRaven on Soylent News
    34. Re: Supply and demand by l0n3s0m3phr34k · · Score: 2

      I blame "only do A without changes" on the British Empire. I think it's a cultural left-over of Imperial education and cultural policies, being told what to do and exactly how to do it...and being told not to deviate from the exact instructions. The Indian "system admins" and programmers I've worked with through Wipro have to be told the EXACT steps and refuse to step outside those for any reason. There is also fear there; stay inside the lines and your OK even if it breaks. I couldn't just tell them to "install IIS", but had to tell him the exact steps one-by-one. Or another the exact menues to navigate through (including right-click on this, left-click on that) even though I was pasting from the same page he was reading off of...because as long as someone else is telling them what to do it's on my head if it goes wrong. I know the people I've worked with are more than competent to figure these tasks out on their own...but then it's also "their problem" if something breaks. Or a developer who won't install a program from their Wipro-provided MSDN account on a client's system to get a task done; until I argued with them "MSDN is there so you can do your development job, either install it and do your job or don't and get in trouble."

      As for the question in TFA, our "special skill" is communication. I've had people speaking "the same language" who still couldn't understand each other due to accents that I had to "translate" for. I can understand a think accent, get my highly technical point across, and get the job done no matter who I'm talking to. I can use translation software...and I sheild my management and end-usrs from dealing with it. I am the "single point of contact" for our world-wide web of support. I can condense a highly technical problem into words and ideas that anyone can understand, and can adapt my explanations into something understandable to my exact audience. I also have a huge amount of patience and am not a diva. Good communication skills is a highly sought-after soft skill even though most companies don't realize they want.

    35. Re: Supply and demand by Anonymous Coward · · Score: 0

      you start to get annoyed that someone living in a cesspool thousands of miles away for pennies on the dollar is arrogant about stealing your job

      So go and live in the cesspool and compete with them on equal terms. Or provide sufficient extra value to justify living in a nicer environment.

    36. Re: Supply and demand by Anonymous Coward · · Score: 0

      I can't wait until Clinton gets elected, opens the border wide open to globalism, and drives wages through the floor!! Meanwhile, she'll provide handouts to the unemployed thus further driving up the national debt to 100 trillion dollars and beyond.

      Why do I want this? So smug assholes like yourself will be taxed into oblivion to better serve all the Muslims she will dump in the country; they're future voters after all.

      You are special! You are who we will tax to ensure Democrats stay in power in perpetuity. Well, unless people get angry and go full tilt communism next election cycle..bitch! Hah!

    37. Re: Supply and demand by gatkinso · · Score: 2

      Meanwhile in Europe work that was outsourced to Indian companies is being replaced by Eastern European outsourcing companies: sometimes cheaper with far better quality.

      It really boils down to cost. That is it.

      --
      I am very small, utmostly microscopic.
    38. Re: Supply and demand by gatkinso · · Score: 1

      To be fair, they didn't steal the job - it was given away by greedy American management.

      --
      I am very small, utmostly microscopic.
    39. Re: Supply and demand by gatkinso · · Score: 1

      Tell that to Trump's wife.

      --
      I am very small, utmostly microscopic.
    40. Re: Supply and demand by dreamchaser · · Score: 2

      Well, let's see. I'm going to be 50 soon. That's supposedly a detriment in IT. I make a lot more money than my younger colleagues. That's supposed to hurt me too. I don't know an H1B worker who can even do my job, so I guess I must be worth it. Don't get me wrong. The latter probably exists. I just don't see them lining up to replace me.

    41. Re: Supply and demand by MachineShedFred · · Score: 1

      They aren't complete shit like they used to be. Ford has stepped their game up pretty well in comparison to where they were 10 years ago. I still wouldn't buy a car from GM, but they've always made a decent capable truck, and they're doing better than they have in the past. Chrysler is still making mostly garbage - we'll see what happens after Fiat gets done exerting control, but I have my doubts that they will be able to get the job done where Daimler gave up.

      I'll put it this way - when I am traveling and get a rental car, I used to get very disappointed when I saw it was going to be something from Detroit. Now I feel that way about Kia. I had a Ford Fusion and a Toyota Corolla fairly close to each other, and I think I liked the Ford better.

      Would I like the Ford more over several years as an owner? I have no idea - I buy German.

      --
      Slashdot still doesnâ(TM)t support Unicode after it was added to the HTML standard in 1997.
    42. Re: Supply and demand by mrchaotica · · Score: 1

      Globalization would work fine if it had the effect of bringing developing countries' standard of living up to ours. The problem is that when labor is a "level playing field" but things like environmental protections, worker protections and taxes/infrastructure are not, it creates a race to the bottom instead.

      --

      "[Regarding the 'cloud,'] ownership was what made America different than Russia." -- Woz

    43. Re: Supply and demand by Anonymous Coward · · Score: 1

      Got F all to do with the British Empire - do you really think the Empire would have worked without flexible thinkers? It's a cultural issue for India (and China) that pushes an education that favours learning facts rather than learning methods.

    44. Re: Supply and demand by wisnoskij · · Score: 1

      It is not just that Indian schools are not up to par. There are still, many decent Indian developers. But at least some of these decent developers are working for multiple clients at the same time.

      --
      Troll is not a replacement for I disagree.
    45. Re: Supply and demand by asylumx · · Score: 1

      Bingo.

    46. Re: Supply and demand by MachineShedFred · · Score: 1

      This might come as a galloping shock, but Chicago is expensive. You don't even have to go very far away from Chicago to find much cheaper cost of living, in a city.

      I know what you'll say next - but it's not Chicago. And you're right. Choices cost.

      --
      Slashdot still doesnâ(TM)t support Unicode after it was added to the HTML standard in 1997.
    47. Re:Supply and demand by Anonymous Coward · · Score: 0

      > Living costs are a function of income. If US wages go down then living costs should follow.

      That's only true in the absence of easy credit.

    48. Re: Supply and demand by MachineShedFred · · Score: 2

      Shh! Don't let the secret out - I don't want all the Bay Area hipsters discovering that there's just as good living at 70% or less of the cost here. I enjoy making a Bay Area salary with a Midwest cost of living!

      --
      Slashdot still doesnâ(TM)t support Unicode after it was added to the HTML standard in 1997.
    49. Re: Supply and demand by Anonymous Coward · · Score: 0

      You just described my current (American) company pretty well too :(

    50. Re: Supply and demand by MachineShedFred · · Score: 1

      1. he's talking about 1000 square feet, which is small anywhere except the Bay Area.
      2. he's probably not including interest, and definitely not including taxes as he separated that out as a different line item
      3. that's Chicago - you really don't want to hear what someone would pay for the same place in an even cheaper place to live, like Cincinnati or Indianapolis.

      --
      Slashdot still doesnâ(TM)t support Unicode after it was added to the HTML standard in 1997.
    51. Re: Supply and demand by Anonymous Coward · · Score: 0

      And this is how bigotry is born. Are you a failed art student by any chance?

    52. Re: Supply and demand by Anonymous Coward · · Score: 0

      Same infrastructure up to a point. You don't have the same workforce available to you in say Springfield, MO as you do in perhaps Portland, OR. Lot's of people move to desirable places, the ones that stay are the ones that can get away with it, mostly because they can hold a job that is worth the extra money needed to live there. Low skill, or just shitty workers tend to get filtered out quickly enough & move somewhere that's lower cost. Do that for more than a generation & things like your schools are better, which further raises the local workforce (and increases competitive pressure on new arrivals)... or in the other direction, schools become shittier due to brain drain & related activities, and eventually even automotive plants are complaining that the local workforce in certain regions of the US is so poorly educated that it's tough to find qualified workers (I'm looking at you Southern US).

    53. Re: Supply and demand by MachineShedFred · · Score: 1

      I doubt there are direct kickbacks. However, when that manager is up for review, he'll be able to point to the cost savings on his expense budget and look brilliant.

      Right up until the outsourced labor can't get the job done on time, or at all. But by then, the "brilliant" manager will have moved to a different position, not necessarily with the same company.

      --
      Slashdot still doesnâ(TM)t support Unicode after it was added to the HTML standard in 1997.
    54. Re: Supply and demand by MachineShedFred · · Score: 4, Interesting

      You do know there are other jobs in IT besides being a help desk phoneslap, right? I know this might be a shock for you, but not every business can run on Quickbooks. Sometimes a company will have a very complex billing structure, based around many factors that make it unique to that business, requiring custom software development in order to make it work. This software isn't written by "IT help desk flunkies" but by real software engineers, working in IT.

      People who build data centers, and networks are in IT. People who keep servers running, secure, and performing as best as they can to deliver the information and services that the business needs are in IT.

      The help desk job used to be the foot in the door - something you do that helps hone troubleshooting skills and gets people familiar with systems and how they operate, and how they can fail, and what to do about it. But there's other people that put those systems together to begin with - people who looked at systems from different vendors and providers, tested them and discussed the merits of each, and then chose and implemented them. Or, even built and coded the thing from the bare metal on up. All of that is IT's job, and it didn't just magically genesis itself.

      Sure, you can say that some of that could be done on contract, or outsourced as well - but the results are usually far poorer than the often terrible results of even outsourcing the help desk.

      --
      Slashdot still doesnâ(TM)t support Unicode after it was added to the HTML standard in 1997.
    55. Re: Supply and demand by spire3661 · · Score: 1

      I grew up in Detroit, generations of my family worked at the Big Three. I will NEVER buy an American car ever again.

      --
      Good-bye
    56. Re: Supply and demand by Drethon · · Score: 1

      Also there is some out right skirting of the rules in India to get the job done. I contracted for an aviation company that sent their testing to an India company. The software was to be certified at DO-178b level b, which means our requirements say what every branch does and our tests prove the software does it. When the results came back from India, the company had us sample run some of the tests, a number of which failed. The response from India was "we didn't expect you to run those tests".

    57. Re: Supply and demand by gtall · · Score: 2

      I rather think that depends upon government institutions. Want to trust your company's secrets to the tender loving care of the Chinese judicial system? Or the creaking Indian system?

      Then there is the problem of sourcing. Do you want your company's systems reliant on Chinese or Indian gear or software? How far can you trust that gear to not spill the beans of your organization? And if they do, what will you be able to do about it. Trying suing them in China or India and see how far that gets you dragging one of their favorite sons through the dirt.

      You will also have to deal with their education system where face means everything, over and above competency. That is part of their society and not likely to change anytime soon. Any move to change runs into the homegrown complaining of foreign interference. You can see the same echoed here in the current U.S. presidential election. Foreigners, and worse, their ideas are not welcome.

    58. Re: Supply and demand by Anonymous Coward · · Score: 0

      As long as your bosses don't figure out that they can get you to train your own replacement by holding your severance package ransom.

    59. Re: Supply and demand by tlambert · · Score: 2

      Forty to fifty years ago, Japan was known for making crappy products. Then they (among other things) revolutionized how cars were built and anything made in Detroit after 1980 or so looked like absolute crap compared to Japanese cars. Only in the last fifteen years or so have the American cars caught up.

      This is almost wholly attributable to the American W. Edwards Deming.

      Deming gave a speech at the Hakone Convention Center in Tokyo in 1950 on "Statistical Product Quality Administration".

      The Japanese immediately embraced his philosophy, while Deming was still not getting traction at home:

      1. Better design of products lowers service costs
      2. Higher uniform product quality
      3. Improved product testing in both research and manufacture
      4. Greater sales through side markets ("halo effect")

      Part of the problem was the UAW (United Auto Workers), since the union pretty much controlled staffing levels in Detroit, regardless of what staffing levels were actually needed/required, and inflated wages far above the value of the work produced.

      Another part of the problem was profit-taking: instead of reinvesting, Detroit companies paid dividends to stockholders (stockholders liked this, but it didn't benefit the long term interests of the company to have them as high as they were). This was mainly driven by executives having large stock positions themselves, which means you can guess how the votes went, when it was "for or against an increased dividend".

      A lot of Deming's ideas still have yet to be adopted by U.S. industries (those industries which are left, not having been shipped to China or the Maquiladoras, just of the U.S./Mexico border to take advantage of taxes, labor costs, and NAFTA lack of Tariffs).

    60. Re: Supply and demand by chammel · · Score: 1

      The real oddity is that more companies don't move to the cheaper cities in the US:

      Not really the location of a companies HQs is set by the CEO and board. When you have a 7 and 8 figure income those cities that offer a lot in terms of social contacts, entertainment, prestige and other factors will attract the company HQs.

      --
      Neutrons are slippery little rascals, they can fool you. They can bounce and show up around corners you don't expect.
    61. Re: Supply and demand by tlambert · · Score: 1

      The people "living in a cesspool thousands of miles away for pennies on the dollar" are not H1-B's.

      H1-B's "live in cook county in the suburbs of chicago".

      Why are people so confused between H1-B workers -- who are moved into the U.S. -- and manufacturing outsourcing -- where the jobs move to the "cesspool" where people can live "for pennies on the dollar", are paid less, and the finished products are shipped to the U.S.?

      Cluebat: An outsourced job does not require an H1-B. They don't have to live in the U.S. "to take yer jerbs".

    62. Re: Supply and demand by tlambert · · Score: 1

      The real oddity is that more companies don't move to the cheaper cities in the US: Same infrastructure, but you can pay a much lower salary and still give your employees as higher quality of life.

      By "same infrastructure", you obviously are not including "major technical universities" and "lots of tech workers with high job mobility available to be hired away from the massive number of other companies also in your area".

      Because, seriously: there are not 300 VC firms and 500,000 tech workers at 750 technology companies in Wichita, Kansas.

      Walmart tried locating "Walmart Labs" in the middle of F'ing nowhere initially. No one wanted to move there to work:

      1. Investment in a house was not transferrable to a comparable house in a more desirable place to live upon retirement
      2. You couldn't walk out if you didn't like your manager, and walk into another company literally a block away and have a new job
      3. You could never leave, because the capital expenditure would exhaust all the cash value, so it was "Hotel California"

      Walmart eventually gave up and relocated to Silicon Valley, with everyone else.

      There is a huge amount of value to employees in being able to tell your boss "screw you", knowing that you can have another job in less than a week (assuming you don't take any time off).

      If you have a 3BR house in Detroit today, and want to "move to where the jobs are", good luck getting more than $10,000 or so, if you can find a buyer, to get you establish in a crackerbox apartment in an area that has jobs. Assuming that you are even qualified for the jobs.

      This is why Detroit, Fergusson, and Baltimore people keep complaining they "can't afford to leave".

    63. Re: Supply and demand by thundercattt · · Score: 1

      I drive a VW. I agree Kia is absolute rubbish, I was a mechanic at a Kia dealership briefly. What I saw made me think it was just some rich guy one day blindly going let's make a car company then guessing. Even the car models, like Amanti (however it's spelled) looks like someone called up Kia and described a Jaguar over the phone. Then built it based on that phone call.

    64. Re: Supply and demand by chihowa · · Score: 1

      $4800 a year is $400 a month, for "the mortgage for the home, retirement planning, gas, electric, water and food." That doesn't add up at all. I've lived in much much cheaper places than Chicago and all of my (fairly austere) living expenses added up to more than $400 a month.

      --
      If you want a vision of the future, imagine a youtube comments section scrolling - forever.
    65. Re: Supply and demand by Pig+Hogger · · Score: 2

      I have no idea - I buy German.

      Found the Volkswagen owner If he had a BMW, he would say so...

    66. Re:Supply and demand by MondoGordo · · Score: 1

      Your point about culture is spot on. I've worked with contractors from India (and in India) and they are some of the nicest, most agreeable people I've ever met. I believe it's a cultural adaptation that allows them to survive in a population of almost 2 billion ... the pressure to "get along" must be enormous. They'll even agree with you when you are wrong. While agreeableness is great for social interaction, it's a shitty quality when it comes to engineering the best solution to a problem. And that in a nutshell is the difference. Great things are usually born of disagreement, and mediocrity is often the result of compromise.

    67. Re: Supply and demand by kilfarsnar · · Score: 1

      I can't wait until Clinton gets elected, opens the border wide open to globalism, and drives wages through the floor!! Meanwhile, she'll provide handouts to the unemployed thus further driving up the national debt to 100 trillion dollars and beyond.

      Why do I want this? So smug assholes like yourself will be taxed into oblivion to better serve all the Muslims she will dump in the country; they're future voters after all.

      You are special! You are who we will tax to ensure Democrats stay in power in perpetuity. Well, unless people get angry and go full tilt communism next election cycle..bitch! Hah!

      The funny part is you believe all this bullshit.

      --
      "What the American public doesn't know is what makes them the American public." -Ray Zalinsky (Tommy Boy)
    68. Re:Supply and demand by kilfarsnar · · Score: 1

      1) Living costs are also much higher in the US than the nations with much lower labor costs.

      Living costs are a function of income. If US wages go down then living costs should follow.

      Along with the standard of living.

      --
      "What the American public doesn't know is what makes them the American public." -Ray Zalinsky (Tommy Boy)
    69. Re: Supply and demand by currently_awake · · Score: 1

      With all of India to recruit from, the stock holders should be able to get a top quality CEO for pennies on the dollar. Then they can locate the company somewhere cheap and take the difference as dividends.

    70. Re: Supply and demand by currently_awake · · Score: 1

      Make nice but inexpensive corporate housing as part of your salary. Get better employees because perks, save money.

    71. Re: Supply and demand by aron1231 · · Score: 1

      This echos what I've been told.

      If you're an American tech worker, your assets are your creativity and ability to think outside the box; to offer solutions nobody thought of, or be flexible while navigating difficult waters.

      You get very little, if any, of that over seas.

    72. Re: Supply and demand by ganjadude · · Score: 1

      try living in upstate NY, slightly bigger home but 1800 a month mortgage, and 9600 in property/school taxes

      --
      have you seen my sig? there are many others like it but none that are the same
    73. Re: Supply and demand by ganjadude · · Score: 1

      bu bu but the liberals in america are always using your country as a symbol of what is wrong with america? you want to move here???? ;)

      --
      have you seen my sig? there are many others like it but none that are the same
    74. Re: Supply and demand by Penguinisto · · Score: 2

      1) Absolutely correct... once someone actually *reads* what Deming wrote, you can almost see the lightbulb go off over their heads. It is solid stuff.

      2) The younger folk may not know/remember this, but during the early-to-mid 1990s, Dr. Deming's writings became the basis of that wonderful little fad which most in the business world called "TQM" (that is, Total Quality Management). It spread like wildfire - I saw it slathered around in everything from government (Dept. of Veterans Affairs) to private industry (a small Arkansas Poultry company - no, not Tyson's, though they did as well.)

      The reason #2 failed miserably in the business world (more often than not) was because it was all-too-often implemented poorly. Oh, and in those instances where it was even halfway implemented right, management realized very quickly that (post-implementation) they really didn't want to hear what their underlings had to say.

      --
      Quo usque tandem abutere, Nimbus, patientia nostra?
    75. Re: Supply and demand by Anonymous Coward · · Score: 0

      Just throwing it out there that the American muscle cars made in the late 1960's are still better than the crap they make today, from any country ;)

    76. Re: Supply and demand by the_Bionic_lemming · · Score: 1

      Hey, go ahead and commute the 50 miles or so to get the cheaper housing - Did that for a higher paying job - of course the 10 grand a year in gasoline and tolls - along with the extra two hours a day being out of the house just driving wasn't worth the extra ten grand I made.

      And the place I work for likes the fact that 10 minutes after they call me, I can be here fixing the issue.

      --
      _ _ _ Go for the eyes Boo! GO FOR THE EYES!
    77. Re: Supply and demand by Foofoobar · · Score: 1

      Ok lets get something straight. We're not being replaced. Some of us are closing our source code, speaking at conferences and not sharing until this all passes. I speak at SpringOne, API World and consult with Amazon, Netflix, Starbucks, Cisco, Apple, VMWare and others. And here is the honest truth: the problems that people had with outsourcing are the SAME problems we have now with in-sourcing. - people lie/exaggerate blatantly on their resumes to get into the country and get a job. This is so prevalent that Indian Universities/Consultantcies actual teach people to do this (https://www.quora.com/Why-do-Indian-consultancies-in-the-US-fake-resumes-and-market-candidates-for-IT-jobs-Why-has-this-practice-continued) - cultural difference can make it difficult to get things accomplished and/or understood - cheap pay does not make up for longer development time and having to rebuild work. EVERY company that I have talked to who has done this has had issues and had to hire local experts to make up for the H1b/insourced work and either redo it or try to get it back on track. This in itself creates additional cost. Its like the lessons of the 90's-2000's are being learned all over again. An honest resume and people who are indoctrinated into your culture are who you want to use; you cannot shake and bake experience and culture.

      --
      This is my sig. There are many like it but this one is mine.
    78. Re: Supply and demand by Foofoobar · · Score: 1

      You can't shake and bake experience and culture. Thats what it comes down to.

      --
      This is my sig. There are many like it but this one is mine.
    79. Re: Supply and demand by Anonymous Coward · · Score: 0

      Whats even more funny is how little tax yanks pay in relation to EU and other G20 nations, yet they still think they're entitled to their high paying jobs, etc.

    80. Re: Supply and demand by Anonymous Coward · · Score: 0

      Yeah it's pretty bad here in California too, paying $4,800 a month for mortgage and... wait... did you say $4,800 a year???

      Don't worry, he's one of the many many people in the suburbs of Chicago that complain about everything, especially taxes. He'll eventually move to Arizona or Tennessee or Florida and be happy for a season or two, maybe three.

      My home, in the city of Chicago, has a higher market value than my sister's home in the suburbs of Chicago. Yet my property taxes are half of what she pays. Chicago has a diverse set of commercial and industrial properties and they are all paying a proportional share of their taxes. Those skyscrapers downtown that get bought and sold for hundreds of millions of dollars (some even run into the billions) are paying millions of dollars a year in property taxes - exactly their fair share.

      My home is probably 1/3 the price compared to the Bay Area and my income taxes are about 1/3 of what they'd be in California as well. Our electricity rates are almost 50% less than California as well. $50 a month for internet? That's what I pay too - and I get 500mb/sec symmetrical. How's that compare to the Bay Area?

      This guy here probably has more disposable income after all of his tax and housing costs than a Californian and still complains endlessly.

    81. Re: Supply and demand by ranton · · Score: 1

      have to be on premises and fixing stuff when the need arises.

      Good luck on being able to not pay enough to live locally and offset my salary.

      People who think needing to live locally is some form of protection forget the effect of a large number of colleagues in their local area becoming unemployed has on the job market for those remaining local jobs. Suddenly there is a downward pressure on wages for jobs which cannot be outsourced, ultimately affecting those jobs as well.

      --
      -- All that is necessary for the triumph of evil is that good men do nothing. -- Edmund Burke
    82. Re: Supply and demand by Anonymous Coward · · Score: 0

      3500 a year in taxes and 4800 a year in mortgage..... seems unlikely. If the tax value is that high, then the mortgage should be higher than $400/month.
      it looks like houses in marginally decent areas are selling for 80-140K, so even with the "standard" 20% down the lowest advertised payments I see readily advertised on realtor.com for the area are like $700/mo.

      So....

    83. Re:Supply and demand by LifesABeach · · Score: 1

      I thought the wording was setup along these lines also. Cutting to the chase, some multi billionaire thinks they need more money. I say, "no."

    84. Re: Supply and demand by the_Bionic_lemming · · Score: 1

      Yeah, I bought a 110,000 home for 68,800 from an estate sale.

      so the mortgage is low.

      --
      _ _ _ Go for the eyes Boo! GO FOR THE EYES!
    85. Re: Supply and demand by Anonymous Coward · · Score: 0

      Lol. Better at what? Havibg big engines, being noisy, and consuming gas? They definitely aren't faster, more powerful, more fuel efficient, or safer to drive.

    86. Re: Supply and demand by Anonymous Coward · · Score: 0

      The first few model years of Kia were crap but they too stepped up their game and have been one of the fastest growing car companies, in terms of sales. Personally, I would go with a Hyundai but only because Suzuki left the US market (AWD for less than $18K!) I still plan to buy a used Suzuki SX4 as my next vehicle. My parent's both went out and bought Kia coupes when my Dad sold his truck and my Mom's Dodge minivan was declared a lemon after the dealer tried replacing the engine 3 times and couldn't get one that worked.

    87. Re:Supply and demand by slew · · Score: 3, Informative

      I think you misunderstand supply. There isn't a supply of billions of CEOs that will work for a $1. There is a supply of a several thousand (or so), the others are more-or-less "unqualified" (not that they can't do a similar job, but they are unhireable because the boards of directors don't want to get in trouble for hiring outside the expected hiring pool). Similarly there isn't a supply of billions of IT folks, and similarly hiring managers generaly don't want to get in trouble by going outside the "standard" hiring pool. This used to be called nobody got fired for buying IBM (but that probably goes the other way these days)...

      The problem is that there is probably no good way to evaluate employees (including CEOs) before hiring, so most people simply pay the going rate, and hope for the best. The going rate is set by the limited supply and how desperate companies are (e.g., the demand side). The outsourcing comes in when the demand at the lower price point exceeds the supply and gets supplanted by a demand at a lower price point (and potentially larger quality variance) which matches the supply.

      This used to be called the resistor tolerance dilemma. 1% tolerance resistors are much more expensive than 20% tolerance resistors. You might think if you bought enough 20% resistors you could cherry pick the ones that had lower tolerance, but in reality, the vendor pre-sorted for this, so if you bought the cheaper resistors you could almost guarantee they were crap. However, it was reasoned that by sophisticated design choices you could theoretically reduce the problem of high variance resistors so people started doing that. So you could solve your circuit design problem with a simpler scheme, but pay more for resistors, or have a more complicated circuit (with more things to manage that could go wrong) but get it done with cheaper resistors.

      As expected, managers in 2nd rate companies didn't grasp this inherent tradeoff and wanted both cheaper resistors and the simpler circuits designed by novice designers. They bought loads of cheap resistors and put them in these simple circuits as a cost cutting move expecting the distribution of resistors to have normal statistical characteristics. Lo-and-behold they would eventually get a batch of resistors that were all low by 15% resulting in a 100% escape rate from their production line.

    88. Re: Supply and demand by 0100010001010011 · · Score: 2

      I've noticed the same thing in engineering. The Indian engineers never thought outside of the box or even deviated from a known script they had been following.

      We had one spend half a day diagnosing a problem that one of our American engineers solved in 15 minutes. They never checked to see if the databus was connected.

      And I'll admit fault with that. I didn't ever think to put it on the 'debugging checklist' because I thought it was an obvious step.

    89. Re:Supply and demand by hibiki_r · · Score: 1

      Cost of living is an absolute non factor at developer-pay levels.

      My employer is in San Francisco. I work from Missouri. I get a San Francisco salary, but here you can rent a big house in a great school district for $1000/mo, as opposed to sharing a tiny apartment. If cost of living had anything to do with this, there would be a huge price difference, when, in practice, there isn't.

    90. Re:Supply and demand by Comrade+Ogilvy · · Score: 1

      On the nose. It is easy to assert that the job could easily be outsourced, and end up being horribly wrong, where the productivity of competent managers and senior engineers gets dragged down as a partially hidden overhead.

      Which is better? (1) Hire someone locally who will really get the job done for $50/hour. (2) Outsource someone for $10/hour, but have their uneven work constantly annoy very productive people with irreplaceable product expertise, who are a bargain at $80/hour because they keep your business afloat.

      When you outsource work, it is easy to find shops that will proudly advertise CMM5 (or whatever) process control. But, reading between the lines, it can also mean "do not count on us to do anything that you do not tell us to do explicitly". The non-easy problems all have implicit ambiguities in the requirements. It is very expensive to remove all ambiguities, to achieve the quality "easily be outsourced". Can you afford to pay the costs upfront of removing ambiguities, by spending the effort of your valuable reliable people to iron out the requirement carefully, in order to save a bit of money over the long haul? It is not a problem that is easily answered.

    91. Re:Supply and demand by hibiki_r · · Score: 1

      It's sure supply and demand, but that's not much of an answer. The real question is why is the equilibrium so far from the one anywhere else.

      IMO, there are two main reasons:

      There's a big advantage to working in the same time zone and in the same culture: An American firm would much rather hire people in the US than in India, in the same way that you don't see Indian companies outsourcing their top work to the US. The skill differential is irrelevant, whether there is one or not. Being nearby is relevant.

      The other difference is value of the work. We don't hire people to do work that is worth less to us than what they charge, but we sure can hire them for a lot less if it's possible. The value of your code is dependent on what it does for your company: A developer at Google, for instance, can build more value than someone programming the internal systems for a tiny chain of restaurants. The US has a lot more large employers that would be willing to pay a lot of money for programming, because their revenue per employee is insane. There's enough demand for good developers that a smaller employer will get a lot less profit from them. In comparison, look at Spain's market: There's a lot less pressure on the upper bound competing for the best developers, and most of the things that need automating produce a lot less value, so the equilibrium is further down, so the same developer can make 4x more in the US than in Spain.

      It's a bit like professional sports: Viewership and spectacle produced per athlete lead to very different economics across sports, even though it's not as if a TE in the NFL, a power forward in the NBA or a strong defender in the NHL are that different, but for the average salaries of those three positions are very different.

    92. Re:Supply and demand by Anonymous Coward · · Score: 0

      If US wages go down then living costs should follow.

      So, deflation? Dream on, sucker. Costs haven't been connected to wages in any meaningful sense for decades.

    93. Re: Supply and demand by Grishnakh · · Score: 1

      They don't want to move there for good reasons:

      1) there's not many other jobs there, so if your job doesn't work out, you now need to sell your house, pack up, and move somewhere else for a new job. This costs a lot of money up-front.

      2) people who like west coast cities are not going to be happy with the social conservatism in the midwest, the complete lack of dating opportunities, etc. (Yes, there's an infamous lack of women in the Bay Area and Seattle, but it's even worse in the Midwest because all the single women there will be religious conservatives.)

    94. Re: Supply and demand by Anonymous Coward · · Score: 0

      1. Our quality of work is much higher. 2. We should be willing to work for perhaps slightly less. 3. Most companies are willing to sacrifice quality for money. 4. It you tell the company your willing to work for less and they see your american they will assume you dont know what your doing.

    95. Re: Supply and demand by funwithBSD · · Score: 1

      And 6 sigma, and LEAN, it is all based on his work.

      The thing is, Deming model matches the Japanese ascetic and ethical system of the Japanese culture very well.

      Less so in America, where the concept is the "work shed" company or lone inventor making a revolution: N. Tesla, Harley Davidson, HP, etc.

      --
      Never answer an anonymous letter. - Yogi Berra
    96. Re:Supply and demand by AK+Marc · · Score: 2

      That's simply not true. A poo flinging monkey wouldn't have done much worse than Ken Lay, Carly Fiorina, or a variety of others I could name.

      CEO is easy. It requires all the qualifications of an entry level used car salesman. And yes, I've been both. Wasn't bad at CEOing either. They pay for past success, even when past success isn't an indicator of future returns. Simply put, the selection isn't rational. It's an inbred nepotistic game, not a rational business decision.

    97. Re: Supply and demand by funwithBSD · · Score: 1

      Oh man, the irony and ignorance of this post is astounding.

      --
      Never answer an anonymous letter. - Yogi Berra
    98. Re: Supply and demand by funwithBSD · · Score: 1

      I think is the same issue: Golden handcuffs.

      --
      Never answer an anonymous letter. - Yogi Berra
    99. Re: Supply and demand by Darinbob · · Score: 1

      If you report to the IT department, then it's an IT job. If you report to R&D then it's an R&D job. Even if the job is technically using the same skills. People in R&D decide on vendors and such, but for the purposes of figuring out how to build a product to sell to customers. People in IT decide on vendors and such, for the purposes of providing systems for the company to use internally. The external facing web site is not what I consider IT's job, though a lot of web focused companies do blur the line a lot.

    100. Re: Supply and demand by Anonymous Coward · · Score: 0

      Not the original AC here, but I routinely post AC because I live way high in the IT money tree as a consultant, and if my employers knew what I really thought I'd never get hired again. Clients include large US insurance firms (25th largest one in the world last time around), State Street Bank, State Street Global Investors, Santander Bank, Digital Equipment Corp*, Wang Labs*, Data General*, IBM, Google, Parametric Technology Corp, and a million other smaller shops.

      This is also why my FB page is pure vanilla, and why I would not join FB again if I knew what I know now about it.

      Don't ignore ALL the AC posts...

      * yes, I am that old...

    101. Re:Supply and demand by zlives · · Score: 1

      and the cost of pitch forks

    102. Re: Supply and demand by phorm · · Score: 1

      Depends on the vehicle, and perhaps the country.

      The cheaper Toyota/Honda models are generally quite reliable. Ford's, not so much

      Having driving a Focus for work, it felt like a rickshaw after 80,000km whereas my Corolla was going on 150,000 and still rode fairly smooth

    103. Re: Supply and demand by phorm · · Score: 1

      $4800 a year for the mortgage, INCLUDING utils and food? That's pretty much dirt cheap. Total including those taxes is less than $700/mo based on what you're describing (before stuff like internet, which while important isn't a necessity of living). If you're making more than $5/h in a 40h week you've got that covered.

        Around here you'll be lucky to get away with $20k/yr (though taxes are less), and that's before all the utils and other stuff.

    104. Re: Supply and demand by The-Ixian · · Score: 1

      Until it becomes feasible to have a roving bot with an AV stack and an Internet connection on it follow around a non-skilled worker.

      The controller back in India can just tell the non-skilled worker what to do and they will do it.

      The controller could supervise a whole work site worth of workers.

      --
      My eyes reflect the stars and a smile lights up my face.
    105. Re:Supply and demand by PeonPete · · Score: 1

      Of all of the things that are not true, what you just said is the least true.

    106. Re: Supply and demand by Anonymous Coward · · Score: 0

      I pay 4x that ($20,000 a year) for a 900 sqft house in Newport News VA, which is by no means a nice place to live. My real estate tax and insurance are also rolled into that payment, so its probably not that bad. $4800 a year still sounds insanely low though. I think the taxes are around $3000 of that.

      I don't even have home internet, had to drop it a few years ago due to having a car payment again.

    107. Re: Supply and demand by ElizabethGreene · · Score: 1

      Come to Tennessee. A 3br home costs between 100 and 200k, taxes on it are less than 1k/year, no state income tax, and your car tags cost less than $100. We do have a 9.5% sales tax, but you don't feel that the way you feel an income tax. The IT job market in Nashville is pretty good.

    108. Re: Supply and demand by xkenny13 · · Score: 1

      Well, let's see. I'm going to be 50 soon. That's supposedly a detriment in IT. I make a lot more money than my younger colleagues. That's supposed to hurt me too. I don't know an H1B worker who can even do my job, so I guess I must be worth it. Don't get me wrong. The latter probably exists. I just don't see them lining up to replace me.

      Where I used to work (3-letter acronym), there wasn't anyone who could do my job either, but that surely didn't stop them from laying me off. There are countless others who were talented, well trained, but weren't of "optimal" age and salary who were also let go. At some point, apparently, it doesn't matter if anyone can do your job. The big wigs and bean counters are well aware that the structure is hollow. So long as the big name still lights up, there will be some customers, and I suppose that's good enough. I was involved in customer engagements up to the week I left, and I was the last one of my team to go. The guy who was supposed to replace me is presumably there, but we never spent more than 2 minutes discussing things. I shudder to think of how bad it's gotten...

    109. Re: Supply and demand by bzipitidoo · · Score: 3, Interesting

      Thing is, that $2/day stuff is a myth. That does not put any value to all the labor of doing everything yourself.

      Standard of living is the big factor. We in the US could live on $2/day if we cut everything, and I mean everything. Not just no Internet and cable TV, but no electricity, water, sewage, and road. You could then spend your time working in your vegetable garden and milking your goats so you'd have something to eat, and trudging to the nearby creek for fresh water, trying to avoid all the shit on the trail, hoping you don't catch cholera or some of those lovely intestinal parasites, and chopping wood so you don't freeze next winter and can have a cook fire. If you do get sick, you tough it out, or die. Transport? Walk, or saddle up, or hitch up the wagon. Clothes? Grow some flax or cotton, spin the fibers yourself with a spinning wheel, weave it into cloth, then cut and sew into shape. So what if that takes weeks, what better things do you have to do? Sanitation? Forget the daily shower, you're going to bathe once a week, maybe. You only washed when you were so heavily coated with grime and filth that it was interfering with your ability to labor. Mow the lawn? Ha ha, are you nuts? Send in the goats, dummy! Refrigerator? Without electricity? No, you're going to use a root cellar, and maybe an ice house. There's also canning. Cold? Put on a coat. Hot? Sweat it, A/C is for sissies. Wash your clothes by hand in a wash tub and hang them from a clothesline to dry. That's not too far off from how my great grandparents lived: farm with a veggie garden, no electricity or indoor plumbing, just chamberpots stowed under the bed, except they didn't do their own clothes, they bought factory stuff for that, and they had a well, none of this hauling of water 1km or more.

      We've really run wild. Many modern conveniences are great to have, but enable a great deal of waste and foolishness. Many companies made a businesses out of catering to our dumber instincts. The biggest things the daily shower does are waste a whole lot of fresh water, make water infrastructure businesses and shampoo and soap manufacturers richer, and actually make us less healthy by washing away beneficial bacteria! And we do it because we've brainwashed ourselves into believing that body odor is offensive. We've all dealt with suburban sprawl. Car manufacturers have brilliantly exploited our foibles to promote the car at the expense of all other forms of transportation. Then there are expensive hobbies such as boating, owning your own swimming pool, off roading, hot rodding, skiing, or flying your own private plane. Even something less intense on required equipment such as golf isn't too cheap either. So many sports have commercial interests dangling options in front of us to turn it from not too terribly costly to insanely expensive.

      A relevant incident is the 2010 suicide of Joseph Stack. He was angry that the government had bailed out big banks but he personally was being audited by the IRS. He flew his private plane into an IRS building in Austin. While I sympathize with his complaints, the fact that he had a private plane shows he wasn't hurting for money.

      --
      Intellectual Property is a monopolistic, selfish, and defective concept. It is "tyranny over the mind of man"
    110. Re:Supply and demand by Anonymous Coward · · Score: 0

      Actually, the supply and demand equation would indicate that the cost of pitch forks would actually RISE!

    111. Re: Supply and demand by SumDog · · Score: 1

      You can be a software engineer/network admin/dev-ops person without ever working a help desk job. The only reason I worked one for a year was because my dad wanted me to work at the same shitty company he wasted 18 years of his life at. I went from a real development and sys admin job to a helpdesk internship (I was in grad school so they let me in; made more than all the other interns at least by $2/hour since it was by years in school).

      It wasn't all bad. I could cut down to 20 ~ 30 hours when grad school got really busy, and I could work on papers and ready books between calls. I made it one year and then went back to a real dev position.

      I do think it's good to work helpdesk for a year. I feel like I have an appreciate on the shit they have to deal with.

    112. Re:Supply and demand by mattack2 · · Score: 1

      Yes, but you have to live in Missouri!

      I'd rather wear shorts & T shirt all year round here in the Bay Area.

      Plus, even though I admit I email people in offices next to me (instead of going to talk to them), not being local is _sometimes_ a problem.

    113. Re: Supply and demand by Roger+W+Moore · · Score: 1

      Want to trust your company's secrets to the tender loving care of the Chinese judicial system? Or the creaking Indian system?

      There may be some differences but I expect they are just like the US system: with enough money you can pretty much get the result you want.

    114. Re: Supply and demand by Anonymous Coward · · Score: 0

      HAHAHA! And you retarded Americans keep voting in more government power, voting for more taxes, voting for more "free" handouts?! HA!
      DROWN IN IT.

    115. Re: Supply and demand by presidenteloco · · Score: 1

      He means better at compensating for a lack of masculinity.

      --

      Where are we going and why are we in a handbasket?
    116. Re: Supply and demand by poofmeisterp · · Score: 1

      You are correct, in my opinion (and from experience). I'm a male white, 36 year old IT dude and have been at it since 14 years of age, legally allowed to work. :)

      The only addition (thought bubbles, I guess) to add to your awesome explanation of reality are that:
      1. If you want stuff fast (timeline-wise) and/or want something to release as a "competitive product", offshore it. Downside is that it costs more in the long run to fix problems / accept returns or replacements / and maintain your company's image of overall quality.
      2. If you want extremely well-thought-out products (programs, engineering, manufacturing, etc), go U.S. The downside is that it will take a lot of up-front cash and time to come to a decent release, which will then cost more to cover the aforementioned costs.
      3. If U.S. thinkers come up with a plan to offshore, it won't be perfect. Downside is that the errors can be fixed, but there will be fallout. The fixes ruin the purchaser's image of the provider, which can't be undone without the cost of "undo" operations exceeding the cost of a quality item/etc's up-front cost and time (see #2).

      Start good, try to stay good, but don't expect that your good will get you rich quick. The negative view of that is basically derived from the fact that starting good doesn't always allow you to stay good (cost/volume), the staying good won't kill you (cost/volume), and money comes in slowly. It's not the wonderful fallacy of the "American Dream" we received after WWI and WWII. I believe that's why companies tend to wall off and keep outside communications limited; the offshore or onshore-but-inexperienced-crap the communications and support for customers. The ones who are taking in the most money tend to become more greedy as they feel successful and also bias their view of how people feel about them GREATLY in the incorrect direction. Problem with that? Fine. Then lather, rinse, repeat.

    117. Re:Supply and demand by Anonymous Coward · · Score: 0

      US citizens pay property tax as well as income tax. Depending on which state you live in sometimes you pay income tax for the state as well. VAT is certainly higher than sales tax in the US. But depending on where in Europe taxes are comparable, albeit a bit higher, to Europe.

    118. Re: Supply and demand by Grishnakh · · Score: 1

      Wow, this is a really informative post you have here...

    119. Re:Supply and demand by Anonymous Coward · · Score: 0

      Welcome to Lake Woebegone, where every man's penis is larger than average.

      Sounds like heaven to me!

    120. Re: Supply and demand by Joviex · · Score: 1

      Whats even more funny is how little tax yanks pay in relation to EU and other G20 nations, yet they still think they're entitled to their high paying jobs, etc.

      Yes, because us "yanks" told the fuckwad Kings who ruled us to FUCK OFF years ago.

      Cake and Eat it syndrome is the birthright of every American.

    121. Re: Supply and demand by Anonymous Coward · · Score: 0

      I grew up in Detroit too, with many relatives in the auto industry. American cars are much better now than they were. I have routinely bought American for myself and am no longer cussing out my cars.

    122. Re:Supply and demand by monkeyzoo · · Score: 1

      You've just described SUPPLY of qualified labor for a given position. So, that *is* supply and demand!

    123. Re: Supply and demand by Anonymous Coward · · Score: 0

      With standard testing and check-box tests, the West is converted into "muggers" as well.

      Captcha: maximums

    124. Re: Supply and demand by pnutjam · · Score: 1

      True, true, true. Although there are good women, I married one. Source: I live in the midwest.

    125. Re: Supply and demand by Grishnakh · · Score: 1

      There's good women everywhere, they're just a lot harder to find in some places than others. A small midwest city (~50k) just isn't going to have many unless you happen to like conservative religious women. Of course, the "midwest" is a rather large and diverse place anyway; Chicago is part of it and certainly has plenty of non-conservative, non-religious women. There's also smaller cities with universities that are a better bet with women like that. However, in all those places, the tech job factor will still be a problem; there just isn't that much of a concentration of tech jobs in those places, even in the larger cities.

    126. Re:Supply and demand by lsatenstein · · Score: 1

      Given equal skills in two continents, why should an employer pay the higher cost area more than the other area. It does not make sense. Consider water in two connected reservoirs. The idea would be for the water in the lower to rise, and the water in the higher to drop. At some point in time, the water will be the same height in both.

      That water concept will apply to salaries paid in the two continents. Eventually, they will equalize.

      --
      Leslie Satenstein Montreal Quebec Canada
    127. Re: Supply and demand by HornWumpus · · Score: 1

      Suspension parts are wear parts.

      At 80km (I assume a typo in your post) your shocks/strut elements are purely ornamental. At 150k all the rubber bushings are also sloppy as hell.

      I assume by 'fairly smooth' you mean 'mushy as hell'.

      That said,: Most people consider my car's rides harsh. I can drive over a coin and tell you if it was heads or tails. Yellow Konis and polyurethane bushings.

      --
      John McAfee 'It was like that time I hired that Bangkok prostitute; to do my taxes, while I fucked my accountant'
    128. Re:Supply and demand by rhyous · · Score: 1

      Yes. Yes, we are worth it and we prove our worth time and time again.

    129. Re: Supply and demand by MachineShedFred · · Score: 1

      Not necessarily. Claiming BMW would introduce shloads of bias, which you are already displaying.

      You also forgot Mercedes.

      --
      Slashdot still doesnâ(TM)t support Unicode after it was added to the HTML standard in 1997.
    130. Re: Supply and demand by HornWumpus · · Score: 1

      Modern muscle cars are better. Seriously, measureable better.

      The old ones are much too expensive to drive and/or build to drive these days. At this point they are kept like babies, not driven like they were stolen.

      There is also something to said for driving the piss out of an underpowered car. You simply can't drive a fast car fast on the streets. You can drive a Metro like the Stig and still barely keep up with traffic.

      I'm bipolar on cars...V8, wind up toy, V8, wind up toy, V8. (But I'm not getting rid of the V8s.)

      --
      John McAfee 'It was like that time I hired that Bangkok prostitute; to do my taxes, while I fucked my accountant'
    131. Re: Supply and demand by HornWumpus · · Score: 1

      Been there, done that.

      It's a dangerous thing.

      Management will abuse it, they will never build redundant, robust systems if you are the backup for everything. Simple things like backup tape changers won't be bought...fuck your weekends. You can come in and feed it a tape every Saturday, then another on Sunday when the backup job grows. Karnak sees the future...(my past).

      Managers are like dogs. Some are so used to crapping everywhere they are actually shocked when you hit them with a rolled up newspaper.

      --
      John McAfee 'It was like that time I hired that Bangkok prostitute; to do my taxes, while I fucked my accountant'
    132. Re: Supply and demand by phorm · · Score: 1

      Not a typo. I was referring to the mileage on the vehicle, rather than the speed.

      An older Corolla was a much nicer ride (same road, speed, conditions) than a newer Focus with significantly less mileage.

    133. Re: Supply and demand by Anonymous Coward · · Score: 0

      'roving bot': Do the needful

      Worker: K?

      repeat

    134. Re: Supply and demand by HornWumpus · · Score: 1

      Take a bath hippie. Sewage treatment requires added water, too high a ratio of shit/water and they add fresh water to the process. Indoor water use is a non-issue for water accounting (but does have a dollar cost), it is treated and returned to the river, to be used again by downstream communities. As we say, flushing the toilet in inland N. Cal is 'fixing a drink for LA'.

      I believe he rented the plane. But just maintaining a license and competence is about 10k$/year for rental hours and costs.

      --
      John McAfee 'It was like that time I hired that Bangkok prostitute; to do my taxes, while I fucked my accountant'
    135. Re: Supply and demand by HornWumpus · · Score: 1

      A 'company town' is bene? To who? Nobody awake.

      --
      John McAfee 'It was like that time I hired that Bangkok prostitute; to do my taxes, while I fucked my accountant'
    136. Re:Supply and demand by AK+Marc · · Score: 1

      The demand is the number desired (at a "price"). Supply is the number available (at a "price"). Talking about the cost of a Ford involves neither the supply, nor the demand. In economics, "supply and demand" is a set of equations (usually represented graphically, not mathematically), that often is explicitly wrong. It is almost always "wrong" at the extremes. Which is why the supply/demand set of equations is usually expressed solely as the equilibrium, without regard to the accuracy or validity of the underlying supply and demand curves it represents.

      It also represents a model of scarcity, as one predicts demand based on variations in supply.

      Also, note that supply requires people produce at a loss and demand requires people spend money they don't have, so in reality, as noted before, the curves are always wrong. It's a short-cut to explain equilibrium, and how a market price is achieved, and to predict *small* changes in the price based on *small* changes in the supply and demand.

    137. Re: Supply and demand by HornWumpus · · Score: 1

      You're right, my eyes must not be focusing.

      80k or 150k the suspension is worn out. They should both ride like hell. Somebody had fixed the Corolla before you owned it.

      Did they pull? I'm surprised ether could take an alignment to spec.

      --
      John McAfee 'It was like that time I hired that Bangkok prostitute; to do my taxes, while I fucked my accountant'
    138. Re: Supply and demand by david_thornley · · Score: 1

      The British Empire needed flexible thinkers. They didn't have to be Indian, and encouraging Indians in general to be flexible thinkers was not considered the right thing to do.

      --
      "When you have eliminated the unacceptable, whatever is left, however improbable, must be the truthiness" - Holmes
    139. Re:Supply and demand by Anonymous Coward · · Score: 0

      blah blah blah. shut up blowhard

    140. Re: Supply and demand by phorm · · Score: 1

      I was the original owner of the Corolla. I had it for 11 years before I sold it. No pull at all. At 155,000 I moved to a different province and had to get it inspected/re-certified. There was a slight leak in the passenger-side front strut so I replaced both around that time. Still not bad considering the mileage and that I drove it halfway across the country and back again (4000+km each way).

    141. Re: Supply and demand by HornWumpus · · Score: 1

      Dude, struts are bad well before they start leaking. Cars get old and you never feel the difference as they degrade. The fact you say it was fine to that point says a lot about what you consider 'fine'. Push down on a corner, count the bounces. Zero bounces is the acceptable #. See also 'overdamped'.

      I had to call my parents out on their old Honda, it was dangerously worn out. Wheels bounced when they hit a pothole, car tracked on grooves in the road. They were just used to it and always drive slow anyhow. Still not safe. I paid to fix it.

      --
      John McAfee 'It was like that time I hired that Bangkok prostitute; to do my taxes, while I fucked my accountant'
    142. Re: Supply and demand by phorm · · Score: 1

      You're pretty much following my point and disagreeing with it at the same time. Neither of the cars rode like new by that point. The Corolla was certainly rougher than when I first bought it, but it wasn't terrible either. I replaced them because of the leak - and probably would have done so anyways - but at nearly double the mileage it *still* road a whole lot better than the first.

      Driving the Focus down a fairly decently maintained road felt more like the Corolla would when going through an un-maintained country back-road. The thing leaned and heaved and in general drove like a drunken yak. Obviously I can feel a difference after upgrading the Toyota to a newer vehicle, but at no time was it ever near as bad as the Ford despite having almost double the mileage. Given that and other issues, I doubt the Ford would have even made it to 150,000km.

    143. Re: Supply and demand by Llanfairpwllgwyngyll · · Score: 1

      > They call it "mugging" over in India (and no, not mugging as in attacking someone and stealing their cash - I have no idea how the term came to be).
      > You memorize. You don't deviate. You do not think for yourself. You do not understand a concept and come up with a solution;
      > you only follow the solution that's been provided.

      It's from the English "mug up" (http://www.macmillandictionary.com/dictionary/british/mug-up), meaning to quickly learn something.

      (English is difficult, but can be understood through thorough thought though :-)

  2. We aren't paid well by Anonymous Coward · · Score: 1

    Considering the profits (tech) companies make as a result of our efforts, I'm surprised we aren't paid much, much more.

    1. Re:We aren't paid well by mattwarden · · Score: 5, Insightful

      Wages are not proportional to profit you generate. The profitability question is binary. If you generate profit above your cost, you may be employed. How much you are paid depends only on supply of labor and the demand for that labor.

    2. Re:We aren't paid well by Anonymous Coward · · Score: 0

      What about salespeople and their commissions?

    3. Re:We aren't paid well by Anonymous Coward · · Score: 0

      Salespeople are incentivized. Not always directly in line with profit generation.

    4. Re:We aren't paid well by Anonymous Coward · · Score: 0

      That theory falls apart with government workers..

    5. Re:We aren't paid well by SydShamino · · Score: 1

      The purpose of government is not profit. However, to a certain extent, the government must compete with the market to attract employees, so the wages do tend to reflect the market. That the government offers less than the market is because of its other benefits as an employer, primarily extreme stability.

      --
      It doesn't hurt to be nice.
    6. Re:We aren't paid well by Anonymous Coward · · Score: 0

      This is a grossly oversimplified view. Yes, you are right - wages are not proportional to the profit, because profit usually cannot be measured adequately, that formula in a spreadsheet does not necessarily has connection to reality.

      Yes, a lot of organizations employ on the principle of hiring PhDs and paying marginally above the current median wage. They do not care, it is automatic, and it is in their business strategy or whatever they call that shit. What is more important for them is that they organize the business processes in a way that each one of their employees could be easily and quickly replaceable from the pool of similar candidates. Divide et impera, share nothing, etc.

      If you happen to get necessary education from a top tier university you are automatically qualified for such sweatshop job. The requirement is that you have to perform according to some metrics, like bugs per lines of code, tasks done late per month, or what ever it is. No one cares about anything else. You are a specialized cell in an organ of an organism. You get the nutrition, you perform your function.

      It is just happened that in US costs of living in urban areas are artificially kept very high, so organizations have to pay enough money. This is merely cashflow - number of employees times annual pay.

    7. Re:We aren't paid well by Anonymous Coward · · Score: 0

      While the perfect hire decision is binary, the supply and demand curves are shaped by salary and profitability (among many things).

    8. Re:We aren't paid well by Anonymous Coward · · Score: 0

      The demand for your labor does, however, depend on the profit you generate.

    9. Re:We aren't paid well by Anonymous Coward · · Score: 0

      We can see someone passed their introduction to microeconomics class. Any more Freshman-level insight you can provide?

    10. Re:We aren't paid well by penguinoid · · Score: 1

      Wages are not proportional to profit you generate.

      Seems to me that in a competitive environment it would be. After all, if hiring you is so profitable, their competitors should be bidding very high for your services. And if there's a large supply of very profitable employees compared to employers, it would be very profitable to start a new business or expand an existing one.

      Of course, there's always the chance that you don't produce as much as you think you do.

      --
      Don't waste your vote! Vote for whoever you want, unless you live in a swing state it won't matter anyways
    11. Re: We aren't paid well by Anonymous Coward · · Score: 0

      America also makes the best beer! Coincidence?

    12. Re:We aren't paid well by harrkev · · Score: 2

      Seems to me that in a competitive environment it would be. After all, if hiring you is so profitable, their competitors should be bidding very high for your services. And if there's a large supply of very profitable employees compared to employers, it would be very profitable to start a new business or expand an existing one.

      It isn't just the skills, it is also the environment. Take Facebook as an example. Suppose that you code for Facebook and they are making record profits. Could you leave Facebook and go to MySpace and generate the same profit for them? Not likely. Facebook could replace you with somebody equally skilled and still generate the same profits while your skills could completely fail to produce results elsewhere. The value is not in YOUR skills, but in the name brand that Facebook commands. A mid-level employee at Google could not go to AOL and have them turn the same profits per person either.

      Similarly, I design chips for a living. I have worked on some projects that generated a nice sum of money. However, I could not take my skills and guarantee that same profit for another company. My current employer has big-name brand recognition and a reputation. Those things account for a lot.

      I am also crippled in that I cannot even easily start my own business. Even though I could likely design an entire chip from start to finish with my skill set, it would take me several years to do so without help, and the license costs for the tools would be in the seven-figure range each year.

      This reminds me of the old Communist theory. Yeah, the proletariat actually MAKES the products, but the proletariat can't do a damn thing without the engineering, plans, factory, tools, and distributors of the bourgeois.

      --
      "-1 Troll" is the apparently the same as "-1 I disagree with you."
    13. Re:We aren't paid well by TechyImmigrant · · Score: 1

      Designing chips these days is fun. There's a lot more space than there used to be.

      --
      I should use this sig to advertise my book ISBN-13 : 978-1501515132.
  3. Cost of Living by Jonah+Hex · · Score: 1

    OK so I don't live close to the bone, but contracting means moving around a bit even within the same sate as contracts change. Renting, cost of living, etc takes my "higher" salary. I could cut out my humble bundles and loot crates, but frankly it's a drop in the bucket compared to general living costs.

    1. Re:Cost of Living by Jonah+Hex · · Score: 1

      *same state as

    2. Re:Cost of Living by myowntrueself · · Score: 3, Insightful

      OK so I don't live close to the bone, but contracting means moving around a bit even within the same sate as contracts change. Renting, cost of living, etc takes my "higher" salary. I could cut out my humble bundles and loot crates, but frankly it's a drop in the bucket compared to general living costs.

      Cost of living in places where tech workers in North America are forced to live largely cancels out the higher salary. When it comes down to it, apples for apples, they end up being paid less.

      I've worked in tech companies in 3rd world countries. The salary I was earning was like a kings ransom in local terms. I work in North America now and I get a normal salary in local terms but, boy, it doesn't add up to a kings ransom and my quality of life is, if anything, lower. There are plus sides to working in 1st world countries but at the end of the day it feels like you make less.

      What it comes down to is that a dollar in one place isn't worth the same as a dollar in another place which anyone with any international experience should already know.

      --
      In the free world the media isn't government run; the government is media run.
    3. Re:Cost of living by eWarz · · Score: 0

      Not true. There are many jobs out there that pay a 6 figure salary and allow you to work remotely. I get hit with such offers all the time. I work from home the majority of the time myself, get paid a nice (6 figure) salary, and live in a cheap area (TN).

    4. Re:Cost of Living by Anonymous Coward · · Score: 0

      This is it almost entirely, in a nutshell. Tech workers in other countries get paid less in US dollars because their cost of living is lower and the exchange rate is favorable.

    5. Re:Cost of Living by Anonymous Coward · · Score: 0

      If you live in the US, only NYC proper and SFO have the highest living costs that justify the salaries paid there. It ends up balancing out because of the highest housing costs. So someone who earns 300K/yr in either city likely makes the same take home pay as someone who lives in Oklahoma at 60K.

      Live where you want to live, and if you can not justify the cost of living there, please move instead of complaining about it. If everyone did this, then there would either be downward pressure on housing or upward pressure on salaries. Don't be Vancouver BC where there is only upward pressure on real estate and no upward pressure on salaries so the needed people won't come to Vancouver, and all these expensive homes and condos are just sitting empty as "investment products"

    6. Re:Cost of Living by unixisc · · Score: 1

      OK so I don't live close to the bone, but contracting means moving around a bit even within the same sate as contracts change. Renting, cost of living, etc takes my "higher" salary. I could cut out my humble bundles and loot crates, but frankly it's a drop in the bucket compared to general living costs.

      Precisely!!! The biggest reason that equivalently skilled people in India can be paid as little is that the USD is currently @ ~ INR 66. That alone is a huge factor that sinks the cost of doing business in India as opposed to here, even factoring in logistical side expenses that would not be there if that same thing was done in the US. Even if a company chooses to hire contract workers in the US, paying him even a subsistent wage would still be way higher than hiring an Indian for a decent (by Indian standards) salary, and tossing in other benefits into the mix.

      If one chose to pay someone just a 'living wage' of $30k, it would be the equivalent of Rs2M in India. That may not be enough in major cities like Mumbai or Bangalore, but one could still live well in most other cities. Of course, there are other inconveniences in this arrangement, like the time zone shift b/w the 2 countries, as well as communications gap b/w Indians and Americans, so organizations have to weigh all those things in before diving in.

    7. Re:Cost of Living by unixisc · · Score: 1

      Uh, most companies are not that flexible about letting you live anywhere, despite almost all of the work being online. A lot of them insist that if an employee works remotely, he live in a city w/ a major airport that will let him have direct flights to client/customer sites. That limits options to a handful of cities in the US

    8. Re:Cost of Living by Anonymous Coward · · Score: 0

      Exactly this. Exactly. America is one of the most expensive countries to live in on the planet. It's all relative; high wage, high cost of living.

    9. Re:Cost of Living by Anonymous Coward · · Score: 0

      That's a silly argument. Cost of living is high *because* tech workers are paid so well. Which doesn't explain why Silicon Valley tech workers are paid so well in the first place, when tech workers could be found elsewhere.

    10. Re:Cost of Living by myowntrueself · · Score: 1

      That's a silly argument. Cost of living is high *because* tech workers are paid so well. Which doesn't explain why Silicon Valley tech workers are paid so well in the first place, when tech workers could be found elsewhere.

      You start by saying that my argument is silly because tech workers are paid so well and then you cancel that out by saying it doesn't explain why tech workers are paid so well in the first place... So whats the point?

      I think cost of living is high because these tech companies like to set up in places which are appealing to live, which because of this already have higher house prices and higher rental prices. And this has a knock on effect on food prices etc.

      --
      In the free world the media isn't government run; the government is media run.
    11. Re:Cost of Living by Anonymous Coward · · Score: 0

      Perhaps it's because many of us onshore IT folks know what we're doing, and it is apparent from years of experience that a lot of the offshore folks simply don't? Note I say "a lot of" not, "all of".

      They aren't ALL incompetent off shore, but there is a very different level of what is acceptable in terms on knowledge and competence between US firms and every offshore entity with which I have ever worked (Wipro, Copal Amba, TCS, various Russian and Indian software consulting houses, etc.). This isn't just my anecdotes; this has been described in various sources for a long time now.

      "If you use bananas for bait, you will catch monkeys." - Anon.

    12. Re:Cost of Living by Anonymous Coward · · Score: 0

      Not only is the cost of living higher in the U.S., but most IT workers would like to be able to pay back their student loans before they reach retirement age, something that is not always possible given the extremely high interest rates on these loans!!

    13. Re:Cost of Living by Anonymous Coward · · Score: 0

      Jesus people please stop comparing the numerator of different currency units as if it meant anything! If $1 US trades for $10 Shithole, it doesn't mean anything if a loaf of bread costs $1000 Shithole dollars. In that case Shithole is actually much much more expensive place to live in.

    14. Re:Cost of Living by unixisc · · Score: 1

      Except that it ain't. Most things in India, translated into $, turn out to cost much less than what it does in the US. Exceptions being things like iPhones or most electronics.

    15. Re:Cost of Living by monstza · · Score: 1

      I think tech companies just like to cluster. Future CEOs move to San Francisco so they can run into the next Elon Musk in a coffee shop and start a company together. Why was the next Elon Musk there? because that's where the venture capitalists are. Why are the venture capitalists there? you get the idea..

      Its become a big issue here in Sydney. The government brings in migrants to keep the economy growing, even when there isn't the money to build more roads, hire more buss drivers, etc. The only people who score are the house owners who sell for 10x to an apartment developer, who sells the apartments to investors who rent them out to hard working, broke people like myowntrueself ;) Its all a big machine.

    16. Re:Cost of Living by myowntrueself · · Score: 1

      Its become a big issue here in Sydney. The government brings in migrants to keep the economy growing, even when there isn't the money to build more roads, hire more buss drivers, etc. The only people who score are the house owners who sell for 10x to an apartment developer, who sells the apartments to investors who rent them out to hard working, broke people like myowntrueself ;) Its all a big machine.

      I particularly like the way the UK government wants to stop migrants coming in so they can keep the economy shrinking...

      --
      In the free world the media isn't government run; the government is media run.
    17. Re:Cost of Living by HornWumpus · · Score: 1

      Big handful, depends on the client site and the number of 'one hops'/day required.

      Gotta question the direct flight requirement. Many direct flights take longer than most connection trips. Requirement doesn't make a ton of sense.

      --
      John McAfee 'It was like that time I hired that Bangkok prostitute; to do my taxes, while I fucked my accountant'
  4. Why are you an overpaid by Anonymous Coward · · Score: 0

    Wife beater?

  5. False premise by Anonymous Coward · · Score: 1

    " job that could easily be outsourced to India"

    Given the massive failures of companies that have thus far attempted this, it speaks for itself

    1. Re:False premise by Aighearach · · Score: 4, Insightful

      And it isn't surprising. You can outsource product development, sure. But most tech workers aren't just prepping files for a factory. Most of the work is in constant customization, and understanding the needs of the client/user is just as critical to success as the actual programming skills.

      It is highly unlikely that some random programmer in India with a masters degree is going to have a better understanding than I do of the business needs in my community. Just like, as a foreigner I wouldn't be able to offer as good a service to somebody in India, because I don't understand the business needs in their community.

    2. Re:False premise by Darinbob · · Score: 1

      That's why most of the jobs going overseas are in low skill level manufacturing and service. Ie, make the machines work and operate the machines. When you get higher level then it's much harder to outsource effectively. We still have electronics manufacturing in America, but it tends to be smaller companies which also have quick turn around and easier customization that happens before the mass production. We still have help desks in America, Canada, and Europe, that's who you get transferred too when the first two tiers of service can't solve your problem.

  6. Difference in work product by sigmabody · · Score: 5, Insightful

    Obviously this is not applicable to all tech workers, but...

    In many cases, there's a fairly substantial difference in expectation of work product, both in terms of quality of work produced, and in ability to execute anything more than rote work. While it's true that those qualities may not matter for those organizations who choose to outsource tech labor, there can be a very quantifiable increase in product quality from workers who are more vested in and capable of producing a higher quality product, which can be translated into demand for higher compensation.

    It's kinda the same as the difference between a certified general contractor, and a guy you pick up at Home Depot to do some work for you. You don't expect to pay the general contractor a small amount of cash under the table, and he doesn't have any need to make his rate "competitive", because he'll be able to find people willing to pay for a higher quality of skill, knowledge, and ultimately work product. There's a reason that most tech companies who outsource their high-skill labor to inexpensive countries don't stay competitive long...

    That's my experience, anyway.

    1. Re:Difference in work product by mattwarden · · Score: 2

      This is pretty close to correct. But tech folks like to pretend that the split is domestic vs foreign. Sorry, but most domestic tech talent is not competent. Outsourcing occurs because foreign incompetent talent is far cheaper than domestic competent talent, and management needs are similar. Meanwhile, there is a cutthroat bidding war for competent domestic talent, which is in seriously short supply.

    2. Re:Difference in work product by sigmabody · · Score: 2

      This is very true. In the software industry, especially, there is a vast difference between people who are good developers, and people who are "just able to write code". For the organizations who employ a lot of the latter (either though legitimate need, or simply inability to attract and/or hire the former), outsourcing can be economically viable... as long as you are able to still stay in business, that is.

      I know, anecdotally, that several "smarter" organizations who experimented with outsourcing software development for cost reduction have since "in-sourced" it back for quality purposes. I know others who would not have made that error in the first place. For those organizations, ability can still have value.

    3. Re:Difference in work product by Anonymous Coward · · Score: 0

      +1 My experience. Not delivering at this level means you will actually get outsourced or just laid off.

    4. Re:Difference in work product by AmiMoJo · · Score: 4, Interesting

      The UK might become the new India for outsourcing. Perfect command of English, only 5 hours time difference so at least there is some overlap, similar culture... But much lower wages. As the value of our currency continues to decline and we push for cheaper labour and lower pay, we will start to become very competitive with India for highly skilled developers.

      --
      const int one = 65536; (Silvermoon, Texture.cs)
      SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
    5. Re:Difference in work product by Darinbob · · Score: 1

      I do see workers in America who are very resistant to doing something outside of their comfort zones. I've heard people say "I wasn't taught that in school", or "this is confusing I never had to do anything like this before". I'm not talking about new technologies, but anything unfamiliar outside of the 9 to 5 job they originally signed up for. If it's software then they just write code, ask them to design something and they get a glazed look in the eyes, or they reach for their holy design patterns book hoping that the words you're saying are in there.

    6. Re:Difference in work product by Anonymous Coward · · Score: 0

      True, if you could just take the hot potatoes out of your mouth...

    7. Re:Difference in work product by Anonymous Coward · · Score: 0

      Perfect command of English, what a sad joke.

    8. Re:Difference in work product by Anonymous Coward · · Score: 0

      The UK might become the new India for outsourcing. Perfect command of English...

      Have you been to the UK? Not all English is created equal. I've had conversations where I've needed two English blokes with me, one did nothing but repeat exactly what the other was saying, but with sounds I could understand. Throw a true Scott in the mix, or a Irishman + a smidge of webcam lag you'll just submit to whatever they say on the other end because you can't understand a word of what they are saying anyway.

      But yep, post-brexit the UK will be looking good.

    9. Re:Difference in work product by LQ · · Score: 1

      The UK might become the new India for outsourcing. Perfect command of English, only 5 hours time difference so at least there is some overlap, similar culture... But much lower wages. As the value of our currency continues to decline and we push for cheaper labour and lower pay, we will start to become very competitive with India for highly skilled developers.

      Except the UK has an IT skills shortage and has to import EU and non-EU engineers to deal with local demand as it is.

    10. Re:Difference in work product by AmiMoJo · · Score: 1

      There is a shortage because UK companies don't pay enough. It's the same as in the US, they would rather get in cheaper people from Eastern Europe (or maybe India after Brexit).

      --
      const int one = 65536; (Silvermoon, Texture.cs)
      SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
    11. Re:Difference in work product by Anonymous Coward · · Score: 0

      I doubt the workers in the UK would work for lower wages than Americans, but you're overlooking the real upsides to hiring them instead of Indians:

      1) They won't ask you to revert an email
      2) They won't describe something and then ask for "the same"
      3) They won't ask you to "do the needful"

    12. Re:Difference in work product by Anonymous Coward · · Score: 0

      Not quite.

      You can not have experienced talent if you only shop overseas. You only gain experience by keeping the people you have, be them incompetent or not. If you ever want to have a smart employee base, then you need to not let go of people in favor of cheap incompetent foreign labor, because you are eating your companys experience from the inside out, and eventually it will be so rotten that the company just collapses because there is nobody left who actually has the experience to deal with things older than a year.

      Given you can usually replace the front-line workers in any job with nearly anyone off the street (forget education) and train them on the job, this is what every company should be doing, and not resort to poaching workers from other companies or foreign workers unless there is nobody applying for the job at all. If nobody is applying, you've either low-balled or your demands are stupid and nobody smart would apply.

    13. Re:Difference in work product by Registered+Coward+v2 · · Score: 1

      Obviously this is not applicable to all tech workers, but...

      In many cases, there's a fairly substantial difference in expectation of work product, both in terms of quality of work produced, and in ability to execute anything more than rote work. While it's true that those qualities may not matter for those organizations who choose to outsource tech labor, there can be a very quantifiable increase in product quality from workers who are more vested in and capable of producing a higher quality product, which can be translated into demand for higher compensation.

      I would add productivity, which goes hand and hand with quality, as a key reason for higher wages. More productive workers can command higher wages because it takes fewer of them to do the same amount of work. That is true in any industry, not just tech. My experience with outsourcing work to India is it's fine if you need a simple task done but if it requires any thought by the time you get things right it is cheaper and less painful to do it elsewhere. I have worked with some highly competent Indian tech people, but with the race for absolute cheapest you are not likely to be hiring them; most likely because they are already employed and not going to work for substance wages. In the end you get what you pay for.

      --
      I'm a consultant - I convert gibberish into cash-flow.
    14. Re:Difference in work product by Anonymous Coward · · Score: 0

      Yes! If I've said it once I've said it a hundred times; those darned Indians can't speak proper English. If only some English-speaking country would go over there and teach that country how to speak the Queen's own language.
      Now, which nation can we get to do that? /IRONY_OFF

    15. Re:Difference in work product by Karl+Cocknozzle · · Score: 1

      Generally, the experience of companies that outsource successfully involves selecting only work that can be made rote (which also means, in a few years, it will be automated out of the hands of the third-worlders it's being outsourced to at present,) and only using roles that don't involve trusted access to sensitive data. I interviewed with a company that outsourced their "rank and file" IT workers to Indiana with one of the big scumbag companies out there (*cough* COGNIZANT *cough*) and they ended up keeping all the real skilled work and the sensitive stuff in house. Because it turns out, people who live in India aren't really subject to U.S. laws. So even though they could sue the pants off of the outsource contractor in the event of a breach, "getting" the person who did it (with a jail term, scarlet letter for life to prevent future gainful employment) would be much more complicated, maybe impossible.

      And the other thing that I've noticed: They end up outsourcing at least twice as many Indians for every American, chopping any "per person savings" in half instantly (because there are twice as many of them.)

      Maybe this won't ALWAYS be the case, but I think it will be for the foreseeable future because the thing is, the best educated, highest skilled Indians have already come to the U.S. to work, and don't want to be H1-B slaves and/or stuck in India--they want to be here to swing for the fences, economically speaking.

      --
      Who did what now?
    16. Re:Difference in work product by MindStalker · · Score: 1

      These people you talk about are the incompetent ones. The outsourced workers are no better in this area, in fact they are often much much worse. The competent programmers in India generally get a scholarship to the US or Europe, few of them stay in India. This causes a brain drain in India where the ones left are average at best. The education system there also has a big problem with college degrees being purchased. With this bigger population its much harder to shift through them to find competent employees who haven't already been snatched up.

    17. Re:Difference in work product by sigmabody · · Score: 1

      I was going to emphasize this too.

      I can't speak for all of "tech" as an industrial area, but in software development at least, there are also substantial indirect affects from the quality of work, some of which can be difficult to measure (without someone knowledgeable auditing work). Just because something compiles and produces the expected output, does not mean it handles corner cases well, or works every time, or doesn't have undesirable side-effects, or is easy to maintain, or that the design scales, or is forward-thinking in terms of technology choices, etc., etc. Getting all of those latter things might not be important in a few specific cases (eg: creating strictly throw-away demo-ware for marketing purposes), but in most business cases, each of them has a monetary value attached, and you could certainly be justified in paying more to get them.

      Also, the point about competent foreign workers is well taken as well. To re-use my analogy, it's not as if there are not skilled foreign contractors also... but those people don't hang out at Home Depot, waiting to do day labor for under-market wages, they have higher paying jobs closer to home. The people who are being rented out as "cheap" foreign labor are, in most cases, "cheap" foreign labor, and you get what you pay for. It's just that in tech, more than other industrial areas, you generally get less productive value out of rote labor (in my experience).

    18. Re:Difference in work product by unixisc · · Score: 1

      You'll have to get to 1 UKP to equal something like 20 INR for that to happen. Right now, it is 82 INR

    19. Re:Difference in work product by Anonymous Coward · · Score: 0

      So you'll compete with Canada then... Mostly similar command of English, no time difference, almost no culture gap, same wadge advantages.

    20. Re:Difference in work product by unixisc · · Score: 1

      Precisely. Grammatically, the Brits would be better, but the Indians speak a UK based English (mixed up w/ various Hindi terms), so both are equally alien to Americans. If language is the issue, the US should outsource to the Philippines, where they speak US English. Or maybe enhance Spanish as a language in the US, and then you can outsource to Mexico, Cuba, Venezuela, Bolivia and other poor LatAm countries

    21. Re:Difference in work product by Anonymous Coward · · Score: 0

      Odd that you say that. Our worst performers are in the UK office and we can't get rid of them. It's like they've learned how to game a system and it's impossible to get any production out of them. For example, because of the time zone issues, it already takes a day to get responses to things. I can send out an email asking for a status on something at 9AM local (they're still in the office in the UK). They sit on that email and wait until the next day to act upon it, and if they run into any issues, they wait until they're walking out the door to hit send on the "sorry, couldn't do this because.." email, basically, giving themselves a "free day" of sorts. Basically, the same routine shit I do in the office and can have resolved in about an hour or two takes almost a full working week when dealing with the UK team. It's maddening and part of me wants to move to the UK so I can get in on the gravy train.

    22. Re:Difference in work product by Xest · · Score: 1

      "As the value of our currency continues to decline and we push for cheaper labour and lower pay, we will start to become very competitive with India for highly skilled developers."

      They're different markets, there's still a substantial cost difference between India and the UK, the UK will become more cost competitive sure, but India will still always be cheaper.

      But it ultimately doesn't matter, as India doesn't produce highly skilled developers anyway, it has no universities in the top 250 global universities and only 5 in the top 500 global universities. You go to India to pay cheap and get cheap, you don't go to India to get highly skilled developers.

      There are cheaper nations where you can get skill for less, typically the Eastern European nations like Lithuania and Estonia where highly skilled developers are available at low salaries, having often trained in some of Europe's top universities.

      Don't mistake India as a place to secure highly skilled tech talent, that's the exact opposite of what it's for when it comes to outsourcing - it's entirely about when you need quantity, not quality. That isn't to say there aren't some star talents of the industry coming from India, but they all leave India and end up in countries like the US anyway- only the low skilled get left behind.

    23. Re:Difference in work product by Anonymous Coward · · Score: 0

      Sad to say, but your statement may be true. With the loss of 1/6 of the value of the pound vs the dollar in the last few months the question becomes at what point will the UK become like eastern European countries for the cost of IT outsourcing. Given that the pound has lost close to 1/3 of its value vs the EUR it may be more of an outsourcing house for Europe. Good Luck.

    24. Re:Difference in work product by AmiMoJo · · Score: 1

      Not really, UK costs just have to be significantly lower than US ones with providing a significantly better service than India.

      That's where the government has driving us for a while now. They got wages right down over the last 8 years, but due to low inflation it wasn't too bad. Now inflation is ramping up due to Brexit people are really going to feel it. Brexit is a good excuse though, they have been talking for a long time about how it will make us more "competitive", which of course means lower wages and fewer rights.

      --
      const int one = 65536; (Silvermoon, Texture.cs)
      SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
    25. Re:Difference in work product by Kagato · · Score: 2

      Well, you're bolstered by Russia messing with the former Iron Curtain countries. For a while it appeared that Ukraine was going to upset India for sub-contracting. High quality English, smaller time zone difference and they had no problems pushing back on tech issues and coming up with alternative solutions. Now Western countries are fearful about placing all their bets on a place that could go up in smoke overnight.

    26. Re:Difference in work product by Anonymous Coward · · Score: 0

      Toronto/Kitchener-Waterloo is even closer - a 1-hr flight from NYC (or 5-hrs from SFO). The quality of engineers is comparable to that in the US, yet salary expectations are significantly lower.

    27. Re:Difference in work product by Anonymous Coward · · Score: 0

      "Perfect command of English" Really?

      I would say difficulty to understand some British folks brings you -additionally- you about the same as India. The part I don't get though is "lower pay". I thought UK IT salaries are similar to US or Canadian.

    28. Re:Difference in work product by ruir · · Score: 1

      I have been interview by several UK people, and well, with the kind of salaries they are paying, it is a no-no. Why move there, when I can move to Ireland and get a better pay?

  7. It's not just plug-n-play by Mean+Variance · · Score: 4, Insightful

    Sometimes outsourcing to lower cost countries might work, but often it just doesn't work as expected. My employer tried India outsourcing 10 years ago and it was a failure. First, while the direct employment costs are cheaper, there is overhead that is complicated and expensive: protecting intellectual property, management from 12 hours away, project planning, code culture and standards.

    IT and software engineering pay well especially in Silicon Valley and other major areas because it's worth it to pay that. Proximity has its own intrinsic value. I work with 50% Indian workers, but they are here in SV and paid well, most 100k+ because that's what the work is worth.

    1. Re:It's not just plug-n-play by Anonymous Coward · · Score: 0

      At my company we use the term "Negative Productivity" when dealing with India-based software development. The experienced engineers in the US know full well that most anything they get from India will not work except in the narrowest of cases, will be poorly designed and written, will require three to four times the time required to deliver, and will be a burden on the time of the US engineers in order to rework it to suit their needs.

      The opinion of our India-based development is that they lack any semblance of critical thinking and engineering skills. Anything that requires even a little bit of ingenuity is beyond their capability.

      Yes US engineers cost more but the higher quality and shorter schedule demand the higher pay.

    2. Re:It's not just plug-n-play by Anonymous Coward · · Score: 0

      I agree, and furthermore, I have worked in environments where we mixed outsourcing vs in house labor, and I can stress that the communication/management was always the problem. They may be working on 4 or 5 projects at once for different companies, and they have to context switch just to have a meeting with you, let alone work on your projects. Also, when they do, they have a sort of 'this is my job, this is the customer's (you, the hiring firm) job' mentality. "I checked all my boxes, back to you US employees..." And there is a lot of time spent arguing over who didn't check which requirements off and whose job it was to begin with. I don't think they're particularly lazy for it being like this, but everyone's just living in their own environments trying to meet their own requirements. It's sometimes hard to convey the business cases for requirements and describe the intention of features fully without a lot of back and forth. Ultimately it adds to the timeline of the project, MORE than it would in house. And so, not only is there actual cost, but also opportunity cost in 'time to market.' I have worked with some really sharp foreign engineers and teams and theses issues STILL cropped up. It's just a lot of overhead, and that time to market metric can be a deal breaker if you're working on something where you have a first mover's advantage.

  8. Remote management makes for expensive mistakes by Anonymous Coward · · Score: 0

    And it's a lot less efficient.

    Which I guess brings us to:
    The US has O.K. coders and really lousy managers ?

    1. Re:Remote management makes for expensive mistakes by Anonymous Coward · · Score: 0

      >The US has O.K. coders and everybody has really lousy managers ?
      FTFY

  9. because TECH is such a spyware POS by Anonymous Coward · · Score: 0

    always working, always being on call, always being spied on, while at work, while at home, in the car
    even if you stayed long enough to have vacation, it would never be an actual vacation

    1. Re: because TECH is such a spyware POS by Anonymous Coward · · Score: 0

      It's your own choice.

    2. Re: because TECH is such a spyware POS by Anonymous Coward · · Score: 0

      You should have picked a real job.

  10. Retarded question by Anonymous Coward · · Score: 0

    Only taking into account pay and not taking into account costs is retarded.

    I have no idea what an Indian pays for rent in India on average but I doubt it's thousands of dollars.

    The lower your costs, the lower your pay can be.

    1. Re: Retarded question by Anonymous Coward · · Score: 0

      Wow this makes no sense whatsoever.

    2. Re:Retarded question by war4peace · · Score: 3, Informative

      The difference in cost of living between my country's capital and New York is not that big.
      Consumer prices are 1.5 times higher in New York; restaurant prices are 1.7 times higher in NY; Groceries prices are 2 times higher in NY.
      Indeed, rent is much higher in NY (7 times higher) but that's an average and can vary greatly (Central Park view apartments cost a LOT more than periphery places).
      In order to keep the same standard of life from my city (considering my current salary here), I need to make 4500 dollars a month as a specialist in NY. The average salary for my specialization in NY is a little bit over 7K dollars a month and could go as high as 11K dollars a month.
      Here in my city I make 7.5 dollars an hour, working late shift (because most my customers are from the States). In NY I would make an average of 43.75 dollars an hour (accounting for salary ranges), that's almost 6 times higher than here, and in order to maintain the same living standard I would only have to earn 3.75 times as much.
      The difference, mathematically speaking, is overhead. by moving to NY, with average salary, my standard of life would greatly improve. So there's your cost calculation right there.

      Source: https://www.numbeo.com/cost-of...

      Feel free to compare any USA city with Bucharest and you'll see that the cost of living difference isn't that great.

      --
      ...gis sdrawkcab (usually not responding to ACs; don't bother posting as AC)
    3. Re:Retarded question by Ungrounded+Lightning · · Score: 1

      Try it with Palo Alto California. Or Atherton. Or Mountain View, Milpitas, Fremont, San Jose ...

      Even people from the most expensive places on the East Cost (NOT New York City) are shocked at the jump in cost of living when they move to Silicon Valley.

      --
      Bantam Dominique roosters crow a four-note song. Once you've heard it as "Happy BIRTHday" you can't NOT hear it that way
    4. Re:Retarded question by Anonymous Coward · · Score: 0

      You have a good start on the basics, but did you also compare:

      Cost of utilities (electricity, gas, water), sewer charges (I pay $90 a month to flush my toilet), garbage collection ($25 a month for me), gas/petrol (your gas may cost way more, but you drive way less than you will in the US) or public transportation, what does a gallon of milk cost where you shop (it's $7 at my store, $10 for "organic"), what about a drink from the vending machine ($1.50).

      I moved from a mid-west town to the big city for an 80% increase in pay, and doing the same calculations you did I thought for sure I would be living like a king, but honestly I have less expendable income than I did before and I eat out less, go to theaters/clubs/activities less, and upgrade my electronics less often.

      But I keep telling myself when I retire I can move back to the sticks and live that kingly life.

    5. Re:Retarded question by unixisc · · Score: 1

      In India, there are only a handful of 'tech' cities - Bangalore, Pune, Hyderabad, Chennai, Gurgaon, Noida (last 2 both part of Delhi NCR) - and all of them are very expensive. One can't get a tech job sitting in places like Ahmedabad or Jaipur.

      In the US, while you do have New York and the Bay Area, there are a lot of cities that do have tech industries and companies, and where people can affordably live and work. Like Charlotte, Atlanta, Dallas, Austin, Denver, Los Angeles, Seattle.

      However, fact remains that the exchange rate sucks up any advantage there is to work in the US, despite it being more affordable

    6. Re:Retarded question by Anonymous Coward · · Score: 0

      I've never seen a single example of those online cost of living calculators that was even close to realistic.
      I've lived in very rural areas of the US and very urban areas of the US (south-west Virgina to Ft. Lauderdale Florida) and using any of those online tools to predict the salary needed in FL vs. VA was nothing like accurate.
      A good example might be to say I can get housing in Watts (median sale price of homes is $280K) for much cheaper than I can in Encino (median sale price of homes is $739K). But I wouldn't even try to go into Watts. (I just picked some well known neighborhoods in Los Angeles for this comparison). Anyway, just an example of how a person needs to be careful when saying I can get housing in one area for cheap.... Yeah, maybe you can buy you might be risking your life if you actually live there.

    7. Re:Retarded question by Anonymous Coward · · Score: 0

      I don't think you realize how poor of a living standard $28 an hour gets you in NYC. At $28 an hour in NYC you will be living with a roommate in a roach infested dump of an apartment for the rest of your life in NYC. The biggest and most important variable is housing cost. A 1 bedroom apartment even out at the far ends of Brooklyn and Queens where you will enjoy a 90 minutes one way commute is going to run you $1600 a month now. The stuff you find online for $1500 is so bad the only people taking those apartments are illegal immigrants with no options. $1600 is my being very conservative. At $28 an hour your after tax take home in New York is $739 per week or $2956 per month. 1600 of that is just rent. That leaves you $1356 to live on. You need a $120 metrocard. You need $100 a month for your phone. Your electric bill will run you $60 a month. Your gas bill will be another $20 unless you never cook. You internet access will be $60 a month. I will pretend you don't need cable TV. You are down to $996 a month and that's before you have eaten any food. Food will run you $300 a month assuming you never eat out. $696. Want a car? The car will eat the very last of your money. You will have no money for clothes, cable TV, furniture, or anything else. Forget ever having a family. This is why NYC is just awful.

    8. Re: Retarded question by Anonymous Coward · · Score: 0

      Any $1500/mo apartment in New York, NY you see online is a fake. $3k a month gets you a clean, decently located 200 square foot place in "white" Manhattan neighborhoods. Plus utilities. Parking not included if you refuse to use the subway. Everything else is either an hour away, a room mate, a shared bathroom, or an outright scam.

  11. Why? by Anonymous Coward · · Score: 0

    Because life is not fair, and regardless of what others might tell you, a country's duty is to provide of its citizens; Screw the rest.

    We can sit here and discuss the philosophical rightness of income inequality, but the fact is, when you ask people to share a portion of their _hard earn_ income with people in 3rd world nations, you are going to get laugh out of the building.

    This persuasion only works when the giver is a multinational corporation giving minimal wage to developing factory workers. "Oh the companies should definitely pay those poor workers 3 times as much! The companies make so much money per year! Surely they can forego a portion of that income to those less fortunate than them!"

    Guess what happen when you use the same argument on American high-tech workers?

    PS I ain't even Americans. I am a Canadian tech worker making good money. But I don't pretend I am on the moral high ground when it comes to tech employment income inquality.

  12. Hard to put a finger on it... by Anonymous Coward · · Score: 5, Informative

    As a guy that owns a small IT security startup and has some developers on contract in India and as many full time North Americans as we can afford right now I would say this:

    Creativity. Understanding the why as well as the what (aka seeing the big picture), and a general drive to see the company succeed.

    None of my contractors give a shit if my company succeeds beyond their next invoice. None of them really seem to care to understand why we are doing what we are doing, they are only focused on their silo of work. And OMG if you don't give them EXACT to the letter specs, the work wont get done. Likely because of the other two things I mentioned, but also I think it might be a culture thing where they are taught both at home and in school to never question, and just memorize and regurgitate to succeed. Yeah they are kinda like human robots in some cases.

    I will always pay more for an innovative self-starter that's in my time zone.

    1. Re:Hard to put a finger on it... by mattwarden · · Score: 1

      Do your domestic developers have equity? If not, they don't have any more incentive to care about your business than your contracting partner. The cost of finding another job is similar to the cost of finding another customer. And employees get unemployment compensation. Salaried employees don't have much skin in the game.

    2. Re:Hard to put a finger on it... by Anonymous Coward · · Score: 2

      Some people have pride in their work and the company they work for. Not all companies are soul sucking demons.

    3. Re:Hard to put a finger on it... by brian.stinar · · Score: 2

      Do you have equity? If not, then what incentive do you have for caring about the success of the venture you're involved with?

      I own my own company now. Before I owned my own company, I realized that my success, and the success of the organization I worked for, were tied together. If I succeeded, and the company did not, that would be very short term for one of us. The same if the company succeed, and I did not. This is how Americans, with any understanding of economics, sense of connectedness, and general work ethic, view things. These understandings, like the one I outlined to you, and a myriad of other (relatively implicit) understandings, are why I choose to hire American workers at 3-5x what their outsourced counterparts would make. - [and I speak Russian.]

      I want to succeed, and see everyone around me succeed, through our hard work and diligence. This is typically a value that Americans hold. This is not a value shared by other cultures, and other societies. Studying Russia, and Russian, has helped me analyze their culture, as well as question a number of the assumptions most people hold about ours.

    4. Re:Hard to put a finger on it... by Anonymous Coward · · Score: 0

      You are both correct. However, 'get out your not doing your job' seems to motivate people. Whereas a contractor will just bill you and move on. Sometimes they will fix it just enough to pacify you if you say 'not going to pay for this crapzaster you created'

      I have done both hired contractors and hired people. Hired always works out better long term.

      I usually have to hire someone to manage the offshore guys. Then they always inevitably turn in shit work. Hire 5 guys to work on it locally and under my umbrella and it is usually at least competent.

      After about 8 projects like this we concluded only use offshore only if absolutely necessary.

    5. Re:Hard to put a finger on it... by Malc · · Score: 1

      How much do you invest in making them feel like part of the company and its future? Are you talking to them live everyday, and visiting them for a week at a time once per quarter?

    6. Re:Hard to put a finger on it... by Anonymous Coward · · Score: 0

      If you ask me to do some work and I do more work beyond what you've explicitly specified, I can very well get into trouble. I could possibly deliver an unsolicited feature that turns out to be some security hole. If I do this kind of unsolicited work, I will be the one that will get in trouble when things go work. So please, if you want a certain bit of work done, please specify that you need it done.

    7. Re:Hard to put a finger on it... by Anonymous Coward · · Score: 1

      Some people have pride in their work and the company they work for.

      These are called young people.

    8. Re:Hard to put a finger on it... by Darinbob · · Score: 1

      This is important. You need all the workers to be on board, not just a few manages here and there. Sometimes some workers are just there to do the 9 to 5 job, and are prepared to job hop at a moment's notice. They may as well be contracted or outsourced. Of course once they're outsourced to an American company (it house, consulting firm) then it's a small step to outsourcing overseas.

    9. Re:Hard to put a finger on it... by Darinbob · · Score: 2

      Equity is mostly pointless. It amounts to a tiny fraction of annual compensation. A small fraction of companies may have equity pay off more than a normal annual bonus, but you can't count on that (though there are enough gamblers out there who are suckers for it that it keeps the startup industries alive). Salaried employees have skin in the game because that money keeps the food on the table and the mortgage paid off. Unemployment insurance is nearly worthless, it won't cover even a fraction of the cost of living.

      Working on a product with a team and being compensated for it makes me care about the company far more than some stock options.

    10. Re:Hard to put a finger on it... by Darinbob · · Score: 1

      I work with people. I care what happens to them. If the company fails then it means lots of people out of work. It is not easy to find new jobs.
      What does equity do for this? It's 5-10% of my take home pay maybe. If I were at a company I didn't like I'd leave regardless of the equity. If the stock goes through the roof then the execs make all the money and the other workers get only a small fraction. I've known people sticking around for a decade at a company and then when it goes public find out that they didn't get the easy retirement they were hoping for. When companies go public a lot of people leave, not because they got rich but because they learned what that loyalty actually paid. So get the salary up front, and treat anything else as a nice bonus.

    11. Re:Hard to put a finger on it... by Anonymous Coward · · Score: 0

      Not really. Some of us like what we do, and always strive to do better. You are confusing taking any bullshit with working.

    12. Re:Hard to put a finger on it... by epine · · Score: 1

      Do your domestic developers have equity? If not, they don't have any more incentive to care about your business than your contracting partner.

      Adam Smith wrote two books. The Wealth of Nations presents and discusses the reductive version of incentive that apparently you know and love. The other was The Theory of Moral Sentiments which presents and discusses non-reductive forms of incentive, which apparently you've never heard of, and have no great wish to consider.

      Although The Wealth of Nations is widely regarded as Smith's most influential work, it is believed that Smith himself considered The Theory of Moral Sentiments to be a superior work.

      1. learn and burnish the word "incentive"
      2. drag every conversation into the mud
      3. lather, rinse, repeat

      After enough repetitions, "incentive" is honed to a fine point.

      In the work, Smith critically examines the moral thinking of his time, and suggests that conscience arises from dynamic and interactive social relationships through which people seek "mutual sympathy of sentiments."

      To a certain extent there's a selection bias at play here. Those of us who care about "dynamic and interactive social relationships" tend to band together in camp Sentiment Too, leaving extreme examples of reductive incentive to battle things out—nature red in tooth and claw—off yonder in camp Nothing But Wealth.

      Where intangibles matter, outsourcing is a slow process. Where intangibles matter little, outsourcing is a wolf at the door.

    13. Re:Hard to put a finger on it... by Anonymous Coward · · Score: 0

      They are called "Old-School" Americans and were born before 1980.

    14. Re:Hard to put a finger on it... by Stinky+Cheese+Man · · Score: 1

      None of my contractors give a shit if my company succeeds beyond their next invoice.

      Why would you expect more than that from someone you have specifically acquired as a disposable asset? Do you care if your contractors succeed beyond the completion of their current project with you?

      Loyalty is a two-way street. The best you can expect from a contractor is a professional work ethic and X hours of work for X hours of pay. If you want someone who cares about your company's future, then demonstrate by your actions that you care about their future.

    15. Re:Hard to put a finger on it... by Anonymous Coward · · Score: 0

      While your nostalgic American Dream-esque sentimentalities are cute, I'm afraid reality does not agree with you. Most Americans who are in a position to hire or fire you will cut your throat to get a bonus. I've worked in several Fortune 500 companies (in a Fortune 50 right now) and not even once have I encountered a higher up who would pay ANYBODY what they are actually worth. If an employee singlehandedly builds a multi-million dollar product over the course of a year, not a single private entity in the USA (or the world, for that matter) will give that employee an equitable share of that contribution to the company.

      I'm afraid your understanding is inverted: most Americans don't want anyone else to succeed out of fear it will take away from their entitlements. That's what drives such a toxic culture that can spawn a presidential candidate like Trump. The countries where everyone actually DOES succeed do the opposite; they enact legislation to keep a parasitic ruling class in check.

    16. Re:Hard to put a finger on it... by Anonymous Coward · · Score: 0

      Try Argentina. we live in GMT-3 timezone, tend to have pretty good english, and have the desireable mental qualities you described (creativity, seeng the big picture, etc)
      We also cost half of what you'd pay a US worker.

    17. Re:Hard to put a finger on it... by Anonymous Coward · · Score: 0

      I'd have said "stupid" but there is a great deal of overlap.

    18. Re:Hard to put a finger on it... by Anonymous Coward · · Score: 0

      I think your analysis is incorrect. You wonder why your offshore workers don't care about your business. The reason is not culture. The reason is survival.

      Lately you can start to see this in the US too. These days the thing people hear when they get into college is: you can make $250k a year as a programmer. And, let's face it, it's a cushy job. You go to work in whatever clothes you want. You work in an air conditioned/heated office. You usually have flexible hours. The heaviest thing you have to lift is your fingers. You get free soda, free meals, free whatever. Forget being a doctor and cutting people open at all hours of the night/day. Forget being a lawyer and studying for god knows how many years to memorise historical trivia so that you can get paid to argue all day. Programmer == money for nothing (or so they think).

      For those of you who do not own your own company, raise your hand if you think that half the people on your team is dead wood. For those who own their own company... sorry...

      Now, compare that to being in India. To get a university degree, either you come from a rich family or your family (and extended family) pitched in together to send one person to university so that this person can pull everyone else out of poverty. In the first case, you are probably going to be a doctor or a lawyer. In the second case, you're going to be a computer programmer because you have a decent chance of getting an H1B and pulling in the big bucks.

      But if you don't make out of the country, you're making a comparative pittance and you have to use it *all* to help your family. Not one of those people you are employing cares about your company because they just don't have the capacity to do so. They are in it for the money. They don't care about the job. They don't care about you. They probably don't even want to be a programmer. But what the hell are you going to do about it?

      Now, if we played the same game and ask people to estimate how much of their team is dead wood in one of these places, you would just get blank stares. Because virtually the whole bloody team is dead wood!

      Now, if you hire someone from a rich family that was trained abroad (i.e., could afford the tuition fees), you will find that there are many, many, many wonderful creative candidates from India, China, Malaysia, wherever. The difference is that if you have enough money to go to Harvard as a foreign student, then your family has money coming out of their ears. And so anybody crazy enough to pick computer science *actually wants to be a programmer*. Or at least an entrepreneur dealing with high tech :-P And they don't have to pick any stupid job that pays a quarter of a normal salary just so they can afford to buy medicine for their uncle. They can concentrate on doing well at their job.

      Which is not to say that there aren't amazingly talented programmers working for practically nothing in sweat shops in Asia. There are. But they are drowned out by the sheer numbers of people who are not. As the wealth gap spreads in the west and as programming gets more and more of a reputation as being the "easy" way to score big, it will come to us too.

    19. Re:Hard to put a finger on it... by Rastl · · Score: 1

      None of my contractors give a shit if my company succeeds beyond their next invoice. None of them really seem to care to understand why we are doing what we are doing, they are only focused on their silo of work. And OMG if you don't give them EXACT to the letter specs, the work wont get done. Likely because of the other two things I mentioned, but also I think it might be a culture thing where they are taught both at home and in school to never question, and just memorize and regurgitate to succeed. Yeah they are kinda like human robots in some cases.

      Of course your contractors don't care beyond the next invoice nor do they do work that's not specifically spelled out in the requirements. You're paying them for a product. They deliver the product you specified. No contractor is going to do 'creative changes to improve your business' because that's not THEIR business. If you want someone to be invested in your business then return the favor. Hire people instead of contracting out work.

    20. Re:Hard to put a finger on it... by Oswald+McWeany · · Score: 1

      I've worked with a number of developers from India. Some were outsourced programmers living in India, some were programmers who moved to live in the US.

      With the exception of one developer who had moved to the US, and was probably the most talented programmer I have ever encountered, I would say the average quality of programmer from India was far lower. Especially the outsourced programmers. I'm not sure if it's a language thing (even though they spoke fluent English for the most part) - but they wouldn't seem to really grasp the problem. You had to spell out what they needed to do- and the spelling out took more time than if you just hired a domestic to work on the problem.

      I'm not sure if it is a cultural thing or a schooling thing, but the lack of flexible thought in programming was always the deal breaker. Paying more and hiring domestic employees seem to work better for programming. They may cost more per hour but you're more likely to get the job done right the first time and don't have to hold their hands through every step.

      --
      "That's the way to do it" - Punch
    21. Re:Hard to put a finger on it... by HornWumpus · · Score: 1

      Whatever you do, never hire Brahmen.

      You'd think having all those advantages and going to western schools, they would be better. They might actually be smarter, but they don't work, at all. There is no way to effectively test it.

      I've seen one hired as a programmer, on his first day, he tried to 'assign' all his work to his coworkers.

      I draw them out in interviews by boasting about how upper crusty my family is, I even invent a 'von' for my mom's family. They can't help themselves: 'their family owns half an indian state...' Never hire them.

      I can't say my experience with Harvard grads from money has been any better. But I've run into far fewer, so I keep an open mind.

      --
      John McAfee 'It was like that time I hired that Bangkok prostitute; to do my taxes, while I fucked my accountant'
    22. Re:Hard to put a finger on it... by david_thornley · · Score: 1

      My company is not a soul-sucking demon. It's a really good place to work. Of course, senior management has been going through a lot of changes, so while I think they'll keep the company culture intact I'm not as confident as I was with the old management.

      --
      "When you have eliminated the unacceptable, whatever is left, however improbable, must be the truthiness" - Holmes
    23. Re:Hard to put a finger on it... by Anonymous Coward · · Score: 0

      Equity? What's that got to do how hard I work in making the company succeed?

      I'm a DevOps guy.
      I have interesting work, get decent pay (certainly not at the top which is ok), work reasonable hours and am learning all the time.
      I have a say in how things are done and can make things better. My boss appreciates it and treats me well.

      My last job had a boss that didn't give me a say. After I realized that, I started looking and had a new job in a month.

      I have a home lab & play with similar stuff at home that I do at work. Sometimes I even bring stuff I learned/dis at home to work. That's how the Open Source movement started. Eventually people got paid for what they were doing already.

  13. This is a brilliant question by mattwarden · · Score: 1

    Tech workers who have been in the field for long enough are unable to analyze it like you have. You are detecting a market issue. Partly, wages are sticky. For jobs where this is the problem, you see complaints about outsourcing and H1-Bs. Secondly, the market is actually extremely tight for competent domestic tech workers, and employers are in a constant bidding war for these few folks. This bleeds into the majority of less-than-competent domestic tech folks through a number of mechanisms, including employers lowering the bar on unfilled positions with salary range already set, dumb employers being unable to differentiate between competent and incompetent, etc.

    The answer to your question is that it is a temporary distortion. I don't have a crystal ball, so I don't claim to know how it plays out. But these high wages for less than competent domestic tech staff is not sustainable.

    1. Re: This is a brilliant question by Anonymous Coward · · Score: 0

      I'd say the biggest issue is the cost of living. Much higher here than in places like India.

        A few problems with out sourcing arise from my experience being called out to fix issues, most of remote IT people don't seem to understand the simplest of problems. It's borderline ridiculous and I see it everyday as a field tech being called to various companies because they can't print, send email, etc and the guys in India can't figure it out. We bill for every move we make now because of these people wasting our time. Sometimes I'll just tell the customer they'll need to get their IT on a plane because I've had enough(this stuff isn't really my responsibility, I'm a hardware tech).
      Out sourcing your IT dept. is the dumbest move possible.

    2. Re:This is a brilliant question by eWarz · · Score: 1

      Yep, for the financial industry (which I don't work in FYI because the hours suck balls) it's up to a quarter million dollars for a competent C++ developer in NYC. I've seen 5 different job listings for $250,000-$275,000 + stock this year.

    3. Re:This is a brilliant question by angel'o'sphere · · Score: 1

      Feel free to forward them to me, I would like to work with C++ again for a change :D
      And I have heard that NYC has one of the best House/Underground night clubs: Output.

      --
      Cost free eBook I read (by iBook/Kobo/Amazon/ObookO/Gutenberg etc.): "The Green Odyssey" by Philip Jose Farmer.
    4. Re:This is a brilliant question by Anonymous Coward · · Score: 0

      you have heard that NYC has one of the best night clubs ? No shit, sherlock.

    5. Re:This is a brilliant question by unixisc · · Score: 1

      Problem when they hire is - if they are looking at an experienced developer, they look for someone who has precise domain knowledge of where he will be working in, and that too, at a similar scale. So if they wanted somebody to work on projects in their Fixed Income department, they'd look for someone who not only knows C++, but also is a whiz at bond math and the like. If they can't find that and have to sacrifice the domain experience, then they'll hire an entry level C++ guy who can be trained on the domain stuff. They won't have to pay him as much as you, but after a while, for a much lower price, they'll have what they're looking for.

  14. The 1st world will never be competitive by diesalesmandie · · Score: 3, Informative

    I used to work as a DW analyst in a british bank who off-shored the ETL development to Chennai, India. The manager of the ETL team was earning 1/3 of what I was and I wasn't even a senior member of the Analyst team, there is no way to compete with that unless you yourself live in India.

    --
    This is my sig, there are many like it but this one is mine
    1. Re:The 1st world will never be competitive by TJ_Phazerhacki · · Score: 1

      It was frightening to see what my Boss' boss was earning in a position I had a few years ago. The contract stipulated that the person filling my role be a US Citizen for security reasons (but not clearance-level) so I was the only US Citizen on a team of ~30 people. My supervisor did little more than apologize for screw-ups and approve timecards, and his 'boss' was more like a glorified PM. Mind you, I made 20-30% more than either of them, and was literally triple the rate of my 'coworkers.' The reality is that I could have done the entire contract's work with 3 reasonable US-FTE's, and they wouldn't have had to rotate the positions every 9 months. It was insane.

      --
      Physics is nothing like religion. If it was, we'd have an easier time trying to raise money!
  15. Why are we so well paid? by Anonymous Coward · · Score: 0

    Because the laws in this country more or less demand it.
    Because slavery is illegal.
    Because people tend to refuse jobs that pay them less than cost of living.
    Because we can actually communicate in real english rather than a lousy, stilted, textbook pidgin.
    Because we actually KNOW the platforms and programs we're working on, rather than simply parroting what we were taught in a 6 week crash course and being completely useless outside of that.
    Because we can actually put a product together by a method OTHER than the "infinite monkeys" style of software engineering.
    Because we actually have some modicum of loyalty to our employers, and aren't going to steal company information to enrich ourselves or competitors.
    Because we can actually get shit done instead of "Oh. Let me be looking into that. I shall call you back!" and then immediately forgetting about it the second the phone hangs up.

    1. Re:Why are we so well paid? by PopeRatzo · · Score: 0

      Because slavery is illegal.

      Let's see what happens Tuesday.

      --
      You are welcome on my lawn.
    2. Re: Why are we so well paid? by Anonymous Coward · · Score: 0

      theres no need to be an ass hat. talk about accentuating the idea of exceptionalism.

    3. Re:Why are we so well paid? by Anonymous Coward · · Score: 1

      >Because people tend to refuse jobs that pay them less than cost of living.
      That's not really true.

    4. Re:Why are we so well paid? by Anonymous Coward · · Score: 0

      Because we can actually communicate in real english rather than a lousy, stilted, textbook pidgin.

      I have yet to meet an American who communicates in real English.

    5. Re: Why are we so well paid? by Anonymous Coward · · Score: 0

      Have YOU ever been outsourced?
      Have YOU ever been forced to train your replacement and try to convey years of experience and knowledge to some person who can barely speak the language or understand why you're set up the way you are?
      Have YOU ever had your severance pay held hostage?

      Yeah. There's a need. A BIG fucking need.
      And speaking the truth is NOT "being an asshat".

      So grow the fuck up, develop a fucking spine, and try to actually LEARN about something before you start flapping your goddamn pie hole.

    6. Re:Why are we so well paid? by Chas · · Score: 1

      Really?

      Okay, I'll offer you $10 a year with no benefits to do all my Cisco work for me...

      --


      Chas - The one, the only.
      THANK GOD!!!
    7. Re:Why are we so well paid? by unixisc · · Score: 1

      Just like people here - particularly non Americans - refer to us as USians, they might as well rename American English to USish

    8. Re:Why are we so well paid? by Bigjeff5 · · Score: 1

      English is India's primary language. The only "textbook" education they get to speak it is the same that Americans and British students get: proper grammar and sentence structure, vocabulary and spelling, etc. They all learn to speak English as children because that's what everyone speaks over there.

      Hell, my English professor in college was Indian.

      The only difference between their English and ours are the accent (which is something fierce), and colloquialisms and slang and such.

      --
      Security is mostly a superstition... Avoiding danger is no safer in the long run than outright exposure. - Helen Keller
    9. Re:Why are we so well paid? by Anonymous Coward · · Score: 0

      Well most of you speak your dialects most of the time, and the English errors Indians make, they are atrocious. It is just a matter of being a moderator in any big size technical group, and the noise/signal ratio would be so much lower if those sites were closed to India.

  16. Compared to who? by Anonymous Coward · · Score: 0

    We are only paid well in a relative sense, not in an absolute sense.

  17. Salary Growth Closes A Lot of Gaps by mtippett · · Score: 3, Interesting

    Some numbers from my personal experience.

    1) Salary Growth. In general, the Indian Salaries are increasing by 10%, US Salaries are increasing by 3%.
    2) Salary Scalability. In general, Junior staff are about 5 offshore to 1 onshore. Mid level staff are about 3:1. Senior staff are 2:1.

    China used to be a good low cost offshore location, however senior staff are now more or less the same cost (assuming remote team management). You offshore to China for reasons *other* than cost reduction. India will ultimately be no different.

    Mid to senior engineers will be generally cost neutral within a decade, junior engineers - not so much.

    Near-shoring will likely replace the off-shoring - in some cases it already does.

    1. Re:Salary Growth Closes A Lot of Gaps by Anonymous Coward · · Score: 0

      I think it's in everybody's interest to raise everybody(except for the 0.00001%-ers of course) to the same high standard salary/lving standard, but I am fearing that the race-to-the-bottom force is strong.
      lets call that the dark force.

    2. Re:Salary Growth Closes A Lot of Gaps by Anonymous Coward · · Score: 0

      I work for a Chinese company. I was the first non-Chinese employee they hired. We have since offshored more work to the USA to reduce costs and improve time to market. We have started sourcing components in the USA and are thinking about some final assembly in the USA for export to China. It's a slow transition, mostly because moving cash from China to the USA to pay for stuff is a hassle.

      Crazy as it sounds, for high quality work, the USA is very competitive and offers advantages to businesses. I was paid 4 times anyone else at my level, but have been almost 10 times more productive. I was offered a promotion to VP, but turned it down. It was given instead to another American who flies monthly to Beijing. He might be paid more than local talent. But it's well understood he won't screw the company by walking off with confidential info and going to a competitor.

    3. Re:Salary Growth Closes A Lot of Gaps by Anonymous Coward · · Score: 0

      You are forgetting one thing.. India has an inflation rate at 6% (15% in 2009) and their salary increase is in line with the inflation. But since outsourced jobs is paid with foreign money, the increase in USD or EUR is 0% (Or 1-3% if you actually give them a raise).

    4. Re:Salary Growth Closes A Lot of Gaps by Anonymous Coward · · Score: 0

      If you take into account inflation into consideraton, the 10% increment is almost as good as 3% increase in US if not worse. Plus, IT companies do not readily admit that they have been steadily reducing the cost of labor further through exploitative practices such as 50 hour work weeks + free overtime, free work on holidays, minimal health covers, no pension coverage, sub-par allowances... the list is endless.

    5. Re:Salary Growth Closes A Lot of Gaps by mtippett · · Score: 1

      Exactly, for China/US software work, it is more of a balanced decision, choose for reasons other than straight cost. India will get there too.

    6. Re:Salary Growth Closes A Lot of Gaps by mtippett · · Score: 1

      Wrong. I was talking USD based salaries (ignoring FOREX, which has been mostly stable - and we didn't actively consider that either).

      My point is that the "Low Cost" outsourcing to large population centers (China/India) is cutting back quickly, as the incomes normalize. China is already mostly normalized with the US (or tech knowledge work), India has a few more years (maybe 5) before the combined impact of the normalization and inflation remove the cost benefit and it moves to a decision based on skill, coordination, and cost (mostly in that order).

    7. Re:Salary Growth Closes A Lot of Gaps by Bigjeff5 · · Score: 1

      That might be the dumbest thing I've read today. You don't know what inflation is, do you?

      --
      Security is mostly a superstition... Avoiding danger is no safer in the long run than outright exposure. - Helen Keller
  18. Software projects are hard by Anonymous Coward · · Score: 0

    Software projects are really hard.

    So many projects fail. To succeed step one is to create the very best environment for your project.

    And some part of that environment is how physically close your developers are to stakeholders, concept people etc. Even to the domain for which they are delivering software.

    Offshoring is really hard, and really hard to do in an agile fashion.

  19. Former Director of Software Development Here by localman · · Score: 5, Interesting

    For my dollars, I'd much rather work directly with people who are a committed part of a team. It's tough enough to achieve that with direct hires; I don't think you can do it with outsourcing.

    I think part of this relates to the nature of software. People always talk about writing software - but that's the easy part. The hard part is *expanding* and *maintaining* software. And generally speaking people who have a history with the code are going to do a better job of it: faster, and more precise. You can also have a much tighter development loop between developers, testers, and users if you have them all in-house. I used to have my developers spend some time using the tools they built with the people who actually used them for the job (I did this myself as well). You learn practical details that are hard to communicate any other way. And speaking of communication: I had a few outsourced workers (forced on me by upper management) and communication was always inferior.

    I'm not saying that there's no use for outsourcing, or that it's always the wrong choice. But my experience is that proximity matters. And history matters. And personal familiarity matters. So one needs to factor all that in when making the choice. And yeah, I think I got about 4x the quality and productivity out of my in-house people as my outsourced people.

    1. Re:Former Director of Software Development Here by AlanBDee · · Score: 3, Informative

      I swear, half my career has been fixing outsourced code.

    2. Re:Former Director of Software Development Here by Malc · · Score: 1

      I've been working with and managing off shore teams since 2006. You're right about communication, and this where the management toll strikes.

      What a lot of domestic works don't see is that the same applies to telecommuting versus being in the office everyday. Face time counts for so much as even the most introverted developer is still human, and people actually contact with other people.

      Being together just works out way more efficient in terms of time and effort. Off shoring only really works if you can get a lot of people for a lot less, but I find it's still hard to do things really quickly and you need domestic people who can work well with this setup.

    3. Re:Former Director of Software Development Here by Aighearach · · Score: 1

      I swear, half my career has been fixing outsourced code.

      Me too!

      The other half of my career has been fixing internally sourced code!

      No, that's not really true, sometimes I'm writing the code the next guy will look at and insist on replacing, er "fixing."

  20. why you ask by double-guapo · · Score: 1

    because we invented click-bait

    1. Re:why you ask by Dutch+Gun · · Score: 1

      Is there a way to mark entire articles -1 Flamebait?

      --
      Irony: Agile development has too much intertia to be abandoned now.
  21. Availability and inflation rate by aaarrrgggh · · Score: 1

    Availability is the biggest issue for most companies I see; the secondary issue is the wage inflation rates, especially in the context of a "cost-center" vs a profit center. If IT wages go up 5-7% per year in recruiting new talent, but an average for the company is only 1.5-2%, IT stands out as high-risk.

    Most companies want to retain some level of control, but the value of the service provided doesn't always warrant the cost. There are only so many things that a business can cover as necessary evils that are paid disproportionately for the value they provide (read:lawyers). The key for longevity is providing the value to management (and being able to explain that value convincingly).

  22. Location by Anonymous Coward · · Score: 5, Interesting

    North American companies are absolutely idiotic about this. They will happily employ remote employees from India who (obviously) never come into the office, ever for a discount. Typically the quality of work output is low as is the knowledge level. At least that's been my experience.

    Yet those jobs aren't offered to Americans, and I don't get why not. If you have low skill with computers, but an aptitude to learn, you could do the same quality of work that's being outsourced for $20 - 30k a year. So why not offer the job over here with the same standards? (100% work from home, no expectations that you'll work any standard hours, ever. And if you get the project done early, enjoy the vacation time.) You would be surprised at how many people would take such a job and find it is enough to keep them going and give them the experience they need to enter the field. Sure, if you live in NYC $20k means you'll be dead inside of 12 weeks, but move to Mississippi and it's enough for a single guy to live frugally for the year while he ups his skills.

    In fact, honestly, I don't get why companies don't offer work from home for most tech jobs. You get to pay lower salaries for the same work because people don't have to live in extremely expensive cities and you get to save further on not having to have an office.

    1. Re:Location by mdm-adph · · Score: 1

      It's funny you should bring this up, because my company (that won't be named) has been doing this exact thing since the '08 crash. We have tons of programmers, developers, and more, all in Alabama and Mississippi. They work either full-time remote or at rented office space. They get paid about 40% their counterparts on the coasts, and they're happier than pigs in shit.

      The lower (lol, sorry, I mean completely non-existent) labor laws in these states help quite a bit, too.

      --
      It is by my will alone my thoughts acquire motion; it is by the juice of the coffee bean that the thoughts acquire speed
    2. Re:Location by mdm-adph · · Score: 1

      Funny you should bring this up, because my company (which will not be named) has been doing this since the '08 financial crash in the US. We employ tons of developers and support staff in Alabama and Mississippi who work either full-time at home, or in rented office space. They generally get paid about 40% of what their counterparts on the coast get paid, and are happier than pigs in shit. The quality of work is the same, regardless of geographical location.

      Oh yeah -- the lesser (lol, sorry, I mean completely non-existent) labor laws in AL and MI help, too.

      --
      It is by my will alone my thoughts acquire motion; it is by the juice of the coffee bean that the thoughts acquire speed
    3. Re:Location by Anonymous Coward · · Score: 0

      We do have that here.

      elance.com
      freelance.com
      etc.

      The problem is, since the website is global...the same guy in India can compete with the freelancer in America!

    4. Re:Location by Anonymous Coward · · Score: 0

      health insurance, unemployment insurance taxes ......

    5. Re:Location by Anonymous Coward · · Score: 0

      North American companies are absolutely idiotic about this. They will happily employ remote employees from India who (obviously) never come into the office, ever for a discount. Typically the quality of work output is low as is the knowledge level. At least that's been my experience.

      Yet those jobs aren't offered to Americans, and I don't get why not. If you have low skill with computers, but an aptitude to learn, you could do the same quality of work that's being outsourced for $20 - 30k a year. So why not offer the job over here with the same standards? (100% work from home, no expectations that you'll work any standard hours, ever. And if you get the project done early, enjoy the vacation time.) You would be surprised at how many people would take such a job and find it is enough to keep them going and give them the experience they need to enter the field. Sure, if you live in NYC $20k means you'll be dead inside of 12 weeks, but move to Mississippi and it's enough for a single guy to live frugally for the year while he ups his skills.

      In fact, honestly, I don't get why companies don't offer work from home for most tech jobs. You get to pay lower salaries for the same work because people don't have to live in extremely expensive cities and you get to save further on not having to have an office.

      A salary in the US is much more than the sticker price. A general rule is to double the salary to determine the cost of an employee to a company to account for taxes, insurance, contributions, etc, not to mention the company's liability when it comes to employee health and safety

      An outsourced employee is generally little more than the sticker price, and there are none of the other concerns.

  23. Work life balance? by Nkwe · · Score: 5, Interesting

    The United States is known for the hard work of its people. The rest of the world has criticized the US's lack of work/life balance (many say the US spends too much time working, more than anywhere else.) Assuming this is true, it would be a reason that US workers are worth more - in general harder working people are more productive. I would say this is especially true in Information Technology, particularly software development where the amount of time required to stay current and keep up with changing technology is enormous.

    As others have posted, the ultimate answer that the marketplace dictates the value, and the labor market place currently values American tech workers highly.

    1. Re: Work life balance? by Anonymous Coward · · Score: 0

      Actually, speaking as an American living abroad for more than a decade, the US is known for putting in long hours, not for working hard. The two are different.

      Sure, you have people who do both, but many of my colleagues here believe (rightly or wrongly) that their colleagues in the US offices are there much longer hours but aren't working as hard.

    2. Re:Work life balance? by thegarbz · · Score: 2

      in general harder working people are more productive

      The only thing that is certain is general harder working people burn out faster and that productivity is short lived. All this has nothing to do with tech workers being valued highly, but you are right about one thing the marketplace dictates the value. Cost of living and cost of doing business comes into that. The local cost of living for tech workers in major hubs skews the pricing upwards. This local competition can't really be offset by outsourcing as that comes with downsides that make the result less productive.

      i.e. You get the same work per dollars for local people than outsourced ones even when the income of the outsourced people are lower due to the additional inefficiency of managing the outsourcing. You can't drop the local price because you'll price the local people out of their homes. The market sets this equilibirum, not the crazy Americans who people believe are magically more productive and are able to work day and night with only a 2 week break and remain at the top of their game.

    3. Re:Work life balance? by Anonymous Coward · · Score: 0

      Dear lord, this is such a common fallacy it's ridiculous. Anybody who's ever read any research on productivity knows a few things about the US:
      1. Working more than 8 hours a day has diminishing returns (60 hour weeks become less productive than 40 hour weeks after a 6 week stint)
      2. No amount of recovery time every results in overwork producing more value than 40 hours.
      3. People who take holidays are more productive.
      4. The US prides itself on how busy it is - more work, longer hours, less vacation.

      It's as if the US has read all the research on how to work effectively and done exactly the opposite. And then taken pride in how far the wrong way it goes.

    4. Re:Work life balance? by AmiMoJo · · Score: 4, Interesting

      Another way of looking at it is that US workers are more exploitable. The lack of safety nets, the need for private health insurance, incredibly high student debt, lack of unions. They all work to make it easier to exploit US workers with long hours and poor conditions.

      It seems like the high wages are just to cover living costs, especially in places like Silicon Valley where rents are insane. It also creates a race to the bottom where everyone is competing to work longer and harder than the next guy.

      Japan and the EU have laws to prevent exploitation and limit the number of hours people can work a week, specifically to prevent all that from happening. Wages are lower but so is the cost of living. Except for the UK most students don't have massive debts, and getting sick isn't the leading cause of bankruptcy. Except for the UK, there are often rent controls too.

      --
      const int one = 65536; (Silvermoon, Texture.cs)
      SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
    5. Re:Work life balance? by Anonymous Coward · · Score: 0

      Nope. Many of us don't consider the US to be hard-working. We consider the US to be inefficient in many respects. Well-rested and well-paid employees are productive employees. That's generally not the case in the US.

    6. Re:Work life balance? by Anonymous Coward · · Score: 0

      Japan and the EU have laws to prevent exploitation and limit the number of hours people can work a week, specifically to prevent all that from happening. Wages are lower but so is the cost of living. Except for the UK most students don't have massive debts, and getting sick isn't the leading cause of bankruptcy. Except for the UK, there are often rent controls too.

      EU definitely structures laws around making sure people have sufficient time off, but I've never heard of anything like that in Japan. Experience would actually tell me it's the exact opposite, or at least work culture is such that Japanese workers feel a lot of pressure to be in the office for what American's would consider serious overtime (even by salaried employee standards) & thus put in crazy work days, even if there is no work to be done.

      EU cost of living is not lower, at least not in the big 3 (Germany, France, UK). I'm sure you could scrape-by on less there than you can in the US, but once you move up into the lower-half of average income and towards average, things become more expensive quickly. Eastern Europe is different, but there I don't see as much in the way of worker's rights as I do in say France or Germany. (Source:I'm an American expat living in the EU. I've been here for a few years & I still have a fear of needing something from the grocery store on a Sunday & I've been legally prevented from working on a Sunday, even though it would have been infinitely more convenient for both myself and the company needing the work being done.).

    7. Re:Work life balance? by Anonymous Coward · · Score: 0

      Also, (anecdotally) worker creativity is higher in Canada/USA. Send the "routine" jobs off-shore but the highly creative (and high paid) jobs stay.

    8. Re:Work life balance? by retchdog · · Score: 1

      I've known Japanese IT workers, commiserated with a Japanese programmer who had his off-time work claimed by Mitsubishi who is now just sitting on it, and seen colleagues run baffled and screaming from Japanese offers once they toured the company.

      Yes, on paper, Japan has a lot of employment protections and they even work sometimes. But for high-level professions, you're expected by basically everyone to "voluntarily" put in hours which would have Americans reaching for the torches and pitchforks. Oh yeah, and "high-level" doesn't necessarily mean you're being paid that much more. The Japanese economy implicitly depends on a lot of "off-the-books" work to hold itself together, so no one says no; it just doesn't happen. It's hard to describe, but the feeling i get is that going home after 10 hours would be sort of like tearing an American flag to pieces at your desk in the US. sure, it might not technically violate any rules, but you probably wouldn't do it. The last person I know who interviewed in Japan told me he felt like asking them whether they knew how much more valuable their employees would be in almost any other country. If Japan did outsourcing, they might actually be good at it, but they never would.

      --
      "They were pure niggers." – Noam Chomsky
    9. Re:Work life balance? by Zontar_Thing_From_Ve · · Score: 1

      Another way of looking at it is that US workers are more exploitable. The lack of safety nets, the need for private health insurance, incredibly high student debt, lack of unions. They all work to make it easier to exploit US workers with long hours and poor conditions.

      It seems like the high wages are just to cover living costs, especially in places like Silicon Valley where rents are insane. It also creates a race to the bottom where everyone is competing to work longer and harder than the next guy.

      Japan and the EU have laws to prevent exploitation and limit the number of hours people can work a week, specifically to prevent all that from happening. Wages are lower but so is the cost of living. Except for the UK most students don't have massive debts, and getting sick isn't the leading cause of bankruptcy. Except for the UK, there are often rent controls too.

      There's also the issue of vacation. There are always exceptions, but in general my experience is that employers in America act like mine does about vacation. My employer in general treats its employees well and as a result has had a lot of long term employees stay, but they do tend to sort of act like every vacation day you take is just killing their very soul. They are certainly not generous at all about vacation. I've worked other jobs in the USA that had much more generous vacation benefits, but those jobs had big downsides to them that my current job doesn't have, which is why I'm here. I don't have any numbers to back this up, but I'm pretty sure that the average American worker gets way less vacation than his European counterpart. I worked in the last decade in a US office of a European company and everybody everywhere in the company got really good vacation benefits.

      There's a huge drive in the industry to drop costs and some startups compete with established companies simply on price. The margins are razor thin in some industries and you'd think there are already enough companies competing, but some new company will start up and offer a lower rate than ever before in the race to the bottom. I don't want to name my company, but we have competitors who start up against one tiny segment of our business every year and it's hard for me to see any real innovation. They can do what we do cheaper than us, but often they only do half of it and charge 2/3 of what charge. I've heard of customers who left us over cost to go to a startup where their stuff didn't work at all and the customer came crawling back to us after losing a ton of money trying to save money by leaving us.

      There are limits to work hours in Japan and the EU, but these are routinely ignored. In Japan and South Korea employees are forced with no choice to opt out to go to long after hours drinking sessions for "team building", which is part of why there is a business in the big cities for temporary tiny hotel rooms so employees too drunk to go home can sleep it off and stagger into work the next day. On my former job I had colleagues in France who told me that they had to stay at work for at least 10 hours a day, Monday - Friday, even though it was a clear violation of French law. They told me that the final 2 hours of the day they rarely did any real work, but if they left after 8 hours management got very upset with them so they stayed late and wasted time just to get management off their backs.

    10. Re:Work life balance? by AmiMoJo · · Score: 1

      Japan definitely has big problems. Just today an investigation into one of its largest companies was announced, over staff exceeding the legal limit on hours. The law came in as a reaction to people working themselves to death. By that they mean death as a result of mental or physical illness resulting from over-work and too much work related stress.

      They have a long way to go, but my point was really that they are making a concerted effort to change. The US seems to be resisting.

      --
      const int one = 65536; (Silvermoon, Texture.cs)
      SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
    11. Re:Work life balance? by Anonymous Coward · · Score: 0

      If you think H1B's or Indian workers in India are less exploitable, you're crazy.

      There are a lot of insightful comments in this thread, this one is ridiculous.

    12. Re:Work life balance? by Anonymous Coward · · Score: 0

      US IT workers could easily unionize. I work in IT and I am in a union www.opeiu.org Overtime is time and a half with Sunday being double time. Benefits are great. I'm not sure why these liberal IT workers don't unionize their workplace. After all, most of the big IT companies all vote for Democrats and all contribute to the Democratic party. But, that is just for show because I guarantee you they would all be against unionizing their own companies. I would love to see IT workers in one of the big IT companies start to unionize though.

    13. Re:Work life balance? by Anonymous Coward · · Score: 0

      >US IT workers could easily unionize.

      After you, naive jerk; show us how it's done.

      Go ahead, start talking union on your non-union US IT job, even in an open-shop state. And tell me how long it takes before you are fired for "tardiness" or some other BS. Unions are legal here, just don't try to start one if you like your job, your reputation, your health (burnout), and your safety (go read up on what anti-union thugs routinely do/have done to US union activists, up to and including Karen Silkwood*).

      * no big deal, really; it was only routinely mishandled Plutonium...

    14. Re:Work life balance? by Anonymous Coward · · Score: 0

      ... and these are a few of the reasons why some europeans call UK "the fiftieth-something state of the USA".

    15. Re:Work life balance? by Kjella · · Score: 1

      Japan and the EU have laws to prevent exploitation and limit the number of hours people can work a week, specifically to prevent all that from happening.

      Well yes, but the biggest difference is overtime pay. I'd be willing to negotiate for any real hourly wage, but I'd never take any non-executive position without it. The reason is that once you're salaried every extra hour you're goaded into working is a free hour and your manager will feel the pressure to show he's maximizing return. There's always more low priority items you could have started on, you're never really done I could work at least a few years to clear everything on the backlog. Reality is that you'll just slack off once you know the important stuff is done. With overtime it's really easy, is having me around another hour worth 150% pay? Is it worth stretching my 8 hour day into 10 hour or 12 hours with lower efficiency? Only when truly necessary.

      I've worked many years as a consultant billing by the hour and my attitude has always been that how many hours I bill is up to you, if you give me clear specifications, the right tools, short decision processes and quick feedback I'll be efficient for you. But I'm billing the hours it takes, so if you want to pull me into silly meetings, indecision and waste my time that's okay I'm billing that too. Slightly more diplomatically said of course, but clear enough you can't miss the point. I want my employment relationship to be the same as well, I'm here to be efficient for you if you'll be efficient for me and steal as little of my life as possible. We should both want the job to be finished in regular hours. If you're not happy with my overall work, we'll deal with that during salary negotiations.

      --
      Live today, because you never know what tomorrow brings
    16. Re:Work life balance? by Anonymous Coward · · Score: 0

      You obviously haven't been to China. Regardless if you consider their work effective or not, I have yet to see somebody beat the Chinese on the work hard front. Just go to any Chinese construction site and see what happens at midnight. Go to the small crapholes restaurants and you will see the same faces from Monday to Sunday for the whole month. I could just go on and on.

    17. Re:Work life balance? by AmiMoJo · · Score: 1

      In the EU, as well as a hard limit on how many hours you can work, when you do overtime even if it is unpaid it still counts towards other things like holiday entitlement. Of course, now the UK has decided to leave the EU employers are demanding those things are first on the chopping block, but at least for now overtime for salaried employees isn't entirely free.

      --
      const int one = 65536; (Silvermoon, Texture.cs)
      SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
    18. Re:Work life balance? by Anonymous Coward · · Score: 0

      It's almost like you've never travelled outside of the US and participated in a non-US economy before!

      It's all giggleshits and rainbows, isn't it?

      The world fucking SUCKS outside the US. You need a hammer at 3:00AM in the US? I can find you 20 places within 30 minutes of your house. You need a hammer after 5:00pm in Frankfurt Germany? Fuck You. We open at 9:00am. You need a hammer at 12:30pm in Frankfurt Germany? Fuck you, we're closed for another 2 hours. You need a hammer, in June, in Germany? Fuck you. Urlaub. You want to talk customer service? Fuck you, the government says we need a hardware store on this block and so I can literally not go out of business, even if I tell all my customers to fuck off.

      I'm not a complete fucking retard like you are, so I can appreciate the values that the US has. I appreciate that the US promotes business ethics. Fuck, I'd be surprised if any country in western Europe even knew what "Business Ethics" even ARE. I appreciate that the US promotes competition, as it increases availability of products and services in both times/variety.

      When you're give a 1st place medal for 3rd place, like they do in socialist states, nobody competes for first. And yet, ask any German "What is the purpose of life?" and they'll tell you "earn money" -- well, guess all that vacation they get doesn't do them a lick of shit.

      You're so fucking ignorant on this topic (like MOST topics you attempt to discuss on Slashdot) that I wish you would just ONCE live in a society that reflects your incompetent, shitty, even dystopian ideals. You'd quickly find what a fucking stupid person you were, and the entire internet would benefit from not hearing any more of your brainwashed bullshit.

  24. Quality and accountability by Facekhan · · Score: 5, Interesting

    There is simply a completely different type of employment culture in India than in the US. In the US we are used to interacting with a self-selecting group of immigrants who work really hard and often put up with a lot of stuff under H1 or other visa programs that American citizens wouldn't tolerate from employers.

    Back in India though, there is a culture of treating employees like shit, and consequently a culture among employees of working as little as possible. Employers also don't screen candidates well for off-shore call centers and the like because if they are working on a large contract, all the accountability is based on metrics that can be manipulated and the US based business that contracted them probably only cares about reducing their costs.

    My Indian and other immigrant coworkers work their asses off. The support teams I deal with in India can't even be bothered to show up to a phone call and are usually incapable of anything more than opening up a ticket with the software/hardware vendor directly.

    1. Re:Quality and accountability by Alomex · · Score: 0

      interacting with a self-selecting group of immigrants who work really hard

      No, no. they are rapists. That's why when you see a Mexican approaching you, your first thought isn't "here's Jose the gardener or Juan the waiter". Your first thought is "rapist!"

      Trump for president because he tells it like it is.

    2. Re:Quality and accountability by Anonymous Coward · · Score: 0

      My second thought is, "show me your papers." Trump 2016!

    3. Re:Quality and accountability by Anonymous Coward · · Score: 0

      Good idea because I'm tired of people like Melania working here illegally.

      Trump for president, because he's not crooked, nor a self-contradicting liar, just like Hillary, but with the added advantage that his solutions are so well thought out that a simple ladder wouldn't be enough to foil them. He also would quite smartly use an invisibility cloak to attack Mosul, so ISIS couldn't see the necessary buildup of forces.

  25. So Go Ahead... by rally2xs · · Score: 3, Interesting

    ...and hire all foreign staff. When they eventually leave, hire someone else that wants to learn the code base, waste however long it takes them to learn it, and then say goodbye to them when they too go back to wherever they came from.

    Or go ahead and outsource the whole thing to half-way round the world, so's you have to talk to 'em at 2 AM when you're tired as F and get stuff screwed up, or alternatively, they're working at 2 AM when the human being is at his worst and they get stuff all F'd up.

    We're worth it 'cuz we're here, and won't necessarily be saying goodbye so's you have to retrain a whole new crew every couple-three years. You won't have to repeat yourself to be understood nor listen very, very closely to understand what we're saying either.

    But the American business is always going to go for the short-term gain, so go ahead - the people that would have graduated from American universities with software degrees are also smart enough to realize that you're going to skimp on wages, and make them compete unfairly with the rest of the world, and decide to get into some other line of work that is more steady and maybe doesn't even require all that study. There's lotsa jobs with decent, but not breathtaking pay that don't require accumulating a huge debt - maybe they can be OK with being a welder, or a railroad locomotive engineer, or 1 of a 100 different things to do that can't be outsourced and don't commonly involve a lot of layoffs. Hell, some of those jobs even have unions, something that makes it hard to feel sorry for the uppity software bunch that think they're too good to need a union, in spite of actors and pro sports players using them - but nooooo.... software people are too proud to form a union that would sue the asses off some company like Disney that (illegally) hires 250 software people from overseas to replace 250 of their US Citizen software people simply because the furriners will work for peanuts.

    If the furriners are at all better at this than than US citizens, then its probably because the smartest US citizens are too smart to put in that sort of time and expense to compete for a job with a US company that's going to s*** all over them and fire them simply for wanting a salary commensurate with living well in the USA for the efforts required to acquire similar knowledge for other more lucrative careers.

    So, suck it up, US industry. You created this situation. Just go ahead and suffer when you can't control your cheap labor because... losing your penny-pinching salary isn't worth enough to do what you want them to if they want to go home and you want 'em to stay. Y'all deserve each other.

    1. Re:So Go Ahead... by Anonymous Coward · · Score: 0

      A union? Great idea. You've finished writing your code and are ready to start compiling. WHOA! HOLD ON THERE LITTLE BUDDY.

      You're not ready to start compiling just yet. You *wrote* your code. On paper. Now you've got to hand it off to a trained source code entry technician who will enter it into the computer and save it.

      Now you can start compiling. And that's easy peasy. A teamster will carry and deliver your source code to a licensed compiler operator who will compile it. The compiler output will be saved and given back to the teamster who will give it to you.

      Now you're ready to debug your code. Oh wait, it hasn't been linked yet. Get a teamster to take your code to the linker operators. The linker operators will get your code linked, hopefully, and give the binary executables back to the teamster who will carry them to you.

      Now you're ready to start testing. This is the point where a teamster would take your code to the software testers, but the teamsters have gone on strike. As have the software testers, linker operators, licensed compiler operators, source code entry technicians, and your own union, the programmers, all in solidarity with the teamsters.

      With any luck the strike will only last a week or two at most and you can get back to testing and debugging your code.

    2. Re:So Go Ahead... by Anonymous Coward · · Score: 0

      slow clap

    3. Re:So Go Ahead... by Karl+Cocknozzle · · Score: 1

      There's lotsa jobs with decent, but not breathtaking pay that don't require accumulating a huge debt - maybe they can be OK with being a welder, or a railroad locomotive engineer

      What I always recommend to kids considering IT is to consider training as an elevator repairman. The job is totally protected from outsourcing--you cannot fix an elevator from India, under any circumstances, period, and the job pays six-figures in most U.S. labor markets. Plus, it mostly can't be outsourced to H1-Bs because it's a mechanical skill which does not qualify for an H1-B visa.

      --
      Who did what now?
    4. Re:So Go Ahead... by Anonymous Coward · · Score: 1

      ...and hire all foreign staff. When they eventually leave, hire someone else that wants to learn the code base, waste however long it takes them to learn it, and then say goodbye to them when they too go back to wherever they came from.

      Or go ahead and outsource the whole thing to half-way round the world, so's you have to talk to 'em at 2 AM when you're tired as F and get stuff screwed up, or alternatively, they're working at 2 AM when the human being is at his worst and they get stuff all F'd up.

      We're worth it 'cuz we're here, and won't necessarily be saying goodbye so's you have to retrain a whole new crew every couple-three years. You won't have to repeat yourself to be understood nor listen very, very closely to understand what we're saying either.

      But the American business is always going to go for the short-term gain, so go ahead - the people that would have graduated from American universities with software degrees are also smart enough to realize that you're going to skimp on wages, and make them compete unfairly with the rest of the world, and decide to get into some other line of work that is more steady and maybe doesn't even require all that study. There's lotsa jobs with decent, but not breathtaking pay that don't require accumulating a huge debt - maybe they can be OK with being a welder, or a railroad locomotive engineer, or 1 of a 100 different things to do that can't be outsourced and don't commonly involve a lot of layoffs. Hell, some of those jobs even have unions, something that makes it hard to feel sorry for the uppity software bunch that think they're too good to need a union, in spite of actors and pro sports players using them - but nooooo.... software people are too proud to form a union that would sue the asses off some company like Disney that (illegally) hires 250 software people from overseas to replace 250 of their US Citizen software people simply because the furriners will work for peanuts.

      If the furriners are at all better at this than than US citizens, then its probably because the smartest US citizens are too smart to put in that sort of time and expense to compete for a job with a US company that's going to s*** all over them and fire them simply for wanting a salary commensurate with living well in the USA for the efforts required to acquire similar knowledge for other more lucrative careers.

      So, suck it up, US industry. You created this situation. Just go ahead and suffer when you can't control your cheap labor because... losing your penny-pinching salary isn't worth enough to do what you want them to if they want to go home and you want 'em to stay. Y'all deserve each other.

      Wow, I wouldn't hire you. You sound racist, immature and frankly a little dumb. For the most part it's only the sub-par or average employees that are outsourced. Sure there are exceptions, some companies are shitty. But I find many employees think they're somehow special or better then they are when the reality is most people are average. Be exceptional and you won't get outsourced or if you do end up in that shitty company that outsources everyone, you can easily find another job. Be average and you compete with the rest of the world. It's that simple.

    5. Re:So Go Ahead... by Anonymous Coward · · Score: 0

      Living outside US, we say go for it! We'll bring popcorn!

  26. Re: because the market hasn't balanced yet by Anonymous Coward · · Score: 0

    It is still in transition.. US rates and Indian in India rates are converging, with adjustment for cost of living. Its just not complete yet as it takes several decades since prices and markets are sticky.

    Today's rate differentials are just a snapshot as that process is taking place.

  27. Quality by Anonymous Coward · · Score: 0

    As a non-engineer currently collaborating on a very early stage startup, tech workers in our time zone, who are native American (vs UK) English speakers, and who can proactively work with our team to anticipate problems and recommend solutions (vs build strictly and I mean strictly to spec) are worth the premium. I know there are good programmers world wide, and should this company take off we plan on working with them, but to start out it hasn't made sense.

  28. Cost of living by bigbang137 · · Score: 1

    Salaries for work done at offices typically reflects the cost of living of the locality in question. This is why salaries are higher in places such as NYC and California than in many other parts of the US. Having said that, the competition for getting hired is also that much higher in those parts. Oh and yes, there's the concern of code quality.

  29. I need to be paid that much because by Anonymous Coward · · Score: 0

    I need to be able to afford to pay the guy in India I sub to do my job while I concentrate on more important things.

  30. Track record. by snadrus · · Score: 1

    Cost of Living requires it. Businesses pay it because the area's talent has defined the computing era. A random "senior" group (read: just about anyone in SV) knows second-nature Agile, Scrum, code smell, architecture, multiple languages, tools & technologies they've used to build amazing things successfully.

    A marketable product idea and a 5 - 20 SV senior engineers will usually have a high % chance of success. Investors know this. No extra layers. Meanwhile patents & novel solutions (thought leadership) emerge automatically.

    --
    Science & open-source build trust from peer review. Learn systems you can trust.
  31. Troll much, dude? by Anonymous Coward · · Score: 0

    This post is obviously a troll.

    American IT workers make more because their work product is of higher quality. They speak English and communicate with others in ways an offshore worker never could. Those are just off the top of my head but there are plenty more. Call them "soft skills" but they're essential to success. Otherwise we could just have anyone coding in a windowless room (AKA, a foreign country) with only a requirements document for reference. And we already know just how well that works out.

  32. Engineers are worth it by Balial · · Score: 2

    As having worked in tech in another country, and moved to the US to work in tech, it's 100% to do with the US understanding the value of the engineers. Among my other expat acquaintances, it's not just my old country, either.

    A couple of good engineers can pull off the next google, instagram, Facebook etc. Folks in the US know this and harness that power. Other countries see an computer engineering degree like an accounting degree. Until other countries clue in, the US will continue to be a power house.

  33. Less than 1/3 the output by Tony+Isaac · · Score: 5, Interesting

    I currently supervise a team in Bangalorre, along with a couple of junior developers here in the US. The US developers, though only a year or two out of college, easily outperform even the "mid-level" developers from India. The price our company pays for Indian developers is about 1/3 the cost of US developers, but so far, we have not been able to make the math work. Even 3 Indian devs cannot produce the same quantity and quality of output as a single junior US developer. This is a pattern I've observed numerous times at different companies.

    This disparity has not been missed by accounting departments. Bringing offshore tech jobs back to the US has become so commonplace that it has come to be called "reshoring." I don't think US tech salaries are in any kind of jeopardy.

    1. Re:Less than 1/3 the output by eWarz · · Score: 3, Interesting

      Not only that, but in healthcare you are practically required to do so. Having foreign developers touch medical data in 2016 is considered to be a violation of HIPAA. You can attempt to get around the rules, but these days regulators want to see that all code was written by people that can be held accountable if things go wrong. If your app is breached and they find out you used a company in India, you could be in serious trouble.

    2. Re:Less than 1/3 the output by TheSync · · Score: 1

      The US developers, though only a year or two out of college, easily outperform even the "mid-level" developers from India.

      So why do you think this is? Are the Indian colleges not teaching well enough?

    3. Re:Less than 1/3 the output by Anonymous Coward · · Score: 1

      Maybe it's because most of the real Indian talent comes to the US for a graduate degree?

    4. Re:Less than 1/3 the output by Anonymous Coward · · Score: 1

      The US developers, though only a year or two out of college, easily outperform even the "mid-level" developers from India.

      So why do you think this is? Are the Indian colleges not teaching well enough?

      The brilliant Indian programmers are already working in Silicon valley.

      The competent ones are working at the desk beside me, making the same six-figure rate I do.

      Based on the two offshore teams I have managed, the only programmers left in India are either a) complete "Kevins" you don't want anywhere near your code, or b) smart young grads who don't know enough to be productive and are focused on using your project as free training, which just degrades their work output further as they concentrate on the parts of the work they don't know how to do and will take months to master.

    5. Re:Less than 1/3 the output by Anonymous Coward · · Score: 0

      Considering they do the whole "taught masters" scam, yes.

      For those that do not know, in many countries a bachelor's only takes three years. A taught masters, one with no thesis, is done in just one year. There is no creativity or actual mastery required. Memorize the material, take the test. Done. No skill building at all. The material covered in an Indian master's program is similar to an American Bachelor's from a lower-end for-profit school.

    6. Re:Less than 1/3 the output by Anonymous Coward · · Score: 0

      The US developers, though only a year or two out of college, easily outperform even the "mid-level" developers from India.

      So why do you think this is? Are the Indian colleges not teaching well enough?

      There is a whole world of difference between memorizing your college material and understanding the matter. If you got a strict top down hierarchy one's own initiative isn't valued. Sadly, one's own initiative is frowned upon in many places nowadays. And some can't follow written instructions, either (not talking about foreigners here).

    7. Re: Less than 1/3 the output by Anonymous Coward · · Score: 1

      I used to joke with a friend and business associate who lives in Ukraine. (Which generated 25% of the computer programmer graduates at the time) I would comment that in India demand is so high to provide outsourcing resources they trained taxi drivers to code. In Ukraine they had to train computer and systems engineers to drive taxis. Ukraine finally got noticed. It isn't so bad for computer folks there now.

    8. Re:Less than 1/3 the output by A+Friendly+Troll · · Score: 1

      The US developers, though only a year or two out of college, easily outperform even the "mid-level" developers from India. The price our company pays for Indian developers is about 1/3 the cost of US developers, but so far, we have not been able to make the math work. Even 3 Indian devs cannot produce the same quantity and quality of output as a single junior US developer.

      If you're paying the Indian developers 1/3 the money you pay US developers, why not simply hire European developers for the same cost...?

    9. Re:Less than 1/3 the output by chewy_fruit_loop · · Score: 1

      I have about half a dozen (more than half) of my team in India. 1 is absolutely useless, 1 is useless but it showing signs of wanting to learn, 3 do the minimum required of them and the other one is spot on.

      I recently had to redo the work the useless one did. They spent 3 weeks on an application extension that just didn't work, which we found out the day before they promised the client they could have it to test. Needless to say I had to pull an all nighter so we didn't lose even more respect from the customer.

      We've been forced to offshore much of our teams work from the UK to India, and as a result our name is now mud. Its now so bad that people no longer record issues for us to fix through fear it gets given to someone in India.

      I've worked with teams in India since the turn of the century, its always done to reduce cost. I can't see how that even adds up. Unless you get someone who is actually really good, you often end up with people who do only as they are told. There seems to be little to no creativity, so anything out of the ordinary causes a meltdown. I'm not saying there aren't good people out there, thats not the case, its just that companies who offshore are in a race to the bottom and don't want to pay for the good ones.

      I've found now that the only way to make sure my team actually understand what they are being asked is to finish all my emails to them with "unless you ask any questions, I will assume you understand this"....Its honestly like working with a preschool sometimes.

    10. Re:Less than 1/3 the output by Tony+Isaac · · Score: 1

      If I were to choose the outcome, I'd pay 3x the money for US developers, who can sit in the same office together with the rest of our team. There is no substitute for physical presence.

      I doubt that European developers make the same low wages that Indian developers make.

    11. Re:Less than 1/3 the output by Tony+Isaac · · Score: 1

      Yes, your experience mirrors mine exactly. My team has had success because I personally code review everything they do, and that "code review" is far more in-depth than I would undertake for one of our US devs. They can handle repetitive work that is very clearly defined, but if you ask them to figure out the best way to accomplish something, forget it. I spend more time managing, training, and supervising the India team than I would spend if I were tasked to do the work myself. Still, they do have good marketers, who are able to sell "cheap" rates to executives. That make it my job to prove to the executives that their "cheap" rates are actually costing them more.

    12. Re:Less than 1/3 the output by Anonymous Coward · · Score: 0

      we interview all our offshore (whatever that's worth since they're being coached and have Google in front of them) and I've seen many CVs boasting 66% GPA. our team has a reputation for high quality throughput and 66% is the best our firm can provide. anyone in India with real potential moves to the western world here their degrees indicate competitive competence. UNIS in India seem to be mostly degree mills.

      that's my experience

    13. Re:Less than 1/3 the output by Tony+Isaac · · Score: 1

      So why do you think this is? Are the Indian colleges not teaching well enough?

      I think it's because of the same phenomenon we saw in the dot-com boom, when anybody who know the definition of the word "java" could get a programming job. My theory is that the demand for skilled programmers in India has so far outstripped the supply of talent, that anybody who says "I want to be a programmer" can get a job doing it. And the talent agencies are so desperate that they don' bother to vet their candidates well, and they get away with it because American executives are so wowed by the "cheap" rates that they don't bother to do an actual cost/benefit analysis.

    14. Re:Less than 1/3 the output by Anonymous Coward · · Score: 0

      I'll get voted to -1 for this, but Indians have a culture for cheating on tests. Because of this, on average, mid-level developers know next to nothing, and senior level developers have what amounts to 1-2 years of experience.

      I can't completely blame the devs themselves; when EVERYONE around you is cheating, it would be difficult not to do the same, in fear of being left behind and missing your chance at a better life. This is a problem that India itself needs to address...because their devs are being seen as sub-par, and it will bite them in the ass soon enough.

    15. Re:Less than 1/3 the output by guruevi · · Score: 1

      No it's not. HIPAA has nothing to do with where your developers are, it wouldn't have passed any lawmaker if it prevented cost cutting. HIPAA is exactly that: a minimum standard that allows for major cost cutting just by declaring a process secure.

      --
      Custom electronics and digital signage for your business: www.evcircuits.com
    16. Re:Less than 1/3 the output by Anonymous Coward · · Score: 0

      Indian colleges don't teach. They sell degrees.

    17. Re:Less than 1/3 the output by ageoffri · · Score: 1
      This is so far off the mark. OCR doesn't care if your dev's are onshore or offshore. What OCR cares about is if the dev's had access to ePHI or PII. If all they get in test/dev is de-identified or fake data, OCR is likely happy. They'll investigate to make sure your access controls are in place to enforce separation of duties and that developers can't access production.

      OCR will also investigate how your network segmentation is done, you aren't using a flat network, are you?

      While there is some risk is doing off-shore development for HIPAA related applications, it is in no way verboten.

      --
      -- Slashdot, making the Left look conservative since 1997.
    18. Re:Less than 1/3 the output by clodney · · Score: 1

      The US developers, though only a year or two out of college, easily outperform even the "mid-level" developers from India. The price our company pays for Indian developers is about 1/3 the cost of US developers, but so far, we have not been able to make the math work. Even 3 Indian devs cannot produce the same quantity and quality of output as a single junior US developer.

      If you're paying the Indian developers 1/3 the money you pay US developers, why not simply hire European developers for the same cost...?

      Probably because there is not the same level of infrastructure around offshoring to European developers. I work with an offshore team, and the entire company there is dedicated to working with US companies. They skew their working hours to match the US, they market themselves in the US, and they train their staff on US specific rules (such as HIPPA or PCI) so that they can provide people that are useful.

      If I wanted to replace my Indian team with a group of Polish developers tomorrow I suspect I would have a much harder time finding a similar provider.

    19. Re:Less than 1/3 the output by Anonymous Coward · · Score: 0

      Same with anyone dealing with government contracts. I worked for a small company with a few outsourced devs and one time we had a customer who was a contractor for an OEM for the military, and we had to ensure everyone working on that project was a US citizen. It wasn't our responsibility but it was delegated down from the end-customer.

    20. Re:Less than 1/3 the output by Anonymous Coward · · Score: 0

      Maybe motivation is different? In India money could be primary motivation when in US it is more about working on "cool shit".

      It is hard to be productive when you do not love your job.

  34. Other professions in other countries by Tablizer · · Score: 1

    The cost of living is one obvious factor to look at; the cost of living is much lower in many developing countries.

    It may make more sense to look at the relative rates of professions within a given country. For example, how much do Indian accountants and cops make compared to Indian coders?

    If the ratios are about the same, then the question is not really about IT salaries in the US, but why general salaries and the cost of living is different between countries.

  35. Not just supply/demand by Plowd · · Score: 1

    People care less and less to understand the inner working for any given tech. They just want it to work. That being said you also have to take into account the pillars... Good, fast, and cheap. Pick two. Our industry is very like that of the nursing industry. Yes we get paid, but the conditions are rarely healthy. When you treat peogle like a commodity and pay them to just make the magic boxes work you will get what you pay for.

  36. Re: because the market hasn't balanced yet by nikkipolya · · Score: 1

    That's what I was about to say. Arbitrage in labor markets takes a long time to go to the no-arbitrage state. There is friction from Labor Laws, Labor migration rules, other local laws in general (such as data privacy laws, data warehousing laws).

    And then there is government interference. The US government for instance, encourages international Phd's and Masters students to find jobs in the US by giving them OPT permits and favoring them for H1B etc.

    And then there are managers, who know that if there is no one around to report to them, their job will soon vanish too. So they resist outsourcing of jobs under them by hiring bad people overseas, by showing that the overseas workers can't handle it all (which to some extent is true) etc. All these artificial barriers delay the convergence in labor markets. So ya, you can expect high wages for longer than you think its possible. In the mean time, try to change the rules of the game to stay ahead.

  37. Why are managers paid so well? by Opportunist · · Score: 2

    After all, it's even easier to outsource being unproductive.

    --
    We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
    1. Re:Why are managers paid so well? by Anonymous Coward · · Score: 0

      They also get constant praise and promotions while the employees doing the hard work and long hours are constantly treated with disappointment (never good enough) and thrown more and more work to handle. Easiest job once you get there.

    2. Re:Why are managers paid so well? by Opportunist · · Score: 1

      After getting to know a few of them I can say with some reliability that the average C-Level can be replaced with a Magic 8-Ball without any quality loss.

      --
      We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
  38. Outsourcing doesn't work by AlanBDee · · Score: 1

    More then half of my co-workers have immigrated to the U.S. and obtained citizenship. At the same time, almost every company I've worked for had bad experiences with outsourcing development, inside the U.S. or overseas. This leads me to conclude that it's the process of outsourcing development that is the issue, not that there aren't talented people overseas that can do the job. Companies have figured this out and mostly try to hire Senior Software Developers who live locally because they tend to be the most efficient. Since there is a scarcity of local developers our salaries continue to climb.

  39. Here's the Explanation by Anonymous Coward · · Score: 0

    We are in the same time zone as the rest of the company, we speak English fluently, we understand american culture and corporate culture, we are physically on site in case of emergencies.

    If you think that these are not important or worth paying for, you have obviously not tried to collaborate on a project with outsourced IT people. I have been on 3 am conference calls with overseas it colleagues who speak poor English, no cultural context, dubious technical skills on behalf of a fortune 50. Nice people but a complete nightmare - three day turn around time because of time differences, repeated rework because of failure to understand on their path.

    The other odd quirk about working with outsourced Indian it odd they are so polite they will never admit to not understanding, so you can go through a three hour meeting thinking everyone is on the same page, and bam! Surprise, next day you find out nope.

    Outsourced Chinese workers are even offer to deal with. An American-korean friend worked with an team, and he said that the cultural differences are profound and mysterious.

  40. Supply and demand by Anonymous Coward · · Score: 0

    A few points to set the stage:

    1. Could my job be done overseas? Yes it could; however, you get what you pay for. Also, I have noticed that there is a distinct lack of independent thought when outsourcing takes place. Many outsourced tech workers don't raise their hands when they see an issue. Typically workers within the states will raise their hands when they see a potential issues. Many times the work they do is not simply doing the work, but often times requires a lot of design as well (and knowledge of best practices). Many times when I've worked with outsourced companies, they work fairly well if you have defined everything really well. If there is ambiguity though, that is where things start to fall apart. Outsourcing typically works best when there is a strong architect/BA/PM who is able to do this.
    2. How well can you communicate? Communication is key, especially when working with projects. Many times there is a definite communication issue. Many times are communication issues on both sides. I have noticed that outsourced folks are less willing to speak up to ask for clarification. This can be problematic for a successful project, and often requires a great deal of re-work in many situations. Many companies want you to be onsite in IT to prevent many of these communication issues as well. Thus they're willing to pay more to get someone local.
    3. Does outsourcing continue indefinitely? I have noticed that many companies initially like the idea of saving money with outsourcing; however, I have noticed that they typically will onshore or utilize a SI after sticking their toes in for a while. It's not the fault of the outsourced folks, it's the fact that most businesses don't have the needed architectural resources in place to really make the outsourced folks successful. Many of the SI's that are employed can outsource because they have the necessary experience to be truly successful with these resources.
    4. So after setting the stage, we can see why there are some common issues that are seen in most outsourced situations. So why are US developers paid so much more? It comes down to economics, supply and demand. There is still a large stigma placed on "being a geek", and not enough folks have the know how to be truly effective. There is also the problem that most companies are looking to acquire talent instead of building it and unfortunately our education system is not helping here. I just completed my BBA in MIS (I've been working in IT for about 20 years), and the basic skills they're teaching won't help any graduate hit the ground running (my college was still teaching VB6 for goodness sake). Thus there is a significant demand but not enough supply, this drives up the salary for their skill set. If they can walk over to company B and make 20-30k more than with company A, well screw company A go make that money. Eight years ago, I was making under 50k; however, now I'm making almost triple that. I built up my skills at company A, then company B came along and offered me a ton more money and I took it. I just got a new job and had three offers, and all of them were very enthusiastic to get me onboard. There is a large demand, but little supply thus companies are willing to pay more for those in order to get the resources that they need.

      Another thing to keep in mind is that many companies are going to outsourced resources and relying less on in house resources due to the fact that the two are categorized differently. In house resources are typically a part of operating expenses, which most companies try to keep to a minimum. This is because they're viewed as a part of keeping the company functioning. Capital expenses are generally seen as positive because it shows the company is trying to expand its capability to increase revenue and grow the business. Wall Street in particular likes to see more capital expenses vs operational. While this can be important for some, there is the flip side that companies are hoping to keep institutional knowledge in house as well. So thus we hit another balance of the two.

  41. American workers have more initiative/ownership by Kreigh · · Score: 1

    Foreign workers may have better technical skills, but they usually lack the quality of ownership of a problem. When the shit hits the fan and things go south, American workers are more likely to take ownership and dig for solutions (foreign workers tend to look for direction).

  42. Because Americans have a loo they can poo in by Anonymous Coward · · Score: 0

    and maintaining that loo costs money. Indians save money by shitting on the streets. Hire an Indian today!

  43. think differently by bloodhawk · · Score: 1

    The Secret ingredient is DON'T just be a technical resource, understand the business, add value at architecture, design and analysis of projects and problems, if you have government customers then things like security clearance and customer knowledge etc. As a purely technical resource you are a commodity item that is readily replaceable, as part of the business you are much more valuable. Their is this myth that still perpetuates that outsourcing to cheap overseas labour means poor quality, that is not the case any longer (at least not if they are hiring well), It is hard or impossible to compete directly on skill/cost as they have such a huge advantage in cost so you have to add value elsewhere that cannot easily be outsourced.

    1. Re:think differently by Anonymous Coward · · Score: 0

      Exactly why when I got laid off in 2009 I decided to say F it to private sector work and take my first DOD contract in Iraq. Seven years later and I've always been able to find work. Maybe not where I wanted but quality work none the less. Started out with a Secret, now have a TS/SCI with FS Poly and am very happy with my work and the value to my salary that my clearance adds on top of my technical skills.

    2. Re: think differently by Anonymous Coward · · Score: 0

      I have a unicorn, a Pegasus and the hope diamond.

      We both just posted improbable things, but only you committed a criminal act in doing so.

  44. Mythical man month by Kohath · · Score: 1

    The real answer is you can't be so easily replaced by someone in India:

    - You're available. Is the guy in India available to work now? Why do you think he is?
    - You have the skills and the experience needed. Why do you think the guy in India does?
    - Presumably you have a history of staying at a job more than a year and not demanding large raises ever year to stay. Check out page 12 of this report. India salaries grow at ~12% per year according to this. If the guy in India is really good, he's probably getting better increases than that. That cost advantage gets smaller and smaller.
    - Time difference is 12 hours. That's a PITA for everyone.
    - Dealing with India rules can be very troublesome.
    - Managing a project remotely sucks, and projects have missteps and delays, or they fail.

    Also, you don't usually hire the cheapest guy in a skilled position. A company usually has either a specific, important need for a guy, or an understanding of the amount of additional revenue per employee they can expect to earn. It's usually not an amount that makes the salary difference the chief consideration of whom to hire.

    Sometimes these things won't be true. Then look for your company to be more likely to hire the Indian guy.

    If you want to increase your value, be less replaceable.

    1. Re:Mythical man month by eWarz · · Score: 1

      Not to mention that most indians program like they are baking a cake. Same recipe every time. Actual development is more like painting a piece of art without knowing what you are going to paint first...while having your superiors determine what that piece of art will look like.

    2. Re:Mythical man month by Kohath · · Score: 1

      If that's true, it's because some Indians are getting into the field for the money, even when they have little actual aptitude for it. That can probably happen in the US too, but it seems like it would be a less prevalent.

    3. Re:Mythical man month by angel'o'sphere · · Score: 1

      - Time difference is 12 hours. That's a PITA for everyone.
      For that god invented issue trackers.

      - Dealing with India rules can be very troublesome.
      Unfortunately true

      - Managing a project remotely sucks, and projects have missteps and delays, or they fail.
      For that god invented agile methods. If you still are "managing" software projects you are doing something seriously wrong.

      --
      Cost free eBook I read (by iBook/Kobo/Amazon/ObookO/Gutenberg etc.): "The Green Odyssey" by Philip Jose Farmer.
    4. Re:Mythical man month by swb · · Score: 1

      If that's true, it's because some Indians are getting into the field for the money, even when they have little actual aptitude for it. That can probably happen in the US too, but it seems like it would be a less prevalent.

      This may have a lot to do with it. If being in the outsource-to-US IT industry in India is considered a good job in India, might it not only attract people who are in it for the money but might not those people obtain that opportunity due to social factors and corruption, further reducing the quality of the people that end up in these jobs?

      Maybe I'm painting with too broad a brush, but India ranks pretty far down on the transparency list for corruption and perhaps these kinds of jobs wind up with people who were able to get education slots and jobs through influence peddling, bribery and so forth.

      The culture itself then provides some rationale why the quality is poor, because the culture is not merit oriented, but spoils oriented.

    5. Re:Mythical man month by Anonymous Coward · · Score: 0

      You come across as someone who has never dealt with remote teams. It's amazing how an issue that would take 10 minutes to resolve face to face take 10 weeks to resolve playing email tag. You can go ahead and say how we're all doing it wrong, but I challenge you to do it any better. Eventually you do like we all do, and just stay up until 2 in the morning so you can call them and resolve it over the phone, because email tag never works.

    6. Re:Mythical man month by Anonymous Coward · · Score: 0

      I've offered 3 onshore jobs to devs that chose software as a career because money. I don't even know how much I get paid, but I liked the candidates b/c they equated salary to quality, so we all embrace the same standards, just for different reasons. my offshore always say they're in it for the game, just before they fail miserably

    7. Re:Mythical man month by Anonymous Coward · · Score: 0

      I have seen it happen in the US every time the IT sector is in a "bubble". It is less of an issue in the US because the difference in salaries aren't as great as they would be in India.

    8. Re:Mythical man month by Anonymous Coward · · Score: 0

      I was with you until you mentioned agile. Lets say it that if doctors were using "Agile", they will cut open the patient first, and ask questions later. Utter bullshit.

  45. Wrong question. by Anonymous Coward · · Score: 0

    We shouldn't have to defend a comfortable wage for a highly technical job that requires serious investment in acquisition and maintenance of skills. The question should be how do corporations justify taking advantage of third world countries with lower standards of living while leaving Americans high and dry? Moreover, why aren't there penalties in place for corporations who want to abuse their workers, can't get away with it in America and so seek people with less protection elsewhere in the world.

  46. A mix... by eWarz · · Score: 1

    I've been in this field since I was old enough to work professionally. One thing I see is a ton of wannabe foreign programmers that read a book and pretend to know everything about programming. A job I had 12 years ago had a director of IT that learned classic ASP and T-SQL on his plane ride over for a job he had just gotten hired for! Most of what you learn as a developer has nothing to do with language or syntax and most foreigners that only work consulting jobs for the US don't realize that. They tend to take directions literally, without the discretion that we in the U.S. tend to have/do. They don't converse, debate, and collaborate. Note that I've both managed and watched people manage outsourced teams. It always ends up in failure. My favorite example is your very own bank. You can always tell those who use foreign outsourced companies vs those who use American talent. The foreign sites are slow, constantly break, and are difficult to use. Note that I'm not attempting to say the U.S. is somehow better, it's just that the developers here actually have to have something more than 2 hours of experience reading a book. We build systems for a living. We don't just follow the instruction manual. If people that worked for those outsourcing companies did the same, they'd catch up...but of course they'd want more money.

  47. Simple by Anonymous Coward · · Score: 0

    Working in the same office helps ALOT the ability for sales to be able to have a 10min meeting with somone they can talk with by the coffie mashine once a week can easy save tens of hundred of thousands of dollars.
    Also when outsourcing you usually have to have the Project managers handle techs as well as the customer, and they are even more expensive.
    Also the risk of project crashing is bigger when people don't communicate and asia/east people are not used to tell when something is a bad idea (and western managers are REALLY bad at handle it)
    To my experience western people are not as obedient and therefore more creative, but I don't expect to last forever, but for now it's true.

    1. Re:Simple by Anonymous Coward · · Score: 0
  48. Re:Difference in work product - AND communication by Anonymous Coward · · Score: 2, Interesting

    Disclaimer: I am a lucky white dude that grew up in the United States and I have worked with a few teams in India and tons of people that moved to here from India and other countries, and I have nothing against them and have several Indian friends. They are just like you and I, they want to work hard to provide for their family and make a better life for themselves. Don't hate the individuals for just trying to work hard and get ahead in life. If you want people to blame and be angry at for job loss, direct your anger at the companies that take advantage of these people. There are tons of IT contracting firms, tons of startups that source talent solely this way, and tons of companies that source talent in varying degrees this way - they all get large numbers of IT workers over here on w2s, pay them horrible wages and make them work long hours in horrible conditions because they know that employees on w2s can't do a single thing about it. Because of the way the w2 is designed, the workers are unable to do anything to fight back - they are not allowed to find another job and they are not allowed to speak up. If they say anything or complain, they will be sent home and replaced with someone that won't speak up, they seriously have zero voice in this country. I love how people like Zuckerberg say there is a talent shortage in this country with the current w2 system and that they need more w2 workers over here. Tech workers are not a commoditized work force of assembly line workers, we are more like an athletic sports league where talent comes in varying degrees. Instead of paying decent wages to attract the top talent that he wants, he wants to get that high class talent at a cheaper price. It is not widely know, but I have worked at a startup that uses a very specific w2 worker formula that is replicated at numerous startups throughout the valley (they had a touch time finding a good systems engineer that fit the mold because the role really isn't taught in the talent pool they pulled from). The engineers were almost all (like between 95-98%) foreign graduate students that just graduated from college and that were hired on with w2s. This pool of workers were highly skilled and extremely hard working, and generally they had zero sense of how much money they should be making and what is standard practice in the industry regarding the number of hours they needed to work and how hard they should work. The owners work them ridiculously hard, 70-80 hour weeks every week, and they made them do things like work 18-20 hour days on a deployment day and require them to be on time in the morning the following day, else they would be yelled at. In this very profitable company, not a single engineer would receive a bonus and almost no employees would receive a raise to their already meager salary. These kids were taken advantage of and they were worked to the bone, and there was not a single thing they could do about it. They couldn't switch companies or complain or else they would have to go home. This is a very common practice, and this is the reason Mark Zuckerberg wants more below market rate employees on w2s. The talent is here, they just don't want to pay full price (and that "full" price isn't even full because of the depressive effect these types of practices have on the market, and don't get me started on other shady practices common in the industry like under the table agreements between companies to not hire talent away from each other). But I digress...

    In addition to quality of work, there is the communication issue. I think it can be a big factor that plays into quality of work also, but yea people don't ever really focus on it or talk about it much, but communication inside of engineering and communication between engineering and other departments is a really big pain point that gets really stressed when outsourcing. Sure there is a ton of simple tech work that can be outsourced, but anything that involves working with other teams in the company can be really tough to outsource. Not exactly office space type "I'm

  49. Think of all the money that could be saved by Anonymous Coward · · Score: 0

    by outsourcing CEOs.

  50. We're paid well? News to me. by Anonymous Coward · · Score: 1

    20+ year embedded veteran here: I think this depends where in the US you are. Maybe on the west coast. But in the south east salaries are very low. I just spent the last 6 months building a manufacturing test system. I did the hardware design & assembly, the software, installation, all of it. I got paid $6,000. I was told I had to be competitive with the Chinese offers.

  51. Simple by JamesA · · Score: 1

    Because American geeks do the needful.

  52. Globalism is not thought up for you by Anonymous Coward · · Score: 0

    Don't compare these incomes. You are not in India, you do not rent and eat in India. Globalism is designed to make life cheaper for employers, but for now (wait for vr to come to fruition) you can't be as efficient with remote workers as with local it. If you can there;s no reason to do IT anywhere in particular and AI probably has taken over anyway..

  53. Dirt floors and software by Anonymous Coward · · Score: 0

    I've dealt with software development done in third world countries for over a decade now in the safety critical aviation sector. If software had a dirt floor , yeah you get the picture.

  54. Accountability by HockeyPuck · · Score: 1

    I expect my employees to not only be responsible for their product, but accountable for the quality of it. Maintaining data integrity and security is worth paying for. Also, it directly translates into revenue for the company. Like a chef, use cheap ingredients and have a cheap (low quality) product... nobody will come back to your restaurant.

  55. IT in 25 years by Anonymous Coward · · Score: 0

    One person who writes scripts, 10000000 people to bug check, and 10000000000 people more to put USB sticks in server to update shit.

  56. two different things by Anonymous Coward · · Score: 0

    I have very clear direction from my management that my job is to manage "service providers" (Indian IT professionals). This means that the service providers do 90% of the mundane tasks while leaving the mission critical stuff to me.

    This is not a slight on the Indians-- they are contractually obligated to do that. They have the expertise to solve the hard problems, but their management tells them not to because it wasn't paid for-- they will flat out refuse to do things because it is not in their contract, which means longer and more stressful hours for me. But since I'm a salaried American, I work those hours even through my vacation. (yes, Americans are stupid).

    Simple tasks are off-shored. Hard tasks are kept local. Hence the price difference.

    If hard tasks were also off-shored, I think that price difference would disappear pretty quickly.

  57. Because we make great shit by iamacat · · Score: 1

    Just like Swiss watchmakers or German car manufacturers. When there is Indian Google, Chinese Apple or Vietnamese Facebook, their engineers will be paid well too.

    Only they need to make equivalent technological breakthroughs for future technologies, not copy actual Google, Apple or Facebook. And, a country that wants to create their own Silicon Valley may discover that involves things they are not gang ho about. Like intellectual freedom and startups with unhealthy work hours that hurt diversity. This is hard to find simultaneously outside US.

  58. they are not by superwiz · · Score: 2

    Well, IT workers might be paid more than developers because they need to be in closer proximity to the clients for many of the IT tasks. But developers are generally paid much less than equally-intelligent and equally-educated professionals in legal and medical fields. Despite all the fear, Indian post-secondary education is not as good as US private university education when it comes to either applied math or CS. There is a lot of factors which cause this, not the least of it is that the best students from India come to the US for their university studies. But this is just one of many factors which influence this. What drives the wages lower is that there is a constant churn in development just like there is physical production. Some of the work simply requires citizenship or ability to impose legal requirements (which can be expected to be followed by US residents), or something similar. Any work which cannot be justified in this manner has already gone to India. Inability to hold people accountable to what they produce does carry a price with it. In many instances, that price is the difference in labor cost. Whatever arbitrage opportunities existed in the labor market, they have already been taken advantage of and, therefore, have diminished to virtually nothing. There are other factors. You might as well ask why Australia ever beats India in cricket given that India adds an Australia-size population every year. If building something in India were as simple as building it in the US, India would simply be a wealthier country than the US and the difference in labor cost would be absent. Wealth doesn't come from money. It comes from being able to buy something useful with the money you have.

    --
    Any guest worker system is indistinguishable from indentured servitude.
  59. They are not. by Anonymous Coward · · Score: 0

    Everyone else if payed even worse.

  60. Scale differently by MFriis · · Score: 2

    My workplace is dabbling a bit with outsourcing aswell. It's a scalability attempt, we simply cannot find enough people to keep doing what were doing with the amount of work we are expected to do in the future. We make marketing websites and apps for a wide range of inhouse products. One department is outsourcing to India, they keep doing what we have always done, just with more hands and more management. Another department is changing the techstack, trying to scale differently, make the tech require fewer hands, use the same content across devices, componentify code. Essentially move our approach to a more stabile platform that enabled configuration. Not sure which is going to "win" but i know our colleagues in the other department would rather come work with what we are doing, rather than micromanage the indian teams.

  61. Reminds me of an old Soviet joke by melted · · Score: 5, Interesting

    Here it goes: "An old man is lying on a bed in his room. It's year 1917, the Socialist revolution is in full swing. His grandson runs excitedly into the room and proclaims: "The Bolsheviks are winning, there won't be any rich people anymore!" To which his grandfather replies: "Weird, back in our day we revolted so that there wouldn't be any poor people, not to get rid of the rich".

    Which is a long way of suggesting: maybe a better question to ask is why the non-US programmers are paid so poorly. TBH I don't think US programmers are that well paid, outside of relatively few outliers. They tend to live in the areas with some of the highest cost of living in the world. That's out of necessity: all the high paying jobs are there. I'd say a good fraction of US high tech professionals is what real middle class is supposed to look like. Not rich, but with a roof over their head and non-zero savings. I don't consider that a privilege. I consider that a bare minimum.

    1. Re:Reminds me of an old Soviet joke by Cro+Magnon · · Score: 2

      Bingo! I consider myself "comfortable", but far from rich. I have a good house in a tolerable area, I can pay cash if my front porch collapses, and I can buy a reasonable number of "kewl toys". I can't afford Silicon Valley, large mansions, or Teslas.

      --
      Slow down, cowboy! It has been 4 hours since you last posted. You must wait another few hours.
    2. Re:Reminds me of an old Soviet joke by ElizabethGreene · · Score: 1

      I wish I hadn't blown all my mod points already. Well said, sir.

    3. Re:Reminds me of an old Soviet joke by dagoalieman · · Score: 1

      Had I mod points and the roof wasn't 5, this would be +1. There's some things you don't touch on.. but you really nail an elephant in the room!

      --
      We don't need no Net Explorer We don't need no Thought control
  62. unintended troll by GhodMode · · Score: 1

    Although I don't think it was the intention of the OP, I think this whole question is effectively trolling the community. There are too many different opinions and perspectives on the issue of outsourcing to get a meaningful answer.

  63. I'm paid well because... by Khyber · · Score: 4, Interesting

    A. I can rig your entire building for gigabit wired and wireless transfer speeds. T568B all day.
    B. I can configure your stuff from MPLS to ASA to software-defined stacks.
    C. I can get on-site when your remote access inevitably fails, assuming you're not stupid enough to rely upon cloud-only solutions.
    D. I actually speak and understand English.
    E. I have other skills that your company might want, and I am asked about quite often (Doorbell job after wiring up their patch panels? $40/hr.)
    F. I possess got over two decades of experience.
    G. My warranties and guarantees on my work actually mean something.
    H. I don't read off a fucking script, nor do I ever need to.
    I. And the list goes on.....

    --
    Still waiting on Serviscope_minor to wake up to fucking reality and realize that Jessica Price isn't going to fuck him.
    1. Re:I'm paid well because... by Anonymous Coward · · Score: 1

      D. I actually speak and understand English.

      F. I possess got over two decades of experience.

      Tsk. Tsk. Silly robot AI. You almost had me fooled.

    2. Re: I'm paid well because... by Anonymous Coward · · Score: 0

      But can you poo in the loo?

    3. Re:I'm paid well because... by monstza · · Score: 1

      It has very little to do with your skills as such. Its about the ecosystem around you.

      I listened to a podcast several months ago. They interviewed a prominent venture capitalist. He said the salaries in San Francisco were worth every penny. He said, that his companies could just call up a recruiter who had years of experience finding employees for startups. The recruiter could usually find someone who has production experience with the technologies the startup planned on using. If his companies needed a lawyer, he could easily find one who worked regularly with startups and understood the laws affecting them really well.

      The VC didn't say this exactly, but he could have gone one to say that in San Francisco he could easily hire someone to install gigabit wireless speeds at his company with a warranty that actually means something!

      Do you get my drift?

    4. Re:I'm paid well because... by Anonymous Coward · · Score: 0

      And none of the tasks you listed can be done by someone remotely from overseas. This conversation isn't about you.

    5. Re:I'm paid well because... by Theaetetus · · Score: 1

      D. I actually speak and understand English.
      F. I possess got over two decades of experience.

      Either the first one isn't true, or experience doesn't correlate with accuracy and diligence.

    6. Re:I'm paid well because... by Anonymous Coward · · Score: 0

      D. I actually speak and understand English.
      F. I possess got over two decades of experience.

      Are you SURE about D? F is telling me not so much.

    7. Re:I'm paid well because... by Anonymous Coward · · Score: 0

      The only problem with your statement is you assume that the end worker will go to work for the VC, the reality is most experienced IT workers will not as the result of being burned by start-ups that failed. The only people the VC is going to get are recent college grads that don't know any better and "near-retirement" older workers that don't give a shit and are just taking the job to maximize their Social Security benefits.

    8. Re:I'm paid well because... by Khyber · · Score: 1

      Or, alternatively, firefox doesn't fucking know how to stick with default behaviors with every fucking upgrade. Double-clicking a word used to highlight it for removal, now it takes three clicks. Also, it ignores half of your mouse clicks and registers keystrokes when it shouldn't, especially on sites like Twitter.

      --
      Still waiting on Serviscope_minor to wake up to fucking reality and realize that Jessica Price isn't going to fuck him.
    9. Re:I'm paid well because... by Anonymous Coward · · Score: 0

      > I actually speak and understand English.
      > I possess got over two decades of experience.

      Mmm hmm.

    10. Re:I'm paid well because... by Anonymous Coward · · Score: 0

      I find this funny because it's a lettered list and perfectly ends with the "H. I don't read off a script"

    11. Re:I'm paid well because... by Anonymous Coward · · Score: 0

      No no no, you are paid well because you are awesome!

    12. Re:I'm paid well because... by Anonymous Coward · · Score: 0

      "F. I possess got over two decades of experience."

      Yes you speak and understand English very well ;-)

    13. Re:I'm paid well because... by Kamineko · · Score: 1

      Have you had the issue where you type something in the address bar and it refuses to acknowledge the Return key for several seconds?

  64. Race to the bottom by sg_oneill · · Score: 1

    Recently i was talking to a chinese gamer friend on teamspeak and we where joking about how much one could make goldfarming. Turns out he was dissatisfied of his wage of about $300 US a week working in a resturant. Thats not that far off what an American worker could expect. He was studying to work in IT, and told me his friends in IT are making just north of $1K a week, again not quite as much as an American worker, but still in the vicinity of "Western Wages".

    Turns out in China people are worried about jobs going offshore to India, the Phillipines and increasingly to Africa.

    We really need to figure out how to get off this train, globalism is all very well, but the race to lower costs is just going to lead to work going to the very lowest bidder while us in the west face the complicated question of what the hell do we do with highly educated masses of unemployed.

    --
    Excuse the Unicode crap in my posts. That's an apostrophe, and slashdot is busted.
    1. Re:Race to the bottom by drsquare · · Score: 1

      It's not a race to the bottom, it's a race to the middle if third world wages are going up.

    2. Re:Race to the bottom by Anonymous Coward · · Score: 0

      > if third world wages are going up.

      cite any reliable evidence that this is so and we will modify the "race to the bottom where the rich are the winners" narrative.

    3. Re:Race to the bottom by nixterino · · Score: 1

      $300/wk is about or below minimum wage. I hope an American (I assume you mean US, BTW - America refers to the western hemisphere) makes more then that, at least on average.

    4. Re:Race to the bottom by Anonymous Coward · · Score: 0

      Chineses making 4K a month??? Hell outsource to Portugal where the fuckers just pay us 1K a month, 500USD a month to recently graduates.

  65. Re: because the market hasn't balanced yet by Lonewolf666 · · Score: 1

    Probably all correct, but there is also the difference that someone at the seat of the company can do some things better than someone telecommuting. Such as attending meetings where some things happen on paper, checking out hardware problems in jobs that include such tasks...

    H1Bs may erode that difference though because they are also local.

    --
    C - the footgun of programming languages
  66. indian developers by Threni · · Score: 1

    in my experience indian developers just have zero common sense. They have to be told everything. Five times. That's why you'll never see an Indian apple, google, nintendo etc. You can't replace quality, common sense, nous etc with just cheap, stupid brute force.

    1. Re:indian developers by UniversalBlue · · Score: 1

      especially considering you can replace them with scripts...

  67. Re:Difference in work product - AND communication by war4peace · · Score: 1

    I'd like to add that there are plenty other cheap countries besides India and China. i'm talking about countries where communication barrier simply doesn't exist. Yes, those countries are much smaller in terms of population, both compared to the USA and the giants that are IN and CN, and that's why most people aren't even aware of them, but they exist.
    Now, large companies are increasingly hiring people from these countries, and the findings are that people hired there would work almost as cheap as people from IN and CN, but their performance is close to their American counterparts. USA companies hire locally (no H1Bs ow W2s), everyone's happy.

    --
    ...gis sdrawkcab (usually not responding to ACs; don't bother posting as AC)
  68. Because our education costs are so high by Anonymous Coward · · Score: 1

    If we had the same free college education, we could probably afford to work for Indian wages as well. Unfortunately, we have student loans to pay off.

    Letting people with skills and degrees, developed through government investment turn around and compete with people who have had to shoulder almost the entire expense of that same education out of pocket, then compete on a level playing field isn't free-market capitalism: it's called "dumping" and it's an anti-competitive practice.

  69. The reason is huge by terminal.dk · · Score: 4, Interesting

    How many great software products have you seen being invented and created in India ? Is the number around null ? Or is it a large NULL ?

    There are many reasons why Indians are not really a threat, and it is not only the language problem. It is their culture. Been in a startup in Bangledesh for 3 months, most employees from Indian universities. They work very hierachical, and not independent. It is almost impossible to make an employee choose between a blue and a red ball, we want hios managers approval first. I could not get my employees to to code things using stuff not part of their curriculum. I had to train them in those chapters in their book from university that was not part of their university education. Their attitude is, that it is better do make nothing than to make a mistake. They don't know the word no. They can't say they can't do it, but would rather delay forever.

    Now I am in a large company, and the code quality we get out of India, no matter what huge front company we use, is nowhere as good as an average local person with a bachelor in CS can deliver. Their missing ability to think and read documentation, and explore is a killer.

    The big threat comes from christian countries, countries with our culture. The threat comes from eastern europe and south america. They think more or less the same way. They can work independent. If they don't get an answer, they will decide on a direction to go. Even if they go the wrong direction, it is stillbetter than looking out the windows until the boss comes around.

    And one important fact that you forget is, that brain workers, including IT developers, has a salary way above average salary in whatever country they are from. Personally, I would say it takes 3-5 average indians to be as efficient as an average westerner. that is $10.000-$15.000/month. So there is not good economi in using indian developers if they are available locally.

    Outsourcing of jobs is mostly operations, where it is accepted that the level will be much worse at half the cost. And partly development because you can't get the skills locally. Operations today is waiting for the server to burn and then piss on it. Nothing proactively, except from scheduled reboots. So whatever is outsourced to india is not the same thing as the comanies used to get. They get less $ for $. They could save more money by deciding on the same service level with inhouse staff, and fire 90% of IT operations staff, and use external consultant when things are bad. They would even get a better service from that solution. Outsourcing to india is the new black. Everybody does it, nobody is happy, but because everybody does it, it must be the best.

    1. Re:The reason is huge by UniversalBlue · · Score: 1

      I agree with this wholeheartedly.

    2. Re:The reason is huge by Anonymous Coward · · Score: 0

      Example:

      QuarkXpress went to India. Adobe currently rules the desktop publishing world. How much was that move to India worth now?

    3. Re:The reason is huge by Anonymous Coward · · Score: 0

      I am sorry to see that you have experienced problems when working with Indian developers. However, please do not deduce from your experience with maybe 100 people to a population of 1.3 billion people.

      There is at least one great software product created in in India:

      Bahmni - An Open Source Hospital System for Low Resource Settings
      http://www.bahmni.org/

      @Janux_DE

  70. Access is the key by AHuxley · · Score: 3, Interesting

    The top US universities produced the best students for decades. The US gov and mil looked after the best with funding.
    The US private sector enjoyed contracts.
    The US gov pushed for the world to accept US standards and tech as part of free trade deals.
    So all that creating for a global economy, funding and skill kept other nations locked out and US products as the only option.
    Other nations never had that free flowing cash for science, students, the mil. To them it was limited hard currency, a loan or US charity to only buy a US product.
    Their best had to be careful with funds or could only get so much out of education, the private sector or their mil.
    The US also enjoyed freedom, freedom of speech, freedom to study, read. Its students had a well funded creative and smart side other nations lacked due to wars, poverty, faith, cults or type of gov.
    That all worked well for decades. The changes now are a global workforce and a lack of visa tests.
    US universities are no longer getting the best wealthy students, giving loans to the best middle class and testing for free access to the gifted poor.
    With ever more university students with average ability taking up limited places or been granted limited places for non academic reasons a change will result.
    The few really bright and gifted graduates will command the ability to select work they want. With the rest of their fellow students been well below average they have some option in who to work for and will accept a great offer.
    The secret is:
    The very best US graduates come with security clearances, trust and the ability to attract gov and mil funding. They have been the best in the world for decades.
    But with changes to education, a flood of average students been passed now seeking the same granted access to work only the best will command good wages.

    --
    Domestic spying is now "Benign Information Gathering"
  71. Real life by Vlijmen+Fileer · · Score: 1

    Did that guy ever actually try to work together with Indians? There are culture and quality differences that are so vast, that companies even source-in again after less than favourable results of the outsourcing.

  72. Are you on crack? by Anonymous Coward · · Score: 0

    Tech workers in Silicon Valley do not earn enough money to be fairly described as "middle class". It's a skilled labor job, much like a car mechanic. This bullshit about high wages is 100% VC-backed propaganda.

    A better question to ask is: why has the value of the dollar declined so precipitously, and why does Duh Gubmint consistently under-report inflation?

  73. H1B by Anonymous Coward · · Score: 0

    By "American Tech Workers" do you mean all the people from India who have come over and replaced us?

  74. I have dealt with overseas IT by EmperorOfCanada · · Score: 4, Interesting

    Wow, just wow. You haven't been down a darker nastier hole than dealing with an Indian IT company. Employees rotate like there are revolving doors installed in every cubical. No matter how good their English, there is a communication's barrier. Contracts are pretty much brought out on a daily basis. Procedure overwhelms any project; yet the procedure simply protects them while providing no value, but then they bill the shit out of you for that time.

    Then there is this strange touchiness about any perceived insult. You say something doesn't work and they will either pretend they didn't hear you, or they will list off the resumes of all those involved. "Mamdoop, graduated top of his class, in a program that only accepts 100 students from over 1 million applicants. Are you saying that you know C++ better than he?" To which I reply, the program is crashing, it is crashing because he didn't do any tests at all and any client ID over 100 will crash the software.

    Boom contract time: "Your sample set of clients only had 100 clients." This ignores the fact that the contract also stipulated that there will be 100,000-500,000 clients.

    And it just goes on and on and on. Then after you finish successfully managing to sue them in an American court, you see that they are using your company name for a positive reference.

    Then there is the endless changing of the contract. Somehow the monthly billing of $40,000 goes up to $45,000 and the extra is for "administrative excesses" and you say no, but it takes months for them to remove it, and as the end comes closer it goes up and up and up with subtle threats about the software ever being delivered if it doesn't get paid.

    The best is when one of your own employees turns out to be related to the company in India that got the contract in the first place. You are never able to prove that something scummy happened but your employee gets wildly upset when the contract is canceled with extreme prejudice. Like holy shit losing his mind upset.

    Somehow they have created a facade of competence without actually creating the competence. A simple test is how many companies in India are actually making viable software products for themselves. Not the government, not for others, but an Indian Facebook. I don't think that it is possible. I suspect that there are all kinds of Vapourware companies, as they would have that nailed down cold; but a company that does something cool, has lots of customers, makes lots of real money, and doesn't have a government department firehosing money into it.

    Without that excellence, why would we go there again? This is why Western Programmers make the big bucks; they deliver what was wanted.

    1. Re:I have dealt with overseas IT by Anonymous Coward · · Score: 0

      I think you mean "WHITE Programmers"...

    2. Re:I have dealt with overseas IT by jittles · · Score: 1

      Wow, just wow. You haven't been down a darker nastier hole than dealing with an Indian IT company. Employees rotate like there are revolving doors installed in every cubical. No matter how good their English, there is a communication's barrier. Contracts are pretty much brought out on a daily basis. Procedure overwhelms any project; yet the procedure simply protects them while providing no value, but then they bill the shit out of you for that time. Then there is this strange touchiness about any perceived insult. You say something doesn't work and they will either pretend they didn't hear you, or they will list off the resumes of all those involved. "Mamdoop, graduated top of his class, in a program that only accepts 100 students from over 1 million applicants. Are you saying that you know C++ better than he?" To which I reply, the program is crashing, it is crashing because he didn't do any tests at all and any client ID over 100 will crash the software. Boom contract time: "Your sample set of clients only had 100 clients." This ignores the fact that the contract also stipulated that there will be 100,000-500,000 clients. And it just goes on and on and on. Then after you finish successfully managing to sue them in an American court, you see that they are using your company name for a positive reference. Then there is the endless changing of the contract. Somehow the monthly billing of $40,000 goes up to $45,000 and the extra is for "administrative excesses" and you say no, but it takes months for them to remove it, and as the end comes closer it goes up and up and up with subtle threats about the software ever being delivered if it doesn't get paid. The best is when one of your own employees turns out to be related to the company in India that got the contract in the first place. You are never able to prove that something scummy happened but your employee gets wildly upset when the contract is canceled with extreme prejudice. Like holy shit losing his mind upset. Somehow they have created a facade of competence without actually creating the competence. A simple test is how many companies in India are actually making viable software products for themselves. Not the government, not for others, but an Indian Facebook. I don't think that it is possible. I suspect that there are all kinds of Vapourware companies, as they would have that nailed down cold; but a company that does something cool, has lots of customers, makes lots of real money, and doesn't have a government department firehosing money into it. Without that excellence, why would we go there again? This is why Western Programmers make the big bucks; they deliver what was wanted.

      I've tried to hire an in-house software team in India. I received thousands of resumes, all 7-10 pages long. The first page of every single resume? Nothing but their pedigree: who their parents are, what important people their parents know, etc. It's mind boggling to someone from the US.

    3. Re:I have dealt with overseas IT by wyHunter · · Score: 1

      I have worked in a number of jobs in my decades in this field and I can tell you one thing, with aknowledge sure and complete, there are so few non white applicants - not jobs granted, APPLICANTS - as to be statistically insignificant. I can assure you that if more non white males and females applied they would get jobs.

    4. Re:I have dealt with overseas IT by Anonymous Coward · · Score: 0

      Wow, just wow. You haven't been down a darker nastier hole than dealing with an Indian IT company. Employees rotate like there are revolving doors installed in every cubica

      My experience with Indian contractors is that they could work for 6 months and live off that pretty well for 1-2 years. I'm not sure how true that is anymore, but I can't even learn the ins and outs of a stack in 6 months. Who would want to train someone who just leaves before getting competant?

    5. Re:I have dealt with overseas IT by Anonymous Coward · · Score: 0

      I once analysed a CV from an Indian where he mentioned his "tribe" and religion...my CEO immediate recommendation was "I do not advise you to hire that guy".

    6. Re:I have dealt with overseas IT by Anonymous Coward · · Score: 0

      I feel you pain. If you get a good IT company, you will get slightly lower bills, hyper-specialization, invoicing issues, and management oversight that is expensive. We soak up any cost savings managing the contract.

      Get a bad one, then it is fraud, abuse, and litigation. My favorite is that a company billed for $250k for one month of work, no contractual overtime, in a resource who billable was $175 an hour. When we challenged that, even if he didn't sleep, he wouldn't be able to bill that many hours, we were asked to prove that a month could not have more than 744 hours in a month. He was trying to bill for over 1,400 hours in a month.

    7. Re:I have dealt with overseas IT by EmperorOfCanada · · Score: 1

      In my now present consulting and I see a client leaning indian, I simply say. I am not insulted. Just call me when you want me to clean up the mess,

      Then, a few years later and they are calling me I ask if they have fired the person who hired the indian conpany. If they haven't I will ask if there is someone else to work with as I want to make sure things work this time. Some out and out ask if I am demanding they be fired, to which I basically say, "Or at least seriously demoted."

      I usually then try to organize something informal where I say that the decision making that results in hiring an indian firm involves one or more of a small cluster of deficiencies: Fraud (very common cause), they are a moron (second common cause), or they were forced into it by someone who met one of the two previous criteria.

  75. Comment removed by account_deleted · · Score: 1

    Comment removed based on user account deletion

  76. Fluency by petes_PoV · · Score: 1

    Being able to effortlessly speak, read and write american (as opposed to the language used in England) at a high level, to know the culture, to have the nuances of intonation, politeness, expectations, professionalism and body language counts for 40 - 50 points on your IQ.

    It is not enough to have been on a 6-month language course and to be able to ask for (and understand) directions to the bathroom. You have to be able to read and write complex, technical, documents. You also have to be able to demonstrate the social skills (what about them cowboys?) to mingle with your colleagues. You have to be able to ask for explanations and understand them.

    Being a good coder, tester, designer or integration specialist isn't enough. To earn the rates that american IT workers command, you have to blend in and pay back the confidence that your employer places in your soft skills.

    --
    politicians are like babies' nappies: they should both be changed regularly and for the same reasons
  77. Face time by mmarlett · · Score: 2

    Cog making is fine and good anywhere, but, honestly, many bosses want to be able to hold someone's feet to the fire. Someone in the room. Someone in the room with people in their room. If you have a product that requires specific communication and intense deadlines, being able to look someone in the eye is most of the justification for a premium. Managers don't get paid for results — they get paid for the appearance of results. They justify your expense to justify their own expense.

  78. Answering questions on stackoverflow by henni16 · · Score: 3, Funny

    Hey, *someone* has to provide the answers for all those barely understandable urgent questions on stackoverflow and mailing lists.

    1. Re:Answering questions on stackoverflow by Gilgaron · · Score: 1

      I noticed when I joined a microbiology professional org on LinkedIn, lots of foreign PhDs asking AP Bio level questions about basic techniques... it'd be one thing to post anonymously somewhere on the internet, but they're associating these questions with their name!

    2. Re:Answering questions on stackoverflow by almostadnsguy · · Score: 1

      I love this response!!

  79. "Empire in Decline" by alternative_right · · Score: 2

    Post subject is the words you must utter for the Herd to have a vague inkling about what you are saying.

    The US is tiny in population compared to China and India and there is no indication that the random melting pot in the US is genetically better suited for producing quality products. Hence, the center of international development will move to China and India -- it's inevitable just by the numbers. Additionally, many Chinese and Indians kids are striving (at their parent's insistence) to excel and learn to work hard at a very early age to get good grades etc. just as American kids are increasingly being praised for being "special snowflakes" and "the best you you can be" and getting "participation awards" just for showing up. It won't end well for Americans in HW/SW dev or IT unless we wake up (I don't think we will).

    Dying empires always choose diversity which produces worse not better results, but enables them to import cheaper labor to their countries and, trading on the good name of those countries, to sell it at a higher rate.

    It is how professional organizations make their money. If you are the client of a top firm, you expect that experienced personnel will be handling your case, but in reality it will be tackled by their newest low-level hires but billed as if top performers were doing it.

    In the same way, companies in the US and EU use outsourcing to make profit. They get a name for providing a good product or service here, then take on tons of new business and hire it out to cheaper labor pools, with the excuse that their existing staff are "supervising" the process.

    At this point, it is clear that both the US and EU are in terminal decline and so you are correct: we will not "wake up." You only get a society full of special snowflakes when it is oversold because it has lost what made it great in the first place.

    1. Re:"Empire in Decline" by drsquare · · Score: 1

      They're not in terminal decline, just being caught up as their advantages are being eroded. The US will do better than the EU because they're more competitive and dynamic.

    2. Re:"Empire in Decline" by angel'o'sphere · · Score: 1

      I don't see anything in decline in the EU, except the number of member states ;D in case the BREXIT happens. OTOH we likely still have room in the east to add a few countries to make up for the brits.

      --
      Cost free eBook I read (by iBook/Kobo/Amazon/ObookO/Gutenberg etc.): "The Green Odyssey" by Philip Jose Farmer.
    3. Re:"Empire in Decline" by speedplane · · Score: 1

      Dying empires always choose diversity

      Then in that case, the U.S. has been dying since it's founding?

      which produces worse not better results

      Have you walked into an advanced STEM class in the United States? Easily over 50% of the people in the class are immigrants who want to stay here. They make the country smarter, but we kick them out and send them back home.

      It is how professional organizations make their money. If you are the client of a top firm, you expect that experienced personnel will be handling your case, but in reality it will be tackled by their newest low-level hires but billed as if top performers were doing it.

      Clients often sign up for firms for the top performers, but it's not as if they're getting tricked. They understand that the top performer only does 5% of the work because there is no way a top performer could handle all of that work. But even if the could, there isn't much point. The top performers work on the "right" 5%, in law firms, that means the trial. It's often that 5% that sets one firm apart from the next. That is exactly what the client is paying for, and they know it.

      In the same way, companies in the US and EU use outsourcing to make profit...

      I could go on here. Everything you write just seems misinformed.

      --
      Fast Federal Court and I.T.C. updates
  80. Most code is incompetent by alternative_right · · Score: 1

    The other half is fixing cut 'n' paste code written by supposed "experts."

    1. Re:Most code is incompetent by Cro+Magnon · · Score: 1

      These days, I cut 'n' paste the fixes for other peoples cut 'n' paste code.

      --
      Slow down, cowboy! It has been 4 hours since you last posted. You must wait another few hours.
  81. See "The Octopus" by Anonymous Coward · · Score: 2, Interesting

    It's completely anecdotal, but I am often very well paid for programming tasks. Several times I have had to resolve issues with code from Russia and India. And I dealt long ago with code from Japan. In each case it is easy to see the style that matched the source country. Japan was very linear. Modules thousands of lines long. Functions hundreds of lines long. Russia was very well structured but lots of edge case issues, lots of dead code. India, cut and past heaven. In a project with nearly forty view controllers over half of them had about fifty shared lines. About thirty of those easily moved into a parent class, and twenty or so moved to the networking layer. The networking layer itself had twenty or so methods that were duplicates save a couple bits that became a dictionary of parameters. In each case after refactoring the lines of code were significantly reduced, save the Russian code which we actually modified after refactoring to handle edge cases. No one did extensive parameter checking. No one had unit tests for functions. No one looked at security as a concern.

    I was actually told that I was as productive as four Indian programmers. I also had a cost of three times what they paid the somewhat premium Indian outsourcing company (not the Indian programmer, his company's fees) ...

    You can get outsourced code written cheaply. You get what you pay for. And you may be getting a lot less. The Indian firm I replaced counted all the cut and paste lines of code in their monthly productivity reports. The actual new lines was significantly less.

    Want quality outsourced code, I can help you set something up in Ukraine. With American design and project control and leadership. It won't beat the low end Indian, Chinese, Estonia, Poland, or Russian outsource prices, but will be a better value. And the code repository sits in the US. I can also arrange guaranteed US based development teams. Oh, and we do forensic software and hardware pre-discovery research.

  82. Because people suck at computers by b783719 · · Score: 1

    "Why Are American Tech Workers Paid So Well?"

    First thing, this is a subjective question, so I could compare it to anyone / anything including because he is under 30's, geeky, looks smart or people suck at computers / buggy software.

    But if your question is why American Tech Workers get paid so well 'compare to' offshore Tech Workers, then that's a specific question that can be answered with specific explanations.

    The reason for that is due to supply and demand. There are employers that demand for higher paid competence American Tech Workers, who know they will ensure company productivity and security is at prior. Also, there are demand for just some cheap random Tech Workers to fill holes. Part of the reason for those cheap demand is Tech Workers to some employers are like wizard / doctor, where those employers never understand exactly what they are doing (black magic or potion making?) Those employers are also short sighted, that can only learn after a terrible breach and they do not value/hire higher paid competence American Tech Workers.

  83. Outsourcing has been tried, and it failed by mcvos · · Score: 1

    Outsourcing to India and elsewhere was really popular a couple of years ago, but I notice a lot of companies have been insourcing their software development recently. Software itself is not bound by location, but working together on complex software is easier when you sit close together than when half of the team is on the other side of the globe. You introduce a lot of communication overhead into your process. When it's developed in-house, you've got more control over the details, the planning and the quality. People on the other side of the world may be cheaper by the hour, but ultimately, you don't need hours, you need software that solves your problem.

  84. What do you want to have happen? by Anonymous Coward · · Score: 1

    Because almost everyone who uses a computer has no fucking idea what they 're doing. Monitors are just big Pavlovian response trainers for them, and the first time they don't get a treat when the bell rings, they have no idea WTF is happening. There is literally nothing so simple that otherwise intelligent and useful people can't turn into autistic kindergartners when it involves a computer.

    The biggest hurdle in any IT situation which involves an end user, which is most of them, is getting them to explain what they want. I have a really hard time with it in person, able to witness hand motions and pointing, understanding local idioms, and comfortable with the culturally assigned meaning of various intonations. The guys in india might figure it out too, I'm sure they're not dumb, but it'll take longer. And sometimes they wont.

    Also, "institutional knowledge" is a big thing. Someone who has been supporting the same users for a while is way more effective then someone who has to jump in fresh at each interaction. Knowing the specific quirks of whatever setup the company is using is a big advantage to solving problems quickly, and planning for changes realistically.

    Lost hours of productivity, and just as bad, a culture of "shadow" IT, are hard to quantify. But they're real, and they're expensive. That's why someone who has a clue what they're doing, and can talk to people, is worth more than a random worker on the other side of the world.

    Plus, who has skin in the game? Is the outsourced worker going to get fired if he fucks something up? Is he going to care if he does, or are you just one of 100 clients? The guy where you are his sole source of income and is responsible directly to you, is less likely to play fast and lose with those ineffable things like "security" and "confidentiality".

  85. Let's be honest for a second... by UniversalBlue · · Score: 1

    Indians are cheaper because the quality of their work is "cheaper". Indians are basically humanoid robots, which do very well "A" as long as you only ask them "A". The moment you deviate slightly from "A", like in an actual program, they start being confused and they can't figure out what to do. The only indians that have an actual brain are already in more civilized countries that don't crap in the streets. What remains in India are under-performing mediocre individuals that will soon be replaced by AI (and they already have, as most of their tasks can be automated by writing scripts).

  86. Cos Americans pay more for ... all stuff. by EastOfEden · · Score: 1

    The workers in India may be earning good wages for the local market. Problem is that the company is allowed to get workers from one economical area to do work in another completely different area. Selling products cheap products for high prices is OK. However in such a case the company simply makes money on the differences between currency buying powers. Nothing to do with sellsman ship or optimisation. A monkey can do it.

  87. Past profit is binary, future profit is not by Anonymous Coward · · Score: 0

    It is it impossible to foresee how profitable you will be in the future, even if you've been profitable in the past. So managers will calculate your probable profitability, roughly:

    $expected_returns = $predicted_returns * $risk_that_something_impacts_returns;
    $expected_cost = $predicted_cost * $risk_that_costs_go_up;
    $expected_roi = ($expected_cost - $expected_returns) / $expected_cost;

    If this expected ROI is negative, you should not get funded, even if ex post facto sometimes this calculation is wrong (eg, profitability is binary).

    But that's not all. The manager has limited resources to invest. For everything they invest in, it has an opportunity cost that equals the cost of not investing in other things. So they will perform this calculation on all possible costs (investments) and rank them by expected ROI. Then they'll pick the mixture that provides the best total ROI based on the risk profile of the organisation.

    So, it could be that you are profitable. But you won't be employed if you're not profitable enough.

  88. White guilt? by Anonymous Coward · · Score: 0

    You buy into that south bound product of a north bound horse.

  89. Why is it cheaper for wages abroad? by DatbeDank · · Score: 3, Insightful

    It's cheaper for a two big reasons:

    1. India's Rupee is considered less valuable than the USD because the USD is the world reserve currency amongst other currency manipulative tactics.

    2. India neglects basic protections we take for granted in the US. No unemployment insurance, crappy schools, and a lack of a requirement to pay for "pensions". Hence it is more "expensive" to pay a US worker.

    American companies want to pay workers Indian salaries with a massive currency disparity while not bothering to pay for the things that make America great such as a highly educated work force, paved streets, social welfare, food/drug safety, and other items.

    1. Re:Why is it cheaper for wages abroad? by Anonymous Coward · · Score: 0

      You think US developers get pensions?

      Your currency argument is moot as well, to a US company the cost is measured in USD regardless and the fact that the cost of living is lower in India has nothing to do with currency evaluations.

      At the end of the day, there is only one reason for a US company to outsource work, lower costs. And there's only one reason to hire US developers, their productivity and quality is much greater (generally speaking, there are of course exceptions to any rule).

  90. False equivalence by RabidReindeer · · Score: 2

    Around the year 2000, Indian developers could expect about 1 lakh/year income for each year of experience they held, with a significant number of said developers having 5 or fewer years of experience - except, of course, when being shopped as H1-Bs to US employers wanting 10 years experience in Oracle 11 in the year 2000.

    That's roughly one eighth the pay rate for an equivalently-experienced US developer. Under $10,000 a year in most cases.

    Try living as a professional in the USA on under $10K/year, even 17 years ago.

    So how did they do it?

    Simple. In India, home air conditioning is a luxury, not the essential that Southern locales in the USA consider it to be. Firstly, because the equipment itself is no cheaper over there than in the US, secondly, because residential electrical service back then was extremely unreliable.

    And not just air conditioning. Refrigerators were the "in" thing for the up-and-coming. Look at an Indian cookbook sometime. Most everything in it is either something you'd eat immediately or something that doesn't perish if not refrigerated. Ghee, for example, removes the components of butter than go rancid.

    Electricity was so unreliable that the tech employers would maintain their own private power plants.

    Another thing that tech companies over there would do is run transportation for their employees. This actually was done in my town back in the 1960s, but not any more. Indian tech employees are far less likely to own a car.

    Then there's food. Indian diets are much less meat-heavy and frequently vegetarian. Rice and dal cost a lot less than hamburger and steak.

    And don't forget social nets. The Indian social net is you die in the streets. You can have a free college education, but you have to pay for all the schooling that gets you there yourself.

    Last, but not least, it's a veritable Libertarian paradise as far as regulations go. Not that everything's unregulated, but for a fee, it often can be. No pesky pollution regulations, little oversight to make sure that the food isn't contaminated, toxic fumes wafting from the nearby Union Carbide plant, stuff like that.

    India has advanced considerably in the last 20 years, but it's still a lot cheaper to live there than it is in the USA. As long as you're willing to make some concessions.

    Actually, since Indian developers aren't stupid, whatever you may think of their work as coolie labor, they've pushed up salaries considerably. Still much less than US levels, but significantly. So their side of the coin has been "why should we be paid so little when other countries pay so much? Should we as an industry raise our salary expectations?"

    1. Re:False equivalence by Swave+An+deBwoner · · Score: 1

      I went to a paid "focus" group meeting once (only once) and when the conversation got around to outsourcing there was this guy who waxed ecstatic about what a great thing outsourcing is.

      He was delighted that his company had been successfully using H1B programmers and saving a bundle of money on salaries.

      With a somewhat confused look on his face he confessed that there was, nonetheless, one problem: "After a while, he said, they start to want real money".

      So far as I could tell he was not being sarcastic.

  91. Stop thinking it's an IT thing by Anonymous Coward · · Score: 0

    There is a fundamental flaw in the question.

    The question assumes that this is something specific to the tech sector. It isn't. There is a gulf across the board between salaries in the US and other westernised countries, and those in the developing world. This is why items made in China are so much cheaper than those made locally.

    The tech sector may have some specific angles that make it more obvious:
      - It's so much easier to outsource IT than other kinds of work. Especially with the move toward home working, it becomes less relevant where people live.
      - The extreme salaries earned by some in that bubble called Silicon Valley (along with the extreme costs of living there) do skew things as well. But understand that this is an anomaly.

    But those factors aside, this is not a tech-specific issue.

    The fact that jobs in the US can maintain those high wages even in the face of cheaper competition off-shore is probably not sustainable. There are advantages to having people locally, but they're not big enough to justify the gap in wages that currently exists. Wage growth will therefore slow down over time in the US for those easily off-shored jobs. But at the same time, those countries like India and China which currently have lower wages will see wage growth as their economy grows. Over time things will stabilise, but there might be a bit of pain in the meanwhile.

  92. Supply and demand by sjbe · · Score: 1

    Should we, as an industry, lower our salary expectations -- and that of students entering the field -- to make us more competitive with our peers in India and similar "much cheaper labor than first world" economies? If not, what should we be doing to make ourselves competitive in ways that our peers overseas cannot duplicate?

    Looking big picture the only reason anyone is paid a lot for a job comes down to supply and demand. If you need a technical specialist and there aren't a lot of them in the markets available to you then you are going to have to pay a lot for them. That's why professional baseball players can make millions while school teachers sometimes struggle to make ends meet. It has nothing to do with the relative importance of the jobs and everything to do with the availability of adequate talent. There simply aren't a lot of people who can actually hit a major league fastball and so the talent pool is small and the wages are high. Same thing with engineering and other technical talent. There is a limited supply of qualified engineers able to do many of the tech jobs necessary in this country who are also able to be physically located where they are needed.

    You only get paid a lot for one of two reasons. You are either doing something important that few others are able to do OR you are doing something necessary that few others want to do. If you can effectively do your job remotely from your co-workers then you should be concerned about competition from overseas. Similarly if what your company is doing can be replicated somewhere with lower labor costs you should similarly be concerned. And of course there is the issue of companies bringing in lower priced talent from other labor markets like with H1B visas. In time I'd expect to see something of a reversion to the mean for wages of US based technical talent just like for most other jobs with abnormally high wages. There are plenty of folks in China and India and elsewhere who are equally smart as US engineers and there are more of them. In time I would expect this to increase the supply of talent in the work pool and wages to decrease correspondingly.

  93. no one has mentioned American taxes? by Anonymous Coward · · Score: 0

    Americans have to pay American taxes. Indians don't. The difference in pay has a lot to do with the cost of living in America.

  94. High wages are not a divine right by sjbe · · Score: 2, Interesting

    So when you need to be able to pay 20 grand after taxes to live near where you work just for the basics, you start to get annoyed that someone living in a cesspool thousands of miles away for pennies on the dollar is arrogant about stealing your job.

    The arrogance is all here in the US. We act like we are entitled to earn the highest wages in the world as if it is some sort of divine right. In reality we've had a good run and many have forgotten that we only got those high wages because we out competed everyone else. If we are idle and complacent then wages in the US will fall back towards the mean as surely as gravity. There are lots of smart folks in China and India and elsewhere and there are more of them. China has 4 people for every one in the US and India is the same. All other things being equal China and India should be able to generate the most technical talent just by sheer weight of numbers.

    One thing people in the US tend to forget is that the USA was one of the few countries that didn't have to rebuild from scratch after WWII. We got a 30 year head start on the rest of the world because we were protected by two oceans and didn't have all our infrastructure destroyed in the fighting. Now that the rest of the world has rebuilt we've had to compete on a more equal footing and the results haven't always been favorable.

    1. Re:High wages are not a divine right by asylumx · · Score: 1

      One thing people in the US tend to forget is that the USA was one of the few countries that didn't have to rebuild from scratch after WWII.

      Neither were India nor China... So i guess I'm missing your point. In fact, I would argue that MOST countries didn't have to rebuild after WWII. It only really affected Europe and northern Africa, and several island nations in the pacific.

    2. Re:High wages are not a divine right by MachineShedFred · · Score: 3, Interesting

      India had no wide-level destruction during World War II. China didn't have a lot of infrastructure to destroy - they were still mostly an agrarian society when the Japanese invaded in 1937. There wasn't a single bullet fired in WW2 on the continent of South America, and yet they still don't have the level of industry or world-changing advances.

      You're probably right about the advantage over western Europe, Russia (USSR), and Japan, but it hardly explains the idea of American exceptionalism in the 20th century.

      --
      Slashdot still doesnâ(TM)t support Unicode after it was added to the HTML standard in 1997.
    3. Re:High wages are not a divine right by wyHunter · · Score: 1

      A lot of China did. Remember, Japan invaded?

    4. Re:High wages are not a divine right by currently_awake · · Score: 1

      America's advantage was money. All the rich people of Europe moved their investments to the USA for safekeeping, and most of it stayed there after the war. Also for the first half of WW2 the USA was neutral and selling stuff to everyone with money, including the Germans.

    5. Re:High wages are not a divine right by LifesABeach · · Score: 1

      Recheck your history. Certain folks are trying to rationalize how to squeeze more money from the community. These same folks have lost sight of what happens when there is no more wealth to get.

    6. Re:High wages are not a divine right by nixterino · · Score: 1

      And unfortunately, we're saddled with >50 yr old infrastructure. Europe and Japan were to some degree helped by US investments to rebuild after WWII.

    7. Re:High wages are not a divine right by pnutjam · · Score: 1

      false, India provided alot of troops and money for the UK, among other contributions. It did do relatively well after the war. China was pillaged by Japan. You've never heard of "The Rape of Nanking"?
      That immediately tells me you have little concept of history.

    8. Re:High wages are not a divine right by david_thornley · · Score: 1

      There wasn't a single bullet fired in WW2 on the continent of South America,

      Peru and Ecuador fought a war in 1941-1942. I'm not exactly sure, but the first New World country to use paratroops in battle might be Peru. The US was sufficiently distracted that it didn't react to Peruvian bombing of US-owned plantations.

      Given the superiority of the Peruvian army and air force, pretty much nothing outside Ecuador got destroyed.

      --
      "When you have eliminated the unacceptable, whatever is left, however improbable, must be the truthiness" - Holmes
    9. Re:High wages are not a divine right by Anonymous Coward · · Score: 0

      So accept what you get, peasants, and make your Lords wealthier.

  95. Asking the wrong question by Required+Snark · · Score: 1, Flamebait
    If you are wondering about pay disparity, a much more interesting question is why are US execs paid so much more then US workers? All of the issues of different culture and economy disappear, so there are no extraneous factors to consider.

    The short answer: Karl Marx was right. We live in a late stage capitalistic society and economic activity is organized so that profit is disproportionately channeled to the rich. The rich don't actually earn the money as much as they take it from everyone else. It's kind of like the mafia system, where everyone has to kick money up to the level above them for the privilege of having income.

    Given that, consider what it means when a US person looses their job to an offshore worker or a 1HB worker. It's not like the cost of anything goes down as a result, so what happens instead is the execs have an even larger slice of the pie. Right now the best way to become really rich in the US is to eliminate the jobs of US workers. As others have already pointed out, somewhere along the line this will no longer be the case because all the wealth will be concentrated in the hands of the richest, and the rest of the country will be just like the average worker in the third world.

    It's important to realize that the US is not doing this alone. Since the end of the Cold War the US, China and Russia are all on the path to oligarchy. They started at different places, and the societal organizations are different, but all three countries are going in the same direction. In some ways it is easier for this to happen in China and Russia because they have never had much of a middle class, but in the US the disruption is more visible because it takes two or three generations to transfer the wealth of the middle class to the oligarchs.

    Note to Libertards: I never said that Marx was right about everything, just that he was right about how capitalism ultimately produces a system where the few become extremely rich and everyone else has nothing.

    --
    Why is Snark Required?
  96. Outsourced Labor is just a Force Multiplier by Anonymous Coward · · Score: 1

    1) Any project completely outsourced is doomed to failure. Even if you write the most precise specifications, the output will be low quality and likely not meet the specifications. You need to have internal resources that can work with the outsourced resources to make sure they are making good coding and technology choices and then implementing it correctly. Hence higher wages here for the more qualified internal resources.
    2) Don't ignore the IP protection angle. If you offshore, make sure that the offshore entity is incorporated here in the US so you can go after them legally if one of their resources walks off with your code. India isn't as bad as China, but then again no one is as bad as China with IP protection. So you pay a premium for onshore resources because you have the full weight of the US legal system to go after them if they take off with your code.
    3) I have observed some offshore resources in India nearly as good as internal resources. But we've always paid top dollar for offshore resources. So you definitely get what you pay for and if you go cheap expect poor quality.
    4) US workers do indeed work harder than anyone else. India, every two weeks it seems there's some other national or local holiday they are taking off. And, oh, don't forget that some form of the flu or typhoid is going around so don't be surprised when a resource loses 1-4 weeks to recover from some virus. In China they have the Chinese New Year where they take off for 3 weeks every year. And nothing happens for three weeks. No e-mail, No shipping in/out of China(and this goes for Taiwan too). And up to half your staff doesn't return after it's over.
    5) The US has a culture that fosters creativity. Cultures that promote conformity do not foster creativity.

    At the end of the day offshoring/outsourcing is a force multiplier. A good mix of internal and external resources is the key to successful projects. So there will likely less stateside tech jobs with more outsourced but those that are left here will likely be paid higher wages. They are worth the higher wages as they are critical to the success of your projects.

  97. Not just IT by gatkinso · · Score: 1

    Virtually every sector is pays better, not just in the US but in the First World in general.

    It is far more expensive to live here, reason number 1.

    --
    I am very small, utmostly microscopic.
  98. Compensation is relative to expectation by Anonymous Coward · · Score: 0

    Compensation is relative to expectation. India is the land of "copy and paste" programmers which is why they can command whole teams to "get stuff done." That is of course with the condition that they have the files needed to copy and paste things to/from. The minute any type of thought is needed, creative or otherwise, then the handholding begins and US/UK developers are needed to effectively do the job for that team. So you split your effort, as normal, into the "quality" and "quantity" sides. You pay the quality side more for the (supposed) quality and assurances to cover bases as needed and less for the quantity side because really, they're there to do the grunt work in bulk. So paying less for the quantity work will always be a management incentive: On the off-chance they "get stuff done," it was cheap. If not, then it wasn't an expensive screw up. Do the same with a US/UK team, and you gamble more for people who are supposed to be thinkers to do what a manager believes is nothing more than 99% "copy and paste" work anyway. Having led/trained teams from both sides of the shore, the "quantity" part never ever really pans out between export controls and the "language barriers", be it English, the programming language these "Masters" holding engineers are supposed to be proficient in, or general engineering concepts. Experience says that it's better to pay some interns/college recruits the same amount of money to do the grunt work since these folks can be trained up, are on shore, gamed up with the "it's a resume pad" excuse and, at the very least, are more sure to better understand the "language" involved.

  99. Make less than some fast food workers by Anonymous Coward · · Score: 0

    I make less than some fast food workers and Walmart employees!

    We should be paid much MORE. The economy sucks, and companies can always
    outsource work.

    The fact is that for such vital activity, we deserve so much MORE money.

    Daily I support people who make much more money than I, and many of
    them come across as total idiots. "What's a colon?," asks a professor.
      "What's a tilda?", asks a Spanish speaker.

    People hate being dependent on something they don't understand. They don't
    respect IT workers for that reason.

  100. Same skills and talent same cost by Anonymous Coward · · Score: 2, Interesting

    I work with Indian developers every single day. Some of the Indian developers are in India and some are in the US. Generally the very cheap developers/QA Indian professionals aren't very skilled and talented and often impede progress. Generally the talented Indian developers/QA get/demand raises and eventually earn as much as their American counterparts.

    I work with American developers every day. Generally the very cheap developers/QA professionals aren't very skilled and talented and often impede progress. Generally the talented developers/QA get/demand raises and eventually earn as much as their talented Indian counterparts.

    You can find American developers that will work for minimum wage, you really can, just put an advert somewhere. You will get what you pay for, you might find a trainable gem, but as soon as that gem matures into a skilled and talented developer that gem will demand more money. Indian developers are no different.

    I know a brilliant American developer here in Atlanta that just got a raise from $9 per hour to $11 per hour. He is great at MySQL, Mongo, PHP, Node, Angular 1, and Angular 2 - full stack. The dude is a straight up genius. He was hired for small contracting company in is Junior year of high school and now he is Freshman in college. You better believe that lots of recruiters are watching and waiting for the moment when they can place somewhere for $25 an hour....

    The difference is that American companies want to hire cheap developers from India not from the US. So more Indian junior developers mature into talented developers and fewer young Americans developer mature into talented developers; but once anyone (Indian or American) prove themselves to be good they bolt for greener pastures... well unless they are bound via something like H1B... but that's a different conversations.

    So the question implied that you can get highly talented, highly skilled, well trained, highly motivated... developers from overseas for cheap; that's is not that case. It is true that you can get cheap developers from overseas and you can get cheap developers in the US.

  101. What? by Anonymous Coward · · Score: 0

    We get paid well? When the hell was anyone going to tell me?

  102. Small detail... by Anonymous Coward · · Score: 0

    security clearance.

  103. Globalisation cutting off the hand that feeds them by pablo_max · · Score: 1

    Why do you think that Globalization is unavoidable?
    Globalization is a terrible thing. In the long run, it is good for company owners who are willing to move around to find the lowest wages available to get even richer, but it will destroy entire countries.
    Free trade is an evil concept designed to make the rich richer.
    Consider this.
    Take Germany as an example. Germany has an excellent social system. Assuming you have paid into the system, you will be taken care of. You will never be homeless or go without the basics. Sure, it may not be perfect, but at least you stay alive in your old age and can visit the doctor when needed.
    Naturally this results in a high tax rate middle and upper class workers and a higher cost of living, though things like food are not allowed to rise too high.

    How is it fair or reasonable to allow Indian goods and services free market access when Indians have no social system in place at all? It would be impossible to compete against them for price. Meaning that the businesses and workers supporting the system go under and the system becomes insolvent. For countries to allow and encourage this is insane. It is cutting off the hand that feeds them.
    There will always be some group of people who can be taken advantage of in order to bring down the price of goods. People need to think about the real costs though.
    Personally, I do my best to shop locally when possible.

  104. Why hasn't outsourcing happened already? by zerofoo · · Score: 2

    Your question could be better asked this way: If China and India are so cheap, and talent readily available, why haven't all IT jobs simply been outsourced to China and India?

    That does not appear to be happening - frankly the reverse is happening. The US appears to be drawing much talent from those areas with programs like the H1B visa.

    Why would a top-tier IT worker want to pack their bags and head to the US? Simply put, the US is a more attractive place. Thinks like excellent schools, good roads bridges, decent electrical grid, police, fire, and the worlds biggest military for protection make the US a decent place to live and raise a family.

    Companies and workers WANT to operate here in the US. If they didn't - the H1B visa wouldn't exist.

    The reasons they want to operate here cost money - and that means corporations and individuals alike must pay the tax bill to fund those things.

    TL;DR: The US is nice and costs money to keep nice - therefore salaries must be higher to pay for that.

    1. Re:Why hasn't outsourcing happened already? by JustNiz · · Score: 1

      >> The US appears to be drawing much talent from those areas with programs like the H1B visa.

      Sorry but given the usual quality of work that I have seen produced by H1Bs, whatever they have it's not "talent". My guess is cheapness. Which, as many companies are finding out, is a false economy when you factor in the cost of all the extra delays and extra rework due to fundamental lack of quality.

      The old addage that you get what you pay for seems to hold true even in software development. That if anything is why US workers are paid more.

  105. Documentation is shit. by Anonymous Coward · · Score: 0

    Read between the, "Abloobloo team dedication ppl who care" hippie dippy bullshit being spouted here.

    Code monkeys suck cock at documentation.

    Sysadmins are too lazy at documentation.

    You thus pay six figures to retain people because you'll waste twice that amount bringing some cheap ass resource up to speed.

  106. Re: because the market hasn't balanced yet by Drethon · · Score: 1

    Yeah, my dad told me almost 20 years about about parts outsourcing to China. When they got the parts back the tolerance was not tight enough for the application (aviation), so they told China it didn't meet the spec. China said they would need to by the equipment to produce parts to that specification. Factoring in the cost of the new equipment, it would have been cheaper for my dad's company to buy the part in the US. Outsourcing is only cheaper when the outsource country is providing products and services in a cheaper way.

  107. Have you seen the quality of Indian code? by Anonymous Coward · · Score: 0

    Have you seen the quality of Indian code? Trust me, it's worth it to pay a little more for US based coders.

  108. You described a) demand and b) supply by raymorris · · Score: 1, Informative

    > Value sets the cap. If the person doing the job creates $1M in value for the company, then that position is worth $1M

    That's called "demand".

    > But if 1M people could do that job

    That's called "supply".

    So paraphrasing your post:
    It's not supply and demand, it's demand and supply.

    > there are billions of people that would work as a CEO for $20M a year

    There's about one person available who has experience as CEO of a large car marker and did so succesfully. The supply side is people who are willing and able (ie qualified and available), not people who are willing but unable (unqualified).

    1. Re:You described a) demand and b) supply by cayenne8 · · Score: 1
      Another valuable quality of the US worker, is the ability to speak English in a manner clear enough to be able to be readily understood by those in meetings...especially on teleconferences.

      If someone has an accent so thick that you spend most of the meeting asking "Huh?" or "Sorry could you please repeat yourself"....well, that wastes a LOT of time and can potentially lead to misunderstandings that could cause problems that could impact $$'s.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    2. Re:You described a) demand and b) supply by networkBoy · · Score: 1

      Adding to this, I think India may have been a bad example...
      I have had more junk code from India than any other site I've worked with in my former employer.
      We had sites *everywhere*.
      China, Japan, India, Philippines, Israel, Poland, Russia, Scotland, Ireland, Italy, Germany, USA, Costa Rica, Canada, etc...

      Code quality was *not* India's strong suit.
      That their pay was lower is more a function of this than anything else IMHO.

      My Israeli counterparts were paid as well as or higher than me. My Polish counterparts were paid on-par. Code from both was organized differently, but was functionally sound.

      My most memorable snip of code from the Indian team was a line of perl:
      if(uc($string) eq "warning"){...}
      now, that will *NEVER* eval to true, so the code will never be executed.
      As a result their test case didn't catch the window that popped up saying "warning".
      Their tests said *PASS* while the code they were testing was actually horribly broken.

      -nB

      --
      whois gawk date unzip strip find touch finger mount join nice man top fsck grep eject more yes exit umount sleep dump
    3. Re:You described a) demand and b) supply by Anonymous Coward · · Score: 0

      have you HEARD a fucktard hipster try to engrishen? its goddamned embarassing.

    4. Re:You described a) demand and b) supply by Anonymous Coward · · Score: 0

      their speaking is one thing, and that's fine; it's the current patois.

      in my experience, this group (anybody now younger than 45 or so) completely fails in ability to organize thoughts on paper (aka "writing").

      I know I am an outlier, what with my English degree and 40 years experience as a tech writer. But attempting to parse the allegedly US English email from some native US English speakers is like unstringing muddy spaghetti that was tossed together in a windstorm.

      I often reply with a paraphrase of the original email, recast in accessible, non-idiomatic, standard 6th grade level vocab/style English and then ask if I understood them correctly. Sometimes they get pissed; sometimes they don't. Either way, I find out just exactly WTF this poor illiterate was trying to express.

      FFS folks, learn how to WRITE if you're going to use written words to communicate complex data.

      I leave the offshore folks out of this discussion, because (say for India) what they speak is not English, it's Indian English, and it's unique. Do not interpret Indian English as you would US English, or you will be left without understanding of the original message AND will very likely fall into a trap of delay, deny, lie, and evade, all hidden behind a fog of what seems to be English. I'm currently trapped in one of these situations now, where Copal Amba (India) keeps saying Yes and we're doing the needful but it's been 6 months and they still can't correct the bogus W2 data they sent to my state (and to the wrong state, too!).

    5. Re:You described a) demand and b) supply by AK+Marc · · Score: 1

      Ah, the problem is that you don't know English. "supply and demand" is an economic term that doesn't relate directly to the dictionary definitions of the constituent words.

    6. Re:You described a) demand and b) supply by Anonymous Coward · · Score: 0

      Maybe you know English, but you clearly don't understand economics.
      You *described* labor supply exactly in your very argument that it was not applicable.
      #tool

    7. Re:You described a) demand and b) supply by AK+Marc · · Score: 1

      That's called "demand".

      No, that's value. "demand" is the number of positions available.

      When you learn the basics, feel free to try again.

  109. Hours worked by Anonymous Coward · · Score: 1

    No one has touched on the fact that many of us are working at least 10 hour days, have to be on call ALL the time and vacations are pretty much meaningless because we have to "be around - just in case" - and have to take at least a couple of calls during our so-called vacation.

    I want out of my current job so bad - but there's nothing out there. I'll take a pay cut so I can have a life and have time to get exercise and play the guitar again. And see my family sometimes - I think I still have one. I think I have kids - I don't know. I remember going to the hospital with the wife and feeding babies and now there are these teenagers running around.

    The song "Cats in the Cradle" - Harry Chapin makes me cry.

    I know doctors who work less - and make 3 times as much as I do.

    1. Re: Hours worked by Anonymous Coward · · Score: 0

      Yet you have time to read and post on slashdot.

  110. Re:Difference in work product - AND communication by Anonymous Coward · · Score: 0

    You have the communication issue either way. I have about 20-30% of my co-workers being Chinese with very poor language skills. Then you get the 10% or so that are extremely introverted or the opposite idiots that won't shut up. That leaves about 60% of my co-workers I can communicate with within the development part of the organization.. How many of them manage to effectively communicate with business/user types is probably even less.

    You might not stay a coder for your whole life but your communication skills are pretty close to as valuable as your coding skills IMO. Who wants to live in a place were things you want to work on never happen because you can't communicate your ideas and convince management? Who wants to never get a raise or promotion because they are brilliant but no one knows it because they never speak?

  111. It's true by Anonymous Coward · · Score: 0

    We should all be willing to work for the absolute minimum amount necessary to keep us alive. That way, the sperm-lottery winners can have more money.

  112. Re: because the market hasn't balanced yet by bickerdyke · · Score: 1

    Yeah, my dad told me almost 20 years about about parts outsourcing to China. When they got the parts back the tolerance was not tight enough for the application (aviation), so they told China it didn't meet the spec. China said they would need to by the equipment to produce parts to that specification. Factoring in the cost of the new equipment, it would have been cheaper for my dad's company to buy the part in the US.

    and let me guess how your story ended: Your dads company bought someone at the FAA to increase the allowed tolerances for those parts enough that the cheaper parts from china were good enough.

    --
    bickerdyke
  113. You are correct, and that word doesn't mean what by raymorris · · Score: 4, Insightful

    You made a good point.

    > but it hardly explains the idea of American exceptionalism in the 20th century.

    American Exceptionalism does NOT mean "America is better." Somewhat the opposite, in fact. If the US government and the govetnment Spain both spy on their citizens, the US has failed to live up to it's responsibilities, while Spain has not necessarily failed, according to American Exceptionalism. AE says that due to certain historical facts, the US has responsibilities that other nations don't have.

    Most states are also nations, the borders of France (the state) define the area controlled by the French people, the ( ~ ethnic) nation. American Exceptionalism is the historical fact that the US is a state (country) founded not based on a nation (ethnic group), but rather on a set of ideals; and that fact creates different responsibilities. Japan (the state) is basically the area controlled by ethnic Japanese, so they would be expected to preserve and defend Japanese culture. Germany is the area controlled by Germans, so they would be expected to preserve and protect German culture. The US is not a state, not an ethnic group; it was explicitly founded on the ideals that each person is endowed by their creator with certain inalienable rights, etc. The US claims to be "the brightest beacon of freedom", therefore the US should be expected to defend and preserve freedom and liberty. Spain wasn't founded as a bold experiment in individual freedom, so they have no special responsibility to do that- Spain is supposed to be Spanish, that's all. The US government, being founded for a particular purpose, has a special responsibility to honor that purpose. When we fail to preserve and protect freedom, we fail at our national identity, at our national purpose. That's American Exceptionalism.

  114. supply and demand by shaitand · · Score: 1

    What makes US talent in demand? The largest market is in the US and India/China has poor infrastructure for delivering services to the US. Another huge factor is experience. I've worked with a lot of H1B workers over the years as companies pretend there is a shortage here and bring them in, then dump qualified US workers when they are up to speed. That is how it has to be done. Most of the talent coming from India is not educated and trained in the same manner and they aren't immersed in technology their entire lives in the way US workers are.

    It is like taking high school graduates right out of school and putting them into the jobs and the success rates are comparable. Some of those H1B visa workers work out, learn on the job, and stay here and once they finish that term and go permanent they command salaries that are just as high as US workers. The downside of course is that an indian accent is still tough for most US workers to parse on the phone and there seem to be some challenges I've observed but can't explain with reading comprehension. For instance, we have a script that runs some tests and if it has already been run it indicates that prevalidation failed but with a reason of "This script has already been run, and does not need to be run again."

    If you want to have a similar pool of US workers, encourage high school to have advanced placement curriculum and take students on apprenticeships right out of high school.

  115. What we need by Anonymous Coward · · Score: 0

    Melania came to the US on a modelling VISA. She is now a citizen, wife, and mother, God bless her! The US needs inspiring women like her. We don't need ignorant Mexicans, or Indians, of Chinese or other riffraff.

    1. Re:What we need by Anonymous Coward · · Score: 0

      She came here on a tourist visa and worked illegally ten gigs before getting her modelling visa. You have to keep up with the news. http://abcnews.go.com/Politics...

      And you do need the rift-raft, as otherwise you would never be able to afford fresh produce, or eating in a restaurant, or purchase your own home, all of which are heavily facilitated by lower priced illegal labor.

      But just like a child who gets help from dad making a postcard for mom and then the kid tells her "mom, I did it all myself!", child minded libertarians achieve something with enormous help from society, government provided services (including roads, security and education) and then go all John Galt on us and say "I did it all myself"... Yes you did kiddo.

  116. Effective. Communication. by Anonymous Coward · · Score: 0

    Communicating is the key to success in all businesses. If English is your second language it's gonna be tough to hit the big bucks unless you're head-and-shoulders above the competition.

  117. Re:Globalisation cutting off the hand that feeds t by humptheElephant · · Score: 1

    I would be interesting to compare the salaries of CEOs of banks and industries that actually produce something of value in Germany and here in the US. Here money is sucked out of our economy by banks and hedge funds and shipped to offshore accounts leaving our society with less capital to run on.

  118. Simple answer by Anonymous Coward · · Score: 0

    Same as in other industrialized parts of the world you pay high taxes, have higher living expenses etc. so your salary needs to be thereafter.

    Sounds like a question a stooge for the corporate machine would pose

  119. Industry Shift to the cloud model or agile... by netsavior · · Score: 1

    I have worked for giant global conglomerates and small startups, and I can tell you in my experience, that 11+ hour time difference matters. As we work as an industry to get away from 6 month release cycles to 1 week sprints or whatever you want to label "continuous delivery" that 9-13 hour time difference between US markets and "outsource" markets starts to really hurt.

    Back when there was a 6 month release cycle, you could lose 1 day to communication lag and it would be no big deal... now that amounts to losing 20% of your dev time.

    Modern software is expected to add features or fix bugs quickly (days not weeks). In my experience Javascript developers and fickle customers will all quit if you don't rewrite your front-end every 6 weeks (hopefully we are at peak javascript right now, but who knows, maybe once every javascript developer has had a chance to figure out that React/Angular/Bootstrap/Knockout all suck, they will stop seeing the grass is greener on the other side and just pick something). You can't do any of that with a time and culture gap.

    The culture gap is significant too. Everybody in the US sees some of the same ads, some of the same "viral" apps, memes, etc. They share the same slang and vocabulary, that kind of stuff is important in software development, and it can't be exported, no matter how hard we try. When you have ONE developer that can talk to your sales/marketing/client relations teams, your product quality goes way up... when you have a whole team of them, you can knock it out of the park. When you have to hire 5 Business Analysts just to write documents that will always be wrong, in order to get any work out of your geographically diverse team, you lose that magic.

    1. Re:Industry Shift to the cloud model or agile... by ruir · · Score: 1

      If some says 11 hours time difference do no matter, that person is being delusional. I worked as an expat abroad, and the 2 hours difference time was extremely painful in critical phases of projects or in malfunctions.

    2. Re: Industry Shift to the cloud model or agile... by Anonymous Coward · · Score: 0

      Time differences are trivially solved. Have the low paid people work nights for a premium. I'm an American and I travel the world working remotely because they can't replace me, yet.
      They don't even know what country I am in on a given day unless the ring tone changes. Why not? Because I go to sleep at dawn, dusk or midnight depending on where I am. I don't make my difficulties my bosses problems.

      That said, I'm smarter, luckier, better educated or however you want to phrase it than most. So please jack up taxes to provide a UBI to second generation citizens and contract the hell out if the labor market so I can make even more with less idjits around.

  120. Serf Mentality by kilfarsnar · · Score: 1

    If I'm a mid-career programmer looking for a job, why should I expect to be paid a whole lot more than my peer in India when applying for a job that could easily be outsourced to India?

    Because your standard and cost of living is quite a bit higher. Why do people in New York City get paid so much more than people in Bartlett, Nebraska? Same reason!

    This question really displays a serf mentality. It assumes that this is your employer's world and you just get to live in it. Why should only your employer's needs be considered when discussing salary? Aren't there two parties in this negotiation? Further, getting back to standard of living, do you want to live in India? Or would you rather live in the United States? If it's the latter, why on Earth would you want to lower your own wages and therefore your quality of life? Because it benefits your employer? Have some self respect. Or, congratulations on reducing yourself to a line item on an ROI analysis.

    --
    "What the American public doesn't know is what makes them the American public." -Ray Zalinsky (Tommy Boy)
  121. It's called Labor Arbitrage by Anonymous Coward · · Score: 0

    https://en.wikipedia.org/wiki/Global_labor_arbitrage - exploitation of a lower standard of living and a lower wage in a developing nation.

    However, would-be outsources are hard pressed to find workers with 20+ years experience coming out of the diploma mills in India. India's brightest engineers came to the U.S., went to MIT or other schools, and command 6 figure salaries, the overseas workers have far less experience and rushed education - can someone rushed through a tech bootcamp ever compete with someone with decades of experience... but on paper the "expected savings" helps the managers justify their bonuses and by the time the outsourced projects fail to show the expected savings or quality of work, the managers have moved on to pillage another company, meanwhile they cannibalize their market by slowly lowering the buying power of the consumers they hope to sell products or services too... short sighted but the U.S. economy has long sacrificed long term stability and growth at the alter of short term financial gain and speculation

  122. Because we're worth it. by Anonymous Coward · · Score: 0

    To put it bluntly, one has to sift through upwards of 250,000 Indian workers to find the 1 that can match a good American employee.
    Add in cultural differences such as, oh my shift just ended 3.1 picoseconds ago, bye, bye, good luck on getting your crashed server back up, or assuming that karma will handle the problem, or reaching out to anyone and everyone to try and get them to do their job for them.

  123. What are you talking about? by PortHaven · · Score: 1

    Most IT employees are paid what may be higher than average, but is really not so astounding. In 2000, I made $40K ($56K adj. for inflation). Today, I make $86K. Yes, that's double in 15 years. But let's recognize a few facts.

    1) That was my first year in IT.

    2) That was 15-20 years ago

    3) I have to commute a 100+ miles a day for that salary, if I worked locally my salary would be around $50K. ($10K increase in salary is ridiculous for 15+ years of inflation and far greater skillset)

    4) Cost of living has skyrocketed. My insurance costs are now about 10x more.

    ***

    Our nation was founded with tariffs. And we need to re-instate them. Free trade should only be with nations that offer a similar level of liberty and standards of living.

  124. Because creativity by RogueWarrior65 · · Score: 1

    If you give a detailed and precise specification to an overseas vendor, they will dutifully create what you asked for. But if you say to them that you want to build X, that they need to work out the details, and make it look cool, you get garbage.

  125. working remotely is not as plausible as it seems by izzo+nizzo · · Score: 1

    If you think you can accomplish your project with remote workers, you probably have a ton of experience managing projects and lots of technical expertise, or you found an amazing agency that charges a lot through word of mouth.

    Technology can usually make you money if you invest in it. It you treat it like a commodity that you should hunt for bargains on, you're shooting your own business in the foot.

  126. Effects of WWII by sjbe · · Score: 2

    Neither were India nor China..

    China was absolutely devastated by Japan. India was a part of the British Empire at the time and suffered accordingly. There was a huge famine in India during WWII which killed about 3 million people.

    It only really affected Europe and northern Africa, and several island nations in the pacific.

    WWII devastated infrastructure around the entire western pacific rim. Japan, Korea, China, Vietnam, Philipines, Burma, etc. Of course Europe was hugely damaged as well. India wasn't a big player in the world economy at the time and didn't get investment because the British Empire was falling apart.

    1. Re:Effects of WWII by funwithBSD · · Score: 1

      and if the Japanese were not enough, you had the Cultural Revolution in China...

      --
      Never answer an anonymous letter. - Yogi Berra
  127. War and competitiveness by sjbe · · Score: 1

    You're probably right about the advantage over western Europe, Russia (USSR), and Japan, but it hardly explains the idea of American exceptionalism in the 20th century.

    Sure it does. Those were the areas with the highest levels of industry prior to the war. When a war knocks out virtually all of your closest competitors, it's pretty easy to get ahead for a while. Furthermore the US actually made a lot of money rebuilding those parts of the world and providing necessary services.

  128. Re:Difference in work product - AND communication by MondoGordo · · Score: 1

    W2's ? Really ? Your credibility took a big hit .... :(

  129. Coding is easy. Design is hard. by RandCraw · · Score: 1

    Almost all successful software dev isn't about algorithms; it's business process engineering. If you don't understand how the business works now and how it needs to work in the future, your software will fail no matter how fast or cheap it's made.

    Obviously business process design requires domain expertise but it really lives or dies on the presence of *outstanding* communication skills. If the actors don't exchange *all* the essential requirements and business dependencies, the deliverable will hit the wrong target. And the cost of failure is a lot higher than the savings from outsourcing.

    This essential exchange of info is hampered badly by domain inexperience, distance, and latency between provider and consumer. Not only do comm skills enable focus on the desired goals, but also on the (many) unspoken needs and dependencies that often decide whether a deliverable actually plugs the big holes in the business' ship or the water pours through at will. I think US businesses have only discovered this recently (in the past decade) after many 'projects thrown over the ocean' have come back to haunt them as zombie projects (half dead creatures that suck the life out of you but somehow can't be killed). Until this need can be addressed internationally, the value of oursourcing forever will be limited.

  130. Doctors Too? by Anonymous Coward · · Score: 0

    Same is true of doctors. Their salaries are lower overseas that here. Likewise teachers, they are paid less here than overseas. Don't stare at your navels too long, economist ponder these questions often.

  131. The cost of education + experience by Anonymous Coward · · Score: 0

    You can hire 1 American to do a job that takes 100 Indians to accomplish. The reason the 100 Indians get hired is they don't have to pay taxes and benefits for them they have to pay for an American worker. It also tricks Wall-Street into thinking the company has kept labor costs low since the foreign workers get applied differently in their financial reports.

    The reason American workers require a higher salary is the same reason that so many countries send their brightest pupils to the USA for an education, our higher-education system is greater than any other in the world, unmatched in research and skill. The problem, is that education is not cheap. A year of college in India costs between $0 and $5, compared to $33,000 in the USA. Good luck finding a programmer in the USA willing to work minimum wage.

    The upside to all of the companies that higher Indians is it means an endless supply of contract jobs for skilled IT workers like myself that get brought in to fix the mistakes the Indians make. I automatically double my asking fee when it is clear the company made the mistake of hiring Indians to do an American job.

  132. Value in What You (we) Do! by Anonymous Coward · · Score: 0

    Why is anything intrinsically so valueless so obviously desirable?
    John K. Galbraith - Money: Whence It Came, Where It Went (1975) - Chapter VI An Instrument of Revolution

    Another quote (paraphrased because I can't remember the exact wording); this one from the humorist PJ O'Rourke:
    Why are There so many Jews on Wall Street?
    O'Rouke's host replied, "When the old guard (white, Christian, mostly of British ancestry) started to die off, replacements in the same ethnic and cultural mold were just too expensive.
    Various playahs suggested,'What about that Jewish kid who's been hanging out, here? He knows his way around.'"
    At this point in the story, O'Rourke interjects, "You mean ... the Puerto Ricans and Indians?"
    "Yes," his host responded, "They're the next generation!"

    The (admittedly dismaying) answer to your question is that to ensure the desired rewards, you must provide real value.

    Some of that can come, indeed, from just being a member of a successful "tribe" such as America or northern Europe.
    That can be evinced in an understanding that the markets for your product have, say, multiple time zones.
    India has but one zone and I have seen more than a few design faults (not just coding errors) that were traced to that oversight.

    Success can be manifested, also, in a desire to produce with an eye for persistence if not permanence;
    meaning that you will be available to ensure that version three (not just version 0.9Beta) will be a success,
    http://economictimes.indiatimes.com/jobs/hop-gain-60-employees-think-job-hopping-can-benefit-their-careers/articleshow/52247335.cms

    And, yes, a lot of your value will be just dogged dedication to craft and a willingness to write letters about abuses of H1B visas to elected representatives.

  133. you goddamned assholes by vel-ex-tech · · Score: 1

    You fucking assholes. You want to know why there are no womyn-born-womyn in tech? YOU WANT TO FUCKING KNOW WHY?!!

    GO FUCK YOURSELF.

  134. Citation needed by sethstorm · · Score: 1

    Sorry, but most domestic tech talent is not competent

    They're more competent than the offshore folks.

    Perhaps you might want to train them instead of complaining about alleged incompetence.

    --
    Twitter supports and protects racists - by smearing their critics with the "Hate Speech" label.
  135. Re: because the market hasn't balanced yet by Drethon · · Score: 1

    Yeah, my dad told me almost 20 years about about parts outsourcing to China. When they got the parts back the tolerance was not tight enough for the application (aviation), so they told China it didn't meet the spec. China said they would need to by the equipment to produce parts to that specification. Factoring in the cost of the new equipment, it would have been cheaper for my dad's company to buy the part in the US.

    and let me guess how your story ended: Your dads company bought someone at the FAA to increase the allowed tolerances for those parts enough that the cheaper parts from china were good enough.

    I think they ended up paying China for the more expensive parts for some contract reason, not really sure. This was in equipment that wouldn't just act up over time but would fail to run in manufacturing tests if the parts were not precise enough.

  136. Insulting question. by pjv936 · · Score: 0

    If you factor in the "Cost of Living" you will see that the pay worldwide are comparable. The IT worker in India although getting less pay is living the same life style as an IT worker in America with a few perks like a housekeeper and a yard boy. On the social ladder he is a bit higher than an IT worker here. BTW, the economy only works well if workers get paid well because someone has to buy all of the stuff the economy is producing. A lot of people like to blow this off as if it is some sort of communist propaganda but the fact that consumption must match production is fundamental otherwise the economy goes bad.

  137. Answer by Anonymous Coward · · Score: 0

    So someone has enough money to buy all that silly shit your companies build.

    If you really want that race to the bottom for wages, consider the market you will be left with: no one to buy that expensive healthcare, fancy cars, expensive houses, banking services, etc. Just like most of India. Utilities can't earn decent profits because customers just shinny up poles with extension cords. Or dig up your water lines.

  138. Japan? by Anonymous Coward · · Score: 0

    Their salaried employees often work longer hours than US salary employees, they just have to off the clock so it doesn't show up in stats. This happens in the US as well, but the consensus seems to be that Japanese (and Koreans) work far more hours. That said, they are more likely to do it for appearances rather than being overwhelmed with too much work and impossible goals as workers in the US face. The former isn't really necessary and isn't really helping them while taking away from their personal lives, the latter is much more stressful.

  139. If you want to compete with 3rd world countries by oh_my_080980980 · · Score: 1

    Funny how how US corporations want to import workers from India that has one of the lowest educational standards. If it's a matter of an educated workforce, you'd think they would target Germany. Obviously it's about money.

    Funny how CEO salaries aren't involved in this discussion.

  140. First world infrastructure is one big reason why by Anonymous Coward · · Score: 0

    First world physical and legal and financial infrastructure - reliable electricity, universally potable water, reliable police and fire protection, worker rights, paved roads, semi-sane traffic laws, relatively reliable banking - all this costs money, pushing up the cost of living. Which thus pushes up wages generally.

  141. Why? by Anonymous Coward · · Score: 0

    American tech workers, what I like to refer to as "inmates", are paid well because they have to put up with endless bullshit, petty-politics, backstabbing, one-upsmanship, slander, libel, disparagement, criminal endeavors of bosses and parent corporations, constant FUD & sabre-rattling from bosses about being overstaffed, drunk & drug-addicted co-workers, female law enforcement agency (LEA) decoys in the workplace (watch where you point those eyeballs), booby-trapped company vehicles, sub-standard & out-of-tolerance test equipment, being dispatched on suicide missions, etc.

  142. Rephrase the question by Anonymous Coward · · Score: 0

    Some of us aren't compensated very well at all.

  143. Three things, two related to culture and one econ. by aussersterne · · Score: 1

    (1) There remains a culture of "high techism" in the U.S. by which all things electronic are seen as important, professional, and premium. This is buttressed by the fact that many of our thought and industry leaders are associated with high-tech and Silicon Valley. So in the absence of other forces there remains a presumption that a coder is by nature an "elite" person and deserves respect and pay in kind.

    (2) There remain significant cultural differences between U.S. employers and qualified workers from beyond U.S. culture that are taking time to overcome. The greatest of these are qualitative, i.e. how to balance the productivity/high-quality equation. Overseas workers are more often accustomed to working toward the "productivity" end of the equation, while U.S. workers understand that inside the U.S. employers are often looking for "high-quality" and "creativity." There is an argument often made around here that non-U.S. workers are inherently lower-quality and less creative, but from what I've seen this is bunk. There is just a cognitive hump to overcome for non-U.S. workers—perhaps a bit more learning and a shift in expectations about what leads to firing vs. promotion in this marketplace.

    (3) Cost of living is higher in the U.S., particularly in the areas where high-tech is centered. So there is a commensurate increase across the board in salaries and salary expectations for these areas, not just in tech.

    --
    STOP . AMERICA . NOW
  144. $time = `date "+%s"` by raymorris · · Score: 1

    > My most memorable snip of code from the Indian team was a line of perl

    That reminds me of a line I fixed the other day:
    my $time = `date "+%s"`

    Uhm, did you mean?:

    my $time = time();

    This was written by a senior architect, formerly director of engineering. he's actually a good software architect, but a terrible coder.

  145. An alternative peek of the universe by Anonymous Coward · · Score: 0

    if we build more efficient motors cars will need less fuel -> wrong, we build bigger cars
    if we mess with DNA we will feed the hungry all over -> wrong, my cost of production is lower but the guy in Somalia is till useless because he has nothing to trade
    this guy is wrong, more likely scenario is this
    all means of production are concentrated in one person/entity and its robots
    the rest of humanity must live but to do so without work they will have to take credit for which they shall render service to the one and only paymaster
    now guess if this means freedom or servitude

  146. We don't have to justify that by Anonymous Coward · · Score: 0

    This country is a nation-state that once revered the God of Abraham, Isaac and Jacob, Who is the True God.
    All trinitarian systems, including Vishnu, Brahman and Shiva, are false gods. There are Two who are God: God the Father and Jesus Christ, which is why Jesus was able to come in the flesh.
    It's the blessing promised to our forefathers by the True God that allow for our exceptional IT jobs -- it's not something we can take credit for and it's not something we're to justify either!
    Don't worry, this nation-state has rejected the True God and these exceptional IT jobs won't last much longer.
    The stranger will get up above you very high and you will come down very low.

  147. The good ones move to the US by Anonymous Coward · · Score: 0

    I've worked with many excellent Indian/Chinese/etc. developers/IT/etc in Silicon Valley.

    The quality of the ones back in India, China, etc.? Not so good. Everything mentioned elsewhere here: lack of ownership/concern/responsibility in work product, terrible coding quality, the troubles in actually reaching someone, lack of any sort of effective local management, etc.

    But an additional and a big part of the problem is that a sizable % of the really good ones come to the US on H1B visas. They're the get-up-and-go risk-taking entrepreneurs willing to move half a world away to a very foreign land. Those left back home are all too often the middle or low end of the competency curve.

  148. Why are Indian programmer paid so poorly? by wardk · · Score: 1

    are we gonna raise the water for all the boats, or remove the water altogether?

    glad I am close to retirement, the race to the bottom is getting old.

    1. Re:Why are Indian programmer paid so poorly? by JustNiz · · Score: 1

      Because their code quality generally sucks ass?

  149. In automation, revenue per employee is so high by lambsonic · · Score: 1

    Why does Amazon always pay people thousands of dollars to move into a very expensive area, and then pay them above market rate? (I don't work for Amazon, but it makes the point.) Because labor costs aren't a big deal when you are so well automated.

    As long as the revenue per employee is so high... It makes much more sense to pay 200k to bring in 1,000k than to pay 50k to bring in 500k. You make 800k vs. 450k. Paying someone 0 isn't even worth it, because of management overhead. Dealing with people is hard. You deal with computers when you can. No matter how cheap that pay gets, as long as the difference in revenue is greater than the pay difference, it is a no-brainer.

    This is why people who know how to automate solutions get paid so much. It isn't about productivity of coding. It is about business-level productivity. The relevant cost is not the cost of labor, but the ability to scale vs. the overhead of managing product and scale, which spreads that cost out until it is almost nothing.

    This is why professional services is dying. Throwing people at the problem is a waste of everyone's time. Everything has to be able to work self-service, and at unlimited scale. Everyone doing that is making a ton of money.

    I get job candidates that want more than 100k because they are programmers, but they have never automated a thing in their life. They come in after being in several failed startups, complaining about a lack of business plan. I wouldn't even pay them 0 because they bring failure. They don't even know how to do basic sysadmin stuff.

    That is why devops is a thing now. The ops part makes the money. The dev is just a means to that end.

    I don't believe that we will ever run out of "jobs". Even today, we are nearly fully automated in our survival needs. Even in the 1920s, philosophers were talking about forcing people to only work part time days because automation reduced the need to work to survive, and we are far more productive now than then. But nearly everything is about increased luxury and entertainment, even today. People will keep paying for that forever, even when they don't have to worry about survival.

    The only economic issue is that the income inequality is so great that consumers can barely afford to pay for their consumption tech, and can't afford to risk the development of their production capacity. I think nearly everyone should be both consumers and producers. We don't really *need* capitalism or communism or socialism. We just need whatever system we use to share consumption with production. Let's face it. The only productivity issue we face today is environmental issues. We need to go clean, and incentivize that fast. That's it. The rest is just annoying foreign policy stuff that will be resolved when we can share consumption in a clean way, and no one will be incentivized to be violent anymore, even with silly religion memes.

    --
    # make clean sig
  150. Bad Submission by Austerity+Empowers · · Score: 1

    The answer to this is obvious: the cost of living in the US is enormously higher than India so in absolute terms our wages must be higher than someone in India. The better question is why must tech workers in the US be paid so much better, relatively, than other professions. The answer is supply and demand. Very few Americans seem to be willing or able to handle technical careers, both as a matter of poor education and as a matter of selection amongst those that have the education. It's a little misleading, since there are technically qualified people in the country unable to work in their field due to the presence of better qualified, lower wage applicants from abroad. We probably don't even KNOW the size of our workforce since we've created a culture of disposable people.

    This is also true in India, we're getting the very cream of the crop from overseas. Their crop happens to be 3-4 times larger than ours, but they're making more than their non-tech peers, relatively, in India. If they come here for a few years, make american dollars but manage not to spend too much, they will have substantial money back home when their indenture ends. If they can manage that, it's tough and sometimes painful to do in Si Valley.

    The real question is why do we still bring indentured servants from Asia like we did in the 1800s to build railroads, and send them back when we're done? Never mind the ethics, why are we trying to self-destruct ourselves like this? If supply is genuinely too low, such that no qualified applicants can actually be found, why do we not bring these people over in a more responsible fashion: by letting them compete on wages based on the same supply and demand, and then retaining them once we've invested in their training and upkeep. Why not have their families which no doubt have far better views on the value of education, come over and show our schools what proper students look like, and raise the bar for our own failing middle class? Why not attempt to fix our culture of poor education and low technological excellence at the source, and give those with the right brains a field to strive for, rather than avoid?

    I do not encourage my children to go in to tech, if they really want to I will warn them that it's a do or die field, you are the top 10% or you are going to be unemployed for some fraction of your life. I encourage them to enter fields that are more difficult to outsource or more highly valued locally and stretch my budget to buy their way in to some areas that are largely exclusive by wealth rather than excellence, which is increasingly where reliable jobs still exist here.

  151. Because cost of living and education by WillAffleckUW · · Score: 1

    In the US, you can't get an advanced computing degree for $1000. And we don't live on $500 a year.

    There. Answered.

    Now go move to India and stop whining about us cutting H1-B visas.

    --
    -- Tigger warning: This post may contain tiggers! --
  152. Hunh? by Anonymous Coward · · Score: 0

    So, I wouldn't call software engineering "IT". IT is the person who fixes the printer when it breaks, or worries when the wifi goes down.

    That aside, I see two ways to look at this.

    At the top tier, the Facebooks and Google? They generally can't find enough people to hire at the salary they pay. Part of that is cost of living in Silicon Valley, but the trend persists away from their hub offices. Part of that is they set the hiring bar pretty high; they seem to definitely get more revenue out of each employee than they spend in payroll, buuuut even at that payroll rate, they're limited on how many people will work for them and who pass that hiring bar.

    At the bottom tier, where your job may be outsourced? You're not in the top 10% of talent. ...but neither is your manager, or your analyst, or anyone writing the specs that could be sent to an outsourced team. Largely, Indian contractors are setup to get a blueprint/spec, build to that spec, and guarantee they nailed everything in the doc... whether it made sense or not. So a low-payed analyst and a low-payed manager build a shit spec, it gets sent overseas, shit work gets sent back, and either it fails immediately (and people blame India) or it succeeds, but is impossible to build upon, so it fails in v2 or v3, and people blame India.

    And in that bottom tier, in almost all large markets? They can't hire enough people for the amount of money they're willing to pay. A piece of software is normally a lot more complicated than a bridge, and designed a hell of a lot worse than most bridges, which means we've always got work to do.

  153. Never by gordguide · · Score: 1

    Under no circumstances do you ever lower your salary expectations. If the industry or position you are qualified for or seeking changes with regard to the typical salary paid, either be a Hero and be worth more, or change occupations.

    I learned over 30 years ago, while struggling to pay my way through University, how to stop earning near-minimum wage jobs. Stop looking for them, and don't accept any.

    And, as if by Magic, I started earning higher salaries. Work was no easier and no harder to find. When I retired I was amongst the highest paid in my profession in Canada.

  154. I wonder what you think it is by raymorris · · Score: 2

    What exactly do you think that economic term, "supply and demand", means that's in some way different from what you described? It sure sounds to me like you could have copy-pasted your post from Economics 101, page 3 "Supply and Demand".

  155. Ps supply of qualified US presidents by raymorris · · Score: 1

    Ps a timely analogy for "a billion people would be willing to be CEO" is the CEO of the United States. Sure many, many people would be *willing to be president. Yet it seems we're unable to find even one who is qualified for the job and willing to apply (run). The supply of *suitable* applicants is approximately zero.

    I'm WILLING to be a world-class pianist, but because I'm not ABLE to, I'm not part of the supply of world-class pianists.

  156. Supply and Demand by Anonymous Coward · · Score: 0

    "Why are American tech workers paid so well?"

    It's Supply and Demand, Capitalism 101. The question itself is almost pathetically ignorant about economic fundamentals.

    The problem is, the OP has bought into the business agenda that the World Is Flat, borders don't matter anymore, citizen have no rights worth protecting, businesses are people, capital has rights equal to that of people (but capital is trivially easy to move and people not so much), etc.

    Need we go on? The OP is contemplating waving the white flag of surrender and have his salary compete with that of a Third World nation (the money only mind you, not any other work attribute. Not productivity. Not innovation. Not education and skill set. Not customer orientation. Not convenient co-location. Not customer language expectations. Just the cash). Well then he can roll over and do so. I choose not to.

    When you turn your profession into a commodity then all you can do is to compete on price. That's what every commodity business is and frankly, most businesses work hard to prevent their products turning into commodities. Being in the commodities business is a tough business.

    It's much better to compete on a complete value proposition. That allows you to charge on a sliding range based upon how much services and value-added you offer. In some cases this produces a nearly infinite range of market niches. Many businesses can co-exist and compete in such a marketplace and the customers get great choices when they go to market.

    Again, Capitalism 101.

  157. Real Americans protect American interests by DerpQuake · · Score: 1

    If American workers make a lot more than other workers, that is a good thing. Stop trying to level the playing field at the expense of the the American economy.

  158. Overpaid my ass by Anonymous Coward · · Score: 0

    I work IT for a fortune 500 company's sales office for the biggest US retailer. And I have friends who are managers at fast food restaurants who make more than me. How are we overpaid?

  159. Auto-ads are in full force by k6mfw · · Score: 1

    I click to read these comments and ad pops up, Boomsourcing shows ad, “Cost-effective Outsourced Scaling. Get pricing!” I did a screen snapshot to save with my other stuff like article about Putin sets effort to bolster Russian air forces and to the side, “Meet Russian Beauties!”

    --
    mfwright@batnet.com
  160. Re: Anonymity by presidenteloco · · Score: 0

    So you're that only guy who has worked for all of:

      large US insurance firms (25th largest one in the world last time around), State Street Bank, State Street Global Investors, Santander Bank, Digital Equipment Corp*, Wang Labs*, Data General*, IBM, Google, Parametric Technology Corp,

    That's a very nice intelligence fingerprint.

    We know who you are.

    --

    Where are we going and why are we in a handbasket?
  161. Re:Difference in work product - AND communication by Anonymous Coward · · Score: 0

    So how is IBM these days? :-)

  162. Personal experience - on-site vs. extremely remote by TwoLeggedMammal · · Score: 1

    I had a coworker here in the states for a few years, who then had to go back to living in China at his wife's insistence. The difference in work from him was quite stark between the two locations. In our office, in-person, he was the guy I trusted most to handle the complexity of our core business and was toward the top of the team in output. He was a younger guy, and his coding style was a bit odd, but he was coachable and a hard worker.

    Once he went back to China, he tried to switch up his working hours to be online at least part of the day when we were, but I could never tell when he was working. There were also some general issues with having internet access to some of the communication tools we used; he only ever made it onto Google Hangouts a couple times and so he would just not be involved in our morning scrums. We'd assign him tickets, and he'd do them, but being out of the office and out of the loop, he'd implement them in ways which were less extensible, or didn't make sense given some initiatives with our product. I also got the feeling that if he wasn't assigned any work, he just wouldn't work, instead of looking for ways to be useful or do traditional slacktime activities. And then the was the whole issue that if anything was a fire, even when it was related to his code, we just didn't have the time to wait for him to be online to fix it.

    I'm not clear on any of the salary details; if he was paid the same for remote work that he was here in the office. He did get cut in the next round of layoffs (a year or so later), because he had become expendable. I like the guy, but I agreed with the company's thinking on that one.

  163. Supply and demand by TJHook3r · · Score: 1

    The U.S. seems like an insane place to work. 80 hour weeks and hardly any paid leave seems common. Maybe I just work in a different culture though - wages are lower and people are out the door at 5:00.

  164. Genetically Better? by Anonymous Coward · · Score: 0

    Genetically better? No, certainly not, that is not rational or scientific.

    However you are overlooking something, and that is the culture of corruption. Corruption (bribes) are a way of life in India at least. It's actually a rational response to the low wages, institutional incompetence, and other barriers to transparency and accountability.

    In fact one has to be concerned about other cultural factors as well. Suppose it is indeed true that America teaches individuality and creativity. Further suppose it is true that India and China teach conformity, rote learning and memorization. This is a durable advantage for America.

    Cultures can change but it is difficult and it takes a long time. Older generations frequently retreat into tradition rather than change. Thus the only viable change agents become the younger generations. And that assumes that change itself takes hold and becomes respectable, a noble goal, and worthy of reward and recognition.

  165. What do I do? by Pow · · Score: 1

    What do I do? System architecture. Networking and security. No one in this house can touch me on that.

    But does anyone appreciate that? While you were busy minoring in gender studies and singing a capella at Sarah Lawrence, I was gaining root access to NSA servers. I was one click away from starting a second Iranian revolution.

    I prevent cross-site scripting, I monitor for DDoS attacks, emergency database rollbacks, and faulty transaction handlings. The Internet heard of it? Transfers half a petabyte of data every minute. Do you have any idea how that happens? All those YouPorn ones and zeroes streaming directly to your shitty, little smart phone day after day? Every dipshit who shits his pants if he can't get the new dubstep Skrillex remix in under 12 seconds? It's not magic, it's talent and sweat. People like me, ensuring your packets get delivered, un-sniffed. So what do I do? I make sure that one bad config on one key component doesn't bankrupt the entire fucking company. That's what the fuck I do.

    http://siliconvalleyism.com/si...

  166. trust vrs corruption by Anonymous Coward · · Score: 0

    Title says it all... This is why someone from India cannot get an adsense account.... trust.

  167. cost of living?? Loyalties?? by johncandale · · Score: 1
    For one, because of cost of living. You would never accept the same pay as someone living in india, sorry. But even beyond that, fuck you. Have some loyalties, globalism is cancer. IF you are U.S. based, the U.S. headed give you everything your founders needed to get started, not limited to working capital markets, education, a costumer base wealthy enough to buy your products, safe boarders and areas to attend said education. Their is absolutely nothing wrong with paying locals the asking wage price simply because they are locals. Maybe you should think about if you want to live in a place like India, because that is what you would turn the U.S. into.

    or drink the Forbes koolaid and pretend any reduction in costs = good, and be the first against the wall when the revolution comes dirty fuckers.

  168. Tech workers are underpaid by Anonymous Coward · · Score: 0

    "AMAZON to Pay De Niro $850k Per/Episode for New TV Series..."

    How many Amazon workers get $850k per month? per year?

    In my opinion, the average tech worker should be making closer to $500k/year

  169. Experience by Anonymous Coward · · Score: 0

    My observations dating back to late 1990s were that foreign companies off shoring typically hired 2x the staff for a project to lower risk. It made sense because labor costs were so low. However, it means that the individual experience is substantially reduced and growth is slower as well. Over time American workers pushed with more minimal staffing grow skills that heavily staffed team's will not. Cultural issue surrounding decision making oy exacerbate this underlying issue. I think supply and demand take this into consideration and I think it will take quite some time to reverse.

  170. Re:You are correct, and that word doesn't mean wha by Anonymous Coward · · Score: 0

    congratulations, you've accurately described American Exceptionalism.
    and when people at a sporting event chant U.S.A.U.S.A.U.S.A. that's just hubris.

  171. Toilets. by Anonymous Coward · · Score: 0

    Toilets. Seriously. We have clean water everywhere. We have toilets. We have infrastructure.

    Most of our college degrees aren't from printers, they are from REAL colleges with real learning.

    This isn't to say that India doesn't have **any** toilets. Just that the line is too long for me to wait.

    India and other "cheaper" places to live have lots and lots of issues. The USA has lots and lots of issues too, but toilets aren't one of them.

    I've worked with outsourced software developers. Sure, they cost 1/3rd as much as Americans, but somehow the number of people put on the project was 3-4x more than in America - negating THAT possible savings. Then there were the language issues. Indian English isn't American English - things are lost/misunderstood constantly. CONSTANTLY. One group has someone from a high caste who wasn't very smart. They were always late and never fulfilled the requirements. Even though caste has been dead in India for years, it still exists.

    Still, we have toilets, everywhere. They cost money, so we need to be paid more.

  172. Because they produce better results by Anonymous Coward · · Score: 0

    The reason IT gets outsourced isn't because Indian contractors will provide the same quality for lower cost. It's because they are lower cost and the people making the outsourcing decision don't know enough about IT to judge the quality of results until it's too late. In my experience at least, in-house usually creates better outcomes because communication of problems and solution criteria is better and faster.

    Also, India's educational system is an absolute joke. A "degree" from an indian university isn't worth the paper it's printed on. Most of them have been wrapped up in cheating scandals at one point or another, and they basically just sell diplomas. The employees at most of these contractor organizations are woefully incompetent. They can maybe follow scripts like a monkey, but if that's all you need you should just automate.

    China has a better educational system and a better cultural view on education than India. Their problem is that their culture is too socially rigid. They seem to have a general problem with creativity. For a country with 4 times the intellectual potential of the US, they sure spend a lot of time just knocking off stuff american company's have already done. If you need your work force that can solve novel problems or create new innovative solutions to old problems, China is probably not the first place to look.

  173. Sometimes. They also say "Go Jags!" their 2-6 team by raymorris · · Score: 1

    > When people at a sporting event chant U.S.A.U.S.A.U.S.A. that's just hubris.

    Perhaps sometimes it is. It's interesting you say "at a sporting event." You may have noticed at a sporting event they also yell "Go Jaguars!", knowing quite well that their Jaguars are 2-6, tied for worst team in the league. Is that hubris, or perhaps something else?

  174. Because US wages have skyrocketed... by Anonymous Coward · · Score: 0

    You can try to trick yourself with points about work value, looking down at India in the process.
    I work for a big Company based in California. I've seen H1-Bs hired from India. Some were good devs, some were very crappy ones. Both kind got the salary raise.

    So, in the end, salaries are high in California because of all the associated costs and the fact that big companies (or business angels for startups) are willing to put big money on the table to keep everyone in sight and on site.

    But don't give me that "it's because we're vastly superior" kind of cr*p: the concentration of skilled people was made possible by the money brought there, not the other way around.

  175. So by Ol+Olsoc · · Score: 1

    This sort of question brings up a lot of what is wrong with the market. With a few notable exceptions, we seem to be in a world where the idea is to make people as poor as we possibly can. the concept of a wealthy elite, and everyone else working impoverished. That only works as long as people are willing to have a smaller and smaller ruling class, because when 99.9 percent of everyone is broke, you go after the money of those who still have it. Fine young cannibals.

    --
    The shepherds did so well protecting the flock that the sheep no longer believed that wolves existed.
  176. From no one of consequence by Anonymous Coward · · Score: 0

    In the outsourcing environments I've been involved with, both the Chinese and Indian developers I've worked with have been quite competent and provide you exactly what you tell them to deliver. What is more difficult is getting them to take chances and make mistakes. They want to solve the specific problem exactly one time to your exact specifications. They don't want more nebulous items like - find some ways to do X and let me know what the trade-offs are in performance, accuracy, complexity, and licensing.

    The other big issue with outsourcing is not being in the room for all of the conversations. When we've brought people over to the US or sent people over to China, the results have been much better than when we tried to do everything remotely.

  177. Because American tech workers are mostly white men by Anonymous Coward · · Score: 0

    White men like to pay themselves a lot. So if a career is dominated by white men, the pay will be higher. Immigrants (non-white men working in the US) reap the benefits because it's a field still dominated by white men.

    That's my theory and I'm sticking with it.

  178. Math is hard by Anonymous Coward · · Score: 0

    this doesn't directly correlate to the IT slashdot crowd, because most of you couldn't pass a college algebra class, but for the rest of the "high tech" world, this captures it very succinctly. if everyone COULD do what i do currently and had to do in college to attain a level of understanding to be able to do my daily job, I would be paid a lot less because competency would be lowered to about that of burger flipping. it's because of the rarity of and demand for the skill that we get paid more. market driven economics. and anyone who thinks that outsourcing gives anything approaching parity in performance has never had to actually deal with an Indian based engineer. outsourcing only looks good to idiot bean counters.

  179. Answers to your stupid questions by Anonymous Coward · · Score: 0

    Why should I expect to be paid a whole lot more than my peer in India when applying for a job that could easily be outsourced to India?
    1. I'm not in India (sometimes you need someone to be physically there)
    2. I speak English fluently and can communicate effectively
    3. I understand western cultural norms
    4. The quality of my education and training is almost certainly better than theirs
    5. My cost of living is higher (like everyone else in North America I need to make more to survive, which is why we have higher wages)

    If I do get the job, why should I expect to keep it more than a year or two instead of being told "your job is being outsourced" before 2020?
    1. You should not "expect" to keep a job... that should purely be a matter of your performance, how well you work with the rest of the team and the company's success/finances
    2. You may be a fantastic worker and have made yourself indispensable

    Is my American education and 5-25 years of experience in the American workplace really worth it to an employer?
    1. This is a dumb question.
    2. You haven't stated specifically what your education is.... so I don't know
    3. 5 years experience and 25 years experience is vastly different, not sure why its being lumped together like that (dishonest).
    4. I am not able answer on behalf of all employers as I'm sure they all have different views on the subject

    This is one of the worst questions I've seen on slashdot in a long time. It muddles personal questions with questions on international politics and commerce. It ignores basic facts like other than leadership and business/finance/investment roles, US workers are almost certain to make more than their Indian counter parts. Janitors, cooks, garbage men, office workers, nurses, welders, etc. in the US all make more than they would in India -- it is not specific to the IT field.

  180. I've dealt with overseas IT by Anonymous Coward · · Score: 0

    And the answers is pretty obvious:

    Some of it is skills, both explicit technical, general problem solving and creative skills. That's typically a universal difference. The other related one is the language they speak and/or read is problematic to integrated with IT tools so many must switch to English which may not be their first language (I'm specifically thinking of Chinese-speaking IT people in Asia I've worked with).

    On top of all of this: in many parts of the world, IT and software are not consider "real" or "value" because they are intangible. Tangible activities, work product and purchases are values far higher by management. A similar dismissal of IP and IP laws applies for exactly the same reason. Think management in the US doesn't respect IT? You can't imagine what it's like in Asia.

  181. Innovation and Creativity by Anonymous Coward · · Score: 0

    Americans are more creative and innovative than our counterparts. Its proven in Academia and Tech. How many products do you use that were designed in China or India?

  182. Oxford - Demand: The desire and ability to acquire by raymorris · · Score: 1

    > That's called "demand".
    > No, that's value. "demand" is the number of positions available.

    So you think that how much someone values, or desires, a thing, is not part of demand? Oxford Reference says:

    Demand: The desire and ability to acquire a good or service.

    Yep, how much it is desired (valued) is the first Oxford definition of "demand". HOWEVER, you're not AS mistaken as Oxford suggests. Demand is a curve, with TWO axes. The first axis is the one Oxford highlights - the value (the price someone is willing to pay); the second axis is the quantity they'll buy at that price (the axis you're thinking of).

    The demand for CEOs is two-dimensional, how many will be hired at which price point:
    > $10 million: 6
    $5-$10 million: 150
    $1 - $ 5 million: 2500
      $1 million: 25,000

  183. Just A Click Away by jman.org · · Score: 1

    Obviously , because we're hacking into the payroll department...

  184. curso NR 10 by Instituto+Santa+Cata · · Score: 1

    Curso NR 10 online curso NR 10 curso NR 10 online

  185. "easily out-sourced to India"? by eric_harris_76 · · Score: 1

    Uh, no.

    Naive bean-counters and CEOs may think that, but writing code is not like making t-shirts.

    I'm guessing they probably wouldn't like being called "naive". Would "unsophisticated" be better? "Under-knowledgeable"?

    --
    There's no time like the present. Well, the past used to be.
  186. Union by ananamouse · · Score: 1

    The simplest answer is that American tech workers have a better union.