The Coming Unemployment Boom - Financial Fantasies


J

John

Originally Posted on www.wordcraftsmen.org

Here in 2009, the unemployment office beckons. Inside you see not the
disheveled computer programmers and office clerks. Instead, there are
men here with custom tailored suits, speaking into wristwatches that
double as cell phones. Echelons of shoulder pads and Starbucks impede
your vision. Has the corporate executive finally been phased out? Or
have the companies found something better, thus, cheaper?

During the generation of our grandparents, careers lasted for
lifetimes. A man could spend 40 years working the same job and safely
retire; this is no longer the case. The average stay of a person in
one job is less than five years in present-day America. Jobs are
becoming more and more coveted and workers more insecure, as they
could be fired and replaced in no time.

Outsourcing is a growing trend in America - it's now all the rage.
It amounts to a huge cost reduction for businesses, and thousands of
lay-offs for the American workers. Outsourcing is the process in which
businesses look for cheaper work in labour pools other than the norm.
In the case of America, outsourcing means going overseas to look for
workers. The advantage in this arrangement is obvious: Why pay a
software engineer $90,000 a year when you can pay an engineer in
India,who is equally capable, $20,000 a year?

It is being called globalization's next wave. Because of instant
communication and high-speed data transfer rates it is now possible
not to have a traditional office, but rather a collection of
individuals connected on a broadband-powered network. It is now
possible to have your main office in New York (in fact, you don't even
need an office), and have all your software written in India and sent
to you in less than 10 minutes. Your Indian co-workers will work for
60% less than any software designer in the United States. The United
States has always had the attitude and the ill-conceived notion that
the States is the only country in the world that retains the
intelligence and experience to work with advanced technology. Now,
with university attendance up tremendously all around the world,
thousands upon thousands of young minds are being added to the world's
burgeoning labour pools. This influx of labour coupled with the
worldwide recession is driving down wages and failing businesses are
looking for innovative ways to make a buck. Enter: Outsourcing.

The trend of outsourcing in America began almost twenty years ago
with jobs such as the manifacturing of shoes, cheap electronics (we've
all seen the logo - ' Made in Taiwan '), and the making of toys. Now
that high speed Internet has been made available there has been a
frenzy of hiring across the oceans from companies in the United
States. Now, even corporations like Microsoft and Intel are moving
jobs overseas at a breakneck pace. Designing software and
microprocessors are things that can be done just as well overseas as
in America - and for nearly half the cost!

Currently, a battle rages through the United States Congress on
the future of outsourcing. Many of the congressman believe outsourcing
to be a threat to the American working man, and seek to place limits
on the hiring of non-US residents. The battle over outsourcing is
heating up as many groups are working to prevent congress from placing
limits or rulings on the economics of outsourcing. According to C.
Srinivasan, head of offshore operations in India for Electronic Data
Systems Corp, Indian software companies deliver savings of more than
60% to US companies, fostering growth and creating new jobs. No matter
where people stand on this issue, it's a good bet that outsourcing
will continue to grow in popularity, and as C. Srinivasan puts it "In
the next three to five years, The India solution will be a critical
part of every portfolio." This seems very likely, as businesses will
always seek to cut spending to foster productivity and profit.

The blame does not fall alone on the cost-cutting corporations.
According to many experts and special interest groups, the Bush
administration in particular seems to have it's fingers crossed
whenever it speaks of job growth. Just this September George Bush
happily signed into law the Singapore and Chile Free Trade Agreements.
As Bush noted in his press conference during the signing: "I'm honored
to sign into the law these two pieces of legislation, implementing our
free trade agreements with our friends Chile and Singapore". However,
many sources paint a completely different picture of these agreements.
Project USA, an immigration-reform organization, was quoted in saying:
"The Chile/Singapore free-trade agreements will allow 'American'
corporations to move an unlimited number of 'employees' from those
countries to ours...With 18 million Americans struggling to find
full-time employment, the Bush administration has no business making
agreements with foreign nations to flood the labor market with an
unlimited amount of imported labor". With unemployment at it's highest
in years, the Bush administration claims they are doing everything
they can to foster job growth. Meanwhile, they are signing legislation
such as the Chile/Signapore FTAs quietly in the background. Rob
Sanchez, a critic of work-visa abuse, commented in May, 2002: "Once
these agreements are passed, American workers will be powerless to
stop the flood of workers that will arrive to compete with them in the
job market". The corporations are not given sole blame in the flurry
of outsourcing that is contributing to American job losses; The Bush
administration continues to astound economists and workers alike with
their labour policies. The Bush administration continues to foster
it's agenda based on deals and breaks for corporation, while the
American workers are handed the bill. Syndicated columnist Phyllis
Schlafly places the blame quite squarely on the Bush administration:
"What makes this racket possible is the parternship between
corporations and the government". The Bush administration is clearly
taking backwards leaps when it comes to job growth and economic
revival.

If you believe that you are immune to all this about outsourcing,
being that you are too high on the totem pole to be affected - then
you are dead wrong. Firms such as Lehman Brothers and Bear and
Stearns, for example, are beginning to use financial analysts from
India for accounting and stock picking. In fact, one man I've recently
interviewed puts things in perspective. "Don't think the people at
the unemployment office are stupid. I know many people there, and many
of them have degrees from schools such as Harvard and Yale, and MBAs
from Wharton. In fact, one man I know has two degrees from Harvard and
is now working the returns counter at Home Depot. Why? Because he
can't find work anywhere else." John C. McCarthy of Forrester Research
Inc. was recently quoted in Business Week's premiere article on
outsourcing: "You will see an explosion of work going overseas," says
McCarthy. He predicts that 3.3 million white collar jobs alone and
$136 million of wages will move overseas by 2015. Making things worse,
this hiring spree overseas is coinciding with massive corporate
layoffs happening right here at home as we slip deeper in the
recession. Your days of security and oneupsmanship may be numbered.

The purpose of this article is not to frighten you, it is only
designed to make you aware of the changes and future of the job market
in America. Our generation will have the hardest time in finding and
keeping well paying jobs because of the Internet, Outsourcing and
Globilization. Be wary of events and learn everything there is to be
learned of the future, and you shall succeed. If you think you missed
the message of the article, let me sum it up: As long as there is
cheap, untapped labour somewhere in the world where it can be
accessed, jobs are going to move there and away from here.


More Writing such as this at www.wordcraftsmen.org
Craftsmen of the Written Word, website for young writers.
 
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L

La Maline

(e-mail address removed) (John) wrote in
Originally Posted on www.wordcraftsmen.org

Here in 2009, the unemployment office beckons. Inside you see not the
disheveled computer programmers and office clerks. Instead, there are
men here with custom tailored suits, speaking into wristwatches that
double as cell phones. Echelons of shoulder pads and Starbucks impede
your vision. Has the corporate executive finally been phased out? Or
have the companies found something better, thus, cheaper?

During the generation of our grandparents, careers lasted for
lifetimes. A man could spend 40 years working the same job and safely
retire; this is no longer the case. The average stay of a person in
one job is less than five years in present-day America. Jobs are
becoming more and more coveted and workers more insecure, as they
could be fired and replaced in no time.

Outsourcing is a growing trend in America - it's now all the rage.
It amounts to a huge cost reduction for businesses, and thousands of
lay-offs for the American workers. Outsourcing is the process in which
businesses look for cheaper work in labour pools other than the norm.
In the case of America, outsourcing means going overseas to look for
workers. The advantage in this arrangement is obvious: Why pay a
software engineer $90,000 a year when you can pay an engineer in
India,who is equally capable, $20,000 a year?

It is being called globalization's next wave. Because of instant
communication and high-speed data transfer rates it is now possible
not to have a traditional office, but rather a collection of
individuals connected on a broadband-powered network. It is now
possible to have your main office in New York (in fact, you don't even
need an office), and have all your software written in India and sent
to you in less than 10 minutes. Your Indian co-workers will work for
60% less than any software designer in the United States. The United
States has always had the attitude and the ill-conceived notion that
the States is the only country in the world that retains the
intelligence and experience to work with advanced technology. Now,
with university attendance up tremendously all around the world,
thousands upon thousands of young minds are being added to the world's
burgeoning labour pools. This influx of labour coupled with the
worldwide recession is driving down wages and failing businesses are
looking for innovative ways to make a buck. Enter: Outsourcing.

The trend of outsourcing in America began almost twenty years ago
with jobs such as the manifacturing of shoes, cheap electronics (we've
all seen the logo - ' Made in Taiwan '), and the making of toys. Now
that high speed Internet has been made available there has been a
frenzy of hiring across the oceans from companies in the United
States. Now, even corporations like Microsoft and Intel are moving
jobs overseas at a breakneck pace. Designing software and
microprocessors are things that can be done just as well overseas as
in America - and for nearly half the cost!

Currently, a battle rages through the United States Congress on
the future of outsourcing. Many of the congressman believe outsourcing
to be a threat to the American working man, and seek to place limits
on the hiring of non-US residents. The battle over outsourcing is
heating up as many groups are working to prevent congress from placing
limits or rulings on the economics of outsourcing. According to C.
Srinivasan, head of offshore operations in India for Electronic Data
Systems Corp, Indian software companies deliver savings of more than
60% to US companies, fostering growth and creating new jobs. No matter
where people stand on this issue, it's a good bet that outsourcing
will continue to grow in popularity, and as C. Srinivasan puts it "In
the next three to five years, The India solution will be a critical
part of every portfolio." This seems very likely, as businesses will
always seek to cut spending to foster productivity and profit.

The blame does not fall alone on the cost-cutting corporations.
According to many experts and special interest groups, the Bush
administration in particular seems to have it's fingers crossed
whenever it speaks of job growth. Just this September George Bush
happily signed into law the Singapore and Chile Free Trade Agreements.
As Bush noted in his press conference during the signing: "I'm honored
to sign into the law these two pieces of legislation, implementing our
free trade agreements with our friends Chile and Singapore". However,
many sources paint a completely different picture of these agreements.
Project USA, an immigration-reform organization, was quoted in saying:
"The Chile/Singapore free-trade agreements will allow 'American'
corporations to move an unlimited number of 'employees' from those
countries to ours...With 18 million Americans struggling to find
full-time employment, the Bush administration has no business making
agreements with foreign nations to flood the labor market with an
unlimited amount of imported labor". With unemployment at it's highest
in years, the Bush administration claims they are doing everything
they can to foster job growth. Meanwhile, they are signing legislation
such as the Chile/Signapore FTAs quietly in the background. Rob
Sanchez, a critic of work-visa abuse, commented in May, 2002: "Once
these agreements are passed, American workers will be powerless to
stop the flood of workers that will arrive to compete with them in the
job market". The corporations are not given sole blame in the flurry
of outsourcing that is contributing to American job losses; The Bush
administration continues to astound economists and workers alike with
their labour policies. The Bush administration continues to foster
it's agenda based on deals and breaks for corporation, while the
American workers are handed the bill. Syndicated columnist Phyllis
Schlafly places the blame quite squarely on the Bush administration:
"What makes this racket possible is the parternship between
corporations and the government". The Bush administration is clearly
taking backwards leaps when it comes to job growth and economic
revival.

If you believe that you are immune to all this about outsourcing,
being that you are too high on the totem pole to be affected - then
you are dead wrong. Firms such as Lehman Brothers and Bear and
Stearns, for example, are beginning to use financial analysts from
India for accounting and stock picking. In fact, one man I've recently
interviewed puts things in perspective. "Don't think the people at
the unemployment office are stupid. I know many people there, and many
of them have degrees from schools such as Harvard and Yale, and MBAs
from Wharton. In fact, one man I know has two degrees from Harvard and
is now working the returns counter at Home Depot. Why? Because he
can't find work anywhere else." John C. McCarthy of Forrester Research
Inc. was recently quoted in Business Week's premiere article on
outsourcing: "You will see an explosion of work going overseas," says
McCarthy. He predicts that 3.3 million white collar jobs alone and
$136 million of wages will move overseas by 2015. Making things worse,
this hiring spree overseas is coinciding with massive corporate
layoffs happening right here at home as we slip deeper in the
recession. Your days of security and oneupsmanship may be numbered.

The purpose of this article is not to frighten you, it is only
designed to make you aware of the changes and future of the job market
in America. Our generation will have the hardest time in finding and
keeping well paying jobs because of the Internet, Outsourcing and
Globilization. Be wary of events and learn everything there is to be
learned of the future, and you shall succeed. If you think you missed
the message of the article, let me sum it up: As long as there is
cheap, untapped labour somewhere in the world where it can be
accessed, jobs are going to move there and away from here.
I am amazed you, or whoever wrote this article, felt it necessary to set
the year to "2009" and not "2003". This is not our "future", this is our
"now".
 
J

John

I am amazed you, or whoever wrote this article, felt it necessary to set
the year to "2009" and not "2003". This is not our "future", this is our
"now".
The point is to give credence to the future I have presented by the
facts of the now. And if you noticed I also gave predictions for 10
years in some quotes.
 
R

Ron Todd

Originally Posted on www.wordcraftsmen.org

Here in 2009, the unemployment office beckons.
Actually, the unemployment rate is unacceptable at the present time
and has been for several decades. When I was a child, anything over
3% was enough to cause a major panic.
During the generation of our grandparents, careers lasted for
lifetimes.
Not really. My parents and grandparents had the crash of '29 and the
great depression.
Outsourcing is a growing trend in America.
I think it has passed the trend stage and is now commonplace. After
all, Forbes said that EDS is doing corporate income tax returns in
Bombay, India. ( the end object of the service bureau paradigm )
It is being called globalization's next wave.
Globalization has been with us for a long time. My '88 Mercury was
built in Canada. The change in the USA has been the acceptance of
globalization by both political parties without any quid pro quo.

Currently, a battle rages through the United States Congress on
the future of outsourcing.
There is no battle. The war was completely and irrevocably lost
during the Clinton Administration. Have you forgotten how hard Billary
pushed through most favored nation status for the PRC? The present
administration seems to have bought on lock stock and barrel.

The blame does not fall alone on the cost-cutting corporations.

As always, in a Republic: The blame falls un us.

I figure it all traces down to the Great American Folk Myth: "There
is a free lunch."
The purpose of this article is not to frighten you, ....
Sure it is. FUD is the big sales pitch these days. You can get a job
at the New Yuck Times unless your a master of FUD, quoting unnamed
sources, and creative writing. From the NYT it goes down hill, not
much, but downhill.
More Writing such as this at www.wordcraftsmen.org
Craftsmen of the Written Word, website for young writers.

Best Regards.

*****************************************
Boycott list:

Belgium, France, Germany, Finland, Sweden, Switzerland, PRC, Iran, Syria,
Hollywood, San Francisco, Massachusetts, New York City, Sierra Club, ACLU,
Movies of the first blacklist, Turner, Madonna, S. Crowe, Dixie Chicks, Cher, U2, rapp,
Trudeau, W.Miller, Disney, ABC news, CBS news, NBC news, CNN, PBS, B&H Photo Video, Heinz
Foods,

Sometimes the only influence you have is to say, "No, I'm not buying."

For those who are unclear about the situation, California is the Clinton - Davis model for the rest of the United States of America.
 
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