The Implications of American Outsourcing Essay Example | Topics and Well Written Essays - 1000 words

The Implications of American Outsourcing - Essay ExampleOver the years the American economy has taken a drastic mo for the worse, especially in the realm of job sustainability. In a champaign conducted by the University of California, 14 million white-collar jobs are vulnerable to being outsourced seaward (Roberts, 2005). These include jobs requiring a high-level of skill including information technology, accounting, architecture, advanced engineering design, news reporting, stock analysis, and medical and legal services (Roberts, 2005). According to another study done by EconEdlink, Americas unemployment rate has increased alarmingly since 2001, after having experienced a period of substantial lows throughout the mid-90s. After that the unemployment rate remained somewhat steady, with a spiked increase between 2003 and 2004 followed by occasional yet not extremely noteworthy decreases. (See Figure 1 & 2 for a visual pic of this phenomenon). How can outsourcing be justified in the face of such figures To make matters worse, many of the persons displaced by outsourcing are those who have spent a great quid of time, money and energy at colleges or other academic institutions trying to acquire specialized skills. When education can no vaster offer toast for an individuals financial future, the value of the investment in training, and in the individual, to promote growth in Americas society, and economy, is diminished (Torrance, 2006). In fact, it is not too uncommon to hear IT graduates blabber about how there are so a couple of(prenominal) jobs available because the jobs they were trained to do are now being exported (Torrance, 2006). Consequently, professional workers affected by outsourcing must(prenominal) consider either negotiating lower wages or changing their vocation completely. The former woof seems unrealistic especially considering businesses who are outsourcing can set a minimum wage in developing countries that would never be accepted as a minimum wage in America (Torrance, 2006). The latter option only exists as long as there are industries that are willing to do business primarily in the United States. If other companies likewise believe outsourcing will improve their profitability, then where can the American worker turn Outsourcing proponents argue that even though outsourcing may take a few jobs away initially, in the long run it will put more money in Americas pocket by lowering the cost of consumer goods and services. It will patron create a sector of jobs more reliant on management and creativity than a fulfillment of worker-ant responsibilities. All of this could be true as long as some form of employment remains available for Americans to earn money for spending. However, if everyone outsources it will get to the point that reduced costs wont matter because Americans precisely wont have the money to