Does outsourcing hurt US employment?

OABPO Blog Team Published on February 21, 2014

outsourcing
Outsourcing has undeniable benefits to the companies venturing into this business strategy. For the uninitiated or willfully unaware, however, it may seem like a selfish businesses decision to stabilize budgets at the expense of their local manpower’s stable employment.
What the skeptics may have failed to see is that mostly low-skilled jobs get sent overseas, jobs that many Americans may deem thankless, jobs that people on the other side of the world are thankful to have.

Another reality that is lost in the debate is that American employment is not losing against foreign competitions — they’re losing against local companies whose unfair advantage was brought by domestic businesses themselves. Think of the employees who were made redundant by robots and computers. The Kodak layoff is a popular example of this, sending home 15,000 of its workers because of the film processors’ defeat against their digital counterpart.

No concrete proof

outsourcing-

The problem with critics is that they enter the blame game without presenting tangible evidence of outsourcing’s dent to the US employment. There’s no official count of how many jobs have been sent outside America, as the government doesn t mandate businesses to report statistics on the matter. A Forrester research, however, estimates that 220,000 jobs are being annually outsourced since 2000, and the number will equate to 3.3 million by 2015.

The numbers are not accurate, but even if they are, they are mere drops of a giant bucket. In a trillions-worth economy employing millions of people while creating and destroying millions of jobs every month, positions “lost” to offshoring are just a very small part of the job churn that is common in a dynamic economy.

Jobs well-sifted

Outsourced occupations, are usually the ones that require a relatively low or moderate level of education and training. In the IT sector for instance, there are call center jobs ranging from inbound technical support to outbound telemarketing, as well as data entry. Taking these away, the industry’s demand for professionals with at least an associate s degree surged. So contrary to the popular belief that America is losing its best jobs (white collar positions) to outsourcing capitals, the truth is that these “best jobs” stay in the US.

Economic advantage

outsourcing--

Allowing American companies to cut the cost of smaller processes, service vendors abroad help US businesses focus on their core competencies, which means higher quality and more affordable services for the American consumers.

A study by the McKinsey Global Institute even revealed that companies that outsource reduce costs by as much as 60%, making them competitive in international markets, which workers and shareholders alike find beneficial. The study further stressed that offshoring hikes the demand for American-made products and earns America profits from US-owned operation sites abroad.

McKinsey also concluded that for every dollar spent on offshoring, an economic activity worth $1.12 to $1.14 is created in the US.

Conclusion

Outsourcing doesn t take away jobs from Americans but instead creates more positive economic activities that benefit not just businesses but also their employees, consumers, and the economy they support.

Join us on facebook
Open Access BPO 2 days ago
Building an expert team of #CustomerService reps can be challenging for any #CallCenter recruiter.

Some of the challenges they face when when hiring include:
• inability to attract applicants;
• limited talent pool;
• shortage of qualified candidates; and
• inefficient recruitment process.

Here's how Open Access BPO's robust recruitment strategies overcome these challenges to find the most qualified #CustomerSupport agents: https://buff.ly/4aeV3uU

----------
Get skilled talents when you partner with one of the most trusted BPO firms: https://buff.ly/3TiM30L

#WeSpeakYourLanguage
Open Access BPO 3 days ago
Brands and #CallCenters can improve their defenses, but cybercriminals will continue to develop more sophisticated attacks.

𝐇𝐞𝐫𝐞 𝐚𝐫𝐞 #𝐈𝐧𝐟𝐨𝐫𝐦𝐚𝐭𝐢𝐨𝐧𝐒𝐞𝐜𝐮𝐫𝐢𝐭𝐲 𝐩𝐫𝐞𝐝𝐢𝐜𝐭𝐢𝐨𝐧𝐬 𝐭𝐨 𝐚𝐧𝐭𝐢𝐜𝐢𝐩𝐚𝐭𝐞 𝐭𝐡𝐢𝐬 𝐲𝐞𝐚𝐫: https://buff.ly/4adk2Pe

----------
Only trust an outsourcing firm with a robust #InfoSec aimed to protect you and your customers: https://buff.ly/3v2IALU

#WeSpeakYourLanguage
#DataSecurity
Open Access BPO 3 days ago
Disasters can happen at any time. So, if you're thinking about #outsourcing to a #CallCenter,

The best thing you can do to ensure your ops' resilience is to choose an #OutsourcingPartner with robust #DisasterRecover and #BusinessContinuity strategies.

Here's why and how (plus tips for implementing a successful outsourcing strategy):
https://buff.ly/48Toe5q

----------
Open Access BPO's commitment extends beyond exceptional #CX.

Our robust information security strategy ensure the protection of your data, even in times of disaster: https://buff.ly/3TjYjOu

#WeSpeakYourLanugage
#PhilippineCallCenters #disasterpreparedness
#businessresilience #riskmanagement #crisismanagement
Open Access BPO 4 days ago
Online retailers are losing a huge chunk of their earnings to fraudsters. How can you protect your brand from this threat?

Start by identifying the kinds of fraud that threaten online businesses: https://buff.ly/3VbwScr

---------
Partner only with an #outsourcing brand that prioritizes your #DataSecurity: https://buff.ly/3VhEXwi

#WeSpeakYourLanguage
#InformationSecurity #DataSecurity #ecommerce
Open Access BPO 4 days ago
Among other benefits, content moderators review user-generated content to:
• ensure the safety of customers;
• combat spam and potential scams;
• prevent misinformation and fake news;
• boost user experience; and
• cultivate an inclusive community.

𝗕𝘂𝘁 𝘄𝗵𝗶𝗰𝗵 𝗰𝗼𝗻𝘁𝗲𝗻𝘁 𝗺𝗼𝗱𝗲𝗿𝗮𝘁𝗶𝗼𝗻 𝗺𝗲𝘁𝗵𝗼𝗱 𝗶𝘀 𝗿𝗶𝗴𝗵𝘁 𝗳𝗼𝗿 𝘆𝗼𝘂𝗿 𝗯𝘂𝘀𝗶𝗻𝗲𝘀𝘀?
Explore the fascinating types of #ContentModeration shaping the digital landscape: https://buff.ly/3Iyh6kn

----------
Work with our content experts to build a community where everyone feels heard and protected: https://buff.ly/3IwqS6y

#WeSpeakYourLanguage
Open Access BPO 6 days ago
Nothing is constant in #CustomerExperience.

𝗖𝘂𝘀𝘁𝗼𝗺𝗲𝗿 𝗻𝗲𝗲𝗱𝘀, 𝗽𝗿𝗼𝗱𝘂𝗰𝘁𝘀, 𝗮𝗻𝗱 𝗰𝗼𝗻𝘀𝘂𝗺𝗲𝗿 𝘁𝗿𝗲𝗻𝗱𝘀 𝘄𝗶𝗹𝗹 𝗮𝗹𝘄𝗮𝘆𝘀 𝗰𝗵𝗮𝗻𝗴𝗲, 𝗮𝗻𝗱 𝘀𝗼 𝘀𝗵𝗼𝘂𝗹𝗱 𝘆𝗼𝘂𝗿 𝘀𝘁𝗿𝗮𝘁𝗲𝗴𝗶𝗲𝘀, 𝘁𝗼𝗼𝗹𝘀, 𝗮𝗻𝗱 𝗮𝗽𝗽𝗿𝗼𝗮𝗰𝗵.

Don't wait for your consumer base to grow or even wither before you update your #CustomerSupport strategy.

Here are 4 signs that your #CustomerService action plans need an upgrade: https://buff.ly/3TawRmu

----------
Provide your customers with excellent #ConsumerExperience from one of today's trusted multilingual #CX experts: https://buff.ly/3vfIuAp

#WeSpeakYourLanguage
Open Access BPO