William H. Magill on Fri, 12 Sep 2003 20:32:14 -0400

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Re: [PLUG] Interesting Outsourcing Article...

On Friday, September 12, 2003, at 06:26 PM, Paul wrote:
Chris Mann wrote:

What scares me more is that even if there are resources for displaced
workers, I'm not sure that would help. It's rough seeing so many people
I know out of work (in the IT sector) and more and more jobs going
overseas. Sadly, I don't think any of those jobs that went overseas are
coming back.

If the jobs aren't coming back, what's going to happen to Computer Science students when they graduate? Are schools training people to join the under/unemployed? I understand that it's good business for the schools because they're making money, but would it be better for the /country/ to either make jobs available to Americans or to reduce IT training?

Have we moved from the Information Age into the Executive Age, in which there are only peons, executives, and foreign IT professionals? I know that is over simplified considering that we need lawyers.

Computer Science graduates should have no problem to the extent that they really are Computer Scientists and not simply programmers with fancy degrees.

... if we had fewer lawyers, we would have fewer jobs moving overseas.

The thing to remember about executives is that they are incapable of producing anything.
That is why they are executives.

From my perspective, the whole outsourcing thing is actually overblown. The problem really is that the Companies are gone, not the jobs.

Outsourcing really can make a big difference at a large firm, but its impact at a small or medium size firm is far less clear. There you have more of a situation where the "solutions" (I hate that word) being offered are what the business is after, not payroll reduction.

What is missing today are American Body Shops to offer alternative "solutions."

We saw a HUGE number of companies vanish at the end of the 90s... not "just jobs." The end result was that a huge pool of competent and even qualified bodies was dumped into the market. A lot of those bodies were in fact Green cards or H1bs ... who went home, and stared their own companies.

They could not have done that in 1990. And in fact, they did not. It wasn't until the "glut" of communications created by Global Crossing, MCI, and the other telecoms provided the infrastructure which made those companies able to compete.

Remember, historically, something short of 10% of the American labor force worked for Large Companies.

So, the question to be asking is not -- Where are the jobs? Rather ask, Where are the companies?

There is a LOT of Venture Capital around today. But it now expects a company to actually be capable of making money... not just looking for the next sucker at the IPO.

William H. Magill
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