Offshore outsourcing - Academic Kids
Offshore outsourcing is the practice of hiring an external organization to perform some or all business functions in a country other than the one where the product will be sold or consumed. It can be contrasted with offshoring, in which the functions are performed by a foreign division or subsidiary of the parent company. Opponents point out that this sends work overseas, thereby reducing domestic employment. Many jobs in the infotech sectors - such as IT, Data entry, and Customer support - have been or are potentially affected.
The driving factor behind this development has been the need to cut costs during the recession following the events of September 11, 2001, while the enabling factor has been the global electronic network that allows digital data to be accessed and shipped instantly, from and to anywhere in the world.
Some of the major countries that provide such services are India (Programming and IT), Russia (Programming and R&D), Romania (Programming and IT), the Philippines (Data Entry and Customer Support), China (Programming), and many others.
There are different views on the impact on society, which reflects the attitude of Protectionism versus Free Trade. Some see it as a potential threat to the domestic job market and ask for government protective measures, while others (and not just corporations) see it as an opportunity.
Liaison job (Retraining controversy)
For a good discussion, see: The following article is a good informational primer:
Outsourcing 101 (http://www.blogsource.org/blog/2004/06/outsourcing_101.html)
[1] (http://www.nybanker.com)
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