Take this job and save it?
by
Paula C. Squires
Virginia
Business
May 2004
Of all the issues up for debate during this presidential
election year, one that has taken off like brush fire
is offshore outsourcing.
Sure, there’s a lot of political grandstanding,
but it’s a topic driving workplace fear. With
everything from software engineering to food stamp inquiries
being sent overseas, workers can’t help but wonder
if their jobs will be the next to go. So we decided
to talk with Virginia companies that outsource to India
and other countries. How is the practice working for
them? What do they see as the pros and cons? Do they
have patriotic pangs of regret about shipping work out
of the country when job growth in this country lags
behind the recovering economy?
Our report by Richmond-based
writer Jim Strader provides insights into where outsourcing
fits into corporate growth plans. Some companies have
embraced the theory supported by the Bush administration;
namely that free trade is a rising tide that lifts all
boats. By using cheaper foreign labor, company executives
say they’re able to grow their companies, which
in the long run produces more jobs at home. Some companies,
though, have run into problems and worry that customers
will be put off if they get a help desk in India.
On the flip side — getting a look at foreign
workers who take outsourced jobs — Virginia
Business took advantage of a trip to India by Richmond
freelance writer Lisa A. Bacon. She provides on-the-ground
reporting about one U.S. company’s medical-billing
operations in Mumbai. The digs are nice, and data entry
workers there earn $133 to $663 a month, far less than
their U.S. counterparts.
Also in this issue is a must-read for baby boomers headed
toward retirement. Fredericksburg-based writer Marjolijn
Bijlefeld, a frequent contributor on health-care issues,
writes about long-term care
— why it’s needed and how much it costs.
If that’s not enough to scare readers, check out
our story on toxic mold, an
increasingly litigious issue that some say could become
this country’s next asbestos. Frequent contributor
Brett Lieberman of Annandale talks with home-building
contractors who are having a hard time getting liability
insurance.
On a more positive note, we continue our annual Fantastic
50 project, a look at the fastest-growing small
companies in Virginia. Profiles
of five companies offer inside looks at their winning
strategies, and were written by Heather Hayes of Clifford.
Just in time for summer beach traffic is a regional
report on Hampton Roads,
a thriving region that is struggling to come up with
an answer for its increasingly congested roads. If I
had all the minutes I’ve sat fuming in traffic
at the backed up Hampton Roads Bridge-Tunnel, my novel
would be written and my home would be squeaky clean.
Virginia needs to address this problem or risk having
this epitaph for vibrant Hampton Roads: They didn’t
build it, so people didn’t come.
Paula
C. Squires
Managing Editor
psquires@va-business.com
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