Essay by lioness1327University, Master'sA, June 2004

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Outsourcing is the practice of subcontracting some or all of a company's information systems services to another firm. The approach has been around for many years, and corporations have been subcontracting work to low-cost labor areas for years, but in the past, this practice was limited to data entry job.

In a typical outsourcing agreement, a company will subcontract with another firm for some or all of its information systems operations. This can include the whole spectrum of operations, from data center management to applications development, network operations, system integration, and user training. A company may transfer all of its information system resources (hardware, software and personnel) to the outside vendor. As a result many jobs, including manufacturing and IT jobs are loss to foreign countries that provide cheaper labor.

According to The Bureau of Labor Statistics reported, "Long-term unemployment is at its highest in over a decade". The BLS stated, "The last time the share of long-term unemployed surpassed this level was 20 years ago, in September 1983.

BLS also reported the startling decline in education employment as the largest one-month loss since July 1982 (BLS).

Even with the rate of employment the way it is, Corporations insist that it is beneficially to Americans' that manufacturing and factory work be outsourced to other countries. Doing this will enable US citizens to concentrate on specialization, and as a result they would be better jobs and an increase in jobs. Unfortunately that concept does nothing for the millions of Americans that are without jobs today. Since 1986, 15 million high-paying manufacturing jobs have left the US and American workers. the horrifying truth is, It will not be long when manufacturers wanting to stay competitive will seek to bring their businesses to the millions of workers overseas. After all, they are willing...