Niyamath Parveez

During times of difficulty, it is perhaps only natural that people will take an interest in what is affecting them and choose to attack or criticise anything that sees their local community miss out. An obvious example of this would be in the jobs market and with the current economic situation being what it is, anything which takes jobs away from an area will have people angry or annoyed. Outsourcing has been an extremely popular tool for businesses to use to ensure they are operating as efficiently as possible but this has caused controversy with many jobs being taken away from home-grown workers and being transferred to offshore employees. Whilst the business opportunities of outsourcing are accepted by many leaders and politicians, when even President Obama is moved to comment and review legislation regarding outsourcing work, you know there is the potential for a major problem.

The move to stop the tax incentives that are currently encouraging so many US firms to outsource their work to foreign countries is something that the Obama administration is keen to bring to an end. In doing this, more work should be maintained in America which could go a long way to stimulating the economy and moving more people back into work in America. This is clearly of great benefit to the American nation and economy and is just one of the innovations by Obama that has been warmly approved of in America and could well be copied by a number of other countries.

The vast majority of focus will always fall on the firm and nation who holds the original job but not too many people give much time to consider the fate of those who actually provide the outsourcing work. Recently, many business experts in India, a renowned home of outsourcing work, have felt moved enough to comment on the noises that have been emanating from the Western culture with regards to outsourcing. The need to pinpoint the dangers that could befall the Indian based outsourcing firms is apparent and if work from nations likes the US and the UK dries up, there could be some serious consequences ahead.

With other nations seeing the benefits that have arisen through outsourcing, India and the other established nations like China and Malaysia are now being targeted by emerging nations who are keen to take some of their outsourcing jobs away from them. Such is the way of life in the global economy and it could not have come as a surprise to see potential rivals emerging in order to take work away from the established outsourcing giants. Of course, now that there is pressure also being applied from the Western nations onto the outsourcing firms, it is starting to become a difficult time for the established nations of outsourcing.

Given the current economic climate, there is no doubt that most people will be attempting to re-evaluate their options and look to get the best deal for themselves and their workers. Nations like India are no different to anyone else in this respect but it may well be that they have to argue their case very strongly to remain an important player in the outsourcing world.