It is no longer unusual to talk to an Indian to know where the best Spanish restaurant in Newark is, or get advice from a Filipino on Beverly Hill’s best clinic to get a gynecomastia surgery. It’s a weird, wired world where geographical and cultural barriers are broken down. And more and more companies are looking to outsourcing as an alternative to stay afloat in a tight economy.
English-speaking countries such as India and the Philippines have benefitted greatly from this boom. But if Rep. Tim Bishop and Rep. David McKinley of the US House of Representatives have their way, the heyday of outsourcing may be cut short. Essentially, the two want US companies who outsource a part of their operations to be ineligible for grants or loans from the US government. Offshore customer service agents will also be required to tell their customers their actual location if the callers want to.
In a tight job market and economy, the bill filed by Bishop and McKinley is understandable. As jobs become harder to come by, foreign call center agents become unlikely competition for jobseekers. After all, to stimulate the economy, they need a population of consumers who will spend more for the products they produce. The catch is, outsourcing caught fire because it is relatively cheap. Will American labor ask for less than their counterparts abroad? Will companies gamble with American labor or stick with outsourcing jobs to cheaper, albeit equally competent workforce abroad? As the tapestry unravels, these questions will come to fore.
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