Skip to comments.IBM now employs more workers in India than US
Posted on 10/06/2013 3:24:19 PM PDT by jimbo123
The sun is rising in India for Americas outsourced jobs.
But its a bad sign for New Yorks dwindling middle-class workforce, say labor analysts.
New Yorks labor markets are in convulsions as American employers ship more well-paid jobs to lower-cost countries like Mexico, the Philippines, China and India where IBM, culling 747 jobs from the Empire State, has achieved landmark status. It now employs more workers in India than in the US, according to a leaked IBM document reviewed by The Post. The average IBM pay in India is $17,000, compared with $100,000 for a senior IT specialist in the US.
(Excerpt) Read more at nypost.com ...
they pissed their way out of one of their premiere markets.
now you can all get happy fun time spyware rock-n-roll lenovo china pc! same stuff as in your military replacement parts! no worries american joe! best spychips out there to sabotage business and military computers. just don’t be flying when we flip the switch!
Not really hard to figure out.
They don’t need to worry about paying for Sanjay in Mumbai’s health insurance.
US corporate taxes and regulations are more to blame than any corporation for the outsourcing of jobs. A corporation is a living organism. The first priority is to survive.
Not rocket science for anyone schooled in business.
I don’t work for IBM, but my company offers health insurance to our Indian employees. They also get a free gym, a nice cafeteria, a stock purchase plan, and a number of other goodies.
They’ve probably got a lot of new business over there. Makes perfect sense — except to those who think an American company should lose money patriotically.
Generally speaking, the guys in India would be lower-skilled. When you’re talking apples to apples, a comparably skilled Indian employee runs about 50% of the US wage.
You cannot get the equivalent of a $100K guy in the US for $17K in India. That’s an entry-level wage over there.
The purpose of any business enterprise is to make money for the owners.
For some reason, the U.S. has somehow come to the conclusion that the purpose of business is to employ people who don't want to work and provide them with a bunch of benefits (including health insurance and health care).
That's what you get when governments get into social engineering.
OK so the Indian guy gets $50K. I’ll bet his $50K gets him a lot more in standard of living than it would in NY.
Yep, the US sees companies as social programs.
(( ping ))
Some states more than others. New York? Ughh. I would love to see Wall Street relocate to a capitalist nation, or even a capitalist state.
I don’t fault them either, however they should lose their status as an American company with the ability to influence American politics.
IBM is a digital boat anchor. Don’t deal with it.
You might be surprised. They’ve had their own real estate bubble over there, so houses and apartments are quite high. Western-style consumer goods also go for high prices. There’s a reason mom and dad bring empty suitcases when they visit their son in Edison.
I will pass on IBM especially for their lackluster and all around awful Lotus Notes.
If you’ve ever had to clean up after the $17K guys IBM puts on contracts, it becomes pretty clear that you get what you pay for. Despite the reputations of Asians, the entry-level folks are not very good coders.
“Yep, the US sees companies as social programs.”
So does India. The first Indian IT companies were HEAVILY subsidized by the Indian Govt. Even today India maintains a huge group of lobbyists in DC to encourage (aka bribe) Congress to keep the laws favorable for offshoring.
I sure know this. My husband USED to work for IBM.
You mean you shouldn’t hire the high-school grad who took the two-week Java course at the cram school above the dosa joint? Who knew?
Seriously, the consulting companies will slip you plenty of duds if you let them. They’re all like that. You name the price, they’ll find someone who will accept it. Never believe what is on the resume, verify references, and watch out for identity fraud.
The problem seems to not be for America, but for New York
How is that a bad thing?
New York after Massachusetts is a great American problem
So clueless, their stock prices have been maintaining a long-term upward trajectory for years now?
BINGO! Of course knowing this( which we did) didn't exactly help during the nearly 3 years it took my husband to get another IT job.
I was an IBM Systems Service Rep for 11 years.....What IBM did was get out of the service end of the business and just got rid of everyone. All service went to 3rd party vendors....I now work for one of those 3rd party vendors who now has not only a bunch of the old IBM contracts, but a lot of the old HP contracts...
...and they pay a nice dividend.
You're talking to a 61-year-old banker whose employer of nearly 20 years was closed and liquidated by the FDIC 3 months after it posted a $70 million annual profit.
The feds didn't like the fact that it had grown from footings of $20 million to $1.4 billion and from 30 employees to nearly 300.
All of us were out looking for jobs. I still have not found one after 3 years.
IBM has an enterprise service division that runs service desks. It makes sense that they bid on desks maintained in India since many companies have support centers there.
I bet if so many companies hadn’t offshored you might have found a job by now.
But it sure helps those stock prices never mind that money doesn’t come back to the US, nor does the technology or knowledge.
People don’t understand that IBM has drastically reduced its presence as a seller of hardware (and thus manufacturing) and has largely become a services company. It’s hard to service companies in Asia or South America from NY.
Yikes. I’m so sorry to hear that.
But it is also hard to service companies in Delaware, Maryland, and Virginia from India. My husband is now working for another company, but servicing many of the companies he had been servicing when he worked for IBM.
>That’s what you get when governments get into social engineering.<
The word ‘social engineering’ sounds so innocuous and innocent but in reality is nothing but the taking away of personal freedom.
IBM actually means...
Old Joke. But still relevant.
oh right. strangely the other side of that cheerful little coin of yours is that those same smart business folks are not considering the long term effect on America and even the globe if America takes a nose dive to third world status. companies aren’t even going overseas anymore...they are just bringing guest workers here! so you tell me where are americans supposed to go to find a job? dont think this is just low tech workers....it is all types of jobs including IT, health, accounting, and other areas where americans have paid exorbitant rates to get a degree in these fields only to be cut out of the market by guest workers who are making tens of thousands less a year! interestingly how do they get away with it. used to be same pay for same job. not anymore. plus, these workers are cramming into lower priced housing and taking benefits because they don’t make enough to support themselves and their larger families. PLUS they are bringing their lifestyle and values here—and their biases—these middle east or eastern cultures that are male dominated—they are bringing it into the workplace. e.g., indian males are managers, they hire Indians and treat women like they are inferior. they also make fun of americans behind their backs and when you say anything...they say “this is the land of opportunity”. well maybe for them but not for us pretty soon.
You only get the good indians if you pay top dollar for them.
sick of people who automatically assume americans are inferior and lazy. that is just not so. why don’t you come by an office where lots of guest workers are employed and you will see them standing outside in large groups chatting for long periods of time. they bring their cultures here.
I believe their name starts with International
It's the overpaid MBA in charge of the project who should be outsourced!
I'm a lead advocate for one of these programs. You simply do not get the work out of the remote teams that you need unless you micro-manage every aspect of a project.
In my experience, you are getting far more value, ownership and engagement for the local expertise.
We had one example of a 6 month ongoing project that was only partially implemented. It took the local senior resource 36 hours to fix the insanely easy problems that indicated that there was only minor testing done as a formality, not truly vetted out.
OTOH, we only had to put a senior IT resource on the project for 36 hours to make it functional. There's the ROI.
this is what happens when you have a feminazi as CEO...theyre firing vermonters ...the only reason IBM had a plant there was the Watsons had a chalet st Stowe...