How Indians are Stealing U.S. Jobs

Maybe stealing is an unfair word, but I'll let the rest of you decide. I have linked to dozens of articles over the last few months on the new trend of outsourcing white collar jobs. Now Daniel Pink has written an excellent piece that takes a behind the scenes look at what is happening. I'm a little late getting to it, since I was out of town, but if you haven't read it yet it is definitely worth a look. What really surprised me was this part of the article:

Ritesh Maniar reminds me that Hexaware has scored a Level 5 rating from Carnegie Mellon's Software Engineering Institute, the highest international standard a software company can achieve. The others are quick to note that, of the 70 or so companies in the world that have earned this designation, half are from India. Over several days, here and at other companies, I hear this factoid repeated like a campaign talking point.

Translation: We're not just cheaper, we're better.

And that, they say, is good for everyone. Maniar, a senior technical architect, describes one American client: "We helped them become process-oriented, which they were not before. They were spending again and again on the same thing. We explained the process that we follow, because we would like to bring them up to our standards."

So much of what I have read makes the point that American programmers are superior to those in India. Now I wonder who is really better? This will be an interesting economic game to watch, and I bet both sides will see evidence that proves they are correct. The danger of these decisions is that we can't really know how it will turn out – economies are marvelously complex and I don't think we always capture the chaotic and nonlinear feedback effects in our simplistic economic theories. All we can do is see what this country is like in ten years, and keep making the best decisions we can.

  • Bobo

    Who is better? Where is the Indian operating system? name one new industry or product to come out of India.

    10 years of importing these workers to the USA has resulted in the biggest recession in over 70 years.

    India’s workers are ranked 124th in terms of world worker productivity. According to a 2007 ILO/UN report, American workers are ranked #1.

    The global economic collapse is directly related to the flooding of the USA with Indian workers.

    Every one of these major business failures is tied to India, Inc. putting its workers into U.S. companies. That includes GM which want bankrupt a mere 3 years after outsourcing to Indian firm Wipro.

    In 1998 when American programmers were running Silicon Valley, the economy was BOOMING.

    Who is better? I think the verdict is in on that question.

  • ram

    Goltis/Andraites steal US jobs….

  • Kaito

    A company will always make the decision to outsource if there is an economical benefit to the company especially in today’s world where globalisation is advancing so quickly.

    I find it laughable to that the general opinion is that companies are hiring inferior HR. Firms focus a lot of resources on picking the right employees.

    To Bobo:
    As an economist with a psycholoy major, I can tell you that all you are doing is picking information to suit your emotion and discarding all information that works against you. Your economic ‘data’ is inaccurate.

    ’10 years of importing these workers to the USA has resulted in the biggest recession in over 70 years.’ This is groundbreaking news, I will have to inform all of my collegues that we were wasting our time studying the causes of the recession.
    From a psychological point of view, all you are doing is blame shifting. It is impossible for a country as big as the US to enter into recession because employees are working.

    You left out the dot com bubble. It is very easy to discard all information that doesn’t help your blame shifting process.

  • Kaito

    A firm will only outsource if it finds that it is feasible to do so otherwise it will lose it’s competitive advantage in today’s world where globilisation is advancing so quickly.

    I find it laughable that the general opinion is that firms are hiring inferior HR. Firms invest a substantial amount in selecting the best HR that they can find on the markets.

    In response to Bobo:
    As an economist, I know that the ‘data’ that you are presenting is inaccurate.

    ’10 years of importing these workers to the USA has resulted in the biggest recession in over 70 years.’
    I must inform my collegues that we have been wasting our time studying the causes of the recession. The recession wasn’t caused by the lack of governmental regulations and fraud occuring in the money markets, it was because peopel were being productivity and creating wealth. Lesson of Bobo’s story: Corrupt practises do not lead to recessions, it is creating wealth for the economy fairly that does.

    This is the second time that I am posting. My previous comment was removed even though it didn’t contravene the terms and conditions of this site. I would also like to point out that manipulation of real information was a major factor leading to the recession.

  • Anonymous

    I can’t believe no one is noticing how Indians are taking our jobs!!

    Not only are we sending jobs to India, but we are allowing hundreds of thousands of them to come into the US to work.

    They are taking GOOD jobs! Doctors, computer software development, and seats in our best universities and graduate schools. And now a governor in South Carolina.


    Mexicans are not the problem, they work hard performing manual labor jobs. They come from a warm and friendly culture and will help a person in need.

    Indians are very closed! Their religion and culture do not mix well with United States culture, and they only want to be around other Indian people. Talking to them is like talking to a robot. This is not a race issue but a cultural issue. Their culture just doesn’t give back to outsiders and they don’t mix well socially in the U.S.

    I know it is unpopular politically incorrect to generalize, but this trend is real and should not be taking place during a job shortage.

    Stop giving Indian people our jobs and stop letting so many of them in!!!