When I think about the word ‘outsourcing’, I ask myself what it means before I decide whether if it will be helpful or hurtful to the American people as time ticks on. The Balance defines it as a solution for high costs and low efficiency by, “shifting tasks, operations, jobs or processes to an external contracted third party” for an extended and long period of time. This would then decrease costs and increase efficiency. To me, it sounds good on paper and it is good for the government and individual companies, but is it beneficial to the American people? Does it improve efficiency in their lives or wallets? If the United States of America is the land of opportunity, then why are men and women losing jobs that they’ve worked so hard to achieve because their place of work decides there are better opportunities in a place other than the country who claims that they are just that?Outsourcing can be a controversial topic with many thought-provoking facts and statements coming from each side. So, why are some people against outsourcing? This might be because it is slowly making many factories shut down forcing workers to find new jobs due to cheaper manufacturing in other countries, as explained by the article, The Cost of American Outsourcing.
Millions of jobs are being lost to outsourcing and knowing that American unemployment rates are growing fast, it seems like companies should focus on what’s important rather than making a little more money; cheap labor for low quality. On the other end, some people are supportive of outsourcing because it helps companies grow and expand. The article, America’s Future With Outsourcing informs us that when outsourced jobs that make electronics, for example, reach less wealthy countries it increases their demand for those items. In the end, more money is made for the U.S. and the company and their product turns into a “global market”.Tiffany & Co.
, a jewelry company, may consider outsourcing to the developing nation of Zimbabwe because of a large amount of gold available and the amount of money spent on the labor portion would not be costly. Monsanto, an agricultural company, may consider outsourcing to the developed nation of Malta because of the availability of land and low payment on labor. Also, Malta is known to have a higher agricultural production of animals such as cows and crops such as vegetables. The limitation American companies may have with outsourcing in Zimbabwe is the ownership of a license. This would force jewelry companies to obtain official permission to get the gold or trade. This issue could put a limit on the supply of the quantity of gold the U.S. may have.
Now, the problem American companies may have with outsourcing in Malta are the regulations. This would impede the importation of unreliable food and agriculture to the United States.Yet, this would prevent sickness and damage to the environment and customers.I believe that outsourcing does not promote a healthy American economy. Yes, it is good and fruitful in moderation allowing cost reductions and so on, but if it is overused it can be hurtful to many. Most of the outsourcing is done to simple jobs (although major companies have been known to hop on the bandwagon) promising to reduce costs of their product, but after all is said and done, the price usually drops an insignificant amount or none at all… sometimes the price is even increased. With this process repeating and progressing with numerous companies, millions of jobs expire, leaving hard-working men and women jobless when they worked most of their lives and went through vigorous schooling to work in jobs like those starting to outsource.
Overall, I believe that outsourcing hurts the American people in ways unimaginable. It may have good qualities and features, but if it’s tremendously damaging the lives of citizens, is it really worth it? The United States claims to be a positive advocate for its people, but if we’re destroying our own and millions of our brothers and sisters hard work for an increase in cash flow… we’re doing something wrong.