HiltonP, on Dec 21 2007, 07:32 AM, said:
Kev-O, on Dec 20 2007, 10:53 PM, said:
. . . the thing about the jobs going over there is it cost them a 1/4 of what it would cost to pay an American to do that job, they get payed dirt....... im not shitting you on that. If we got payed what they do it would take us a month of there pay to fill up a car one time over here . . .
WRONG !! . . .
You are completely mis-informed.
They are all earning the same as US workers.
(read my post above, and the one below)
John Vlahos, standing barefoot on his porch in plaid pajama pants on a breezy morning in Somerset, N. J., puffs on a cigarette he has hand-rolled to cut costs and recalls how his ex-employer shipped his work to India.
"It shatters part of you," he said. Vlahos, 26, was fired in October 2002 as a computer programmer at Simstar Internet Solutions in Princeton, N. J. He had been designing Web sites for pharmaceutical companies.
At about the same hour in Bangalore, India, Mahesh Shankar Rao gives instructions to his six-man team and heads home. Rao, a 30-yearold project manager at Impelsys India Pvt. Ltd., was hired in December 2002 when Simstar contracted work to Impelsys to design a Web site for a pharmaceutical company. Now he and his wife plan to start a family and might buy a car. "I hope things work out" for Americans who lost their jobs, Rao said. "There could be someone who takes my job tomorrow. It’s survival."
Over the next 15 years, 3.3 million U.S. service-industry jobs and $136 billion in annual wages will move to India, the Philippines, China and Malaysia, among other countries, according to a study by Forrester Research Inc., a Cambridge, Mass., consulting company.
Vlahos and Rao are the faces of the latest migration of jobs in the global economy. Companies such as Microsoft Corp., Bank of America Corp., General Electric Co. and HSBC Holdings Plc are moving accounting, software engineering, stock analysis and medical research from the United States and United Kingdom to lower-wage countries including India, China and the Philippines.
For the United States the migration will "have a negative impact on GDP" for the next two years or so, said Paul Kasriel, chief economist at Northern Trust Corp. in Chicago.
The influx of jobs is accelerating growth in India, the Philippines and China. India’s service sector grew to almost half of gross domestic product in 2001 from 36 percent in 1980. The $470 billion Indian economy is expected to double by 2010, Merrill Lynch & Co. said in an August report.
In the United States, computer programmers earn an average of $75,000 a year, putting them in the top 4 percent of professions, according to the Labor Department. In India, programmers do the same work for about $12,500 a year, a sixth of the U.S. average.
The drive to lower labor costs "is now acting as a powerful structural depressant on traditional sources of job creation in high-wage developed countries such as the United States," said Morgan Stanley’s chief economist, Stephen Roach, in a research note Oct. 6. "America’s jobless recovery could well be here to stay."
After three years at Simstar, Vlahos was earning $55,000 annually, a third more than the average U.S. wage. While working at the company, he bought a bigscreen TV, a DVD player and a stereo. He once flew across the country to San Francisco for 48 hours "just because I could," he said. Rao says he makes a little less than $17,640 annually, almost 40 times India’s per capita income of $450. His income has risen 20 percent since he joined privately held Impelsys. He and his wife, Radhika, 28, who is a software engineer, live with his parents in a twostory gray house with pink awnings and a stone facade on a tree-lined road in Bangalore. Vlahos grew up in Queens, N. Y., the son of a furrier who immigrated to New York from Greece. He graduated from Rutgers University in 1999 with a degree in computer science. His first job was as a contract Web designer for AT&T Corp. at $20 an hour. After a few months, the work ended, Vlahos posted his resume on the Internet, and Simstar called.
PILOT PROJECT "I was very excited to be working there," Vlahos said. "It just seemed like a no-frills, nononsense good place to work." Vlahos started as a junior programmer and a year later was promoted to Web developer, a job involving database programming for Web sites.
Simstar was founded in 1993 by David Reim, a former manager at Apple Computer Inc. and Sun Microsystems Inc. Based in Princeton, the company builds marketing Web sites for drug companies.
The company hired Impelsys for a pilot project to do software programming from December to April, said Sameer Shariff, Impelsys’ chief executive. "The understanding was that we did a great job, and once their business picks up then we can support them as an offshore team," Shariff said.
Andrew Friedman, chief financial officer of Simstar, described the contract as a way of "testing the capabilities" of Impelsys in Web development. "We wanted to see what abilities they had in the marketplace in case we ever wanted to do work with them — and that’s it," he said. "We do not outsource to India."
Over the past year, Vlahos lived on savings, unemployment insurance and about $4,000 from freelance programming. He moved from an $800-a-month one-bedroom apartment on a horse farm in the rolling hills of western New Jersey to a $470-a-month room in a duplex on a dead-end street that he shares with three friends.
His unemployment insurance ended in April, and he just drained $1,000 from his savings to catch up on student loan payments after falling three months behind.
Rao earned an engineering degree in 1995 in electronics and instrumentation at R. V. College of Engineering in Bangalore. In 1999, he began a succession of jobs there. Impelsys, which has grown from 30 employees to more than 65 since Rao was hired, creates Web sites and converts documents and books for customers such as Reed Elsevier Group Plc into electronic formats suited for computer discs, hand-held devices and Web sites.
DOT-COM SURVIVOR Shariff founded Impelsys in New York in 2001 after the dotcom crash forced Medsite. com Inc., another company he helped start, to search for ways to cut costs. Medsite. com, which makes Web sites with medical information targeted at doctors, survived by outsourcing work to Impelsys in India as it slashed jobs in the United States. Medsite. com was the first customer of Impelsys. Other industries are moving intellectual work such as securities research and radiology analysis to India. Morgan Stanley, the world’s second-biggest securities firm by capital, plans to hire as many as 50 researchrelated employees in Bombay this year, with some working as junior analysts, Morgan Stanley spokesman Gerry Kay.
In the first months after his dismissal, Vlahos sent out resumes and tended to a Web site cataloging his personal and professional life. He cruised New Jersey’s Route 1, a feeder road to New York City that is dotted with corporate office parks, scouting potential employers.
He spent time with friends, read philosophy, and took up guitar-playing to deal with the emotional wreckage from losing his job. "It was one of those opportunities you get to start over, clear off the table and just begin again," he said.
Now he plans to move to Boston in January to study for a master’s degree in information science and start a new career as an archivist, high school teacher or librarian.
For his part, Rao is delighted with the turn of fortune that has him designing Web sites at Impelsys.
He reports that his responsibilities have expanded.
Rao said he sympathizes with Vlahos and others who were thrown out of jobs when Simstar assigned their work to Impelsys. He discusses the competitive dynamics as he sips coffee in a shopping arcade under his office. "It’s sad, but numbers dictate what companies do," he said. Information for this article was provided by Rob Stewart, Sam Nagarajan, Rachel Katz, Ron Day, Rebecca Barr, Art Pine and Dan Goodin of Bloomberg News.
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About two weeks ago I had a run in with Intuit (A big American Software Company) about a Turbo Tax charge they took out of my checking..... They said I was on their auto-renewal list, caused two charges to bounce...... Anyway I looked all over Turbo Tax's website for a phone number...... Couldn't find one, went to their other software site and found one.
Out Sourcing 
Top
Outch 
DAMN Government
ill drink to that
