| General Motors Corp. announced in late | | | | computer science, and thus wants to |
| November 2005 that it will close 9 of | | | | expand the H1B Visa program, allowing |
| its United States auto manufacturing | | | | more foreign workers to come to the U.S. |
| plants as well as three assembly-related | | | | But critics believe that Gates and other |
| plants which includes one location in | | | | industry executives are not being honest |
| Canada. Ford Motor Co. followed suit in | | | | in their assessments, to wit, the |
| early December 2005 announcing it is | | | | banking industry's India strategy which |
| considering the shutdown of up to 8 of | | | | is hiring finance graduates and not |
| its U.S. manufacturing plants, including | | | | computer science graduates in expanse of |
| engine and assembly operations, with one | | | | their industry.In fact, consultants such |
| in Mexico. Americans are well familiar | | | | as Stefan Spohr of AT Kearney estimate |
| with the downsizing, outsourcing and | | | | that investment banks could raise their |
| offshoring of the U.S. manufacturing | | | | staff levels in India to as much as 20% |
| base which has seen 2/3 of its jobs lost | | | | in the next few years. Since salaries in |
| in the past 20 years, having been traded | | | | India are 70-80% lower than in the U.S., |
| in for third world cheap labor. And | | | | with total costs about 40% lower than in |
| while white-collar workers have hardly | | | | the U.S., the trend of offshoring will |
| been immune from offshoring practices | | | | no longer exist. Rather, jobs will now |
| infiltrating boardrooms, indication this | | | | originate from India and totally bypass |
| week is that the tide has changed.Both | | | | the U.S.Disputing the fact that there |
| the Intel Corp., the world's largest | | | | are not enough quality candidates, for |
| computer chip manufacturer, as well as | | | | example, in the computing engineering |
| J.P. Morgan Chase & Co., one of the | | | | field, is the change in the way in which |
| world's largest financial institutions | | | | U.S. engineers are hired. Candidates are |
| and 2nd largest in the U.S., are | | | | not only competing with their peers but |
| investing in creating new jobs in India | | | | also with the fear that they will be |
| over the next few years rather than in | | | | replaced by either imported foreign |
| the U.S. Different in prior offshoring | | | | workers or offshore workers, even after |
| scenarios, however, is that back-office | | | | they are hired.Companies are directly |
| jobs such as investment banking, | | | | contributing to the supposed engineering |
| software engineering and research and | | | | shortage themselves by requiring that an |
| development, previously occupied by | | | | applicant meet every item on a detailed |
| American workers, will now originate | | | | list of qualifications. Transfer of |
| from India as well.J.P. Morgan plans to | | | | like-skills is a long lost concept. With |
| locate 1/3 of its investment banking and | | | | approximately 200 responses for every |
| support staff in Bangalore, India by the | | | | job listing, companies have the luxury |
| end of 2007. It will double the amount | | | | to hold out until they get the perfect |
| of its employees by hiring 4,500 | | | | candidate, as job cuts in technology |
| graduates over the next two years. 3,000 | | | | positions are up 20% in the past year, |
| of the new hires will work in investment | | | | according to Challenger, Challenger, |
| banking with 1,500 providing support in | | | | Gray & Christmas. The unemployment rate |
| its retail and commercial banking | | | | for computer programmers and engineers |
| operations. There are presently 4,500 | | | | is higher than the national average |
| employees in front-office staff | | | | which does not reflect those who remain |
| positions in Mumbai, India.With only 200 | | | | unemployed in Silicon Valley as they no |
| on staff in India just two years ago, in | | | | longer register for unemployment |
| order to achieve their latest goal, J.P. | | | | benefits, nor those who were forced to |
| Morgan will hire between 300-400 | | | | move on to other careers.According to |
| graduates a month in order to have 9,000 | | | | Veronique Weill, head of operations at |
| total positions in front and back-office | | | | J.P. Morgan's investment banking |
| positions by 2008, which includes | | | | division, "The quality of the people we |
| complex derivatives settlements and | | | | hire is extraordinary and their level of |
| structured finance transactions. The | | | | loyalty to the company unbeatable," when |
| remaining approximately 4,000 - 4,500 | | | | referring to the hiring of employees in |
| employees J.P. Morgan employs will be | | | | India. Funny, but that's what used to be |
| divided between Bournemouth, England and | | | | said about American workers. Perhaps the |
| New York, NY, although the ratio between | | | | American worker's biggest error was |
| both countries was not | | | | requiring a decent wage for quality work |
| disclosed.Similarly, Intel will invest | | | | done. And others would argue that maybe |
| $1.1 billion in India over the next 5 | | | | it was their expecting U.S. companies |
| years, with $800 million dedicated | | | | would prefer them over foreign labor. |
| specifically for research and | | | | Tragically, greed, under the guise of a |
| development operations and other | | | | global economy was the error, committed |
| projects including chip design, also in | | | | not by U.S. workers but by U.S. CEO's, |
| Bangalore, according to Chairman Craig | | | | and condoned by the U.S. |
| Barrett. Although Intel will also | | | | government.Copyright (c) 2005 Diane M. |
| explore expanding its manufacturing | | | | GrassiDiane M. Grassi is a freelance |
| prospects in India, its present | | | | columnist, reporting and writing |
| investment will largely be for more | | | | commentary on current events of the day |
| complex high-value work as opposed to | | | | providing honest and often politically |
| just technical support and call-center | | | | incorrect assessments.From U.S. public |
| jobs, which most IT firms offshore | | | | policy to Major League Baseball, she is |
| today.Other firms following this latest | | | | an eclectic thinker, and demanding of |
| trend are Cisco Systems, the world's | | | | her readers to reflect on their own |
| largest maker of internet equipment, | | | | thinking patterns from an alternative |
| which announced in October 2005 that it | | | | perspective. Whether you agree with her |
| would invest $1.1 billion in India, | | | | or not, Diane M. Grassi will have you |
| tripling its work force to more than | | | | coming back to note her opinions, and if |
| 4,000 from 1,400 in the next three | | | | at best she wakes you up, then her goal |
| years. It too will have research and | | | | will have been accomplished.Ms. Grassi |
| development located in Bangalore. And it | | | | is featured with the online |
| is likely that more of the banking | | | | publications: The New Media Journal; |
| industry will soon follow J.P. Morgan's | | | | American Chronicle; the Federal |
| lead such as Goldman Sachs & Co. which | | | | Observer; Opinions Editorials; the |
| may double its staff to 1,500 in | | | | Conservative Voice; the Las Vegas Penny |
| Bangalore.Microsoft Chairman Bill Gates | | | | Press; Mich News; the Sierra Times as |
| is expected to invest $400 million in | | | | well as several others. She also writes |
| Hyderabad, India where he plans to hire | | | | regular columns on Major League Baseball |
| several hundred workers. Gates has been | | | | where she is a featured online columnist |
| outspoken, with his statement in April | | | | with The Diamond Angle Baseball Ezine |
| 2005, citing that there were not enough | | | | and Sports-Central.org. She can be |
| U.S. college students majoring in | | | | reached at . |