Outsourcing Can Help America Research Paper Example | Topics and Well Written Essays - 2000 words

Outsourcing Can Help America - Research Paper Example Whether American residents like it or not, outsourcing has become a glaring reality to the American people. Many American have lost their jobs because of the outsourcing phenomenon. The research delves on the many advantages of outsourcing American jobs to other countries. Outsourcing can be interpreted as good for American business and America as a whole. First, American companies can generate more salary savings. Companies pay the salaries of their employees. When hiring an American employee, the American companies must comply with American labor laws. The labor laws indicate that the company must comply with the minimum wage law. The minimum wage law gives different rates for each job classification. The minimum wage law was instituted in order to prevent the proliferation of abusive sweat shops. The International Labor Organization spearheaded he establishment of minimum wages in many countries. Consequently, different countries have different minimum wages. Likewise, different c ountries have different wage laws (Neumark 20). The scene shows that the United States minimum wage continued to increase through the years. The minimum wage during 1974 was $2.00 per hour. The minimum wage during 1978 was $ 2.65 per hour. The minimum wage during 1990 was $3.80. The minimum wage during 1997 was $5.15. The minimum wage during 2007 was $5.85. ... The law does not apply or infringe on the minimum wage laws of other countries. China has a lower minimum wage law amount compared to the United States. India has a lower minimum wage figure when compared to the United States minimum wage. Consequently, American companies can take advantage of the other countries lower minimum wage laws (Neumark 25). India continues to be the leading outsourcing destination. The company can hire an India company to do the call center jobs that American can do. With the current information technology advances, people anywhere around the world can communicate with one another live. The use of the internet has ushered in the chat technology and video conferencing technology. Under the new technology, an India call center company can take the calls of the American companies’ online current and future customers. American companies can hire the India companies to sell goods and services of the United States companies’ products online. There a re many outsourcing country destinations. South Africa’s outsourcing costs is higher than India’s outsourcing costs. The Russian outsourcing situation indicates there are more language barrier issues when compared to the English speaking India employees. The Czech Republic outsourcing cost is higher than India’s outsourcing cost. Malaysia’s outsourcing employees has lesser talent pools compared to India’s outsourcing source. Mexico’s outsourcing cost is higher than India’s outsourcing cost (Greene 20). The American companies’ customers would not know if the person answering their online or phone inquiries is working within United States or located in another country (Halvey 18). India has been known to be a