Why Outsourcing is Good for America

It is no secret that China has already become a major importer of consumer and industrial products. In a short time, India is most likely to do the same. Outsourcing has really proved successful in history. Back in the early nineteenth century, the United States was a poor developing nation. The European capital helped in financing our railroads, canals and even new factories while workers in the United States started to produce products that competed with European production. Since the markets were relatively open and also competitive, Americans and Europeans benefitted greatly from the process. Job creation and economic growth took place on both sides of the Atlantic Ocean. Presently, service providers abroad require American made computers, software, telecommunications and equipment. These countries also obtain financial, legal and marketing services from the United States.

There are some jobs that simply cannot be outsourced because personal contact is important in some business activities. It will take domestic companies to tailor new products and or services to the needs of local clients or customers. Yes, a lot of the people we work with regularly remain really close by – we normally don’t take long trips in order see our dentist, lawyer or doctor unless we want to for reasons best known to us.

The United States Labor Market

You will notice after sometime that more new jobs will be created than outsourced in the United States. The United States has a very open labor market – this characteristic is basic to the country’s economic vitality. About 1,000,000 employees are tired or simply quit every week and an equal number is immediately hired in their place. Agreed, it is much harder to lay off employees in Japan, Europe than in the United States. Although, due to the present global financial crisis, employers are a little bit reluctant to take on new workers. In striking contrast, employers in the United States are much more likely to employ personnel – and they usually do. Also keep in mind that a lot of foreign companies still come to set up operations in the United States and hire Americans to work in theses offices.

So, it is very simple: the United States is a country that creates new jobs than Japan or Europe combined. America also has the highest proportion (about 66 percent) of the population in the labor force of all industrialized nations – the United States unemployment rates are really below Europe’s.

Daven Michaels is an award-winning outsourcer and author of the book, ‘Outsource This!’ Daven has been honored more than any other individual or outsourcing organization. You can get more information on outsourcing by visiting www.123Employee.com