Hi IBM!
I just want to give you a special thanks for your support to the American people during this time of economic distress.
It’s so nice to know that a profitable, American based company such as IBM, cares so much for the people, communities, and nation, that surround your headquarters!!
Kudos to IBM !!!
Subject: It’s IBM - International Business Machines, not American Business Machines
Subject: RE: It’s IBM - International Business Machines, not American Business Machines
Carl,
Thanks for YOUR support of America!!!
I hope you’re next
Subject: Are you under the impression that everyone in this forum is American?
I have friends who worked for IBM in other countries that were laid off, this is not just an American thing.
Thank you for your kind wishes for my personal future.
Subject: RE: It’s IBM - International Business Machines, not American Business Machines
Yes, it’s very depressing all the offshoring.
We are part of the problem. The companies are only giving us what “we” (in the general sense) want:
Either wanting to buy the cheapest socks at WalMart (I wasnt 12 pair for $5, not 1 pair for $5)
Or wanting your 401 k / Mutual Funds / RRSP / Stocks to go up even more because the company only made $1 Billion last quarter instead of 1.25 Billion if they offshore the work.
It’s important to remeber before we yell at the Kettle, to make sure we are not the pot.
(I admit, I am part of the problem)
It’s interesting to see what is happening in my work place as the IT work goes off shore. In a lot of cases because of frustration with the Black and White type support / development they get people are choosing NOT to develop new systems. Therefore the higher ups, see their IT cost droppping. Not so much because “off shore” is cheaper but because the amount of development is drying up.
This is NOT meant to be a knock against the “off shore developers.” They are doing the job as outlined to them. It’s just a case when you work close to your community and get to know them, you have a better understanding of their requirments / business. Therefore, when they want you to devlelop something you go beyond the specifications of the Work Request.
However, with the off shore work. Things tend to be absolute - the specs say this, so that’s what you get. Therefore if you ask for a field where someone can pick a colour and list the examples of red and green… That’s what you get (Red and Green). But in reality, client meant any colour, like Red, Green, Yellow, Blue, etc. Yes, it’s the fault of the specifications of the work request but it still frustrates the community such that when they get the application they then have to send it back to be “fixed.”
Therefore, rather than go through it again. They don’t bother.
Subject: RE: It’s IBM - International Business Machines, not American Business Machines
US companies say they need to offshore to compete in the global market.
I wonder how many US companies gave US workers a chance to also compete in the global market by means of offering pay cuts, benefit reductions, etc. so US workers could keep their jobs, by making the playing field more even.
Some companies do offer their workers a chance to compete by these means, others simply say the hell with America and ship jobs away without a care for the people who get hurt.
Has IBM made such offers to their employees before letting them go? I wonder how may IBMers would gladly take a pay cut to keep their jobs? I wonder if they were even asked?
It’s not just IBM, but all American companies.
If the US workers don’t have a chance to also compete in the global market, then the US worker is doomed.
Subject: RE: It’s IBM - International Business Machines, not American Business Machines
“US companies say they need to offshore to compete in the global market.”
Yes, exactly. The “Wall Street” type (who buy and sell stocks for our Mutual funds) look at a stock and decide if they are getting a good value for their dollar invested. Yes, a company maybe making a profit, but if they look at the cost such as employees and realize they could have made MORE of a profit if IBM lowered it’s employee cost. They will be less likely to invest in that stock. Therefore the value of IBM stock goes down.
Don’t for a second believe that I like this. I’d consider a pay cut too, like you suggested. But given the numbers I’ve seen I don’t think it’s possible to cut my pay enough.
I’ve seen (high level) #'s comparing the “offshore” employee cost vs U.S., Canada, and various European countries. Look at the India price charged vs the U.S. price charged for the employee hour worked the cost is about 30%.
I doubt very much someone is willing to have their job cut to only 30% of their current pay. I would even wonder if that would mean some people would get paid $0 and just get benifits?
Also, as I was trying to hint at in my last posting, I expect the companies are getting additional cost savings in less I.T. development. Therefore, if an employee took a 50% pay cut and made themselves competitive to the Overseas employee. The extra savings of less I.T. work is lost. Plus, how motative will that employee be at the lower rate of pay? Won’t they be out there looking for other work?