[Update: A commenter tells me that the Boston Herald is unreliable and has its own agenda (sorry, didn’t know), so I wanted to offer other sources for the same story here and here and here. The co-author of the study is Nobel Prize-winning economist Dr. Lawrence R. Klein, founder of Wharton Econometric Forecasting Associates. This is not just a Boston Herald story.]
I hope word spreads that the outsourcing threat is a myth, and that more IT jobs in India and China will not spell doom for America’s IT workforce. From the Boston Herald today:
Outsourcing white-collar jobs to low-wage countries such as India and China has thrown some Americans out of work, but a new report predicts that the trend will ultimately lower inflation, create jobs and boost productivity in the United States.
The Information Technology Association of America, in a survey set for release Tuesday, acknowledges that the migration of tech jobs to low-paid foreigners has eliminated 104,000 American jobs so far, nearly 3 percent of the positions in the U.S. tech industry.
Software engineers have been particularly hard hit. Researchers at Global Insight Inc., which prepared the report for the ITAA, predicted that demand for U.S. software engineers would shrink through 2008.
But ITAA leaders emphasized that outsourcing has damaged the job market far less than the dot-com meltdown of early 2000, when Internet startups, telecom companies and other companies eliminated as many as 268,000 positions.
“The myth is that we’ve started this long decline into the midnight of the technology work force,” ITAA president Harris Miller said. “This report shows that, assuming the recovery continues, the number of IT jobs will actually increase.”
I hope the Dems decide not to make this a centerpiece for their platform. It’s way too wobbly an issue.
Richard Burger is the author of Behind the Red Door: Sex in China, an exploration of China's sexual revolution and its clash with traditional Chinese values.