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Outsourcing News : Article

EDS' speedy growth overseas offsetting layoffs

When Electronic Data Systems Corp. announced up to 20,000 layoffs in 2004, it had about 120,000 workers. That's roughly the same total it has today, with the layoffs more than halfway complete.

How did that happen?

The Plano-based computer services firm has been hiring as rapidly as it has been firing, filling up office complexes in India and China while it lays off workers in more expensive locales such as the U.S. and Western Europe.

In North Texas, EDS has about 7,400 workers, down from 7,700 in 2004.

Offshore outsourcing is old news, but the sheer speed of EDS' conversion into a truly global workforce is mind-boggling.

By 2008, EDS expects to have tripled its offshore labor force to about 45,000 while keeping its overall head count about even, all in the span of about three years.

Executives feel they have to move so quickly because customers want to take advantage of the lower cost of offshore labor.

Read entire article on WFAA.com

Posted: Tuesday, August 22, 2006

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