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Sending jobs overseas is controversial in the best of times—and even more so when the recession is forcing layoffs all around.

Sending jobs overseas is controversial in the best of times—and even more so when the recession is forcing layoffs all around. Yet in the hunt to shrink overhead, outsourcing continues unabated, particularly in the IT sector. Problem is, classic destinations such as Bangalore aren't as cheap as they used to be. Competition there among foreign firms has pushed up local costs and staff turnover is high as well-trained employees jump to rivals. That's forcing clients to consider other places for outsourcing. From overlooked American cities such as Boise, Idaho, and Winnipeg to more exotic locales like Cluj-Napoca, Romania, or the Philippines' Iloilo City, dozens of areas around the world are trying to grab a slice of the outsourcing business.

Read entire article on Business Week

Posted: Tuesday, May 05, 2009

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