Lost your job? Don't look overseas

by Guest Contributor | Jun 11, 2004 1:30:00 PM

Tags: Guest Contributor

Takeaway: Labor Department stats: Very few layoffs linked to offshoring, most fears are in projections.

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By Ed Frauenheim
CNET News.com

A tiny fraction of workers hit by mass layoffs earlier this year lost their jobs because of "offshoring," according to research released Thursday by the U.S. Department of Labor.

The department said that in the first quarter, 4,633 nonfarm workers in the private sector lost their jobs for at least 31 days due to the shift of work outside the country. That was less than 2 percent of the 239,361 workers affected by extended mass layoffs, according to the department.

The study will likely add fuel to the debate over sending technology jobs and other work abroad, which critics blast as threatening the nation's economic future and defenders call a healthy development. Until now, much of the debate over offshoring has been based on projections. These include an estimate from Forrester Research that 3.4 million jobs will move overseas in the next 11 years.

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The Labor Department's report reflects current information, with data based in part on unemployment insurance claims. But there are limits to the new study. The statistics reflect layoffs only at companies employing at least 50 workers, where at least 50 people filed for unemployment insurance during a five-week period and the layoff lasted more than 30 days.

Questions on job loss related to the movement of work were added to the Labor Department's research program in January, amid nationwide anxiety about sending work abroad.

Among the concerns surrounding the offshore trend is that the flow of programming and other technology work overseas, combined with problems in the U.S. educational system and decreasing investment in research and development, puts the country's technical prowess in jeopardy.

But technology leaders have countered that sending work to lower-wage nations is good for the U.S. economy and that protectionist measures would result in lower economic growth and higher unemployment.

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Backlash against offshoring may be misplacedNewsletter Editor  | 06/11/04

Our GovernmentComputerPerceptions.com  | 06/11/04

you are so correctZenWarp  | 06/11/04

Democrat??Bryce White  | 06/11/04

Republican??ZenWarp  | 06/11/04

Why do Democrats feel that they can generate fa...The Admiral  | 06/14/04

Why do republicansZenWarp  | 06/14/04

I suppose you believe all the crap the governme...guy_juga@...  | 06/11/04

ignorance . . .ZenWarp  | 06/12/04

Share your knowledgedmwoodcock@...  | 11/17/04

Just look at this MS pagejbertino@...  | 06/11/04

Strange - More Offshoring happeningrfinley@...  | 06/11/04

does that mean we should . .ZenWarp  | 06/11/04

Say what you like...Zguy28  | 06/11/04

smell the coffee and wake upZenWarp  | 06/11/04

Tax cut complaints.Makatsuta  | 06/11/04

not suprising at allZenWarp  | 06/11/04

What companies?Bryce White  | 06/11/04

Where are the jobs?ZenWarp  | 06/11/04

The company names you asked forBanshee89  | 08/03/04

Microsoft has thousands in India?Hare_Haray  | 06/15/04

Not Blaming Bushdmwoodcock@...  | 06/11/04

In Re: Not blaming BushZenWarp  | 06/11/04

Lawn Jobjbertino@...  | 06/11/04

pricelessZenWarp  | 06/11/04

Half Agreedmwoodcock@...  | 11/17/04

Offshoring Trend Began ...borsitsebjb@...  | 06/14/04

and then spun out of control since 2000.ZenWarp  | 06/14/04

Missing the Heinz/Offshore pointtelemoondo@...  | 08/24/04

Liars figure and figures liealleycatvt  | 06/11/04

Liars they areZenWarp  | 06/11/04

On Target and thanksjames_m_woolley@...  | 07/08/04

Slanted statisticsElama  | 06/11/04

Slanted sham election circa 2000ZenWarp  | 06/11/04

offshoring backlash right or wrong?cab@...  | 06/11/04

Capitalism run amuckZenWarp  | 06/11/04

Dittodmwoodcock@...  | 06/11/04

Hi, interesting discussion. Same thing is happe...eeuwen.ky@...  | 06/11/04

Negatief effect van globelizationZenWarp  | 06/11/04

Oops, a reply and word of supporteeuwen.ky@...  | 06/14/04

"non-farm"Chiphead2K  | 06/11/04

non-essential more like itZenWarp  | 06/11/04

What are you talking about?mndvf@...  | 06/11/04

No me gusto de nadaZenWarp  | 06/11/04

Y es muy claro que tu no lo hablas: "Es muy imp...DC_GUY  | 06/14/04

No cuido lo que usted piensaZenWarp  | 06/14/04

Misplaced?sysdev@...  | 06/11/04

identify the real sourceZenWarp  | 06/11/04

Curious about motiveskhawkdfw  | 06/12/04

curiosity .. didn't that 'kill the cat?'ZenWarp  | 06/12/04

Choicedmwoodcock@...  | 06/11/04

and the list goes on and on and onZenWarp  | 06/11/04

Voodoo MathRossB@...  | 06/11/04

Republican VooDoo economicsZenWarp  | 06/11/04

Thanks to companies like this and the local/cit...dmwoodcock@...  | 06/11/04

and here are the other links to check outZenWarp  | 06/11/04

Just observe the pattern, pleasejames_m_woolley@...  | 07/08/04

report as good as anti terror reportscooper@...  | 06/11/04

uselessZenWarp  | 06/11/04

What a crop of Crap!The Admiral  | 06/11/04

both lieZenWarp  | 06/11/04

And you trust a goverment report?.Lindsey_Henry@...  | 06/11/04

and you trust VooDoo statistics?ZenWarp  | 06/11/04

Ditto and more are going...DataType  | 06/11/04

there are even recruiting here for work in IndiaZenWarp  | 06/11/04

So what??Hare_Haray  | 06/15/04

??Hare_Haray  | 06/15/04

Have you ever read the book "How to Lie with Statistics"?Doin_My_Time  | 06/11/04

Too many!!ZenWarp  | 06/11/04

nothing newjohnivins@...  | 06/11/04

Yes I do buy American made but . . .ZenWarp  | 06/11/04

maybe that's this year's 1Q....jp5472  | 06/11/04

Anyone have figures just for IT?DataType  | 06/11/04

Go figure linksZenWarp  | 06/11/04

Excellent Responsekhawkdfw  | 06/12/04

That is so very right onZenWarp  | 06/12/04

1.4 million created - this yearJimHM  | 06/11/04

K R A P read all about IT!ZenWarp  | 06/14/04

You sound like an uphappy high school drop outJimHM  | 06/16/04

NOT! Have Masters degree can talkZenWarp  | 06/16/04

You Sound like the old automative industry - America builds the BestJimHM  | 06/17/04

To answer your other questionsJimHM  | 06/17/04

About those numbersworker bee  | 06/11/04

here they are (numbers)ZenWarp  | 06/14/04

Numbers Lackingworker bee  | 06/14/04

So blatantly false, what can we believeHowardP@...  | 06/12/04

Labor figures are like the Unemployment ratetjohn1@...  | 06/12/04

Not governmentmaxwell edison  | 06/12/04

offshorejmarino@...  | 06/15/04

need help in finding JDE Developers in Tx for Job Positionrobert@...  | 06/15/04

Loads are blaming Bush - but it was Clinton and NAFTAJimHM  | 06/16/04

IT rolls downhillmsdamico@...  | 06/23/04

Just more BS from current Gov.ZenWarp  | 06/11/04

Wow I dinno you are owed a jobGarion11  | 06/11/04

anti-capitalist workerZenWarp  | 06/12/04

sighGarion11  | 06/12/04

why sigh! you missed the markZenWarp  | 06/12/04

LOL, lets try this again.Garion11  | 06/12/04

A2 LOL once again >An organiz...ZenWarp  | 06/13/04

You just graduated college, didn't you?Garion11  | 06/13/04

just more dribble from ....ZenWarp  | 06/14/04

Bush did not start this messoprensr@...  | 08/26/04

You wrote an article based on these stats?rrr999@...  | 06/11/04

here ; here, very good analysisZenWarp  | 06/11/04

It's not about who is President...Dilbert-Tom  | 06/14/04

I'll Second Thatborsitsebjb@...  | 06/14/04

Thanks for the insightZenWarp  | 06/14/04

The last Quarter?svlloyd2@...  | 06/11/04

Supporting Treason ?Dilbert_Envy@...  | 06/13/04

Step away from the TVJamesRL  | 06/14/04

Yep, personal respsonsibilityND_IT  | 06/14/04

Get Over it??IT Lifer  | 06/14/04

Not all of the challenge is outsourcingJamesRL  | 06/14/04

IT-only statsweblink  | 06/14/04