Phil for Humanity Phil for Humanity
A Guide for the Survival of Humankind and Helping the World, Society, and Yourself.

Unemployment: Outsourcing and Offshoring

Currently, unemployment is unusually high in the United States and shall remain so for the foreseeable future. The main reason for this high unemployment is widely believed to be job outsourcing or sometimes referred as offshoring. Since not all jobs leaving the U.S. necessarily means literally going offshore, outsourcing is the preferred terminology for jobs leaving a country and going to another less expensive country.

Job outsourcing is a double edge sword. Meaning it has both advantages and disadvantages. The two most common good examples of why outsourcing is good is because it increases the profits for companies and allows people to buy more for significantly less. However, this is only true for people that still have a job. Since unemployment is extremely high, fewer people are able to purchase cheaper goods. Yet as long as companies continue to profit, corporations are unlikely to change their outsourcing strategies. Even if a larger percentage of the American population can no longer afford their products because of unemployment, the worldwide market for their products is always increasing.

Even though unemployment has never been a problem in the United States in most of our lifetimes, it is now a major concern for everyone in America. One possible solution is to convert most of the workforce away from manufacturing and engineering that can be easily outsourced to cheaper countries to more service industries that must remain local, such as doctors, nurses, painters, home builders, inspectors, etc. Another possible solution could be laws to support job protectionism. Or perhaps a job stimulus package from the government could also help. Or maybe a combination of these three solutions would work better.

Whatever the solution that you may support, the U.S. Government does not seem to be interested in doing much to help the unemployment problem. This is probably because lobbyists and politicians are not really interested in helping the American people.

by Phil for Humanity
on 07/18/2010

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