Survey Shows IT Budgets on the Rise as Jobs Head Offshore
Survey Shows IT Budgets on the Rise as Jobs Head Offshore
Posted 10/05/2011 at 6:46am
| by Paul Lilly
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Sending jobs offshore is more commonplace than ever in the tech industry. According to a recent survey, nearly two thirds -- 65 percent -- of tech firms outsource at least part of their business. Nearly one in four of these offshore jobs are for existing services, while another 20 percent said they use offshore services to manage their day-to-day operations.
The numbers come from the Society of Information Management (SIM) and are based on data collected from high-level IT workers at 275 companies, according to ComputerWorld. In addition to a culture of offshore hiring, the survey also revealed that IT workers tend to stick around with employee turnover averaging less than 6 percent.
In what can be seen as a positive sign for the IT field, budgets are finally returning to pre-recession levels, NetworkWorld reports. Some 83 percent of survey respondents said their 2011 IT budget either went up or stayed the same compared to 2010, and 85 percent said they expect their 2012 IT budgets to increase.
Image Credit: zayetech.com
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MrHasselblad
October 05, 2011 at 5:06pm
The sad fact is that the largest contributing factor to american jobs going overseas is the united states federal government - and it goes back numerous administrations. It started well before Clinton, yet Clinton was the largest contributor towards it. Also noting that every administration has contributed towards this problem since the 70's - all parties.
This is even a united states national security issue. That foreign citizens (and yes naturally even foreign governments) have all kinds of access to our tech - even when technically it is supposed to be considered a secret. Even planes costing hundreds of millions, and ships costing billions are "extremely reliant" upon tech that is ONLY made overseas.
america sold out a long time ago
Morete
October 05, 2011 at 4:32pm
It's those Teamster Unions that are driving all of those tech jobs overseas. lol
MrHasselblad
October 05, 2011 at 1:56pm
Isn't it great when people try to pull facts and stats out of a hat about companies such as Microsoft.
Consider the following... Microsoft's share in the overall operating system market - about ninety percent. Or perhaps the numbers of companies that use other Microsoft companies in (about) their daiily operations? Then there are the numerous devices which - since they don't have an "app" for progams like office (powerpoint, word, etc...) that are essentially toys.
Ironically for all of the Apple/Mac people out there who also insist the prices are so high due to the quality of the (eerrr) hardware... Look at where the Ipads are made and how many people Mac employes overseas. Considering the above mentioned marketing numbers (also published elsewhere) consider that Mac employs more than Microsoft overseas.
I'll stick with my tri-boot quad core laptop at 4.9ghz X4. The closest that Mac can offer isn't even half of that.
TechLarry
October 05, 2011 at 10:17am
AS soon as some big political/religeous event/war happens oversea's, the shit it gonna hit the fan in the US. And the odds are always pretty high of something like that happening over there.
BTW... Does the US still issue Visa's? If so, why?
praack
October 05, 2011 at 10:35am
yup H1B visa's are still issued - cap is 65,000 a year- no cap to those with Masters degree and above,
also exempt are any contractors working for a university or research firm
so there are well over 100,000 issued yearly
all the while us staff are made redundant
pretty sweet huh
microsoft is still one of the main users of the program
TechLarry
October 05, 2011 at 11:00am
As many Tech types as there are in unemployment lines (many from jobs going oversea's), that's just wrong...
praack
October 05, 2011 at 7:09am
what a strange title- it leads one to think there is a cause and effect model- yet in reality there is not.
IT budgets have to rise as win xp is eol and the enterprise must gear up to move to win 7
they are also rising as the offshore salary cost is close to the onshore cost now, the reasont to continue is no pension hit to the enterprise. THe hidden cost is also not figured into it- most companies now demand that first line support is handled by the business departments via "super users" only then can the help desk be contacted for second line -off shore- support.
deskside support in the enterprise? what's your grade level?
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