Most State Governments Shipping Jobs Overseas

[Judi Lynn]

July 15, 2004


THE NATION
Most State Governments Shipping Jobs Overseas
Union study finds that contracting tax-funded work to India and other low-wage nations is proliferating despite legislatures' efforts.

By Warren Vieth, Times Staff Writer


WASHINGTON — More than 40 state governments have contracted with companies in India and other low-wage countries to help administer new food-stamp and other taxpayer-funded programs, according to a study released Wednesday by a technology workers union.

The practice by state agencies of sending work overseas has proliferated despite efforts in many legislatures to impose restrictions on doing so, the study said, and foreign firms are becoming more aggressive in their efforts to win government contracts.

"Taxpayers clearly aren't informed," said Marcus Courtney, president of the Washington Alliance of Technology Workers, or WashTech, in Seattle. "Citizens don't necessarily know that their tax dollars are being spent overseas. This is being done quietly and secretly. Oftentimes, the state governments don't even know that this is going on."

In California, at least 11 companies specializing in "offshore" contracting are on the list of state government vendors, according to research commissioned by WashTech, an affiliate of the Communications Workers of America.
(snip/...)

http://www.latimes.com/news/nationworld/nation/la-na-statejobs15jul15,1,7347299.story?coll=la-headlines-nation
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[mhr]

1. Just One More Example Of How A Bush Policy Undermines Americans

For those that do not know, it is the official policy of the Bush administration to support and encourage outsourcing.

[dusty64]

4. I always thought

deliberately undermining the Country was treason, but lately that word ONLY applies to those who oppose this fascist regime and its state minions.

[patricia92243]

2. If Bush wants a constitual amendment - this should be one. government CANN

CANNOT send anykind of work to foreign coutries

[Kolesar]

3. Governments are not corporations, they should not behave as corporations

Corporations change or come and go with the markets. Governments serve a need that is invariant. Governments don't need to cut costs to compete with another government.

The idea that states send work overseas when there is unemployment at home insufferable. This is a great populist issue.

[thecrow]

5. My dears, what we have is a corporation running us

Smirky is an ex-governor who previously was a corporate head with a string of corporate failings behind him.
What did you expect him to do?
I agree that in this economy (or any economy for that matter) we SHOULD NOT BE SENDING GOVERNMENT WORK OVERSEAS.

Vote Kerry and end this madness!

[judge_smales]

6. I see your point- BUT:

There is a complicating factor. This administration has been cutting and cutting the funding that it provides the States, thus reducing thier income. Yet the amount of work that needs to get done is indeed invariant. So what do they need to do? Cut costs of course. And as a cost-cutting strategy off-shoring is far less damaging to a States citiczens than cutting services.

So, what to do?

[AussieInCA]

9. yeah more but

you pay an offshore service firm guess what... no local taxes on them, and their workers are not part of your community..so it is an exporting of cash without any of the money going back into the local community.

So less employment and spending domestically by labor means decreased government revenue too....more cost cutting.


How much revenue (taxes) are collected from an offshore firm? zero.

[Beacho]

7. I ntroduced a plank in the Pierce County Dems platform

calling for a ban of ALL public funds going overseas.

I recomend all DUers from the all fifty states to raise the issue with their state reps.

Just ask them ifthey believe in getting people off of welfare. If they say yes, then ask them why they are shipping a perfect opportunity to do so overseas.

[icymist]

8. From the Seattle PI: Most states send work offshore

Thursday, July 15, 2004

Most states send work offshore
Governments often don't know how much, study finds

By JOHN COOK
SEATTLE POST-INTELLIGENCER REPORTER

Technology service companies and call-center operators with facilities in India, Mexico and Russia have secured contracts with nearly every state, although many government officials are unaware that the work is being sent offshore

<snip>

Mattera, director of the Corporate Research Project of Good Jobs First, a Washington, D.C., non-profit that analyzes companies and industries, said obtaining information about offshore contracts is difficult because most government agencies do not track where the work is going.

"State governments usually don't ask information technology contractors where they will perform the work, thus they are unaware when a company performs the work offshore or uses an offshore subcontractor," Mattera said. "The states are also unaware that many vendors that appear to be domestic companies are actually just representative offices for offshore vendors."

The study, titled "Your Tax Dollars at Work ... Offshore: How Foreign Outsourcing Firms Are Capturing State Government Contracts," was released a day before the National Governors' Association annual meeting, which begins in Seattle tomorrow.

<snip>

But legislation that is making its way through Congress could affect DSHS' ability to enter partnerships with offshore vendors.

The House approved an amendment this week that would prevent federal funds from being used in food-stamp programs if any of the work is conducted overseas.

http://seattlepi.nwsource.com/business/182138_outsource15.html