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Politics and IT: CIOs Grapple with Offshoring Legislation

McLean Report: Research Note


Offshore outsourcing (or offshoring) is a hot topic in the U.S. this election year. As the CIO, it's in your best interest to remain on top of the legislation, both instituted and proposed. Make sure you are prepared to mitigate the effects of this legislation as the politics unfold.

The Great Debate

Offshoring is the practice of hiring workers overseas, primarily to reduce labor costs. India is often cited as the primary location for offshoring, but such activities are growing in other countries as well, including China, Russia, Israel, and Ireland. Initially the focus was on companies that subcontracted their customer service call centers overseas. More recently, causing an even greater outcry, the focus has been on engineering and programming jobs.

The business community has made preserving the right to offshore a top priority. On the labor side, activists are lobbying for measures that...

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