Failed Bush policy -
over-invested in high-cost geographies like
the U.S.
by
Mike Crane
The Bush Administration claims that
sending jobs to foreign countries is "good for us." Well here is
another example of just how failed the Bush polices are. The article
below shows another American high tech company moving their future
expansion to foreign countries.
The spin offered by Sun
Microsystems is very clever, they are "over-invested
in high-cost geographies like the U.S." - but
are "underinvested in low-cost
geographies like India."
But looking at their statements, this could be written in
other ways also! For example:
underinvested in low-cost geographies like China, Russia and
the Czech Republic
I am sure that every American is very
excited about American companies making major investments (read
jobs) in China. Now Bush tells us that this is
good for us! That
when American companies make major investments in foreign countries
it creates more jobs here than in the foreign country!
Well someone at Sun Microsystems forgot
to get their required education from President Bush. Look what Sun
Microsystems has to say about the effect on jobs in our country:
but won't hire many, either.
So Sun Microsystems will hire thousands of
high tech workers in India, China, Russia and the Czech Republic but
here in our country - "won't hire many."
President Bush not only tells us that this is
good for us
but that it creates more jobs. Someone is not telling the Truth!
But read the Sun Microsystems statement
again. The following is very important:
company's plan to consolidate
its worldwide research staff in those places
They are moving their research and
development to a foreign country. When they develop new products
where do you think that they are going to build and produce those
products? But don't worry, Bush will tell us that this is
good for us, so we should
not be concerned! President Bush expects you to believe that
developing and producing products in foreign countries creates more
American jobs than if these products were developed and produced
here!
But then we should not complain about a
company like Sun Microsystems doing the same exact thing that both
the Republican National Committee and President Bush did in their
campaigns last year (see:
India claims big election victory and laughs
at Americans):
"He retained the services of Noida-based
HCL eServe (the BPO arm of India-based HCL Technologies.) Its
operators thereafter spent quality time, calling up American
citizens to support GWB Jr for President and to also contribute to
the Republicans."
And the Republican National Committee demonstrated their
strong support for American workers also:
"As for its getting the names of
voters from such a distance, that was thanks to a database
provided by the Republican National Committee (RNC), the party's
premier political organisation."
Day by day, month by month, this trend continues. Actually
both major parties are just as involved in this steady drain on our
country's future, but the Republican leadership has taken the lead
in promoting outsourcing.
Here in Georgia (see:
Your Tax Dollars At Work...Offshore) we even have tax
payer dollars being used to send American jobs to India! If you pay
taxes in Georgia you are supporting putting some Americans on
unemployment, and then paying more for the impacts of unemployment
on our society. One example of Georgia tax dollars sending jobs to
India follows:
Georgia Department of Revenue
HCL Technologies; $638,000
In May 2003 HCL Technologies was awarded a $638,000
contract to "obtain an integrated solution to the development of
a web-based statewide case tracking system to assist in
suspected fraud investigations." State officials say they don't
where the work is being performed.
Interesting ...
This Georgia tax dollar contract was signed during the
Administration of Republican Governor Sonny Perdue. It is using the
same India corporation that the 2004 Republican National Committee
and President Bush used. Now putting this in perspective - how many
Georgians support using their tax dollars to send jobs to India?
Probably about the same percentage of Americans that are excited
that George W. Bush and the Republican National Committee used India
to do their campaign calls instead of Americans.
Also interesting was the statement by the Georgia Department
of Revenue that they did not know where the
work was being performed. The web site for HCL Technologies is:
http://www.hcltech.com/offsourcing-default.asp. A very brief
look at this web site presents the image on the right. I find it
hard to believe that any sane adult with even minimal level of
intelligence would have trouble figuring out what the image means.
Either the Georgia Department of Revenue officials are falling a bit
short of telling the Truth or do not have the brains God gave a
goat!
Even more interesting or perhaps disgusting is the fate of
Senate Bill 12 (see:
Legislative Agenda - SB12 Prohibit tax paid outsourcing)
in this years Legislature. This bill would restrict "future"
outsourcing of Georgia tax dollars to send jobs to India. In a
Republican controlled State Senate it was killed in committee. Did
not even rate a public hearing.
Outsourcing is not only a national problem, it is a Georgia
problem. It is a complicated issue - but you can take it to the bank
that it is going to get worse - until you the citizens demand
reasonable solutions. The longer you wait, the bigger the hole we
will be in.
In the meantime President Bush and even Sonny Perdue will
continue to tell us - that outsourcing jobs is
good for us.
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Sun Microsystems Expands 4 Facilities
By S. SRINIVASAN
Associated Press Writer
BANGALORE, India — Sun
Microsystems Inc. said Friday it is expanding four of its
engineering facilities outside the United States to save on
costs, though the computer and software maker has no plans to
cut additional jobs at its Silicon Valley hub.
The four research and development centers are in the Indian
city of Bangalore, the Chinese capital of Beijing, Russia's
St. Petersburg and the Czech Republic capital, Prague.
"We are over-invested in high-cost geographies like the
U.S., and underinvested in low-cost geographies like India,"
Stephen Pelletier, the company's senior vice president of
global engineering, told reporters in Bangalore.
Pelletier said the company will not lay off programmers in
the United States — but won't hire many, either.
"We are not pulling out," he said. "We are going to have a
big presence in the Silicon Valley for a long time."
But the ability to quickly hire a large number of
programmers in India and other low-cost locations justified
the company's plan to consolidate its worldwide research staff
in those places, he said.
The company has reduced its staff to about 30,000, from
roughly 43,000 four years ago. However, it has cash reserves
of $7.5 billion — enough for expansion.
Sun Microsystems, headquartered in Santa Clara, Calif.,
employs nearly 1,000 software engineers at its Bangalore
center — a number that will double in two years, Pelletier
said.
The other three centers will see similar growth in employee
numbers, Pelletier said, without giving details.
Scores of multinational firms outsource software
programming, engineering design and routine office functions
to countries such as India, where skilled workers are
plentiful and wages are low.
Sun Microsystems, which thrived through the 1990s Internet
boom, has fallen on tough times in recent years. It has sought
ways to control rising costs, particularly in research and
development.
____
On the Net:
Sun Microsystems:
http://www.sun.com
Source: http://ajc.com/business/content/shared-gen/ap/Finance_General/India_Sun_Eastward.html |
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