Search
 

Remember outsourcing? Tech companies do

From an American worker's perspective, there's some comfort that Apple and Amazon are considering additional campuses in the U.S. But nobody should expect this to be a permanent state of affairs.

By Conor Sen | Updated on January 24, 2018
The geography of employment in the U.S. has become too imbalanced, with high-paying technology jobs centered in the San Francisco Bay Area and Seattle while the rest of the country has struggled. (Photo: Shutterstock)

Despite the best labor market in a generation, Americans remain worried about the future of employment. Lately, the big worry is automation of jobs. Experiments like Amazon Go’s cashier-less store will perpetuate this anxiety. Americans perhaps should be more worried about an old-fashioned employment maneuver, however: outsourcing. The tech sector is already leading the way.

Related: 5 global workforce trends to watch in 2018

Outsourcing tech jobs is nothing new. Fairchild Semiconductor, perhaps the foundational company in Silicon Valley, opened its first Hong Kong factory in 1964. Two years later the company had more employees in Hong Kong than in California. Semiconductor production shifted to Asia decades ago, and iPhones are assembled there by Foxconn as well. IBM now has more employees in India than in the U.S.

The tech sector’s recent steps in outsourcing were foreseeable. The geography of employment in the U.S. has become too imbalanced, with high-paying technology jobs centered in the San Francisco Bay Area and Seattle while the rest of the country has struggled.

Complete your profile to continue reading and get FREE access to BenefitsPRO.com, part of your ALM digital membership.

Your access to unlimited BenefitsPRO.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical BenefitsPRO.com information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
  • Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com

Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Recommended Stories

BenefitsPRO Broker Expo 2025 (BPRO)Event

The premier educational and networking event for employee benefits brokers and agents.

Get More Information
 

BenefitsPRO

Join BenefitsPRO

Don’t miss crucial news and insights you need to navigate the shifting employee benefits industry. Join BenefitsPRO.com now!

  • Unlimited access to BenefitsPRO.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com
  • Exclusive discounts on BenefitsPRO.com and ALM events.

Already have an account? Sign In Now
Join BenefitsPRO

Copyright © 2024 ALM Global, LLC. All Rights Reserved.