Do the House Bill No. 3596 or “Call Center and Consumers Protection Bill or known as Call Center Bill” that US President Barack Obama endorse to the US Congress is an election related move? Maybe or maybe not, for the US continuously facing suffering from serious financial troubles caused by the housing bubble in 2008. Also, trillions-worth of their taxpayers dollar were used to bailout ailing American Firms, and the number of jobless and lines for unemployment welfare remains a worry. As of December 2011, US has 13.1 million citizens were unemployed and represent a rate of 8.5% unemployment rate for the year 2011 but it certainly better compared to the 2009 unemployment rate which is 10%. But do you think this move can solves the problem of unemployment for US? Maybe we must know what the American companies say about outsourcing the jobs to countries.
Two Main Reason why American Companies do Outsourcing
-Cheap Labor Cost
Cheap Labor Cost takes place when the Company outsource the job to cheaper provider but with same output or maybe more accurate. The company will become Globally Competitive if they can employ many professional to do the job. How do companies do it? Here's a sample diagram.
The four Employee got same knowledge and skills in doing the job. Let's divide them.
three Employee pays $10 per hour each one Employee pays $30 per hour
If your the owner of the company, which group will you choose, A or B? Obviously you will choose the group A for you save $20 a hour, multiply it for the number of hours and numbers of employee how much will you save?
The House Bill No. 3596 was originally introduce by U.S. Rep Timothy Bishop with David McKinley, Gene Green and Michael Michaud. Do you think that this bill will help jobless people here at US? If this bill will be take place, it will be a disadvantageous to US companies and may end up in complete shot down and this will result to more job losses not only to the Philippines, India, Mexico, etc where they outsource the jobs.