Disadvantages Of Outsourcing Australia

Improved Essays
Dear Paula, I agree with you when you say that outsourcing is one of the features to consider in the company policy. But, if the enterprises are looking for hire people overseas, here is when the low cost could be a trap.
As an instance of this is whether all the companies decide to make it outside of Australia. The result in the full employment assumption rate, in the Australia, will be terrible. Because many national workers will have to change their jobs or will lose it. It means a contraction in the economy, and of course, the low cost in those resources will make a high cost in other areas. (P Hira, R., and Hira, A., 2008,p.96)
Furthermore, the labour distribution in Australia will make that the employee qualified in one area, have to

Related Documents

  • Great Essays

    The Truth behind the Business Strategy of Outsourcing The United States is one of the richest countries in the world, admired by other countries because of its strategic level of productivity and consumerism. To maintained the United States high demand, the country must adopt and develop new innovations in order to compete with other markets. Because the goal of most businesses is to create profit, the United States is one of the main countries to take their business to cheaper markets with the objective to increase profits by reducing labor cost and operating expenses. Outsourcing means “the usage of outside vendors to produce goods or fulfill services and functions that were previously handled in-house or in-country” (Boone & Kurtz, 2015).…

    • 1324 Words
    • 5 Pages
    Great Essays
  • Improved Essays

    Outsourcing has given companies a way to reduce the cost of operations, labor wages and also taking advantage of the reduce corporate tax rates(). For example a US company contracting employees from India to handle services can pay the employee a fraction of the price that they would pay an employee based out of the US. Another reason why companies have elected to outsource is because it has given them the opportunity access and hire world talent to handle their services; if a company is not an expert with a specific area such as IT and human resources (HR) they can contract an outside company to handle these services at a reduced rate. These key components listed leads to another main reason which is flexibility.…

    • 1175 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    Australian Labour Market

    • 1112 Words
    • 5 Pages

    z“Describe and account for recent trends in the Australian labour market!” INTRODUCTION The labour market (the market in which employers and employees interact to sell labour for wages) is a crucial part of an economy. For employees, it is crucial that the labour market provides them with their main source of income, and for the firms, their costs (and thus their profits) are also based on the labour market setting wages.…

    • 1112 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    Moreover, as people lack jobs, they begin to perceive low quality items, as acceptable. This new perception can be great or bad news for international businesses, depending on their products and their prices. Those international businesses which tend to be bring products into the new market (country) that are cheaper than their domestic items, will be secured for business as their products will become more appealing to the consumers and less competitive than the native, Australian ones. On the other hand, more expensive businesses, will experience the struggle of persuading consumers that their precious money will not be going to waste. Adding on, certain international businesses that are lurking for employees, might move to Australia, as…

    • 924 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    Introduction: After five years negotiation, Australia as the twelfth country, finally joined the TPP at this October. The prime minister of Australia, Malcolm Turnbull said(http://www.smh.com.au/federal-politics/political-news/malcolm-turnbull-welcomes-tpp-as-gigantic-foundation-stone-for-economy-20151006-gk2fko.html) : “It is a gigantic foundation stone for our future prosperity.” However, Australian Super chairman Heather Ridout said:“the country "will regret" signing away sovereignty over government policy in the Trans-pacific Partnership agreement. ”(http://www.afr.com/news/economy/trade/tpp-australia-will-regret-signing-away-rights-says-heather-ridout-20150701-gi28e7 ) What is PPT?…

    • 1140 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    The loss of jobs, whether to outsourcing or inventions, has been a re-occurring issue in America since the early 1900’s. In the 1900’s, most Americans worked on farms. The farmers thought that the invention of machinery was going to end the need of farming when actually it was just the opposite. Machinery created the need for many new and highly skilled blue-collared professions. Then when manufacturing went overseas because it was cheaper to manufacture products outside of America, our economy stabilized, we created more productivity of these products and more highly skilled white-collared service jobs.…

    • 762 Words
    • 4 Pages
    Improved Essays
  • Decent Essays

    Outsourcing America, in my opinion, has been bad, as someone who was a displaced worker at one time due to the company that I worked for closing down and moving to Mexico. The benefits of outsourcing have been enormous. For workers in poverty ridden countries, it has meant jobs and fast rising standards of living. For some industries, lower labor costs have brought higher profits. Modern consumers are enjoying access to more goods at lower prices.…

    • 381 Words
    • 2 Pages
    Decent Essays
  • Improved Essays

    Ageism In Australia Essay

    • 551 Words
    • 3 Pages

    We are only now starting to understand what a terrible waste of human capital this situation represents; a loss to the national economy and to businesses large and small, and a loss to the individual who is pushed out of the workforce prematurely. (PLACE A QUOTE HERE) Many older Australians are choosing to remain within the workforce for longer to enhance their financial security and to ensure an adequate standard of living during a historically longer duration of retirement. We must not fall into the trap of viewing an ageing population as a burden. ‘Older people’ will be critical to maintaining the economic growth and underpin the advances in our standards of living and quality of life.…

    • 551 Words
    • 3 Pages
    Improved Essays
  • Decent Essays

    The amount of outsourcing in America has greatly increased over the years since the first real use of outsourcing in the 1970’s/1980’s. This increase in outsourcing hit its highest once the 21first century started, and has ceased to decline since. I found this topic interesting many years ago, and first learned of it through my father. I expanded my knowledge through the news, online articles, and debates over the issue. I plan on presenting my issue to new unfamiliar audiences by defining what outsourcing is, how it’s done, who it affects, and how it affects them.…

    • 249 Words
    • 1 Pages
    Decent Essays
  • Decent Essays

    Technology Vs Rosonia

    • 202 Words
    • 1 Pages

    Rosonia, great post this week. We both mentioned a few of the same things in our post this week regarding factors that will differ outside of the United States like workforce and technology. I agree with you because both of these factors do affect the workforce. People deal with things differently than we do outside of the United States and we have to be prepared to deal with that in order to have a good working relationship with others all over the world. This will help both sides of the companies and the employees too.…

    • 202 Words
    • 1 Pages
    Decent Essays
  • Improved Essays

    Age Pyramids Essay

    • 1384 Words
    • 6 Pages

    With 7 billon plus people on the earth coming and going there is a wide range of age from being young to being an elder. With an ever-growing population that continues to age it creates problems in the economy and society. As people tend to get older it becomes much harder for the older population to perform certain tasks that jobs would require such as speed. For some elders they start to lose mental capabilities crating struggles not for them but families as well. With the youth when entering the workforce not having any set experiences or having proper education.…

    • 1384 Words
    • 6 Pages
    Improved Essays
  • Improved Essays

    Employees in the US may raise concerns that a business may be jeopardizing the health of low income workers in foreign nation without providing proper safety and protection to workers who will inherit the US based jobs. On the contrary, from a foreign employee standpoint they may see working on an off shore…

    • 485 Words
    • 2 Pages
    Improved Essays
  • Improved Essays

    The outsourcing of jobs from the United States to other countries, has been on the rise for over the last two decades. Outsourcing is a company providing a service that is cost effective. External companies, that provide a service, may not always be outside the country, in most cases, they are in other countries due to the low cost of labor. Outsourcing is defined as, the act of one company contracting with another company to provide services that are normally done by in-house employees. Companies now outsource jobs such as call center services, customer service, technical support, distribution and payroll services to other companies.…

    • 841 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    Outsourcing Trends

    • 1566 Words
    • 7 Pages

    Briefly describe the technologies that are leading businesses into the third wave of electronic commerce. The key technologies that are leading businesses into the third wave of electronic commerce include mobile phones and tablets along with high-speed networks that allow users to access the Internet and smart cards and radio frequency identification devices (RFID) that are being used with biometric technologies such as retina scanners and fingerprint readers. In about 100 words, describe the function of the Internet Corporation for Assigned Names and Numbers. Include a discussion of the differences between gTLDs and sTLDs in your answer.…

    • 1566 Words
    • 7 Pages
    Improved Essays
  • Improved Essays

    It also eliminates some conflicts with the workers and decreasing some wasteful activities such as payroll processing. Outsourcing can makes management team to devote its attention to refining…

    • 840 Words
    • 4 Pages
    Improved Essays