Member of the reality-based community of progressive (not anonymous) Massachusetts blogs
Via Blue Mass Group’s sharonmg, Lowell is listed as one of the top 5 metro areas in the nation slated to lose in this report, The Implications of Service Offshoring for Metropolitan Economies (PDF) from the Brookings Institute. Ouch. The report finds:
Twenty-eight metropolitan areas, with 13.5 percent of the nation’s population, are likely to lose between 2.6 and 4.3 percent of their jobs to service offshoring, higher than the average loss among the metropolitan areas studied. Five metropolitan areas—Boulder, CO; Lowell, MA; San Francisco, CA; San Jose, CA; and Stamford, CT—are likely to lose between 3.1 and 4.3 percent of their jobs to service offshoring between 2004 and 2015, while 23 others are likely to lose between 2.6 and 3 percent of their jobs. However, 158 metropolitan areas are likely to lose no more than 2 percent of their jobs as a result of service offshoring.
[…]
At least 17 percent of computer programming, software engineering, and data entry jobs are likely to be offshored in particular metropolitan areas.
Those numbers don’t seem too alarming, until you realize these are the jobs which employ the high-tech middle class. You can’t outsource cashering at Wal-Mart; but you can outsource your help desk, computer programming, and financial analyists. Shift the proportions of the job market from those that pay well to ones that do not, and you definitely have a recipe for hurt - not just for those unlucky 4.3 percent.
The answer lies somewhere between protectionism, and letting corporations do whatever they please. We have heavily leaned towards the latter in the last couple of decades of trade negotiations. As this trend worsens, I’ve watched the right wing decry Mexicans crossing the border and Lou Dobbs berate corporate outsourcing. Our trade policies have greatly contributed to both the illegal immigration and the outsourcing problems, and until we have leadership that is not bought and paid for by large conglomerates, that will not change.
It seems to me that promised policies to develop Massachusett’s renewable energy and biotech economy can’t come soon enough.
The report goes into federal and state policy decisions that might offset some of the negative impact, and is worth a read. As sharonmg says, it specifically calls for reform in health care to fix our broken, expensive private insurance system.
[powered by WordPress.]
42 queries. 0.529 seconds
February 14th, 2007 at 5:51 pm
The report makes a number of recommendation including, “A metropolitan area’s ability to develop new technologies, products, or services, or to make creative use of of those developed elsewhere, is what will afford it the best protection against offshoring. For example, if the information technology centers that this report has identified as most vulnerable to offshoring (e.g., San Jose, CA and Lowell, MA) are able to remain at the technological cutting edge, then offshoring will be less of a problem for them. So we have been challenged.
By the way, the U.S. Census, Lowell MA-NH Primary Metropolitan Statistical Area includes the following cities and towns: Billerica, Chelmsford, Dracut, Dunstable, Groton, Pepperell, Tewksbury, Tyngsborough, Westford and of course, Lowell.
February 14th, 2007 at 7:40 pm
Let’s assume that the nanotechnology capability being developed by UML pays off. What is UML and the city of Lowell doing to protect that investment. The worst thing that could happen is that corporations pillage the intellectual capital and tax free resources provided by UML/Lowell and make killings in far off places. The use of any unique capabilities developed by UML with the help of the city should have a concrete payoff in terms of jobs and/or royalties.
As for the bigger issue of off-shoring jobs, it is not protectionism to require at least a level play field. Our tax laws do just the opposite. A product developed/manufactured in the USA has built in costs of all the personal taxes of the employees, whereas imported products have essentially no contribution to the federal treasury. And the same unbalance applies to healthcare costs. If the politicians were serious about supporting the US worker, the playing field in both of these areas would be leveled immediately.
February 14th, 2007 at 9:02 pm
It is cheaper for my husband’s company to fly him over to China every two weeks to manage the project, make it over there, and then ship it accross the Pacific ocean; then to have manufacturing in the Lowell area. Last Sunday we were watching an episode of PBS’s Globe Trekker in Hong Kong and my four year old said she wanted to go there, in sad truth one day we could be living in Hong Kong. All of China’s manufacturing is right outside the city. It is more then developing new technology, we have have the knowledge it is making costs cheaper to actually make it here.
February 15th, 2007 at 8:51 am
Ah, but we are outsourcing our cashiering.
How many stores do you now see with “self-help” cashier stations. One employee oversees 4-6 automated stations.
The software and hardware to build these stations can be (and probably will be) outsourced, while more of the base startup jobs are eliminated.
On the other hand, when it comes to government jobs, you see the opposite.
I went to a parking garage in Lowell last week. There were four employees all hovering around an office where you were supposed to go to use one automated payment machine.
This, after I had spent 10 minutes driving around in circles looking for where you were supposed to pay.
Why would you put the payment machine on the second floor when the exits are on the first? And why not just put the four people hanging around back into the booths?
Hey, I’ve got a cold.. i’m just bi**chin today.
And why did you let that off-subject Bush rant remain up above?
February 15th, 2007 at 12:23 pm
Lynne’s been busy lately. I’m sure she will get to the cleaning up of the comments. She’s also neck deep in the upcoming blog upgrade.
February 15th, 2007 at 12:30 pm
Oh.. I’m sorry.
That was just a spam that got through. I should have seen that (like the “free traffic” one above).
I hate it when I’m sick.
February 15th, 2007 at 2:14 pm
All set…weird that they hit a new post - spammers usually go for really old ones. Thinking you won’t notice.
I have Akismet installed for Wordpress (if you run WP, you have to have Akismet!) but it doesn’t catch everything, especially if it’s new spam not yet picked up in the central database.
Yeah, I’ve been trying to set up a new blog. I’m not even on beta yet. It’s one step forward, two steps back…this plugin won’t work with 2.1…wait…someone’s updated it…great…oops, it doesn’t like PHP5. Gah! But it’ll all work out in the end. I’m sticking to WP, so far, I’m partway where I want to be, which is progress.
February 16th, 2007 at 8:14 am
Let me know if you need any help.
I got 2.1 up and working now. Still some problems with the WP- Gallery2 plugin that I may have to go in and fix myself cuz the author doesn’t seem to be getting anywhere (I hate that tinymce code..)
I love Akismet, but have to keep a watch on it cuz it keeps filtering out some good comments as well (I think it has to do with number of links in the post).
Im lucky in that my host gives you the option between php4 or 5. I stuck with the stability of 4 for now.
February 16th, 2007 at 8:26 am
Well, Motorola did temporarily move all those jobs to CrossPoint before they send them off to Bangalore.
February 16th, 2007 at 12:13 pm
You can change the moderation catch-all in WP for # of links in post, it doesn’t have to do with WP, I don’t think. If it’s going in your moderation queue, it’s because of the options set in WP core administration.
February 16th, 2007 at 2:29 pm
Er, “doesn’t have to do with WP” is supposed to say “doesn’t have to do with Akismet”.
February 17th, 2007 at 8:27 am
It’s beatifull:
ParisHiltonSexTape
ParisHiltonSexTape
ParisHiltonSexTape
ParisHiltonSexTape
May 1st, 2007 at 11:19 am
Hello, does not enable me where to find man booty shorts Many sites bypassed and are empty.
Sorry the writing section this , but I thought better of all. Once again, excuse the bad English.