Posted July 30, 2012 in Harvard Business Review's Daily Stat
The U.S. business sector that provides corporate services such as document prep and call centers grew 41.2% in America's smallest cities from 1998-2006, but only 4.8% in the biggest urban areas, says Wen-Chi Liao of the National University of Singapore. Business-support jobs are thus shifting to lower-wage areas of the country as companies pursue cost savings. The sector is growing at about twice the rate of the broader economy, and at 780,000 employees (in 2006), it appears to be far larger than the number of U.S. services jobs that have been sent overseas (315,000 as of 2003).
Source: Inshoring: The geographic fragmentation of production and inequality
The U.S. business sector that provides corporate services such as document prep and call centers grew 41.2% in America's smallest cities from 1998-2006, but only 4.8% in the biggest urban areas, says Wen-Chi Liao of the National University of Singapore. Business-support jobs are thus shifting to lower-wage areas of the country as companies pursue cost savings. The sector is growing at about twice the rate of the broader economy, and at 780,000 employees (in 2006), it appears to be far larger than the number of U.S. services jobs that have been sent overseas (315,000 as of 2003).
Source: Inshoring: The geographic fragmentation of production and inequality
These are some very interesting statistics. I am surprised that they don't offer more of these jobs in urban areas. I feel that it would be a great way to offer jobs to individuals that are struggling to find a job. I am surprised the number of outsourced call center services jobs weren't larger. Thanks for keeping me informed. I would love to bring this to the attention of my sociology professor. We are currently talking about outsourcing and what it dos to society. Thanks again.
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