Whats the cost of setting up new offices in developing countries like India and China vs sponsering here. It seems setting up office offshore is much cheaper, the only issue seems to be the upfront cost and know how which is an issue for starups but not for a reasonably established software business
Exactly . This is even when they have setup shop outside US they bring in foreign employees on restricted visa to softly threaten local employees this keeping wages low. Mean while locals can hate foreign employees and foreign employees can feel unsafe.
Quite honestly I am in amazed at this ingenuity. Art vs artist type of awe
Time gap is not a reason. The real reason is to keep the local market wages low. With free moving employees it's not possible to control. Companies bring foreign workers with restricted visa and then threaten local employees indirectly.
It's much cheaper to setup shop outside US, which almost all companies do, but still they bring in foreign employees on visa just to keep the entire local market salaries to the minimum
I don't know why you think this is a decision that Infosys can make. The hiring manager determines the sourcing strategy. We hired onsite resources so they would work with the rest of the team and know what is going on, like every other employee. Then after they work a full day, they get on a call with offshore for an hour or two every night at 10:00 PM. Otherwise we'd get nothing of value from offshore (which sometimes happened anyway).
Sure, lots of people have lots of reasons. But "time gap is not a reason" is a non sequitur. That literally WAS the reason WE had the sourcing strategy we had, because it meant we could reduce labor costs. If we could have 100% off-shore and made it work, we would have done that. But that was (predictably) a disaster every time it was attempted.
It is good for the company. You get foreign employees to threaten local employees and foreign employees have no say due to restrictions.
Whats the cost of setting up new offices in developing countries like India and China vs sponsering here. It seems setting up office offshore is much cheaper, the only issue seems to be the upfront cost and know how which is an issue for starups but not for a reasonably established software business
>> IDK, with a lot of things it seems like big companies are just incredibly myopic.
It may be good for the company in the short term, but that does not mean it is good for the company in the long term. I don't buy the argument that it is good for the company in the long term
It has been very effective at keeping the wages low. Why else would every tech company lobby for H1B. Even Elon Musk post anti immigration but loves H1B