Outsourcing Bill Not the End of Concern

It appears that the United States Senate may have eliminated plans to require US companies to create jobs domestically. However, the enthusiasm and feelings of relief currently experienced by BPO companies should be tempered.

Indian media has rejoiced and printed hopeful headlines in response to the Senate's conclusive vote that killed legislation titled "the Creating American Jobs and End Offshoring Act".

Still, the biggest issue in the US is still the economy. And with the upcoming elections in November, outsourcers are not out of the woods.

If Republicans take control of the House of Representatives, they might consider similar legislation. They will be eager to earn the economic approval of the electorate.

Infosys responds to Ohio Protectionism

The U.S. state of Ohio recently banned IT and back office outsourcing to offshore destinations.

The majority of IT corporations earn most of their revenue from the United States. Considering that Ohio is the seventh largest state in the U.S, a large share of capital comes from the territory. The state's resolution is yet one more obstacle for offshore technology companies. The U.S. recently increased visa fees for offshore consultants.

The National Association of Software and Services Companies contends that Ohio's decision is clearly electoral politics in advance of November elections.

In the mean time, Infosys is increasing hiring in America to cope with the increase in visa charges. Infosys announced plans to hire 1,000 employees in the U.S. in an attempt to create jobs there. To date, the outsourcing company has added 350 employees under the plan.