Older IT Workers Bearing the Brunt

Filed in archive Opinions & Insights on September 3, 2008

Photo courtesy of iStockphoto, Jacob Wackerhausen

A recent ComputerWorld Article, discussed the disproportionate effect of outsourcing on IT workers, citing a recent study by Stern and Wharton business schools which found that as many as 8% of all tech workers were displaced by offshore outsourcing.

The study, funded by Careeerbuilder.com, also looked at other occupations and found, most disturbingly, that older workers were the ones most likely to be affected by this practice. This is a disturbing trend for a number of reasons, and as it becomes better known, it may create a major disincentive for students to enter this industry.

Furthermore, companies that outsource with an underlying motivation of displacing their older workers could find themselves in an age discrimination suit - one that would be supported by a significant amount of anecdotal evidence.

The answer to this is to focus on capability sourcing, not cost sourcing - but in this current frenetic environment, it is unlikely that such a focus will take hold anytime soon.