Outsourcing Affects Employment

Filed in archive Outsourcing News on January 25, 2007

It has been a given fact that outsourcing has a big impact in a country be it good or bad.

The recent research study which was published in the Journal of Policy Analysis and Management revealed that outsourcing affects the rate of full-time and part-time employees in the government sector. The research study involved an estimate number of 500 government offices both in the country and city sector.

Aside from that, the research also showed that full-time employment declined by about 20 employees and part-time work increased by about nine employees for each additional service contracted out to a for-profit firm or a third party.

From what the results of the said research, I could see that outsourcing has a big influence in the operational procedures of firms not only in the government sector.