Outsourcing is the practice of engaging an external company or staff to carry out constricted work as a substitute of paying authorized employees to do it. Many companies in the US use outsourcing based on proficiency and lower cost of labor. Some commentators consider this practice to be unethical. As with other unethical areas, arguing about outsourcing ethics exhibits a lot of gray regions.
Thesis Report
NAFTA and Clinton’s Administration had an adverse effect on the America’s economy as they implemented policies in favor of outsourcing and made it look more attractive for the American companies.
Discussion
The drawback of NAFTA and Clinton’s Administration’s response on outsourcing has made America Suffer a lot. The role of NAFTA in giving hype to outsourcing America is certainly questionable. It was the moral responsibility of NAFTA and Clinton’s Administration to promote and encourage a system of principles in the country and to support human development. Advancing free enterprise and outsourcing by reducing costs and increasing earnings comes at a price to the social order when standards and ethical standards are abandoned.
NAFTA and Clinton’s Administration’s needs to understand that outsourcing in itself is not against the law or unethical, but the consequences of outsourcing practicing in the US are believed to be unethical for the subsequent reasons: American society, education in the US for the intention of employment in America is dislocated from jobs by overseas workforce at much lower cost. Outsourcing not following the guideline to protect individual and susceptible information and NAFTA and Clinton’s Administration did not provide any helpful solutions to deal with the consequences of outsourcing by re-training and re-employing dislocated employees, and by providing profitable incentives for companies not to outsource.
Reference
Mista, S., & Yadav, P. K. (2009). INTERNATIONAL BUSINESS: TEXT AND CASES. New Delhi: PHI Learning Pvt. Ltd.
