Unions push DTI into probing job exports

first_img Comments are closed. TheDTI has launched a major investigation into the offshoring of British workafter trade union pressure and the exodus of thousands of UK jobs overseas.Lastweek, secretary of state for trade and industry Patricia Hewitt hosted around-table event for around 50 interested parties, including unions, companiesthat have offshored, organisations that have chosen not to offshore, businessgroups and academics.Delegatesat the event are not revealing details of the discussion, but the DTI haspromised to produce a report by early April on outsourcing and the possiblethreat that it could pose to the British economy.However,despite the investigation, a move towards banning outsourcing altogether seemshighly unlikely. Speakingon the world trade panel of the CBI annual conference in November last year,Hewitt warned unions that the Government cannot use legislation to prevent UKjobs from going overseas.”Wemust resist protectionism. It is easy to see the short-term benefits because ofUK jobs and competitiveness, but we must take a long-term view,” Hewitttold delegates.Unionshave announced that they will conduct a separate investigation into the issue.Many of their arguments are bolstered by research that suggests outsourcingdoes not boost company profitability.BenWillmott, employee relations adviser at the Chartered Institute of Personneland Development, said employers should think carefully from a businessperspective about outsourcing their operations overseas.”Somefirms are already bringing back parts of their offshored business because ofconcerns about language and technical expertise,” he said.”Ifyou focus solely on cost reduction, you will put the employer brand andcustomer service at risk.”AnthonyThompson, head of employee resourcing at the CBI, said: “In today’s globaleconomy these trends are inevitable. We should not lose sight of the fact thatthe numbers are still very low across the economy as a whole. The benefits ofoutsourcing outweigh the negatives.”Youcan’t stop this through legislation and to do so would becounter-productive,” he said. “Offshoring is about protectingcompetitiveness.”ByQuentin Reade Related posts:No related photos. Unions push DTI into probing job exportsOn 10 Feb 2004 in Department for Business, Energy and Industrial Strategy (BEIS), Personnel Today Previous Article Next Articlelast_img