IBM moves more jobs to India and China


The trend is not good if you are a tech worker at IBM (NYSE: IBM) in the US. By the end of this year, Big Blue will have 100,000 jobs in India, Russia, Brazil, and China. That number was closer to 85,000 just last year.

According to The Wall Street Journal, "this year, IBM's employment in India is likely to reach 73,000 people, up from 52,000 last year."

This is a cruel irony to the news. The US is still the world's center for hardware and software creation. Most innovations in these field still originate here. The world's largest chip-maker, Intel (NASDAQ: INTC), is an American company. The world largest software company ,Microsoft (NASDAQ: MSFT), was started in the US, as was the world's premier internet company, Google (NASDAQ: GOOG).

Yet, when it comes to economic benefits, many of the tech giants are moving jobs to India and China to get cheaper labor. While this may help their earnings, it hurts high-end employment in the US.

Created in America. Maintained and supported somewhere else. A bit of a tragedy.

Douglas A. McIntyre is an editor at 247wallst.com.

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