I've been reading the vitriol a lot of you good folks have been trading re;
Sam's Club, Wal-Mart, et.al. Well, here's what's really happening with no
bullshit attached. This is from a news article for which I was interviewed a
few months ago. I had no intention of ever sending this kind of stuff to
this forum, but since somebody broke the ice, so to speak, maybe this will
help a lot of you to understand what's really been happening in America for
quite a few years.

If this isn't enough, take a look at www.nomoreh1b.com. If anyone's truly
interested in this stuff, there are more websites and newpaper articles.
There are untold thousands of jobs lost here, and thousands of families
ruined. My family was absolutely devastated in large part as a result of
jobs being lost to foreign countries.

Sorry if this is too hard to take. I'm just now learning to deal with it.

TFlan


 Posted on Tue, May. 13, 2003

Job losses sap morale of workers
By Ellen Lee
CONTRA COSTA TIMES

In his oldest son's Pleasant Hill home, Tom Flanagan occasionally curses as
he walks through the halls and gathers his son Kevin's belongings: the
black-and-white photos his son developed in his makeshift darkroom, the
household products he had a tendency to buy in bulk, the box-loads of books
on computer programming.

More than once, Flanagan shakes his head. "It's a shame," he says. "We lost
a good friend and a good mind."

One month ago, Kevin Flanagan took his life in the parking lot of Bank of
America's Concord Technology Center, on the afternoon after he was told he
had lost his job.

It was "the straw that broke the camel's back," his father said, even though
the 41-year-old software programmer suspected it was coming. He knew that
his employer, Bank of America Corp., like other giant corporations
weathering the economic storm, was cutting high-tech jobs. He knew that Bank
of America was sending jobs overseas. He had seen his friends and coworkers
leave until only he and one other person remained on the last project
Flanagan worked on.

Flanagan took steps to soften the blow. He considered studying law, and even
made a list of California schools he was interested in researching. He
applied for other jobs at the bank, but didn't receive responses.

In e-mails to his father, Flanagan sounded lighthearted. "I'm safe!" he
would write in his Friday missives. "I'm safe for another week."

But Flanagan apparently masked the depth of the distress he felt as he
fought to save his position. "He felt like he was fighting a large
corporation that pretty much didn't care," his father said. "This final blow
was so devastating. He couldn't deal with it." The father said he saw no
other signs of depression before his son's suicide.

It is unclear if Flanagan lost his job because it had been sent overseas, or
because the bank was slimming down because of the tight economy. Lisa
Gagnon, a Bank of America spokeswoman, declined to comment, saying, "We're
deeply saddened by this tragedy. We send our prayers to his friends,
colleagues and family."

But his death underscores the anxiety that has swelled among technology
workers at Bank of America and elsewhere as more businesses shift high-tech
jobs and responsibilities to contractors offshore even as they cut jobs in
the United States.

A report by Forrester Research projects that, led by the
information-technology industry, 3.3 million service jobs and $136 billion
in wages will move from the United States to such countries as India and
Russia over the next decade or so.

Another survey by A.T. Kearney said that U.S. financial-services companies
are planning to send overseas 8 percent of their workforces, thus saving
them more than $30 billion.

Coupled with a rough economy and high unemployment, the phenomenon has left
U.S. workers looking over their shoulders, wondering if their overseas
counterparts could soon replace them. Blue-collar manufacturing jobs have
for years crossed U.S. borders and waters. Some workers are bitter that
white-collar, high-paying technology jobs are next.

"It could be me," said a Bank of America information-technology employee who
spoke on the condition of anonymity. "It could be anybody."

Flanagan's parents say that he complained about the company's move to shift
jobs out of the United States and talked about taking care of problems that
contractors in India couldn't solve.

"Outsourcing has led to tragedy for us," said Tom Flanagan. "We are
devastated."

Flanagan landed at Bank of America seven years ago after spending time at a
San Francisco technology company and at ChevronTexaco Corp.

The Concord Technology Center, a cluster of four buildings that opened in
1985, employs programmers such as Flanagan to develop software programs that
handle jobs like wire transfers. Throughout the Bay Area, the bank employs
some 13,400 workers; the bank would not release the number of workers at the
Concord center.

About two years ago, Bank of America created the Global Delivery Center to
identify projects that could be sent offshore. In the fall of 2002, it
signed agreements with Infosys, whose U.S. headquarters are in Fremont, and
Tata Consulting Services, two of the largest players in
information-technology consulting and services in India.

Overall, this deal should affect no more than 5 percent of the bank's 21,000
employees, or about 1,100 jobs, in its technology and operations division,
Gagnon said. So far, it has been less than that, she added.

But Gagnon declined to say how many U.S. and Concord workers have been
affected so far.

"It's important to note that just because we decide there is a good business
reason to send a project (overseas) does not mean it will necessarily result
in job displacement," she said.

Employees at Concord, who spoke on condition of anonymity, described
shrinking project teams as work is shuffled around. One veteran worker said
that in the middle of a project, he and his team members were asked to hand
over documentation and explain their work to a group of engineers from
India. He and his co-workers were then transferred to another project. A
short time later, he lost his job.

Gagnon confirmed this, saying that in some cases it made sense to have
workers train their overseas successors before they are let go.

"The knowledge transfer is essential to continue to provide our customers
with the best possible services and solutions," Gagnon said.

One software engineer, who was laid off about two months ago, said that he
lost his job because the bank was tightening its budget. But he argued that
had other technology jobs not been moved offshore, he would have had more
opportunity to shift jobs.

The harshest critics have called Flanagan's death an example of the
collateral damage brought on by businesses expanding their offshore
operations. A former software programmer said that morale in the office is
so low that some employees feel like they're on "death row."

"Every day you think, 'Is this the day I'm gone?'" he said. "The next day
you think, 'Is this the day I'm gone?' The stress builds up."

But other Concord employees have taken it in stride. "It's a fact of life in
business," said one worker. "It's not perfect here, but it's a pretty darn
good place to work," he said.

Proponents say that hiring technology workers overseas will make the company
stronger: For one, it cuts costs. A contractor in India, the most popular
locale, is typically paid $10,000, compared with $100,000 for a U.S. worker
with the same skills. Proponents argue that this allows companies to stay
competitive, saving and creating U.S. jobs.

Growing overseas does not necessarily translate into a loss in the United
States, said Debashish Sinha, principal analyst for information technology
services at Gartner, a research group.

"Very rarely is there a direct staff substitution," he said. "Very rarely
will a U.S. enterprise lay off their internal IT folk to hire an external
offshore service provider."

But as offshore workers graduate from basic jobs to more sophisticated
technology work, critics here wonder if there will be high-paying, high-tech
jobs left in the United States.

"There's a huge hole opening up here and no one is seeing it," said Pete
Bennett, a former technology consultant in Danville who is now in the
mortgage industry. He founded NoMoreH1B.com to protest businesses bringing
in non-U.S. workers through the government's visa programs for highly
skilled workers, a program that he believes helped fuel businesses' move to
transfer jobs offshore.

A few weeks before his death, Tom Flanagan helped his son on yet another
home improvement project in his Pleasant Hill fixer-upper. That night, they
stayed up until 4 in the morning, "just shooting the breeze."

They often had these long discussions, about California politics, about the
Enron debacle, about other world issues. They would argue until they
couldn't keep their eyes open.

"He would never give up," Flanagan said. "He would never give up. But he
gave up."

In a note that he left behind, Kevin Flanagan said that he felt like he had
finally found his home when he moved to Pleasant Hill and landed his job at
Bank of America.

"He loved working there," his father said. "He loved his house. He loved it
here. He was happy. This was his life."



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