#offshoring

Been working for HPE/DXC for a year. We make $3USD an hour.

They keep laying off established and component ArcSight QA Engineers, etc personal from all areas and replacing them with Costa Rica employees. After the several layoffs in the last two years, they do not waste anytime to start recruiting in Costa Rica which they will have to train from scratch, which does not mean they will be same as the people they are replacing. They have now hired more Developer engineers in Costa Rica and other's are training Costa Rica members in their job, it does not take a rocket science degree to know the next lay off will be the people that have already trained in Costa Rica. Shameful that the CEO and Executives do not care about leaving a good legacy, they only care of how much bonuses they make while destroying a great company - ArcSight will lose their Market Share while Splunk and others will take over, just like the article says. I really do not know why MicroFocus after paying millions for the merger will want to destroy the companies they are buying. It is beyond me.

Bumped from @OTPTivD-3cle. Wondering the same thing...

Signs of collapse (and by no means is this a complete list):

• HR eliminated the long-standing policy that allowed employees to roll over vacation hours into the next year.

• Long-time customers leaving in droves as if Sungard AS is some kind of pandemic. Then again, if you're a customer and dealing with the astronomical prices that Sungard AS charges, you wouldn't be happy when you call tech support and realize that somebody at the other end, in India or Costa Rica, hasn't even experienced being in a data center and has serious language issues.

• Supply vendors no longer accept orders because Sungard AS doesn't pay Net 30, as stipulated in contracts.

• Upper management crumbling because executives have started to bail from the company

• Consistent layoffs

Bumped from @ONjbFTe-6atj for making a good point about Sungard AS.

In the first week of August, 75 employees in the US were whacked. The rumbles I'm hearing is that more to happen for the rest of the month. There's no question Sungard AS is dying. For five years, sales haven't met its target. These are unrealistic targets. But long-standing customers are leaving.They can't stand the poor service coming out of Costa Rica and India. What's left of product development is just weak. For example, the automated recovery tool is essentially dead. So now you've got executives bailing from the organization. The reality is, good people are gone, products are just languishing without solid progress, customers are frustrated, and the company is adrift without purpose except to RIF employees to make the numbers look good.

More significant layoffs of US-based Operations teams are coming in August 2017. 2nd quarter numbers missed the mark so heads must now roll. The move to low-skill / low-pay resources in Costa Rica and India continues so management can make the company more attractive, artificially attractive, for a sale. Despite what management says, all changes are 100% financially driven. The CFO continues to drive the company into the ground to meet the CEO's financial numbers.

Customers have realized what is going on and continue to leave in droves. Upper UK and US management (VPs) who are close to the overall plan are now leaving en masse as well.

If you are a SgAS employee in the UK or US and are thinking of leaving or have an opportunity to get out, now would be the time to make a move. If you are thinking of joining the company in the UK or US, don't

Major layoffs before merge with MicroFocus are continuing and they are saying they laid you off because of your work is no longer needed, then why are the VP Management teams over in Costa Rica doing a major hiring spree for replacing your job in the USA. I already trained many Costa Rica personal in the job I was doing. They also stopped hiring internally because MicroFocus HPE Software says no, but O.K. to hire replacements in COSTA RICA. Then why do people have to turnover their job tasks to the people who are left and train the Costa Rica team on your SME features after you were notified you are laid off when you are told being laid off has nothing to do with performance, but the paper work you get "waiver" says you are let go because the others are more skilled than you are. :-(

Waste your time doesn't matter in which country you are.

In Costa Rica the management is really bad. Salaries are only good if you go and came back when they need you. Dont expect to have a good salary if you stay a long time.

No way.

the incentives are good for the new people, you will be happy at he begging if you never worked before. But you will see the bad things in 2 or 3 months. the old people get less incentives just because they have 5 to 10 years in the company.

Here is how WFRs are really decided:

1. Executive Management determines that the financial numbers are not being met or going to be met. So basically revenue is down or below expectations but profitability has to be maintained if not increased; only thing to do is cut costs.

2. They determine how many head cuts need to happen and a total number is decided.

3. A mixture of global and regional management determine how the allocation will be made by function and organization. This of course means that some teams get two quotas: 1 for the region and another for global.

4. The Your managers manager decides how his/her total allocation of cuts will flow within their span of control.

5. Your manager gets a quota of heads to cut. Sometimes it is a % of the total team but most often it will be a hard number with a due dates of names to be WFRed back to the business office tracking your team within 2 - 5 business days.

6. Your manager then selects who goes. There is no negotiation or push back allowed. If your manager cannot give up the names, then their name goes on the list and the next manager picks the quota - 1.

7. Selection criteria back on 2006 when we started this was pretty easy. Low ranked people with performance issues topped all lists. After a while it become a game of mitigating short term risks. Loud, angry customers and account teams tended to not have their people WFRed. But after several years even that did not work as the pool was shrunk to bare bones. Then it became a game of who will cause the least damage when WFRed. No function or team was off limits after a while; even off shore places like Costa Rica and India.

7 a. One note here... the assumption that salary was a consideration was NEVER a direct factor. Where you lived (USA, Canada, Germany, Spain, etc.) and the legal protection afforded you as a local citizen was first and foremost. Now it is true those onshore countries are better paid... but picking one person in the USA over another because they made 25% more over the other was not considered.

7 b. When names where selected, they were "scored" based on skills like customer facing, project management, technical skills, etc. Lowest scores "justified" the choices and created a legal paper trail.

1. Once a name was submitted it was all but impossible to get them pulled off or swapped with another. It did happen but was very rare.

2. When names where submitted, the WFR machine started and was all but impossible to stop. Cut off for IT access for example was set in stone. I had someone that was on the WFR list that happened to find another job in HP well in advance of being notified. When the day came and went, the next day they lost all IT access regardless of remaining an HP employee. Needless to say they figured out that they were to be WFRed and was less than happy.

3. Another gotcha was that if your organization hit the overall quota assigned, chances were almost certain that if another organization in the missed their quota, your team would have to "make up the miss". "Take one for the team", we were told. This happened a lot.

4. One other complication is when HP files with the SEC an intention of paying $XXX millions in severance in the coming fiscal year (Google 10k filing). That causes some interesting quota behavior too. That is when the WFR quota is not heads reduced BUT heads reduced that were paid severance. So what happens then is your manager will not give you a nudge that you need find another job or at least polish your resume and have a plan B. If you are on the WFR list and you leave HP or simply take another job within HP, your manager has to find another person on your team to replace you. So it ends up a double whammy to the team.

5. Finally... (as if this is not enough) ... let's say or argument sake that at the first of the year, the Street is promised US$1 billion in cost reductions. That is 10,000 people at $100k per year salary if those 10,000 are laid off on day 1 of the fiscal year. That never happens. So let's say they lay off 5,000 by the end of Q2. That means that 5,000 have been paid $250 m and the company only get 6 months or $250 m in cost reduction benefit for the year. Oops. Another $750 m to go in 6 months. So now quotas have to go up and monthly cuts happen then it gets to weekly cuts. It is an ugly curve.

This was the far best answer I read on topic of how WFRs are decided, originally posted here: @LKIh7lG-2xej

http://timesofindia.indiatimes.com/business/india-business/CSC-CEO-Well-hire-thousands-in-India-in-the-coming-years/articleshow/54971190.cms

Time for people to go into fields that cannot be outsourced. These jobs require someone to physically be present - onsite - and cannot be performed remotely. Best yet, jobs that require US Citizenship.

• Government work requiring access to sensitive data or security clearances

• Police/Security work that cannot be filled by H1B visas

• Any medical specialty that cannot be replaced by or sent via network to India for completion such as: billing, xray reading, labs, diagnostics, etc.. - (Nurse, Nurse Practitioner, Physician Assistant, Doctor, Medical Assistant, Dentist, Dental Assistant, etc...)

• Construction (Electrical, Framing, Roofing, Painting, Landscaping, Plumbing, etc..)

• Repair (Air Conditioning, Mechanic, etc..)

• Real Estate (On-site Property Appraiser, Real Estate Agent, Investor/Flipper)

You get the idea... If it can be performed over the internet or over a networked connection by someone sitting in India, Malaysia, China, Eastern Europe, Mexico, Costa Rica, Puerto Rico, etc... then it will. If it is a job that H1B visas can be imported to perform, the employer will bring them. The US government does not care at all about the people or whether it's citizens work. Only you can protect yourself.

Sungard continues to cut American based jobs. Moving more and more IT support to overseas support in India and Costa Rica. Customers continue to complain about a lack of good support and rapid response to critical issues. Solution? 3rd party and under performing foreign labor force.

Good job.

Wouldn't be surprise with the losses and dismal sales in 2016 if they don't go for the lowest bidder or go bankrupt. 99% of all customer support - RS, MS, Hybrid - headed to either Sungard AS employees in India or a contractor in Costa Rica.

HPE is on a monthly WFR schedule now to prepare for the divestiture of the ES (services) division. I am in management and since 2012, my best estimation is that the company has WFR'd (workforce reduction) around 100,000 people either outright or by "moving" jobs to low-cost locations. They have a stated goal of having 80% of their workforce in so called locations and they are quite proud of that. Many departments are being outsourced as well with employees moving to contracting companies on 1-3 year assignments before they can be completely let go. Not a great place to further your career unless you are in Mexico, Costa Rica, India, or Malaysia. It would be a misnomer to label HPE as a U.S. company anymore.

http://finance.yahoo.com/news/trump-is-missing-the-biggest-offshoring-companies-150924712.html

"Such filings indicate that at least 450 IBM workers have lost their jobs since the beginning of 2015 because the company moved the work overseas. But the real number is most likely higher, since one-third of the filings either don’t say how many workers were affected or contain redactions that obscure the information. One filing, on behalf of laid-off workers in Connecticut, said 'IBM refuses to provide this information.'"

.

"IBM moved American jobs to India, China, Bulgaria, Egypt, Brazil and Costa Rica, according to the filings. On some of the forms, workers indicated they were required to train their foreign replacements in order to receive severance pay. 'We were managers who laid off our staff (and then were let go too),' one petition reads. 'My staff was, at its peak, a couple hundred people. We were only part of the large scale movement of production from IBM’s GTS [Global Technology Services] organization in the US to India.'"

.

"A handful of companies stood out. The 24 TAA petitions relating to IBM were far more than any other company we looked into,. . ."

That is exactly what we need as a Nation in order to be able to compete apples-to-apples with Countries like Costa Rica, Mexico, Singapore, Vietnam, Slovakia, Czech, and our cousins from Puerto Rico. If I own a Company and can keep my operations/people at a competitive cost in the Continental US, why in the h--l would I offshore those jobs?

Next step is to add tariffs to imported finished, semi-finished, and raw components, and I can assure you Companies will start bringing manufacturing operations back. Yes, it will take time to re-do the supply chains, but we really need to start fixing the mess created during the last 25 years...

Thermo Fisher Scientific has outsourced their credit and collections dept to Costa Rica. Shame on them. Any U.S. company that moves American jobs out of the country I have no respect for.

If you are in a support job in the US for Merck, you will loose your job come mid Q1 in 2017. HR, AP, AR, OTC etc... you are doomed. Charlotte GFS location will shut down entirely come Q1. All jobs to be sent to a new call center in Costa Rica or India.

With Trump winning, offshoring and tax havens will see BIG changes in the next few years. And you know what? It was about time... Nothing personal, guys, but if my job is in jeopardy by you potentially taking it... What do you want me to say... President Trump... President Donald Trump...

Management has been there for a while now training to take over the coordination of Recovery Services, including large RaaS accounts. Not sure how that's going to go over with many clients as these are not employees, but contractors. Already lost many in October, next round soon or so I've heard.

Down to a skeletal crew in this former division, now stand alone company - Sungard AS. Hundreds of jobs sent to India, now Costa Rica, for cost savings. Some people still awaiting their "packages" but moving to a "global" model. Heard about 138 laid off on Friday, October 14 and it did not even make a ripple through the company.

https://www.linkedin.com/pulse/6-things-id-do-i-got-laid-off-ibm-j-t-o-donnell?trk=mp-reader-card

For the ones that voluntarily decide to stay... NO ONE is safe at HPE. No matter how "business critical" you think you and/or your role are, you are always a potential target (especially if you are over 30 and live in the US). I've even known people in Mexico, Costa Rica, Puerto Rico, Vietnam and India being booted out, so working on a low cost or tax advantage Country doesn't seem to be a safe haven anymore. there's always someone cheaper out there... I guess the question you need to ask yourself is why are you tolerating this unacceptable behavior from an employer that don't give a damn #### about you as an employee? The more you wait, the more competition you'll get out there from desperate well qualified people also looking to land good jobs. Anyone that got laid off 2-3 years ago should consider themselves fortunate, as the market conditions (and competition out there) were not nearly as bad as they are today. The more you wait to start your search, the worse it'll get.

https://www.linkedin.com/pulse/6-things-id-do-i-got-laid-off-ibm-j-t-o-donnell?trk=mp-reader-card

For the ones that voluntarily decide to stay... NO ONE is safe at HPE. No matter how "business critical" you think you and/or your role are, you are always a potential target (especially if you are over 30 and live in the US). I've even known people in Mexico, Costa Rica, Puerto Rico, Vietnam and India being booted out, so working on a low cost or tax advantage Country doesn't seem to be a safe haven anymore. there's always someone cheaper out there... I guess the question you need to ask yourself is why are you tolerating this unacceptable behavior from an employer that don't give a damn #### about you as an employee? The more you wait, the more competition you'll get out there from desperate well qualified people also looking to land good jobs. Anyone that got laid off 2-3 years ago should consider themselves fortunate, as the market conditions (and competition out there) were not nearly as bad as they are today. The more you wait to start your search, the worse it'll get.

I've summarized 20 reports in a single thread - this is from Watching IBM - there you go, all 20 of them:

1. RA'd today in USA Storage Presales (CTS). Multiple 2+ ratings, exceeded quota past 2 years, top quarter of organization. 90 days notice 1 month severance.

2. Tomorrow 344 Dutch colleagues will be RA'd

3. Just got the call. US based in GTS global. Manager says HR calling it Work Elimination in US. Didn't have overall numbers but said it was widespread and impacting 2 in group. Both "retirement eligible".

4. RA happening today in the US, GTS managers are making calls... not sure who is involved yet.

5. GTS is hit and they are hitting tech people also. Just happened to one of my team mates

6. I was RA'ed today. I'm in the CIO. Was told that the reason is that my position is being eliminated due to co-location strategy to limit # of locations that CIO personnel are in. Some of my work will be transitioned to other resources & other work eliminated. I don't know of other folks affected. Nearly 20 years service and a whole 1 month pay

7. 19+ years. RA'ed today. Lost two jobs to landed resources from India. IBM = India business machines. GBS. Anybody that thinks they are safe. Your time is coming. But Ginny is building a chalet in the Swiss alps. Good luck. Finally over the waiting. Seen all my friends go before me.

8. RA'd after 17 years. Systems Group. Age 49, told it was because of my experience and performance and the direct the business unit is going. Never less than a 2+ in the last 15 years. We all know what is really going on.

9. In IBM for 20 years, currently in CIO half of the group is RAed because not co-located. Other half to go next year unless they move.

10. Gone GTS 30 years

11. I knew it was gonna happen soon. IBM wants to get the people off the payrolls prior to 12/15, to save the 401k match. I was not affected, not sure about others on the account I am on. to be honest, we have already been decimated to the bare minimum, most of the account has already been replaced with Costa Rica IBMers.

12. Mgrs in GTS were RA'd yesterday employees still be told in GTS as I write this

13. I'm in the number this time. After over 15yrs and then several 2+ ratings. But of course this happens right after Thanksgiving and before the 401K match time.

14. Another wave of cuts in TSS UK started this week, part 2 of the 2016 cull...

15. Hi - ugh. I've just heard about another RA happening today. An old co-worker of mine from GBS is affected. He was notified today and his last day will be Nov. 29. No idea of size/scope of RA. My area here in Analytics was not included this time.

16. Still processing the information but there is an RA in progress and "I am affected". I'm in GTS (work from home Boulder) and do mainframe engagement solutioning but it sounds like it will be larger than GTS. Word is the standard cheepskate severance.

17. RA in GTS, so far no tech folks hit (but we were decimated on the last round), but heard that US-based PM's targeted

18. Just got word that RAs are happening in GTS. So far, people working in the CICs, myself included, aren't affected...looks like they're targeting the WFH people again. Manager seemed stressed reading the official script on the phone. Asked how many were let go in this RA and he wouldn't comment on the issue. Work being off shored to China. No surprises, I'm a long time follower of this group. I realize it is not based on the quality of my work, just another company drowning in management mistakes. Life goes on.

19. Well got the call today, 22 years of service and I've been RA'd, 90 days with a severance of 1 month. Bitter sweet feelings since I've been VERY unhappy with the way things have been going the last few years. I'm in GTS (work from home in Broomfield/Boulder Co.) as a Transition Project Manager.

I work at IT for a long time. A bit more than year ago Intel moved couple of dozens IT positions to CR. US folks trained them and then partially redeployed/fired.

This year I heard it will be more massive IT position moving, mostly to CR, as a part of ACT. DBAs, SAs, BAs are going to loose their jobs.

Any comments/info?

Early posts showed about 12k people on the list in the large document we got.

Is that only people in USA?

How many from different Geos, India, Isreal, Ireland, Canada, Costa Rica, etc...

What is the total VSP/ISP/ERP that was given out world wide?

Anybody know?

Last month, I reported on a wave of IBM layoffs hitting U.S. facilities. Cuts were happening all across the country, and one source told me he’d been informed that one-third of the U.S. workforce would be affected. IBM quickly denied that number, and other reports put the numbers of those severed in the 20 to 25 percent range—something like 18,000 to 25,000 in the United States.

(We’ll never be able to know the exact percentage, simply because IBM no longer releases a U.S. headcount; worldwide, as of the end of 2015, the company had approximately 378,000 employees.)

At the time, U.S. employees suspected that what the company called “workforce rebalancing,” in order to “aggressively” focus on cognitive and cloud computing, had less to do with focusing on cloud and cognitive and more to do with moving jobs to countries like India, Brazil, and Costa Rica

http://spectrum.ieee.org/view-from-the-valley/at-work/tech-careers/ibm-layoff-epidemic-spreads-worldwide

It is going to be 12-18 months to transfer pads and pencil product lines Costa Rica and Mexico (thanks for outsourcing our jobs Medtronic). Going to try to keep current permanent employees by transferring them to other openings as they come up but it is expected there will be more than a few that lose their jobs. Probably me at this rate. I love that this John Jordan guy says our facility is an "R&D" campus and mature products are built elsewhere. How many decades have we built pads and pencils? 30+ years?

100+ offshore jobs added in the last six months, and MCK people sent over to train them.....

Sad to see the slow death continue.

Too bad Paragon leaders are making the same bad mistakes that ki-led Horizon, but not using lessons learned.

The only people in my office that have not packed their desks are #contractors and onshore #H1B people. Offshoring has worked so well in the past (sarcasm).

MCK management seems incapable of learning from past failures. #lessonslearned

The CEO should have his salary cut in half & wouldn't be any layoffs. He is the 5th highest paid CEO in the world... Also they should quit #offshoring because they are screwing up big time.

After all the accolades of achieving Presidents Club-ranked the #3 wireline sales rep in the country.... less than 9 months later I am RIF'd. Made absolutely no sense and the only thing I can deduce is.... A: I'm older than 50 and female (health care risk? risk to be a caregiver of older parents as a female?) and/or B: I was making too much money. They can hire a 20 year old for pennies on the dollar of what I made. Multiple Vz jobs have since been applied for that I am more than qualified for ...nothing... NADA, not even a whiff of interest. Not even the courtesy of one single call or email. Same with all the other similar jobs applied for with other companies, after a LONG successful career...doesn't matter. Unless I want an entry level job I have nothing on the horizon. During the same RIF.... long term qualified engineers were laid off and immediate listings were on the internal job board for their jobs in Czechoslovakia(I had 30 days to look internally for a job that is how I know they were posted. one of my team engineers lost his job to a foreign worker....he'd been there over 35 years) They are destroying the older American workers lives which is technically illegal but of course you can't prove it and you sign away your rights if you want that package. Now looking to move to Costa Rica or Nicaragua to try and survive on what money I have left.

#Offshoring and #outsourcing train wreck in progress - coupled with Low pay.

People demoralized by layoffs and no hope and constant fear of project cancellations.

Welcome to 2016

New NSA requirements are driving the need to reduce business ties with China. Support centers located in Central Asia will also be shut, with centers shifting to Costa Rica and the Philippines.

Graphics positions moved to Uruguay and a ton of IT jobs wento to India. The company is not what it used to be.

Cuts all over the place, Costa Rica will be hit the hardest (few thousands)

ANon 2 - do you know what's going to be outsourced to Costa Rica?

There will be layoffs for the manufacturing department because the company is outsourcing to Costa Rica.