#offshoring

Why can’t the offshore teams do the MI HIDE calls?

I previously shared a compensation comparison showing how much a company like Blackbaud could potentially save by offshoring engineering roles. The analysis was based on publicly available median software engineering salary data, comparing total compensation across regions and calculating how many times less expensive certain markets can be relative to the U.S.

When you run the numbers, the difference in median compensation is substantial, 3 to 6 time cheaper. Scaling that gap across multiple engineering roles makes the financial rationale behind offshoring clearer from a pure cost-structure standpoint. Anyone can verify this by checking compensation sources or using an AI tool to compare median SWE pay levels and compute the multiple. Give a prompt to ask for median salary for different engineering roles in GCC (Global Capability Center) in India

For some reason, my earlier post outlining this math was removed by moderation. I’m simply sharing publicly available data and a straightforward economic comparison to understand the business decision from a financial perspective.

A U.S. software engineer costs 3–6× more than an equivalent engineer in India, with the gap largest at junior levels (5–6×) and narrower for seniors (3–4×). Senior roles are often cut first for maximum savings, followed by juniors, then managers once IC layers shrink. Even modest offshoring saves tens of millions annually despite coordination, time zone, and attrition challenges.

The key question: is your work worth 3–6× the cost? If the answer is yes, then you are safe.

How did I get these numbers? Pick your favorite AI model and paste this prompt.

Prompt

Search the web and retrieve the latest (2024–2026) median total compensation data for Software Engineers in India and the United States at the following US-based companies:
Tier 1 (Top-Tier Big Tech):
• Google
• Meta
• Amazon
• Apple
• Microsoft
Tier 2 (Strong Product / Upper Mid-Tier):
• LinkedIn
• Salesforce
• Uber
• Nvidia
• Adobe
Tier 3 (Established US Tech / Enterprise / Platform Companies):
• Oracle
• Cisco
• Qualcomm
• Walmart Global Tech
• Intuit
For each company:

1. Provide median total compensation in India and in the U.S. in USD.
2. Break it down by role level:
   o Entry (0–2 years, L3/IC1 equivalent)
   o Mid (2–5 years, L4/IC2 equivalent)
   o Senior (5–8 years, L5/IC3 equivalent)
   o Staff/Principal (8+ years, L6+/IC4+ equivalent)
3. For each level, include:
   o Median Base Salary (USD)
   o Median Annualized RSU/Stock (USD)
   o Median Bonus (USD)
   o Median Total Compensation (USD)
4. Calculate the ratio: U.S. median total compensation ÷ India median total compensation for each level — i.e., how many times U.S. employees are more expensive than Indian employees.
5. Use data only from:
   o Levels.fyi
   o Glassdoor
   o Blind
   o AmbitionBox
   o Official compensation reports (if available)
6. Cite all sources with direct URLs.
7. Clearly mention the number of data points used (if available).
8. Convert INR → USD using the current exchange rate and state the rate used.
9. If level mapping differs across companies, normalize levels to the four categories above.
10. Present results in well-structured tables, grouped by company tier.
11. Flag where data is incomplete or sample size is small.

Wells Fargo Workforce Transformation (2020–2026)
Since 2020, Wells Fargo has executed a dual-track workforce strategy: aggressively reducing its domestic footprint while scaling up high-end engineering hubs in India. Under CEO Charlie Scharf, the bank has shifted from a growth-at-all-costs model to one defined by AI-driven efficiency and "Global Capability Centers" (GCCs).

The Domestic vs. Global Shift
While the total global headcount has dropped by roughly 25%, the impact on the American workforce is significantly more severe due to simultaneous offshore expansion:

Global Headcount: Dropped from ~275,000 in 2020 to ~205,000 today (a loss of 70,000 total roles).

India Workforce: Tripled from ~12,000 to over 36,000 employees.

U.S. Workforce: Fell from ~258,000 to approximately 164,000.

Total U.S. Impact: A net loss of roughly 94,000 American jobs, representing a 36% reduction in the domestic workforce.

Key Strategic Drivers
The AI Efficiency Multiplier: Leadership confirmed in late 2025 that AI-native coding tools have increased developer productivity by 30–35%. This allows the bank to maintain its output while reducing domestic headcount through "natural attrition" and targeted layoffs.

India as an Engineering Hub: The bank has transitioned India from a "back-office support" region to its primary engineering center. The Tower 4 campus in Hyderabad (1.2M sq. ft.) now serves as the global heartbeat for software development and data science.

Domestic Consolidation: U.S. cuts have been driven by the closure of over 1,000 physical branches and the "flattening" of middle-management layers to reduce bureaucracy.

Financial Reallocation: In Q4 2025 alone, the bank spent $612 million on severance to facilitate the exit of roughly 5,600 workers, clearing the way for a leaner, more offshore-centric 2026.

Critical Sources
SEC Filings (10-K): Annual reporting of total headcount from 2020–2025.

Investor Conferences: CEO Charlie Scharf's commentary at the Goldman Sachs Financial Services Conference (Dec 2025).

Regional Reports: The New Indian Express and HR Katha regarding the expansion of the Hyderabad/Bengaluru hubs.

WARN Notices: Public filings in Iowa, North Carolina, and Arizona documenting formal layoff rounds in early 2026.

Lifted this from another comment on this site. It gets to the heart of the matter bigly. Sad but true that this is happening to this once great company before our eyes.

It's the only AI software that Chevron has. I am guessing that the LT is planning on celebrating this tool as a means of leveraging AI to cut operational costs. The entirety of AI within CVX has been oversold to the board and the executive team. They have been pumping money into the "dream" software for years and the BoD wants to see results. The money saved over cutting headcount from eavesdropping on emails and text messages will never match the promised returns of AI sold to the board. There is a critical OC gap with regards to AI and the datasets are a mess. It will take years to harvest energy production related returns from AI within Chevron. MW is on the $32M hook to show costs cuts has cut critical headcounts and is now recreating a low cost workforce in India and eliminating the costly US workforce in an attempt to realize the savings that AI might have provided. This is a one-to-two-year trick pony because it's not a sustainable YoY strategy. Once the sham starts falls apart in a year or two, MW (who is already cashing out) will depart. In the meantime, Chevron will lose more talented people since it is fairly evident there is no long-term career to be had here. This is a prime example of how short-sighted corporate leadership with a shallow technological understanding can destroy a once great company. The workforce tension and the desperation of management is palpable, and the first cracks are starting to appear.

And now this whole merit situation. Makes you wonder why we even bother, really.

Verizon Global Services leadership turnover continues. This poorly formed and mismanaged organization has been a complete disaster since it started in 2022. The legacy is mostly layoffs, offshoring, chaos and ultimately destroyed lives and careers at all levels. Outside of M&A disasters, VGS must be top of the Verizon list for utter failure. Go beyond!

I got this job out of college a few years ago and every time someone tells me to jump ship and so on I'm met with the reality that my skills and knowledge have either remained stagnant or actually gotten worse with this company. Combine that with programing in C and I feel like I've been left holding the bag. I need options here before I somehow find myself replaced by an Indian despite being told "Your work is proprietary and cannot be done by offshore employees," as if that's stopped PHI being leaked and exposed for the past several months or turning entire teams into being contractors for Tech Mahindra.

TLDR: Offshoring is tanking the company, layoffs are coming monthly, and the whole thing’s about to implode. Brace yourself.

The tribal knowledge that execs are wiping out with all this offshoring is priceless and irreplaceable. I know a lot of US-based teams that have been hit by the recent layoffs, many of them who worked directly with clients. I feel for them, and I feel for the clients too—they have no idea how quickly this company is falling apart from the inside.

According to a solid resource involved with HR, they’re planning to lay off 200-250 people every month. I’m definitely looking for jobs outside of the company because the writing’s on the wall. Soon, there won’t be anyone left in the US except the execs, a few critical infra folks, and CSMs/SRMs to keep the facade that everything’s fine.

This whole company is running on siloed legacy infrastructure, and once the people who actually know how everything works are gone, it’s just a matter of time before catastrophe strikes—something that’ll make the Capital One incident look like a joke. The world’s largest payment processor is on the edge of imploding, and most people have no idea what’s coming. The crypto bros will be celebrating their "black swan" moment.

Dear Blackbaud,

We are writing as a collective group of Blackbaud employees in response to Mike Gianoni‘s message regarding the next phase of the Workforce Strategy.

While the message states that the workforce will not shrink overall, it clearly acknowledges that valued colleagues will be made redundant over the next 24 months. For those directly affected, and for those remaining, this distinction offers limited reassurance. A strategy framed around growth does not lessen the reality of job losses, role displacement, or the anxiety created by prolonged uncertainty.

The expansion of roles in India and the use of AI as a driver of saving costs is simply unacceptable.

If this strategy is truly about shifting capabilities rather than shrinking Blackbaud, then we believe the following commitments are essential:
1.A clear retraining and reskilling guarantee for impacted employees before redundancies are considered
2.Transparent criteria for role evaluation and location decisions

1. We demand a fair and equitable severance package for all impacted employees that reflects their service, contribution, and the disruption caused by these decisions.
   4.We demand that employees with outstanding vesting shares retain their full equity entitlements, with no forfeiture as a result of redundancy.

Given the erosion of trust and the uncertainty created by these decisions, we respectfully ask Mike Gianoni to consider resigning to allow for leadership better aligned with the values and stability employees expect. We are asking leadership to work with employees, not simply inform them.

We remain committed to Blackbaud and to our customers. We are equally committed to protecting our colleagues and ensuring that this transition is handled with integrity, transparency, and fairness.

Should leadership fail to engage transparently and address these concerns, we will begin organizing collectively and will consider industrial action

We look forward to meaningful dialogue.

Anyone here from CGHB that knows if we are getting hit Tomorrow? US based employees are scared, they hired Indian people for every position so basically they already have our replacements, I wonder if we will be all Job eliminated or what??

Hello lovely people,
You guys probably dgaf about contractors but a lot of the contractors are being let go of, being replaced by offshore resources.

While I am really happy for the opportunity and hope this brings to the people offshore, I hope they are not overworked and expected to do as much as the onshore resources. Also, good luck to ACI and all the managers for future.

Hearing lots of positions will be cut starting from today and back filled with positions in India. Looks like a difficult time ahead for
Everyone

We saw yesterday the announcements about our new sales orgs. We need our sales people to now move FAST but there is no support. Sales operations is now managed by RB (reporting to loss-making-CB) who wouldn’t know a customer or account manager if he tripped on them. all the support groups needs to hire in low cost locations now as Bandy clown 🤡 says so and yet RB is managing that as well at a SNAIL pace. Sadly people are leaving and the gaps will be there most of the year the way this non-sales-non-operations works

I'm searching for another job, and that helps. Somewhat. Because it's also made me realize just how hard finding one will be. The constant talk about offshoring and AI is starting to panic me. I have a family. A mortgage. Bills that keep climbing. The fear is almost paralyzing. And please don't tell me to just "deal with it." You all know we're hanging by a thread. So, how are you dealing with it?

Anyone know how T-Mobile plans to maintain USGCI compliance given the ongoing shift to FTE's in IT India?

Anyone accessing the Federal Agency data must be a US citizen and must only access the data from the continental USA.

When might the Feds notice this risk?

Most admired for what? Sh-----g on its employees the most? Maybe most admired for offshoring all our jobs and leaving americans with nothing. Oh wait i got it. Most admired for falsifying performance reviews , not even trying to hide it this time, that then cost people their jobs and merit. That must be it.

It's just too much of a cost center in the eyes of Jane and her EMT's. The expense associated with it is a blot on the balance sheet and has now become unbearable for senior management. They think they can manage the present administration into leashing the FRB/OCC and are confident that they can close the regulatory issues by early next year. Throughout this year there is bound to be multiple rounds of focussed RIF's. Why multiple? Because they can't get rid of everyone all at once plus there's the small matter of not attracting higher SUI taxes ..especially from New York. Since SUI pays for unemployment, large layoff's cause states to increase Citi's contributions and a dime spent on anything else means a dime less in Jane's compensation - unacceptable

As Trim (welcome back Trim!) indicated in his post, layoffs will happen every few months. And there is likely going to be deep cuts in Transformation (Anand S), Risk Mgmt (second line), Data (A Nawani) and Tech that supports transformation. Likely Financial Crimes as well due to offshoring. Some of these may see cuts ahead of others.

Jane and EMT are sick of Transformation. They feel it's holding the bank back, doesn't justify the expense (never mind that empires were built under Jane's watch) and is wholly unneccessary. They have made up their mind to cut the umbilical cord. If a latger Dem administration comes in and brings back regulatory scrutiny...well, Jane will be long gone by then. WHoever is in the chair at the time..let that person solve for it.

Folks in any of the above....start updating your resume, upskilling, applyin and interviewing and activating network. You all will need it. Focus less on Citi's work...do the bare minimum. They don't care what work you did or didn't do when the RIF lists are prepared. Look out for yourself first

https://www.bloomberg.com/news/articles/2026-02-12/ibm-plans-to-triple-entry-level-hiring-in-the-us-in-2026

Meanwhile Cigna still backward following trends from 20 some odd years ago. People are finally seeing the outcomes/results of GCC and offshoring.

... to see what's coming next. Hopefully trimming fat in US will bring stable growth in Pune, Bangalore and Mumbai. That's ironic - American company cutting Americans first. FAFO!

Remember folks, there is no such thing as loyalty in Corporate America for its customers, workers, or even its brand: just the shareholders. Our salaries are only based on how hard it is to replace us and with AI and increased offshoring we are seen more as a burden and expense than as an asset. Ive been with this company for 25+ years. When I started it was preached that the lower pay was because the company was a place where if you worked hard, they would invest in your development, you can advance, and your job security was pretty high because where we like a family. That was true for the first 15 years of my career here, the workplace culture was excellent. That drastically changed since the end of the pandemic. Im hoping to make it a few more years before a RIF so I can just retire. I feel bad for those having to deal with this here or any major company in the United States. Get ready for two major items in the next 6 months: Major RIFs/layoffs and a full return to office mandate. If you don't come back to the office because you believed the company a few years ago about living wherever you wanted and being able to work or work life balance, you might want to start looking for a new job/career now. If you are an office or hybrid worker, new tech is coming to help HR track you better even if your manager is located in a completely different office or continent. AI is getting better and offshoring is increasing. The talk about doing the "right thing" has been stifled if it does not align with the new "model." The only thing that will make this company improve its workers culture is if the economy, job markets, and competition improve, and until there is a new administration, I doubt that will happen.

Dan is replacing you with outsourced reps. AI is an excuse.

So jobs can be moved offshore. Hope everyone reads through this ploy.

https://www.theage.com.au/business/workplace/telstra-to-cut-209-jobs-from-ai-joint-venture-offshoring-work-to-india-20260210-p5o15l.html

Telecommunications giant Telstra and consulting firm Accenture are proposing to slash hundreds of roles from their data and AI joint venture, with some work to be offshored to India.

Telstra’s $700 million joint venture, one of the biggest AI investments by an Australian company to date, said on Tuesday it proposed to cut 209 jobs.
The venture, announced in January last year, is aimed at rolling out AI capabilities across Telstra to improve its business processes, chief executive Vicki Brady saying at the time it would build specialised AI tools for its teams to “work smarter and faster”.

A spokesperson for the joint venture confirmed on Tuesday evening that it would be reducing roles “where work is no longer needed” and moving some of its work to the joint venture team in India which, they said, had advanced AI expertise and a specialist hub that could deliver Telstra’s data and AI roadmap more quickly.

“We anticipate that over time, this would result in improved cost efficiencies
and bring an enhanced experience to Telstra’s customers,” the spokesperson said. <-- In this employee's opinion, it would only be a negative enhancement.
.....

Tough times are ahead because of H1Bs + AI + work going offshore.

So, sell your home(s), and stock(s) (if they are in profit) and keep cash to survive the tough time.

Tough times are ahead because of H1Bs + AI + work going offshore.

So, sell your home(s), and stock(s) (if they are in profit) and keep cash to survive the tough time.

I prefer when an American answers the phone not an Indian call center. Not racism just competence. Same for engineering.

It all going to India while they sponsor the Olympics to appear all American. We arent fooled.

A big team of our so called leaders went to India to meet Genpact, one of the worst service companies. Should we brace for more layoff from in the US?

Had our monthly meeting with the VP of RCM today and in the name of “being transparent” we were told they are looking into which roles can be offshored and actively doing testing for it.

Between 6 and 9 months from now we may or may not be getting notified that we’re being redeployed, but we don’t need to worry because they will give us an ample amount of time.

In the meantime, we’re instructed to check out MyPath!

🤡

All I have heard regarding those packages were people had a 24 hour response time or it was being withdrawn. Is that true? There are also 21 - 45 day acceptance of severance packages in the US depending on your status. Are those being violated?

This company has outsourced so many jobs to India. Are they really true employees or are they Indian owned and operated with agreements to label them as employees? Is that why it takes them weeks and months to fully terminate them or the 5 managers? The US employee numbers and the high number of Indian employees are a nudge to contact whistleblower portals in the federal government to offshore employees and save money.

For the people over 40, these RIF's are considered group layoffs. It does not matter if you were terminated in groups from the same team. We you given a list of all terminated employees, their ages, title, and any other?

Has anybody contacted DOL or any other wage and labor law representatives regarding the terminations, older people, people with disabilities, offshoring to India, and anyone else?

I would have assumed there would have been audits by now as FIS is breaking up the terminations to bypass federal and public reporting by now but have not heard of any.

I just hope they don't try to slap the AI label on every barely believable justification. That excuse has become tired already.

New Year new round of layoffs. It was done very quietly and most are afraid to even talk about it. We all know more are coming. The push to rely more on dealers, cutting sales offices, service, and warehousing. Moving towards direct to customer aka drop ship. Jobs being sent overseas for cheap labor. Push for automation and focus on using AI. All geared to eliminate as much of the US workforce as possible. Then act surprised that moral and engagement are so low. Upper Management focused on stupid rules like camera on for calls and more in office days while sales numbers tank and existing customers become more angry. How much time and money wasted on Kickoff meetings and surveys just to sp-t in the face of the workers. Just holding on until I get a new job. It's a sinking ship, man the lifeboats.

There is no US IT left. These rounds will finish us off. The only good news is there is a rumor we heard that David is out looking for a new CIO again. We knew that had to come after the latest mess last month. Maybe the new one will rebuild the function back on shore. Where it belongs. The clowns in India keep sending useless code. Do you see the same? We re-do their work again and again.

Oracle is making a mistake by choosing cheap labor over quality. By hiring fresh graduates to save money and moving work offshore, the company has stopped improving its products and is now just maintaining them.

The experienced people who actually know how things work are being ignored or are waiting to leave, while the bosses at the top keep doing the same old things just to keep their jobs. New hires are using AI to write code, but they don't truly understand the systems.

People are worried stock will drop more because Oracle doesn’t have a strong cloud or AI strategy. Even its financial strategy is poor. No mo--n will go for such a big debt immediately.

To fix this, Oracle needs to analyze stagnant projects. Rework on talents. Get rid of the stuck leadership at the top, and start rewarding the real experts who can actually innovate. Remember Oracle pays low. If it layoff and hires back its going to be another challenge.

I see them visiting India , Bangalore so often.
They hardly visit sites in USA.

And those of you laid off are going to be in way better spots and laughing at the decisions being made today by terrible people who are so shortsighted.

It is no secret that the overseas agents were bad. The ai tools were good sometimes, other times totally wrong with what they said and not helpful. I understand using tech to make it easier. But I have serious doubts that the actions they have taken this month will benefit the company, remaining employees, or customers. In my mind I thought I'll wait it out and when they realize it was a mistake, I'll apply again. But the more I look for new employment and the more time removed from Wayfair, I don't think going back is a good move. Which su-ks because I liked a lot of people there. At this point I'll be happy to get my w2 and be done with them.

managers want us to get excited because we're "getting new coworkers" aka once again outsourcing to india. meanwhile more things on the tech side are broken than ever

Wireless used to be a great company and I loved working there until the Vodafone buyout. Once the telecom executives got a hold of wireless they started the RIF/outsource/off-shore march. The Telecom side hasn't been profitable for decades so you can downsize as your business shrinks. This strategy does not work for wireless when you're adding 250k-1M customers a quarter. Verizon doesn't know how to run a successful business. The telecom senior management removed all the Wireless execs and proceeded to turn Verizon Wireless into Verizon Telecom which was a death sentence. Verizon has never bought a business that they haven't destroyed with the same failed strategy of RIF/outsource/off-shore. That's the only thing they know and it has never worked. They did the same to YAHOO, American online and countless other acquisitions. As soon as I heard about the Vodafone deal, I said within 10 years, wireless will be ruined and I was right. When I left, I tried to transfer my concession number to my private phone (after approvals). I was totally offline for 4 days and ended up just having my non-concession number restored. Because I recently bought a new phone on a promotion, it was also cancelled as they tried to change my number. Took me another 6 months to get my billing corrected. They RIF'd everyone on the wireless side who knew what they were doing. These id--ts never learn. They keep doing the same thing expecting a different outcome. Sounds like insanity to me. I took a VSP but I feel really bad for the folks still trying to hold on. My advice... if you're under 50 years old take a RIF and find a company that appreciates you. If you're 50 or older, find something first. It's not easy finding a comparable job and salary once you get into your 50's.