Outsourcing Wall Street

Absolutely hilarious. Jobs transferred to India:

The jobs most affected so far are those with grueling hours, traditionally done by fresh-faced business school graduates — research associates and junior bankers on deal-making teams — paid in the low to mid six figures.

The bleeding has only begun. I suspect that the big cuts over the next couple of years (hundreds of thousands of bank employees) will never return to the US. All this talk of irreplaceable "talent" is crap. Everybody is replaceable with someone much cheaper from India/China:

Cost-cutting in New York and London has already been brutal thus far this year, and there is more to come in the next few months. New York City financial firms expect to hand out some $18 billion less in pay and benefits this year than 2007, the largest one-year drop ever. Over all, United States banks will cut 200,000 employees by 2009, the banking consultancy Celent said in April.

Comments

[James Bowery]

Why not Detroit?

'One dollar can get you a large soda at McDonald's, a used VHS movie at 7-Eleven or a house in Detroit.'

'The fact that a home on the city's east side was listed for $1 recently shows how depressed the real estate market has become in one of America's poorest big cities.'

'And it still took 19 days to find a buyer.'

http://www.detnews.com/apps/pbcs.dll/article?AID=/20080813/METRO/808130360/&imw=Y

Seriously, now that the financial centers have destroyed the midwest:

http://www.vdare.com/letters/tl_081108.htm

It is probably cheaper, all things considered, to set up shop here than in India. The upper plains States still have the highest median level of academic achievement and IQ in the world.

But then, perhaps, moving to more cost-effective locations isn't really the point after all:

http://web.archive.org/web/20060707065055/http://www.haaretz.com/hasen/spages/730443.html