Tuesday, March 10, 2009

JP Morgan to up India IT outsourcing by 25%

Crooks and Liars:

And just to add insult to injury, exactly how much of our bailout money are they using
to make our jobs go away?

BANGALORE: The second-biggest bank of the US, JP Morgan Chase, which acquired Washington Mutual and Bear Stearns recently, will increase its outsourcing to India by 25% this year to nearly $400 million. It will also manage the integration of the acquired companies from India to bring down the cost of integrating different information technology (IT) systems.

Right now, JP Morgan outsources $250-300 million worth of IT and back-office projects every year to Cognizant, TCS and Accenture, apart from to its own captive centre in Mumbai.

“JP Morgan CIO Guy Chiarello said last week that he will increase outsourcing to India, and will drive several integration projects from there,” a New York-based expert, familiar with JP Morgan’s outsourcing plans, told ET last week, on conditions of anonymity. A spokeswoman for JP Morgan India could not reply to an email query sent by ET on Friday, and the bank’s spokesperson in the US too did not reply.

“JP Morgan is one of the first banks in the US to have fleshed out its outsourcing strategy ever since the banking meltdown happened. Many others are still undecided about their IT spend,” said a senior official at one of the technology firms, who did not wish to be quoted.

1 comment:

Anonymous said...

There you go America bails them out and they don't give back by creating much needed jobs here.

A lady I work for husband has been out of work, he applied for a janitorial job, one of 700 who did, more than half with college degrees, did with him. So that is nonsense if they think people won't work for lower pay. I know many contractors who bid the jobs so low, so as to get them, and not to take a loss on the job, some even just at break even so they could do a good job and have an edge over the next job, just to have some money coming in. Seriously many stories like these, many with college degrees working at fast food etc. Getting people in this country to work for less will not be hard at all, there is no reason to go overseas, anymore, they need to wake up and really see how having jobs here, with American's employeed is what is going to help in the long run.