Globalization is driving all of us nuts. From having companies from the east setting their offices in Europe
No figure has been released on the total investment by Tech Mahindra in the Belfast centre but Invest Northern Ireland is putting £2.2m towards the total project costs. The centre has already opened with 60 staff and recruitment for a variety of IT and telecoms development roles is ongoing.
The move brings the number of people employed by Indian tech companies in Northern Ireland to more than 2,500. Other Indian companies to open operations in Northern Ireland include FirstSource, HCL and Polaris.
to firms backing off and taking off-shoring deals away from India
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But in his company blog, Riya chief executive Munjal Shah, said: "Bangalore wages have just been growing like crazy. To give you an example, there is an employee of ours who took the first five years of his career to get from 1 percent to 10 percent of his equivalent U.S. counterpart.
"He then jumped from 10 percent to 20 percent of his U.S. counterpart in the next 1 year. During his time with us (less than two years) he jumped to 55 percent of the U.S. wage. In the next few months we would have had to move him to 75 percent just to 'keep him at market.'"
Shah added: "In general this wage inflation is really good for my employees and great for India."
But the increase in Bangalore wages had "destroyed the ROI" that was the rationale for maintaining the otherwise difficult two-continent operation. The company has now moved to consolidate its engineering and research work at its California headquarters.
But this does not mean that the firms from India are suffering, in fact the services and exports model is going to fetch some $40 Billion.
The strong growth in software and services exports is coming from an improvement in India's competitiveness, and the addition of new services, such as remote infrastructure management, by Indian service providers, Kiran Karnik, president of NASSCOM told reporters in Bangalore on Monday.
The revenue figure also includes exports to their parent companies and clients by Indian subsidiaries of multinational companies such as IBM, Oracle, and Accenture, that are expanding fast in India.
India’s overall IT industry grew by 30.7 percent in the year to March 31 to earn revenue of $39.6 billion, with the domestic market also growing by 22 percent to $8.2 billion, NASSCOM said. Many multinational companies including Hewlett-Packard and IBM have bagged outsourcing contracts from Indian companies.
I see globalization as something as simple as the sea level. It may be a bit unsettled but eventually it will come it its mean. When that kid in Argentina can start going to school because his dad has a decent job, when that 12 year old boy in Burundi would be sitting on the internet and watching the market trends instead of having someone thrust a rifle in his hand, when that girl in Rajasthan will dream of becoming a fashion designer while working on that interactive program her thin laptop instead of walking miles with her mother across the desert. I will know that we have got there. No more little ones out there struggling to eke out a living. Sure we all will earn wages that will be a lot less than today. But then it really won't matter.
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