Article 43


Tuesday, May 07, 2024

We’re Still Outsourcing Computer Jobs

image: unhappy i.t. guy

With all the TALK of cybersecurity fears of hacks and a hot jobs market - you have to wonder what’s next.

There’s a couple of other things to think about besides paying slave wages to, and/or outsourcing the talent of Americans overseas.

The official government jobs numbers.  They’re as worthless as a three dollar bill.  The 40% or so of us that actually make enough to pay our bills probably don’t follow - or care about - those reports.

National security.  How can so many companies - and the government - outsource critical work like maintaining and administering computer systems to our political adversaries and countries off American soil?

The Great Replacement.  If you’re one of those 40% or so not living paycheck to paycheck, or watch cable news like MSNC and FOX for truth, you probably think the “great replacement” is a theory.


Jobs Being Outsourced
May 3, 2024

I work for a pretty large MSSP in SOC in the U.S. I’m closing in on almost 3 years here, a couple months ago I was promoted to senior security analyst. I noticed a trend starting early last year, the company starting doing layoffs at first for the tier 1 soc roles and helpdesk, not all of them but a good amount, then after a week or so we were introduced to NEW TEAM MEMBERS FOR THE SAME ROLES THAT WERE LAID OFF BUT THEY WERE BASED IN INDIA. Then in Sept of last year, layoffs again, this time tier 2 where I was at, at the time. Same thing a week later more teammates from India. Finally once I was promoted a couple months ago to a senior I thought I would be safe. 2 weeks ago, again layoffs announced, this time some of our security engineers and software engineers, you can see the cycle here, surprise, the following week those roles were replaced by people in India.

Now almost 40% of my team is based out of India in the SOC, I know with our helpdesk the figure is higher, and with engineering its probably somewhere in the 20%. To be honest without disrespecting anyone, ever since the arrival of the employees from India, our quality of work has declined drastically, I am continually having to intervene on tickets worked by them, which is taking more time from myself having to work on high priority situations, we are constantly having miscommunication issues and it has made work much more difficult then it needs to be. Customers are filing more complaints then ever, some of our application projects for engineering that were due to be released months ago have been pushed for a further timeframe of 5 to 6 months. We had some of our biggest clients telling us that they will have to think carefully if they will want to renew their contract with us.

One of the main reasons I went into cybersecurity and spent so much time on education and certifications was because I was being told and led to believe this is a secure field for job risk. I understand a corporation’s main goal is to generate profit. But I thought roles in this industry would be more inclined to not be outsourced due to the nature of security data that US companies would be inclined to not have that data accessible overseas.

So I can see the writing on the wall, either the company will start laying off the seniors and replacing us for cheaper labor or they will want us to stay here to oversee the environment. Doesn’t matter to me though because I don’t want to work at this company anymore due to the reasons I stated above. I am continually seeing headlines of these tech layoffs but one of the main backings of these that isn’t talked about enough in my opinion is outsourcing.

So as I brush up my resume to start looking for another job, which sucks to think about because I genuinely enjoyed working at this company previously. I think to myself and hopefully I can gain some insight from all of you, what roles in the security field are less prone to outsourcing? I am mostly experienced in blue team/defense security and incident response, should I start looking at red team? cloud security? application security? or a specific industry in security? Etc. security is a vast field so I would love any input from you.



Same job, $16 less per hour: Frustrated job hunters cant find roles that pay as well as their old ones
The latest jobs report shows the labor market is still strong, but some workers say theyve been forced to take jobs that pay almost half what they earned before

By Zoe Han
May 4, 2024

Martin-John Rubio had been job hunting for a year when he saw a posting in early 2024 for a role in talent acquisition that was similar to his previous job, which he had left after his contract ended. But instead of the $33 an hour he’d been earning before, the listed pay was $17 an hour.

Rubio was flummoxed, so he sent the job poster an email.

“I said, ‘Hi there. I was just curious - was this a typo? Did you mean to put $27 or $37? Because it says $17.  It’s located in Silicon Valley. There’s no way that anybody would take that job,’” he told MarketWatch.

He didn’t get a response.

“I wasn’t trying to be a smart-ass,” Rubio said. “Because $17 an hour? I mean, Christ, the fast-food people earn more than that nowadays.”

California fast-food workers started earning $20 an hour this year, and throughout the U.S., LOW-WAGE WORKERS HAVE SEEN THEIR PAY RISE FASTER than any other group since 2019. But some white-collar workers say the current job market is the most difficult they’ve ever experienced.

For jobs in industries like mortgage lending, marketing and human resources, some companies are offering salaries that are lower than what new hires had been making at their previous jobs, often for the same type of role - and especially for those in mid-level to senior-level roles. Some job seekers say they’ve had to accept that lower pay or leave their field entirely.

What’s going on? “After a hiring spree in 2021 and 2022, when some companies had to offer higher salaries to fill roles for which workers were in high demand, many of those same companies are now trimming the pay they offer new hires,” said Paaras Parker, chief human-resources officer at the human-capital-management platform Paycor.

“The math would tell you, then, they would have to pay less for other types of roles,” Parker said. “Because there;s just not more money available.”

For most of 2023, the average new hire across the board in the U.S. was paid less than the average new hire in 2022, according to data provided byGUSTO, a payroll platform for mostly small and medium-size businesses. 

A ‘wait and see’ economy

Marilyn Driscoll, who lives in the Chicago area, was making $115,000 a year, or about $55 to $60 an hour, as a senior technical RECRUITER. After her contract expired in August 2023, she expected to find a new position within a month or two. But as that stretched into half a year, she found that most of the roles she was applying and interviewing for were paying about 30% to 40% less than she had been making.

“You look at the jobs on the [job boards] and you just have to laugh,” she said.

A recruiter for one job told Driscoll in an interview that the pay was $20 per hour. “This has got to be a mistake,” she responded. She said in an interview with MarketWatch that she would not take a job like that one, which came with entry-level pay but senior-level responsibilities.

“Its soul-crushing,” she said.

Brett Jansen worked as a chief growth officer before being laid off in November. In an interview for a similar role, a recruiter told her that nobody was getting paid as much as she had been making before. The job market was going through a reset after salaries got inflated during the pandemic, Jansen was told.

She thought that was unacceptable. “You can’t pay people less when the cost of living is what it is right now,” Jansen told MarketWatch. “You can’t pay people less to do the same job that they were doing previously.”

The overall labor market looks strong, but the latest government data shows scattered signs of a slowdown. While unemployment remains low, job openings in the U.S. fell to 8.5 million in March, THE LOWEST LEVEL IN MORE THAN THREE YEARS. Most new jobs were in three areas: GOVERNMENT, HEALTHCARE, AND LEISURE AND HOSPITALITY.

“Many employers are hesitant to recruit new workers because of economic uncertainties and rising costs,” according to Liz Wilke, the principal economist at Gusto, who called it a “wait and see” economy.

The finance industry has seen the biggest decline in pay levels over the past four years, with new hires earning 7% less in 2024 than new hires did in 2019, according to Gusto data.

“That’s partly because there are fewer jobs for loan officers now,” Wilke said. A series of interest-rate hikes by the Federal Reserve that started in 2022 has made borrowing money more expensive, which means fewer people are taking out loans.

THE TECH INDUSTRY is also seeing a drop in pay for new hires”, said Rahul Yodh, vice president of talent acquisition at New Western, a real-estate investing company.

‘You look at the jobs on the [job boards] and you just have to laugh.’Marilyn Driscoll, a former senior technical recruiter

Two and a half years ago, he said, tech was the most candidate-driven market out there. Job offers were “more than generous,” and many of them were open-ended - meaning that if a candidate declined the offer but went back to the company a year later, the company would still be open to hiring them, Yodh told MarketWatch. “That would never happen today.”

As Driscoll, the former technical recruiter, described it: “People were throwing stupid money at us.”

Doing more work for less pay

U.S. employers have announced more than 322,043 job cuts since the start of 2024, according to the latest figures from the outplacement firm Challenger, Gray & Christmas.

Along with those layoffs, workers looking for new jobs not only saw lower pay, they also saw roles that required them to do more.

Driscoll saw one posting for a job in Austin, Texas, that paid $115,000 to $125,000 a year. The role involved managing recruiters along with marketing recruitment efforts and other duties. “This is easily five different roles,” she said, adding that the pay for such a job should be more than $200,000.

Companies have also had to recalibrate remaining employees’ responsibilities after layoffs, Yodh said, noting that unless a company decides to eliminate a project, the work still needs to get done.

Increasingly, beaten-down job seekers are saying yes to lower-paying jobs after months of unemployment.

After working 17 years in the mortgage industry, Janice Hernandez was laid off twice in 2023 - first from her $90,000-a-year job as an account-relationship manager. Six months later, Hernandez accepted the only job she was offered, as a senior loan partner earning $54,000 a year. She was later laid off from that job, too.

“I had no choice but to take it because I needed [it] to work financially,” Hernandez told MarketWatch. “I said, ‘It’s better than nothing.’”

Andrea Dean recently found herself in a similar situation. Dean, who lives in Melbourne, Fla., had 22 years of industry experience under her belt and was making $35.50 an hour as a conventional mortgage-loan underwriter before she was let go in August 2022. She started working a $19-an-hour logistics job last July. “I didn’t care. I just needed to make money,” she said.

“When more workers are willing to take less money, that can drive pay levels down further,” Yodh said. And many rounds of layoffs have resulted in a candidate pool filled with more-experienced white-collar workers. “In today’s job market, there’s no shortage of good quality candidates,” he said.

Rubio hasn’t given up on his search for a good job in human resources.

“You’ve got to look every day,” he said. “The one day you don’t look, that’s the one day the job that you want is going to come out. Trust me.|


Posted by Elvis on 05/07/24 •
Section Dealing with Layoff • Section Job Hunt • Section Preying On The Job Seeker • Section Dying America • Section Workplace
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