How it is even possible, that international corporations are opening new agencies year after year? Most of it appears in developing countries, most of the times situated hundreds or thousands miles away from main branches. What are back offices for banks or offshore software development? Is there are really reasonable to open entire new agenda?
It turns out, that it is very profitable. Some Swiss Bank are hiring specialties in Switzerland and England, countries with very hight minimal salary. It turns out, that more productive will be transfer entire section to totally different country, Poland for example. It sound like a big investment? Not at all. Because money which they spend on opening new branch, they will saved during next year on employees salary. Minimal wage in Poland are couple times smaller them in UK, so they pay them less then former specialties, but they are doing the same work.
The same is with offshore software development. IT company are opening new agency, in India for instance, and they are hiring thousands of qualified employees. There are often much more creative and ingenious, then their colleagues in United States, but they earn ten times less for their work. But they are not a victim, they have won a lottery ticket by getting job of their dreams with ability of promotion. On the other hand, companies are saving a lot of money to invest in new technologies and overall development. But there is also the other side of the coin – sometimes people in UK or France are loosing their jobs, because of redundancy. Due to fact, that employees in Poland or India are much more cheaper, services of English and French specialist are no longer needed. But they are living in rich, developed countries, so they wouldn’t have problem to find a new job.
Thanks to the globalisation and free market, internationals companies are able to open new agencies whole around the world, as long as it is legal and save. Because of that, there will be more and more new offshore software development and back office agencies, every year.