Large companies in US and Europe are now losing over one quarter of a millions jobs annually in IT, finance, and key business services areas, due to the combined impact of offshoring, technology-driven productivity improvements, and the low-growth business environment. It is estimated that by 2017, about half of all back-office jobs (or about 4 million) at these companies that existed in these regions in 2002 will have disappeared.
While the total labor demand continues to shrink, a “war for talent” will enter a new phase, driven in part by globalization. The need for transactional staff is decreasing dramatically, while the demand for knowledge-centric staff is increasing. Staff that can develop the knowledge-centric skills that companies need to support their companies’ shift to Global Business Services, and overall globalization goals, will find themselves in great demand.
This research conducted by the Hackett Group, details how a major factor in…
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