The New York Times, citing an internal company document, on Friday reported that IBM Corp. planned to hire more than 14,000 additional workers in India, even as it slashed payrolls in Europe and the U.S. by roughly the same amount.
The report suggested IBM's plans provided more "telling evidence of the continuing globalization of work and the migration of skilled jobs to low-wage countries like India."
IBM, however, insisted it was not really an economic calculation. A company senior vice president told the newspaper that the lower cost of labor in India was part of the calculation but not the most important consideration. "People who say this is simply labor arbitrage don't get it," the IBM executive told the Times. "It's mostly about skills." — Andrea Orr
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