PRINTER'S NO. 1426
No. 211 Session of 2004
INTRODUCED BY DENT, KUKOVICH, GREENLEAF, MUSTO, ERICKSON, STOUT,
CONTI, LOGAN, RAFFERTY, WAGNER, PIPPY, KITCHEN, ORIE, COSTA,
LEMMOND, TARTAGLIONE, GORDNER, WOZNIAK, O'PAKE, SCHWARTZ,
BOSCOLA, STACK, KASUNIC, FERLO AND LAVALLE, MARCH 15, 2004
REFERRED TO LABOR AND INDUSTRY, MARCH 15, 2004
A RESOLUTION
1 Directing the Joint State Government Commission to study the
2 economic impact of offshore outsourcing on Pennsylvania's
3 service sector, particularly as it pertains to the area of
4 information technology jobs.
5 WHEREAS, In February 2003, Business Week reported that
6 "processing insurance claims, selling stocks and analyzing
7 companies can be done in Asia for a third to half the cost in
8 United States or Europe"; and
9 WHEREAS, In October 2003, The Washington Post reported that
10 "the software and service industries--strong drivers of the
11 United States economic growth for nearly two decades--show signs
12 of emulating the struggles of U.S. steel and semiconductor
13 industries"; and
14 WHEREAS, In August 2003, Business Week reported that "this is
15 no longer about a few low-wage or manufacturing jobs. One out of
16 three jobs is at risk. They could be sent overseas in the name
17 of cost-cutting"; and
18 WHEREAS, In October 2003, The Washington Post reported that
1 "ten percent of jobs at U.S. information technology vendors will
2 move offshore by next year"; and
3 WHEREAS, The Fisher Center for Real Estate and Urban
4 Economics of the Haas School of Business (University of
5 California) estimates that more than 14 million United States
6 service jobs will be lost to offshore outsourcing; and
7 WHEREAS, Jobs are being lost in this Commonwealth as a direct
8 result of offshore outsourcing; and
9 WHEREAS, The Commonwealth's short-term and long-range
10 economic development goals are being adversely impacted by
11 offshore outsourcing; and
12 WHEREAS, The Commonwealth is utilizing resources to educate
13 and train workers for information technology jobs but may be
14 simultaneously eliminating many of those jobs; and
15 WHEREAS, It is in the best interest of the Commonwealth to
16 preserve employment opportunities and prevent financial hardship
17 for its citizens; therefore be it
18 RESOLVED, That the Senate direct the Joint State Government
19 Commission to study the economic impact of offshore outsourcing
20 on Pennsylvania's service sector, particularly as it pertains to
21 the area of information technology jobs; and be it further
22 RESOLVED, That the Joint State Government Commission report
23 its findings and recommendation to the Senate no later than
24 September 30, 2004.
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