Outsourcing Means Fewer U.S. Workers

According to a recent article in The Wall Street Journal, jobs in the wireless industry have been disappearing, even as revenues have climbed. According to FierceWireless, an industry monitor, analysis of the latest Labor Department figures show that:

"... in May the employment at U.S. wireless carriers hit a 12-year low of 166,600, or 20,000 fewer jobs than when the economic recession officially ended in June 2009 and 2,000 less than a year ago. However, since 2006 the industry's overall revenue has jumped 28 percent."

One explanation is that the industry has been forcing more work out of existing employees. CTIA-The Wireless Association claims that jobs are switched from wireless to wireline and that components are now made by a host of subcontractors.

But, according to CWA's Telecommunications Policy Director, Debbie Goldman, the major reason is outsourcing. "Sprint outsources network management and 70 percent of customer service work. So do Clearwire and MetroPCS," she said. A July 18, 2011, CNET story on the jobs decline confirmed that, "Sprint laid off thousands of workers in 2008 and 2009 and reduced the number of its call centers over the past few years."

However, AT&T Mobility, has kept personnel steady — and increased revenues.

Wireless Jobs Vanish (Wall Street Journal)

Wireless jobs disappear despite booming revenues (Fierce Wireless)

Wireless jobs decline even as industry booms (CNET)