Use of off-shore labor

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Author’s Name: Instructor’s Name: Course: Date: Use of off-shore labor Offshoring has become a prevalent feature in the U.S economy nowadays. It basically refers to the shifting of some or part of the production process to other countries while maintaining the sale of products to the United States market. This is majorly caused by market factors which force businesses to look for ways of reducing the cost of production. They result in shifting their production to areas where the protection of workers and living standards are laxer in comparison to the United States. Another incentive to the relocation of the production process outside the U.S is the availability of ineffective tax structures in other countries (Hira and Hira 4-6). Offshoring has elicited not only political and economic debates but also ethical ones. Economists claim that offshoring cuts on business costs while simultaneously providing cheaper services and products to Americans. Nevertheless, the outsourced jobs are no longer available to U.S citizens and there is the need for creation of new jobs in the economy. According to a study carried out in 2004, about $151 billion in wages and around 3.5 million jobs were to be outsourced by the year 2015. Though the companies end up reducing their production costs, there are ethical concerns in offshoring. Two ethical questions can be raised concerning offshoring, the first is whether it is done ethical and secondly, the role played by ethics in such business decisions (International Center for Ethics, Justice and Public Life 1) A company’s main task is the provision of goods and services to its consumers. In addition to that, it has the moral

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