A thousand jobs paying an average $60k is nothing to sneeze at and particularly for smaller cities such Cincinnati, it means a lot. I see this move by TCS as a trend that will only gain momentum. There are a number of towns that offer a good standard of living, housing is cheap and skilled labor supply is decent.
**T****CS to create 1,000 jobs in US
**](http://infotech.indiatimes.com/articleshow/2876786.cms)
MILFORD: An India-based information technology company has opened a new office near Cincinnati that is expected to create up to 1,000 jobs.
Ohio Governor Ted Strickland was among those who attended the opening of a new office for Tata Consultancy Services. The $20 million (euro12.7 million) facility will serve as the primary software development and delivery center for the company’s North American customer base.
Officials have said the average salary for a Tata employee will be about $60,000 (euro38,000). The company received a 90 per cent property tax break worth $15 million (euro9.5 million) over eight years to locate in Ohio.
US is not becoming cheaper. All prices except home prices have sky rocketed due to energy cost, osha type labor practices and mismanagement of global trade policy.
But real wage levels are stagnant or recessive so what Indians are doing is a smart thing (considering wages are rocketing up in India I understand)
Here’s what’s been hapenning http://www.youtube.com/watch?v=9fv1D…eature=related for years. There is not much to import out of the US. So, foreigners have been using these dollars to buy up businesses and properties in the US. This is what’s been keeping things moving for the US. Only question is will the trend continue with ever depreciating dollar and drying up business.
Energy will drive inflation worldwide (dollar has problems beyind that). At the time of Afghan war, central Asia was being seen as an alternative to middle east. It turned out that 9 out of 10 holes dug for oil there turned out to be dry holes. This is what led to Iraq war. http://www.youtube.com/watch?v=uSMUhX6Ezp0&feature=related
The midwest has always been affordable (with the exception of Chicago), and housing prices remained fairly stagnant here during the housing boom. We would have remained untouched by the housing crises were it not for no-doc and subprime loans financing everyone and the family dog too. You will see a lot of foreclosures, but fewer people walking away than in areas where homes are losing half their value.
Indiana has done an good job of trying to diversify it's economy in the last several years, and Ted Strickland is doing the same in Ohio. As a result, many midwesterners will come out of a recession fairly well. I can't complain, because I am in an industry that benefits from recession. We see dramatic increases in enrollment when the economy is down.
You can live comfortably in the midwest for $60,000 per year, provided you live simply. You can still afford to eat out, have a decent home, a car or two, and raise a family.
Just wanted to add that our expenses are much less in the midwest than they would be in most cities in Pakistan, if we figured in separate housing and school fees at a school of the same quality as their public school here. I suppose the same could probably be said for India.
Yes, churches, college/ universities and other institutions of "hope" see higher membership/ enrollment in hard times.
When I first came to the US, there was something called Affirmative Action. Since it was tougher for foreign graduates to find job in the private sector, they found comfort in city or even county jobs. At the time federal jobs had the lowest wages, and were for those graduates who couldn't get in anywhere else.
By the time I graduated, Affirmative Action was history, and from then government wages began to go up. Today, $60,000 a year is more like a salary of a federal employee than a private sector worker, whose average is between $37K and 43K. Cities and states raise sales taxes, counties raise property taxes, while federal takes on massive debt to cater to their bureaucracies.
Seen property taxes in Texas? Close to $5,000 a year on $100,000 home.
When I first came to the US, there was something called Affirmative Action. Since it was tougher for foreign graduates to find job in the private sector, they found comfort in city or even county jobs. At the time federal jobs had the lowest wages, and were for those graduates who couldn't get in anywhere else.
I thought Affirmative Action was for minorities of US (Afro-Americans?)
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By the time I graduated, Affirmative Action was history, and from then government wages began to go up. Today, $60,000 a year is more like a salary of a federal employee than a private sector worker, whose average is between $37K and 43K. Cities and states raise sales taxes, counties raise property taxes, while federal takes on massive debt to cater to their bureaucracies.
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Are you talking about salaries of same positions here? I would disagree.
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Seen property taxes in Texas? Close to $5,000 a year on $100,000 home.
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Which part of Texas would that be? Property taxes in part of Texas where I live is $3000 for $160k home.
Affirmative Action applied to minority men, and women of all races, assuming you were authorized to work in the US.
Average means average. If you look at http://www.youtube.com/watch?v=9fv1D…eature=related, it shows “Average federal employee wage/year = $66,558. Average private sector employee wage/year = $42,635.” with a source url.
Today I looked up property taxes on a $99,900 home in Arlington, TX. Tax was $3,990, and this is after the $15+ billion property tax cut Texas has had recently after a “property tax revolt” there. In most counties, assessments were going up 14% to 16% every two years. A decade and a half age, county assessments were thought to be 10% to 20% below the market value. Now, many are learning that their homes are selling for only a fraction of the county assessments.
Most federal jobs have always paid more than their counterpart private sector jobs. When I graduated (more years ago than I would care to admit) most of us were trying to get a job with the state department because the entry salary was far more than we would receive as private consultants. It was that or go to law school. It is only AFTER you have several years experience with State that private employers begin to pay top dollar.
I have a good friend who left the corporate sector to work for the post office in IT. He is making about the same as he made before, but there is no overtime, great benefits, and good job stability.
Taxes in the US are some of the most reasonable in the developed world. Have you ever been to Europe?
I believe this comparison is not necessarily a fair comparison, as there is large population which works at minimal wage in “private” sector though there are million earning individuals too, do you have an apple-to-apple comparison that I can look, thanks.
Are you talking about second-home (usually a rental property) taxes? Can you provide a link to back up the statement? Thanks.
Do you mind sharing the ball-park number of the “fraction” that you are speaking of? In Dallas and Collin county, the actual-sale home prices are still higher than county assessed value of the houses and taxes are 2-2.6% of the assessed value.
Welcome to the brave new world of “legal” global trade. It is good to see Indian companies following the footsteps of Japanese, and Europeans. I hope Pakistanis and Pakistani Americans follow the same path.
International corporations do not set up offices in US purely on the basis of their cost per employee. There are many other factors. A small sample is given below for a reference.
US provides one of the most corporate friendly work force in the world. Why it is so?
a) US work force has the longest working hours per week
b) Fewer vacations than their European counterparts
c) They are talented and innovative
US provides some of the most corporate friendly laws (federal and state laws to establish or end a corporation).
Tax benefits.
US is the innovation leader in the world
Much closer to the clients / users
Once a corporation is established in the USA, it can compete for more contracts that may not be available to a purely off shore entity.
BMW has recently fired bunch of their German employees and they are moving some of the operations to US.
These were but a few examples. There are many more things to consider for a corporation before it moves to USA.
most of us were trying to get a job with the state department because the entry salary was far more than we would receive as private consultants.
And to top the icing, you get to screw your taxpayers too.
I once visited the US Consulate at Lahore at 1:30 or 2 pm. There was only one conoff behind the desk behind the windows, and a room full of people, sitting very orderly and quietly. I took a seat. After 30 or 45 minutes when nothing happened. I asked the man sitting next to me how long he had been waiting. He told me he'd been waiting since the consulate openned that morning. I asked him if he was a US citizen. He said yes. I got up and left.
If petitioner lacks on legal requirements, visa petition is denied by the USCIS. If beneficiary lacks on legal requirements, visa application is denied by consulate. There's a third "screw the taxpayer" catagory where petitions are returned for "administrative review". 90% of these returned petitions do not match the legal criteria for return.
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Taxes in the US are some of the most reasonable in the developed world. Have you ever been to Europe?
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This is a common misconception. If you are comparing strictly income taxes, may be. But if you look add up all of the taxes levied in the US and compare them to all of the taxes levied in Europe, they are about the same. I've lived in Madrid. Income taxes are about 35% of income, but there are no real estate taxes. Thank God because studio apartments in the Opera district cost 240,000 euros.
Affirmative Action applied to minority men, and women of all races, assuming you were authorized to work in the US.
That's not true.
Affirmative Action applied to men from under-represented minority groups (and continues to do so). Asians (including Pakistanis & Indians) are generally over-represented in most universities & professional fields, so AA never really did much for them. And while the university quota system has been eliminated, AA still exists on several levels for African Americans, Hispanics, Native Americans, etc...
Texas has 9th highest property taxes in the US. This is why you can find 4 BR, 3 BA, 2 CG, all brick homes there for $100,000.
BMW is moving operations to the US because their luxury cars aren't selling at $1 = 0.63 euros.
There hasn't been a war in western Europe since 1945. Native Europeans, especially those who own real estate are enjoying life, importing young Uki chicas on easy visas, without scrutiny from the feminist, as in the US -- in the US, a mature female conoff will return your fiancee petition if she felt that you seem to be enjoying life a little too much. Vacations aren't limited to 2 weeks as in the US. Most jobs are unionized. Even janitors have gone on strike. Every time the weather turns cold, north Europeans run down to south Europe for comfort. But most of all, governments are small, and freedom is in the air.
That's good to know, my huband is hell bent on moving our family to Texas. He lists "no state tax' as one of his main reasons. I did not know they get you on property taxes in the lone star state.
^ property tax is nothing compared to cost of property. If you're in NJ NY CA MA etc you pay atleast doube more often triple to buy the similar house in similar neighborhood.
So paying 5pct prop tax on a 250K base is still better than paying 4pct on a 600k base.
I know somebody who sold their house in NJ and with equity left (after paying off loan) was able to outright buy a house in great Houston locale w.o a mortgage.
Texas has 9th highest property taxes in the US. This is why you can find 4 BR, 3 BA, 2 CG, all brick homes there for $100,000.
BMW is moving operations to the US because their luxury cars aren't selling at $1 = 0.63 euros.
There hasn't been a war in western Europe since 1945. Native Europeans, especially those who own real estate are enjoying life, importing young Uki chicas on easy visas, without scrutiny from the feminist, as in the US -- in the US, a mature female conoff will return your fiancee petition if she felt that you seem to be enjoying life a little too much. Vacations aren't limited to 2 weeks as in the US. Most jobs are unionized. Even janitors have gone on strike. Every time the weather turns cold, north Europeans run down to south Europe for comfort. But most of all, governments are small, and freedom is in the air.
So why do you live in the US instead of Europe? I'm not sure what you are talking about when you mention a fiancee petition being cut off - perhaps the girl just didn't want to marry the guy, or maybe she found out that he was a real jerk. Apparently, you have no experience with union jobs. Our local GM is closed due to a supplier strike, and school started a few days late this year due to a teacher's strike.
Oh, and my husband and I both have four weeks vacation per year, we just can't take it all at once.
Just because I don't live in Madrid or Dubai anymore doesn't mean I live in the US.
I've seen plenty of strikes when I was in Madrid. I didn't like the trash at metro stations during janitor's strike, but why should they be left behind?
Once I saw a guy pissed at cop at a Madrid metro station. He would argue and curse, walk away a few steps, but come back to do the same, and cop kept telling him to take a hike. In the US it'd be "Put your hands behind your back.. I'm gonna need some back up here."
How do you drive that girl didn't want to marry the guy from the statement above?
How can you claim a constitutional democracy when courts exempt the government and it's officials under the doctrine of sovereign immunity? Law in the US is based on the Old English Common Law. It's called Common Law because it applies only to commons. The reason consulates have been so out of control is that they have been afforded a doctrine of consular non-reviewability on top of that. Doctrine was originally intended only for non-petitioned visas, but US attorneys have abused it so much in federal courts that anymore hardly any distinction remains.
A man was given a 60 year sentence yesterday upon his 10th DWI conviction. See how many advisory cables the State Dept. has sent to consulates and still they go on their old merry ways. 90% of the petitions that are returned by to the USCIS for "administrative review" are returned for PERSONAL reasons, not legal reasons.
I know exactly why TCS is opening a facility in Cincinnati. They recently won the largest outsourcing contract in their history and the people calling the shots had made that a condition. thats it.
The basic reason for TCS facility in US is because there were issues that many companies were having working with ppl in India due to language, cultural and business differences. TCS and infosys had stepped up their hiring locally anyways. I myself have been contacted by TCS, Wipro and Infosys for US based opportunities in the last 18-24 months. Much of this was in the area of relationship mgmt with key clients.
TCS like its other indina peers, is also trying to be seen more as a global company than an indian one, and a strategic partner than a outsourced body shop. To do that, they need local presence and not just fly in ppl from bangalore for 6 month stints. They need local grads, with local experience who can relate to mid and senior mgmt of a company.
