To Outsource or Not to Outsource: Sometimes, The Decision is Not That Easy

Four Japanese workers are suing AMrican Airlines for illegal dismissal after they were retrenched when their jobs were outsourced. One touchy issue here is that the outsourced division was alleged to have been making profits for the company. And yet the company outsourced their tasks to the point that there were excess employees who eventually resigned. If I am the boss of that company tasked in making the decision, I’d stock up on a lot of anti wrinkle cream. Balancing acts between employee welfare and stockholder pressure for greater profits plus the threat of competition is enough to generate enough ageing lines.