NZ firms may outsource to address recession
WELLINGTON, NEW ZEALAND — Industry experts said companies in New Zealand might resort to outsourcing to cope with labor shortages, rising wages, and the shift to remote work.
Massey University Professor Jarrod Haar says outsourcing could happen “because fundamentally, organizations are always trying to cut costs.”
Last February, Pay-TV company Sky Network Television announced they are outsourcing around 200 jobs to the Philippines and India to save US$6 million annually.
Dr. Deepika Jindal, a professional teaching fellow at the University of Auckland’s business school, added that New Zealand-based companies might look to overseas workers to fill roles and target a bigger talent pool while cutting costs.
“If a job can be done from home at all times, then potentially it can be done from anywhere in the world, after considering any ‘time difference’ impact on the outcomes expected from the role,” she added.
Still, Jindal said that only some roles are suited for overseas remote work. While call center jobs may be more easily outsourced, replacing skilled workers could be riskier.
However, Jindal also pointed out that outsourcing also opens job opportunities for New Zealanders who want to work remotely for overseas organizations.
