After all these facilitations by the community and city officials company also has the moral as well as ethical responsibility as defined in theory of deontology to fulfil its duties towards employs that they made earlier (Sadler, n.d.). Through outsourcing the company has estimated to save $10 Million in a year however the workers are ready to sacrifice their salaries and benefits in order to retain the company’s presence in the town. According to the first deal they were providing$9 Million benefit after third year and in second deal they are agreed to provide $12 Million benefit after third year which is more than the benefit that they can gain through outsourcing in India.
Even after all these sacrifices offered by the workers if company at once close its operations from the town it is very unethical from utilitarian perspective because this action of the company will cause negative after-effects among employees. If the company wants to outsource at any cost they should plan short term and long term strategies for outsourcing and in short term they can outsource few operations, in long term that should plan in a manner that they could be able to work locally as well as outsource at the same pace so that they can gain benefit from both sides.
In the past few years an outsourcing trend of white collar professions has increased in America due to the cheap labour available in less developed countries (Kirkegaard, 2003). The jobs that are typically outsourced range from low skilled jobs of data entry to high level jobs that require more education and skills including Information Technology and accounting. In USA outsourcing increased at a very fast pace in 1993 due to the North American Free Trade Agreement (Gutman, 2004).