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Will the stimulus create jobs in the U.S. or India?

I’ll bet you that President-elect Barack Obama's job math will be fuzzy when he details the part of the $800 billion or so stimulus going to improve health care IT.

Many of the planned health care IT improvements, eliminating paper, creating portable electronic documents for patients and building vast databases to connect it all, involve application development and maintenance, which is the bread and butter of the offshore industry. 

There is no doubt that this development work will be sent offshore by U.S. IT firms. Overseas firms may bid directly for this work but will likely get it as subcontractors. 

For those IT workers lucky enough to avoid job loss because of this federally funded IT contractor invasion, another fate awaits them. The government health care reforms will likely homogenize systems by mandating common reporting standards and forms, which will also reduce the need for IT workers.

The stimulus will, at first, look as if it is creating jobs but once the IT knowledge is transferred to the contractors, the cutting will begin.

For IT workers in healthcare, the stimulus will be their job Armageddon. Their jobs will disappear as health care IT is simplified, consolidated and probably turned over to cloud/SaaS providers, some of whom will be managing these applications offshore. 

Note to readers: As I get details of stimulus and it's IT impact, I'll be microblogging on twitter @dcgov 

What People Are Saying

Why it is so hard to work with India

I am always surprised by these type of thinkings where India is like a culprit to take away jobs and accused for problem of others.

What is US if we pull out all the other country people out of it. When US industry was booming, they took advantage of indians for shedding lowest level of jobs and risen above them using services provided by Indian IT. Now when situation is bad, it is like they need someone to blame other than themselves.

Each economy works on some export and import. I have myself seen that most of daily usage small things in US are 'Made in China'. Why don't US make it within country and provide jobs to thousands of people in manufacturing industry. Why it is important to import all those goods.

When it is about best intellectual mind, H1-B is useful. Why don't someone try to take out Indian scientists in NASA and security agencies. Those are also jobs. nope, you need them...

I am not blaming anyone, but it should be ok to work with competent people and lower cost. Take this also as a business. Is it bad if India can grow to be a developed country? Cost will increase and India will also then look for some other cheap workers to reduce cost. It should be natural and acceptable strategy.

Patrick are you a Republican

Patrick are you a Republican or do you just think like one?

No, he just actually THINKS

unlike Obama's loyal subjects..

Pearl Harbor was also a change!