In my May 30th posting, I discussed Orrick’s centralization of its back office in W. Va. and raised the possibility of law firms and departments sending legal work offshore. An article titled Down and Out in White-Collar America in the June 23, 2003 issue of Fortune describes the high rate of unemployment among professionals. It explains that the “triple threat of computerization, tech-led productivity gains, and the relocation of [jobs] offshore” now effects professionals as much as it does blue-collar workers. For professionals, the offshore move is becoming the biggest factor. In the last couple of years, companies have turned to India and the Philipines for financial analysis, software design, and tax preparation. Ernst & Young has 200 accountants in India who process US tax returns. Even medicine is not immune. One Indian company has established a team of 15 radiologists in Bangalore (all US-trained and licenesed) to interpret chest x-rays and CT scans from US hospitals (at one-half the cost). Can legal services be far behind?
