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EU to investigate outsourcing to India

Dec. 11, 2003 at 5:27 PM

NEW DELHI, Dec. 11 (UPI) -- The European Union reportedly plans to investigate the outsourcing of jobs to India and other low-wage economies.

The Times of India reported Thursday the decision is seen as a significant widening of Britain's heated debate over the eastern jobs flight.

Britain's largest manufacturing union, the 730,000-member Amicus, told the Times Thursday the EU investigation would be a huge pressure point on the British government to consider -- and possibly stop -- the long-term effects of off-shoring to India and other lower-cost locales.

Britain's trade and industry secretary Patricia Hewitt announced last week an independent study into the impact of off-shoring to debunk the "myth" that jobs are being lost overseas.

But Brian Harris of Amicus told the Times the European investigation would reveal a different picture.

"How can the loss of 1,000 UK jobs be good for the British economy?" he asked.

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