WNS warns anti-outsourcing sentiments may hit biz
Indian BPO firm WNS Holdings has cautioned that negative public reaction to outsourcing activities in Western nations could adversely affect its business.india Updated: Jun 28, 2009 11:06 IST
Indian BPO firm WNS Holdings has cautioned that negative public reaction to outsourcing activities in Western nations could adversely affect its business.
Noting that the trend to outsource business processes could reverse, the entity has said that outsourcing is a “politically sensitive topic” in countries like the US and the UK.
“Our business may not develop in ways that we currently anticipate due to negative public reaction to offshore outsourcing, proposed legislation or otherwise,” WNS said in an annual filing to the US Securities and Exchange Commission.
The company provides data, voice and analytical services to various business in foreign countries. For the year-ended March 31, 2009, WNS reported revenues worth USD 539.3 million.
“Many organisations and public figures in the UK and the US have publicly expressed concern about a perceived association between offshore outsourcing providers and the loss of jobs in their home countries,” WNS noted.
The Obama administration has proposed to end tax incentives for US companies generating jobs overseas. Further, the US has restricted companies which have been bailed out by the Federal government, from hiring of H-1B visaholders.
Earlier, IT bellwether Infosys said that measures to restrict off-shoring and movement of work visa-holders could adversely impact the company’s business.