Question

What are the ethical concerns involved in outsourcing?

Answer 1

There are numerous ethical concerns that are involved in outsourcing. One of these concerns is related to the use of the cheap-labour tactic in order to reduce the overall cost of production. This tactic is mainly followed by industries in developed countries, which outsource their production activities to less developed and developing countries, where labour is abundant and available at lower rates. The labour force in these countries, which may include destitute women, child labourers and unskilled labourers, is exploited to the maximum by industries in their pursuit of higher production targets. Labour laws in many poor nations are not very strict, which results in the exploitation of labourers. Hence, outsourcing often neglects the ethical, moral and social well-being of labourers in less developed countries.