I have to say this has been one of the best threads I have come across on UKBF for a long time! Well done OP for raising and tackling an issue which is probably one of the single most important challenges faced by UKPLC in the years ahead.
So many opinions and for the first time I have seen a real groundswell of people in the UK who are small businesses that know hiring in the Philippines (and other developing countries) provides significant benefits to their bottom line).
UK Government, along with Social Policy think tanks in the UK, the US - and other "developed" countries really need to wake up and smell the coffee on this issue. This dramatic shift in work patterns, the potential offered by the internet and labour exchanges like freelancer.co.uk in enabling small businesses to tap into lower cost labour on the other side of the planet in minutes - and to dip in and out of this labour pool as and when required is going to be huge. Its impact will be profound. The challenge is for UKPLC to accept, embrace and harness this opportunity - and not get left behind!
Right now - 70% of the world's population still aren't online. They are connecting - fast - and one of the first things these people are doing online is looking for opportunities to increase their lot in life, to raise their level of income and to support their families.
The reality of the next few decades is that work will no longer be a physical place such as an office - it will be something people do - where they want to, when they want to.
Small businesses and individuals need to look after themselves and carve their niche in this new economic world. You need to do what's best for you and your family. If that means hiring labour in the developing world - then, absolutely, you should do so.
Yes this will pose budget issues for the government - less money for them to spend on marketing and advertising, less money to spend on the military and bureaucrats, less money even for the NHS and Education. Certainly less money for foreign aid and propping up dictators. Let the people decide where their money goes - better to hire a VA in Egypt and put the money straight into their hands, then to send billions to the regime to pay for luxury London mansions and holiday homes.
Globalisation and outsourcing doesn't need to be bad news for UKPLC. The challenge in the UK is to see this as an opportunity, to capitalise on it and use it to our advantage. To be at the forefront of an inevitable global trend, to lead the way not follow up the rear.
Having access to this global pool of talent at the click of a button paves the way for a new creative boom and revolution in the UK. An entrepreneur can now come up with a great business idea and have it up and running for very little cash outlay. The powers that be need to act now to raise aspirations in the UK - to improve the education system and stop failing future generations. Give them the skills, tools, knowledge and passion to succeed in the new world.
Its not all about opportunities for entrepreneurs either. A UK based graphic designer can tap into the labour force to take on an understudy in the Philippines or elsewhere who can take on the more mundane elements of their work - short-listing images from stock libraries for example - this enables said designer to use their time more effectively, to nurture relationships with clients, to seek out new clients and to focus on the aspects of their business they love - design and creativity.
A web development firm can do much the same - take on juniors overseas to handle the run-of-the mill activity while they focus on project management, maintaining client relationships and getting things done.
If we look on the other side of the fence, 1m people leave the Philippines each year in search of work - mothers leave children, husbands leave wives. Many head to the Middle East to take up roles as domestic helps, drivers, or in what was a booming construction sector.
Now, sites like Freelancer.co.uk together with British businesses are reversing this trend. A well qualified person in the Philippines can take advantage of the internet and use their skills while not only staying in the Philippines - but staying in the comfort of their own home - watching their children grow each day, seeing their family flourish - at the same time they have the opportunity to earn far more then they would working 18 hours a day in Dubai as a maid, or 12 hours a day on a construction site. This means that not only are Western businesses saving money - but you are giving people fresh hope and opportunity. People who earned less than $10 a day can now earn between 3 and 10 times that while UK entrepreneurs can still get work done for 40 - 90% less than you would pay in the UK - that's a win - win for everyone in my book.
I am really excited about the future. Its not going to be easy for this Island nation to adapt, to lead the way and to make sure nobody gets left behind. But you only control your little piece of the equation.
UK Gov needs to handle the bigger picture. Do what's best for you and your business and let the think tanks and policy people work on balancing the books and making sure disadvantaged people get a fair lot. If that means more taxes on businesses, tightening up loopholes which see multi-billion corporates paying pennies or less in taxes and even trimming back even more quangos - then needs must.. we need to not only survive - but thrive in this new world and that means acting now to embrace and take advantage of the opportunities.