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Home  » Business » No worry over BPO backlash: Nasscom

No worry over BPO backlash: Nasscom

Source: PTI
Last updated on: January 06, 2004 18:03 IST
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Unfazed by the mounting backlash against outsourcing, Nasscom President Kiran Karnik on Tuesday said there is nothing to worry about.

He asserted that the cancelled Indiana state contract would be refloated where outside companies, including TCS, could bid.

"There are certain short term problems. We are carrying out talks and negotiations. In the US, it is being done by the US IT Associations and US Chambers of Commerce, but on the ground level there is nothing to worry," Karnik told newspersons on the sidelines of a meeting with US Congressional members delegation.

"It is not complacency, but I do not see any long-term problem over opposition to outsourcing. Economic sense will prevail," he said.

He said the $15-million Indiana state contract which was cancelled subsequently following Governor Joe Kernan's decision not to allow an outside company to get a state government contract, would be floated again and every concerned party could bid including TCS.

It may be recalled that TCS had earlier won that contract.

Last month, lawmakers in Indiana state opposed a bill to ban non-US citizens from doing government contract works, as they felt the law would affect overseas investment prospects.

"At the end of the day, economic scene will prevail. There are certain job losses but these are due to US domestic turmoil, downturn  and not due to outsourcing, rather there are strong and visible gains to US companies due to outsourcing as well," Karnik said.

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