NAB offshores IT jobs in skills hunt

NAB offshores IT jobs in skills hunt

Summary: The National Australia Bank (NAB) has awarded IT services contracts to Indian outsourcing giants Infosys and Satyam, in a move which may threaten Australian IT staff.

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TOPICS: Outsourcing, Banking
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The National Australia Bank (NAB) has awarded IT services contracts to Indian outsourcing giants Infosys and Satyam, in a move which may threaten Australian IT staff.

NAB currently has 300 staff working in the areas the bank is planning to outsource including testing, maintenance and automation, SAP software development, enterprise information management and global cache service middleware.

A spokesperson for NAB said while "we do expect there will be some impacts", the bank could not say how many jobs could be retained though redeployment. In the last two years, NAB has offshored 374 positions.

The spokesperson added that the move would cut costs for NAB: "I would say that we [will] experience significant savings, not just as a result of the contract, but also as a result of the efficiencies that we will obtain."

However, the spokesperson also attributed the move to a skills shortage, saying: "The skills we are looking at are core skills in those companies, and not necessarily skills that are easily accessible in Australia."

The bank selected its outsourcing partners on "process efficiency, their ability to track and log processes, the economies of scale they can bring," and their "ability to ramp up and down at peak times", the spokesperson said.

Topics: Outsourcing, Banking

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  • typical IT practice

    so rather than train some homegrown staff, NAB and it billions of profits decides to just "offshore it"...

    and you wonder why no-one wants a job in IT anymore..

    what a crappy industry to choose a "career" in
    anonymous
  • This is BS

    NAB aren't doing this out of any suposedly "skills shortage". What they really mean is "skills we can buy at 10$/hr shortage".
    They just want to use cheap foreign labour, which is fine and dandy until the guys in the Bangalore call centre/development centre sell everything under the table to the Russian Mob. Yeah, great going NAB!
    anonymous
  • General Employment Stupidity

    I can understand this from a business point of view since business managers only care about savings and profits.

    In reality there is not a huge shortage of IT workers, its just companies are wanting people with specific experience to fit the position instead of training them.

    I mean I got turned down the other day since I haven’t worked with Microsoft exchange 2003 yet, although I was experienced in all other criteria for the job. I could pick up a copy of exchange 2003 and learn the basics in a week if I liked. I’ve worked in a clustered server environment for the last 5 year (win & unix), only reason I haven’t used exchange is because my current business uses an alternate system.

    Employing from India doesn’t fix the problem, what it does is let the company train the IT staff cheaper.

    I guess what I am saying is businesses are starting to get way to picky with their hiring of IT staff.
    anonymous
  • Savings

    Im in a support role trying to move to a admin position do you think any body wants to give me a go ?
    NO
    Companies now days want there cake and to eat it aswell
    Well done NAB lets outsource to cheap labour,
    anonymous
  • There no mention of Skill shortage

    I've read the entire story. It doesn't say a SKILL SHORTAGE

    So the the title is missleading
    anonymous
  • Saving. Maybe not

    I've know of a certain security company that has investigating outsourcing and possibly off shoring there IT operations/helpdesk. When they looked at the costs and the benefit of having local staff in Australia

    They keep everything :)
    anonymous
  • It's here...

    "The skills we are looking at are core skills in those companies, and not necessarily skills that are easily accessible in Australia."

    ...but what skills? They keep harping about them and never elaborate. Can be anything from nuclear physics to snake charming really.
    anonymous
  • NAB have previously claimed there is a skills shortage

    When the NAB first announced they were taking their IT development operation offshore, NAB CIO Michelle Tredenick claimed the skills NAB required were "difficult to find in Australia" ( http://tinyurl.com/39t6gu ). So if there is a skills shortage in Australia, why are NAB looking at retrenching their loyal Australian staff? Why don't NAB instead instead retain their Australian staff and simply use the Indian companies to manage their peaks and troughs?
    anonymous
  • Whey can't NAB retain all the Australian jobs?

    "The bank could not say how many jobs could be retained though redeployment".

    Why can't NAB retain ALL the jobs? If NAB are claiming there is a skills shortage, they should be retaining all the skilled staff they have got. Unless of course there is another motive .........
    anonymous
  • What's New.

    As far as I can tell, if NAB is like any other BS organization, the management is probably the only part that needs to be outsourced...

    A $4 CEO/CIO from India would do the trick.
    anonymous