(July 18, 2005) - In a recently released report by the McKinsey Global Insitute, data shows that the number of service jobs being outsourced by companies in industrialized nations to low-cost locations will continue to grow rapidly, reaching 4.1 million by the year 2008. The report estimated that in 2003 outsource service jobs totaled about 1.5 million.

The shift of jobs in sectors like engineering and ITES will continue from the US and Europe to countries that can provide low-cost services such as India, China and the Philippines.

According to the report, the total number of jobs that are outsourced may reach 160 million. Thus, in spite of the current high growth, the vast potential of the global outsourcing industry is barely being scratched.

The report also adds that this growth trend will have a minimal effect on the employment situation of the countries where these outsourced jobs are originating. As the numbers represent a small percentage of their total employment.