(Length: 14 pages)

Executive Summary (This is a document excerpt)

As European firms — especially in the UK — ramp up their spending with offshore service providers in countries like India, they will increasingly displace substantial numbers of employees from their current roles. Europe will lose a cumulative 1.2 million jobs to offshore locations by 2015 — with the lion's share of the impact falling in the UK. Financial firms will move most aggressively offshore. Computing and clerical staff will suffer most. Protectionist measures will fail, as inventive companies use stealth tactics to avoid the barriers put in their way. Despite the pain involved in job losses in Europe, the European countries that use offshore services least — such as France and Germany — will likely lose as a result, as aggressive offshore user countries like the UK get an economic boost from offshore efficiencies.