This story is from May 1, 2004

EU may cut into call centre biz

LONDON: Europe just got bigger. But a whole continent is reduced to waiting for the phone to ring.
EU may cut into call centre biz
<div class="section1"><div class="Normal"><script language="javascript">doweshowbellyad=0; </script><br /><img align="left" src="/photo/651765.cms" alt="/photo/651765.cms" border="0" />LONDON: Europe just got bigger, distances have shrunk from London to Latvia, Berlin to Bratislava, Vienna to Vilnius. But still, a whole continent is reduced to waiting for the phone to ring.<br /><br />It''s a joyous sound.
Like a good omen, the new 25-member enlarged European Union has just heard it will lead world growth in call centre agent positions.<br /><br />The EU''s tech-savvy, cheerful and multi-lingual eastern fringe will register 50% growth till 2008, leading industry information provider Datamonitor has said. It is thought to confirm a long-expected trend, the mutation of off-shoring into "near-shore" outsourcing. And it has obvious implications for India.<br /><br />"India''s growth in agent positions will continue in real terms at 20% a year, but it will decline proportionally and in relation to worldwide growth," admits Datamonitor''s market analyst Robin Goad.<br /><br />Adds analyst Peter Ryan: "These countries have invested hugely in tech infrastructure and providing languages in a big way. Investing in Europe makes a lot of sense."<br /><br /><formid=367815><br /><br /></formid=367815></div> </div><div class="section2"><div class="Normal"><script language="javascript">doweshowbellyad=0; </script><br />With trade unions protesting against the jobs flight to India and other developing countries, western European businesses know it''s simpler to stay close to home.<br /><br />Three weeks ago, data processing at Indian call centres became a bad news story in the European Parliament, when British trade union Amicus alleged fraudsters had bribed Indian staff for credit card details.<br /><br />Says David Fleming, Amicus national secretary for finance, "Offshoring is an accident waiting to happen". <br /><br />Experts admit western European may turn to "New Europeans" like Poland, the Czech Republic and digitally enhanced Estonia for cost-savings, with data protection. They know English too. Since 1994, almost all former Communist countries that have joined the EU stopped compulsory Russian courses.<br /><br />Also, Datamonitor estimates 15% of eastern Europe''s call centres will be "multi channel-ready" by 2008.<br /><br /><formid=367815></formid=367815></div> </div>
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