Where are the jobs going? The companies sending work offshore
Australian companies like Woolworths, Telstra, National Australia Bank, and Officeworks are shifting skilled corporate roles—including finance, IT, and HR—to Asia, citing cost-cutting and access to specialized talent. Experts note emerging economies like India offer an oversupply of skilled workers at lower costs, driving a long-term shift in higher-level job functions overseas.
Australian businesses are increasingly relocating skilled corporate jobs to Asia, with Woolworths announcing plans to offshore roles in finance, human resources, and IT to remain competitive. The move follows similar decisions by Telstra, National Australia Bank (NAB), and Officeworks, which shifted support and customer service roles to India and the Philippines. Telstra’s joint venture with Accenture will transfer over 200 jobs to India, leveraging the country’s AI expertise and global capabilities to accelerate its data strategy. Officeworks also announced offshoring a portion of its support roles to Bengaluru and Manila, alongside increased AI and automation adoption. Experts attribute the trend to Asia’s highly educated workforce, developed through heavy investment in education and workforce training. Helena Li, a senior lecturer at the University of Technology Sydney, highlights the oversupply of skilled workers in emerging economies, allowing companies to access talent at lower costs. Vikas Kumar, a professor at the University of Sydney, notes this shift differs from traditional offshoring, as higher-level positions—such as corporate decision-making roles—are now being relocated. Bengaluru, India, has become a key hub for Australian firms, hosting thousands of employees for companies like Commonwealth Bank (6,500 staff) and ANZ (9,000 in Bengaluru and 2,000 in Manila). Kumar emphasizes this is a strategic, long-term move rather than a temporary cost-saving measure, driven by the need for specialized skills in technology and AI. Companies are establishing their own offshore operations rather than outsourcing to third-party providers, ensuring greater control over these functions. The trend reflects a broader globalization of corporate functions, with Australian businesses integrating Asian talent into core operations to enhance efficiency and innovation.
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