Preface: Thoughts about society before the close of November, 2018 while working.
There is most certainly a shift occurring in terms of products, services, and delivery I'm texting Elan and he's clarifying what he's seeing too. It's apparent that the tech people are exacting their revenge by being put into the "back office" for too long now that tech has developed to a point where administrative/functional roles are becoming obsolete.
So much to the extent that the only people living in high cost areas are the people who are core drivers of the business (e.g. upper management, software/data engineers simply because of the location of talent). Other administrative and middle management functions in finance, accounting, etc. are being put into low cost centers. So places like Scottsdale, Phoenix, Dallas, San Antonio, Albuquerque, Tampa, etc.
Historically, it appeared that the company would want to locate everyone in one specific area local to the company to better build culture and rapport within its employees irrespective of specific roles / what you're doing, but it is increasingly hard to do that from an economical standpoint, so companies have little choice (but big incentive) to do so. When you open an office in one of these centers, not only do you bring jobs (but lower paying -- so less salary expense) and construction (very cheap office space), you are able to get large tax cuts for bringing economic development to these second or third tier cities. From a company P/L standpoint, this makes complete sense.
This is the shift that has been occurring -- more pertinent to the finance majors are the shift of the majority of roles (including technology) to Newark, Delaware. The banks are slow to change and adapt and software engineers are not the crux of the business. I predict this will swap forcefully when trading and banking activities, including mergers and acquisitions and investment banking becomes far more scientifically and technologically driven.
In fact, I'm starting to believe Silicon Valley is the one most prominent and the Israeli's do the labor arbitrage very well They will send a few people to SV, get funding, do some engineering work, and everyone is in Israel where the companies are growing.
Take [REDACTED - FRIEND'S NAME] current job for example in recruiting support. I'm not sure it will exist even 3-5 years from now at the current pace of technology development.
You could say i'm wrong, but when the companies realize how much MONEY they will save they WILL do it trust me push them the benefits "better hiring (MORE MONEY) and less mistakes (LOWER COST)" and you'll have every executive at your doorstep cause the ones in middle to upper management often have this staffing/HR problem to solve and they want to get promoted.
Let's be honest. you might not think it's going to happen but due to human greed and selfishness, someone higher up will make the decision to do this because they want a promotion or get paid this is the natural force of capitalism, irrespective of how you want to see it.
Look, forget me being an entrepreneur -- if I'm not doing it someone else definitely will. There are plenty of people hellbent on changing the world at any/all costs Maybe they should be stopped, maybe they shouldn't? that's not up to me to decide, perhaps that's society's responsibility
Recruiting is expensive. You have to pay for the recruiter's flight to the school/city, pay for the recruiter's hotel, and on top of that pay salary. Then once you have candidates (like I was when i interviewed at JP Morgan and GE), you have to pay for the candidates flight, hotel, food, transportation, etc. and you only give out a few offers for people who may only stay for a year or two and dip. How is any of that efficient let alone sustainable?!?!
Beyond the goal of diversity in recruiting, a company (I like to use Accenture as this example), only cares about having people who can do a bit/some of the work so they can bill clients for services. They don't want someone who doesn't do anything or is fully incompetent, they just want the job done well so they can generate revenue. This is how the world moves. It's a sad reality, but if this is the reality we live in, it is foolish to ignore the state of everything believing something won't happen when it will, only because companies pretty much only care about MAKING MONEY.
That is the core problem in capitalism. Do you think Jeff Bezos cares about those factory workers and the conditions in the Amazon fulfillment centers? Those employees will probably be gone by the start of the next decade.
Find me one for-profit company that doesn't care about making money at the crux of everything. Like Alex said, if they don't compete their lunch will be eaten by someone more efficient and productive. The exception is non-profits -- they are different and perhaps the area where a lot of work can be done to support people who will inevitably lose their jobs.
Capitalism is, perhaps, a true endogenous loop to exist.