N.J. Software Company Adds Jobs by ‘Reshoring’

Bridgewater, N.J., custom application developer Mantra Information Services will bring a number of the company’s tech jobs back to the U.S. through what it calls a “reshoring” effort. While the company wouldn’t disclose the number of jobs it would create here, its development center in India – which it shut down in October – employed 45 people.

New Jersey SignCTO Maulik Shah told Dice News that the company is in the process of hiring for a number of positions, including UI/UX designers and software developers. The majority will be based in Bridgewater, though some will work from domestic satellite offices.

Mantra cited rising employment costs, employee retention issues, time zone differences and low productivity abroad as the main reasons for the company’s decision. “Everyone tends to think that offshore software development is cheaper because they only compare labor costs,” said Shah. “But when you add costs associated with the management overhead and productivity differences, cost savings vanish or become negligible.”

Mantra started offshoring software work in 2009, spurred by rising demand for low-cost development. “The U.S. market is extremely competitive and every business wants [the] quickest time to market with top notch quality,” Shah observes. “[That’s] only possible when you have project teams with up-to-date technical skills and in similar time zones with the ability to have face-to-face meetings when required.”

Comments

  1. BY Bob Dickstein says:

    More companies should be doing this.

  2. BY yo ted says:

    Well, with the decline in salary, this is probably a viable opportunity now. I’ve heard increasing labor costs overseas and why deal with the time difference issues when you can hire cheap labor here. Besides, there so many Indians living close to Bridgewater, NJ so there is no problem find them here as well. Edison, NJ is practically West Mubai and so is the whole Middlesex County. In fact, it looks like NJ is being taken over by Indians. I’ve never seen so many Indians here since the 1990′s.

    • BY bluemountain184 says:

      Based on what I see here in Silicon Valley, I will second you comment.
      Even if they hire “local” people, most likely they will be Indian descent people who are already U.S. citizen or green card holder.
      Generally, non-white owned companies tend to only want to hire only from their own group.
      In other words, many Chinese/Taiwanese owned companies around Silicon Valley only tend to hire their own people and many Indian owned companies do the same.
      Of course, the top executives of big corporations (mostly white male) also seem to want to hire mainly young Indian people (many of them with freshly minted master’s degree), at least this is the case with Intel and Cisco Systems.
      As a young white guy, I know no one wants me.

  3. BY Fred Bosick says:

    Assuming a typical 3-1 ratio, they’ll be hiring about 15 people. But at least they get it.

  4. BY Angry IT worker says:

    I wonder if they’ll define “reshoring” as “hiring H1B visa holders”

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