Chapter 123 Question one by one

Why are more and more companies outsourcing security work? Each company must decide which services to provide in-house and which to delegate to outside contractors.The example of an external management consultant in Chapter 3 shows that for routine services with a stable business volume, the company is more willing to hire employees to complete it; and for services with only intermittent needs, it is willing to use external contractors.In recent years, however, more and more companies have done the opposite and outsourced what appears to be a steady, day-to-day job in security.Why outsource routine security services and incur operating overhead costs?

Studies have shown that employees who perform certain jobs receive higher salaries at companies that perform better.This seems to imply a possible explanation for the above problem; if a company with good efficiency hires security guards with minimum wages and minimum employee benefits, people will feel that it is unfair.However, if the same employment conditions were offered by external contractors with relatively mediocre benefits, the same security staff would probably be willing to accept them.So it seems reasonable for a struggling independent contractor to offer security workers $6 an hour; it would be deeply unfair for IBM or Google to do the same.Such perceptions have been reinforced by uneven income growth in recent decades.