1. Priyaranjan Sahoo 04/08/2016
Content Writer
Briexit impact on world’s outsourcing economy
In the recent few months every individual might have come across the word “BRIEXIT” and anticipation
had already been started for the impact on World’s economy. In a simpler form United Kingdom got
separated from European Union after a period of 40 years. The British citizens voted to exit the union in
a historic referendum on Thursday June 23.
The outcome sent a shockwave to the world economy. Everyone just imagined the consequence of
Greece’s exit. England voted 53.4% strongly for Brexit to 46.6% of Wales. Scotland and Northern Ireland
both wanted to remain in the union however the result was not their favor.
David Cameron had stepped down as the Prime Minister as he was not in the favor of it. Theresa May
joined as his counterpart after him; though her interest was to support the campaign to stay in
European Union however to respect the people’s decision she couldn’t proceed ahead.
The consequences have been visualized by the experts that Brexit would slower economic growth for
the country. Investments will slowdown in a result it leads to fewer jobs, lower pay and higher
unemployment rates. The absence of seamless access to European markets will also impact on lesser
exports and foreign investments.
In a contradictory fact if the UK won’t accept the free movement of labor across the countries the trade
will fall by to a 2.6 per cent decrease in income per person. This implies to a fall of between £850 and
£1,700 per UK household.
Britain will initiate the EU’s Article 50, the law which they had agreed before would start the process of
the country’s political divorce from the countries of European Union as a result the MNCs, The Banks
business will hamper to the core and in the in the end result it would slow down the opportunities for
the new employments and investment and the Outsourcing industry being dependent upon on such
activities wouldn’t get their expected achievements and in the bottom line the layoff would take place
which is not a good news for India’s economy as well.

2. Priyaranjan Sahoo 04/08/2016
Content Writer
All the major foreign companies will hesitate to invest here and will relocate their headquarters if the
access to the European Union will be limited. Britain will not now contribute billions of pounds towards
the European Union's annual budget.
Immigration restriction would play a significant role in the slow down as currently annual net migration
from Europe has been increased twice the size since 2012 and based upon the new policy the restriction
of low skilled workers entering the country will be regulated and it would attract towards more highly
skilled workers. This is indefinitely a potential threat for low-wage sectors those are heavily dependent
on migrant labour, such as agriculture.
Britain’s economy spreads large in Europe, where it is a significant state in an otherwise high-saving
continent. And any change is statistical form to European growth is particularly unwelcome now.
Post the Brexit uncertainty for counterfeit will create a huge barrier on the performance of merchandise
and services exports and interrupt the focus of investment plans, partly controlling the anticipated
benefit of the recent FDI reforms in India.
Some still believe the occurrence will have both positive and negative effect for India as it will create a
chance for the beginners in the already uneven, unmatched and monotonous global economic recovery.
Priyaranjan Signed off