Is there a connection between FATCA and the outsourcing of Canadian banks' IT jobs?

Like most other Canadians, I was outraged to learn that the Royal Bank of Canada has been laying off IT workers and replacing them with temporary foreign workers, with the intention of outsourcing their IT functions overseas. I was ever more outraged to learn in today’s news that RBC is not unique among Canadian chartered banks in doing this; several other members of the Canadian Bankers Association also stand accused in the media of the same practice, by some laid-off and even current IT workers from several banks other than RBC (specifically, CIBC, TD, Scotiabank and BMO).
Am I the only person who is wondering whether there is a connection between the outsourcing of the banks’ IT functions to less-expensive overseas contract workers, and the indications we hear of the banks’ preparations to comply with FATCA (which will entail some extensive and expensive IT systems work in these banks)?  Outsourcing all that IT work could help reduce the costs to the banks of rolling over and complying with IRS invasion of our citizens’ financial accounts.
Is it the case that not only are the banks preparing to throw Section 15 of Canada’s Charter of Rights and Freedoms under the bus, as well as the account information on thousands upon thousands of Canadian citizens’ financial information to the tax agency of a foreign country, but they also are laying off highly-educated and highly-trained Canadian IT workers to boot in order to achieve this, even requiring those workers to train their under- or un-trained replacements in Canada before those workers go back to where they came from (and where Canadian privacy, banking and Charter rights don’t apply as those workers will be on foreign soil)?
And what will the outsourcing of IT functions overseas do to what remains of privacy, secrecy and security of Canadians’ financial information – of ALL Canadians, not only those of US origin?
I am writing today to my MP to ask these questions.  I urge you all to do likewise.  I would like some clear and believable answers.  (No, I am not writing to CBA. I want an answer I can believe, and I think that Question Period in the House of Commons, followed as appropriate by a federal government investigation to get answers, is the only way that’s going to happen.  CBA is not going to have any credibility with me on this one.  I believe what fellow Canadian workers are telling CBC, not the insipid denial by that RBC official.)
If anyone was looking for a compelling reason for non-US-origin Canadians to get really upset about FATCA and the banks, this could be a very good one, if it pans out.

1 thought on “Is there a connection between FATCA and the outsourcing of Canadian banks' IT jobs?

  1. Thanks for posting this Schubert. I posted the original CBC and Toronto Sun articles on Sunday.
    I’m glad Canadians are standing up on this. I wonder what took the media so long to report and Canadians so long to respond.
    For years, when I have called CANADA Trust, I speak with someone in India. I always asked to be transferred to an employee in Canada. As I said in my What’s new comment, I have nothing against India or anyone in India. I just think when I’m dealing with Canada Trust or Bell Canada, I should be dealing with someone in Canada.
    Plus, it alarms me my personal financial information is outsourced to another country.
    Here’s more information on the American company outsourcing Canadian jobs to India.
    I also hope for a reaction from the media and the public on FATCA. So far, they have been far too quiet or misinformed. Just like our government and politicians.

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