Impact of Outsourcing on Facilities Management Employees Outsourcing is the strategy that has gained momentum across the globe in facilities management. The term outsourcing means subletting part of the company's work to an outside manufacturer or service provider, for many tangible and understandable reasons. Today's competitive services market faces multifaceted challenges from many directions. The current saturation of markets due to a prolonged global recession has triggered fierce competition among service providers to make the most of the scarce opportunities available in the market. Such competition in the service market forces service providers to accept the dictates of the market, both in terms of reducing prices and improving the speed of service delivery. We all know that when the market demands it, the focus of service providers shifts from price of service to cost of service. Increasing market pressure therefore requires service providers to focus on reducing operating costs. One of the most widespread countermeasures today to combat cost pressure in industries is the partial outsourcing of operations. One of the biggest obstacles to cost reduction today, especially in developed countries, is due to rising labor wages. An industry cannot even think of reducing the cost of its operations if the wage rates in the organization are increasing or at least difficult to bring down. Under these circumstances, companies have no choice but to sublet part of their operations to cheap outside providers in order to use their facilities as efficiently as possible at cheaper rates and to expedite. . the middle of the paper. .....e use only cheap wage rates. However, this does not mean that benefiting from the cheap salary rates of the supplier organization has no importance for business outsourcing. In fact, this is one of the main concerns, but the other aspect of outsourcing, such as speeding up service delivery and allowing the company to provide its services to a much larger market, constitutes other major incentives that force companies to partially sublet their operations. However, one must eliminate the misconception among the employees of an organization that outsourcing would affect their economic benefits and they must realize that only those operations are logically outsourced which cost more without offering comparable productivity. In this sense, outsourcing is a way to reduce the burden of the company's operation and make it more sustainable in today's competitive business world..