Oh - I shouldn't open this can of worms - but it's because of the lawyers! 
  
  
Outsourcing, generally, is talking about blue-collar jobs that are lost in the US when they are moved to India, etc. so the companies make more profit with less employee costs. 
  
As others have mentioned - a good portion of the drugs in CA are actually manufatured in the US so those jobs still exist in the US.