U.K. based Lloyds Bank has started replacing most of its IT workers with Indian nationals. According to bank's vendors, the bank has currently 400 employees and is planning to replace 80 percent of its workforce with IT professionals from India. These Indian recruit are expected to be from major Indian IT firms like Wipro, TCS. "We continue to outsource areas of IT work to companies based overseas. At any one time, some of the staff from these companies will be based in the UK to deliver aspects of our IT projects, which is standard industry practice," said a Lloyd's spokeswoman over e-mail to economic times.
Lloyd's spokeswoman also added that staff from overseas companies working with Lloyds in the UK varied depending on the projects and the skills required. So far Wipro and TCS have not commented on these developments.
"The costs pressures for companies in Europe and U.S. are forcing companies to lay off workers and replace them with more inexpensive labor mostly from India and China," said a UK-based consultant, who advises European banks on outsourcing strategies to economic times. Since globally economic crisis has forced companies to implement serious cost cutting measures including layoffs and salary cuts. One of the main reasons for Lloyds bank deciding to hire Indian professionals is because they cost 30 percent less than their British counterparts.
Showing posts with label NRIs. Show all posts
Showing posts with label NRIs. Show all posts
Thursday, July 2, 2009
Tuesday, June 30, 2009
NRIs, Recession, TCS, Wipro
UK's Lloyds banks on Wipro, TCS staff
Even as protectionism gains ground among political hardliners in the UK and US, UK-based Lloyds Bank has initiated the process of replacing most its British IT workers with Indian nationals. Many of the Indian recruits will be from top-rung Indian IT majors like Wipro and TCS, who are also the bank’s vendors, said two industry officials familiar with the development.
The bank, which has over 400 employees in its IT department, is learnt to be considering replacing over 80% of its IT workforce with those from India. “We continue to outsource areas of IT work to companies based overseas. At any one time, some of the staff from these companies will be based in the UK to deliver aspects of our IT projects which is standard industry practice, “ said a Lloyds spokeswoman over email. She added that the number of staff from overseas companies working with Lloyds in the UK varied depending on the projects underway and the skills required. TCS declined to comment since it was in the midst of its silent period while Wipro refrained from comemnting on “market speculation.”
Globally, the economic crisis ahs resulted in serious cost-cutting measures which includes wage cuts. For example, an Indian IT specialist with over four years of experience, will be paid almost 30% lesser than his British counterpart. “The costs pressures for companies in Europe and US are forcing companies to lay off workers and replace them with more inexpensive labour mostly from India and China,” said a UK-based consultant who advises European banks on outsourcing strategies. Last week, the Lloyds Banking Group’s employee union protested on a move to replace skilled IT workers of British origin with those fom India.
“Workers from India, who would otherwise have no legal right to work in the UK, are being given work visas and flown into the country to take on jobs that could otherwise be given to the existing UK-based staff. The UK government should be using its 43% ownership in Lloyds to force the bank’s board to act in the best interest of UK jobs and its economy,” the union’s assistant general secretary Steve Tatlow had said last week.
The bank, which has over 400 employees in its IT department, is learnt to be considering replacing over 80% of its IT workforce with those from India. “We continue to outsource areas of IT work to companies based overseas. At any one time, some of the staff from these companies will be based in the UK to deliver aspects of our IT projects which is standard industry practice, “ said a Lloyds spokeswoman over email. She added that the number of staff from overseas companies working with Lloyds in the UK varied depending on the projects underway and the skills required. TCS declined to comment since it was in the midst of its silent period while Wipro refrained from comemnting on “market speculation.”
Globally, the economic crisis ahs resulted in serious cost-cutting measures which includes wage cuts. For example, an Indian IT specialist with over four years of experience, will be paid almost 30% lesser than his British counterpart. “The costs pressures for companies in Europe and US are forcing companies to lay off workers and replace them with more inexpensive labour mostly from India and China,” said a UK-based consultant who advises European banks on outsourcing strategies. Last week, the Lloyds Banking Group’s employee union protested on a move to replace skilled IT workers of British origin with those fom India.
“Workers from India, who would otherwise have no legal right to work in the UK, are being given work visas and flown into the country to take on jobs that could otherwise be given to the existing UK-based staff. The UK government should be using its 43% ownership in Lloyds to force the bank’s board to act in the best interest of UK jobs and its economy,” the union’s assistant general secretary Steve Tatlow had said last week.
Monday, June 29, 2009
H1-B, NRIs
US immigration rules blamed for brain drain
Silicon Valley is facing a brain drain of high-achieving foreign-born students, more of who are leaving in the face of a chilly local immigration envi-ronment in a trend experts say will hurt US high-tech industry competitiveness in the long run. A more attractive employment environment over-seas and a bad local economy are increasingly prompting graduates to head home in search of rosier prospects. This is depriving the Valley — often called the cradle of global tech innovation — the fresh blood it needs to remain at the vanguard of hot new industries such as clean technology.
“I believe we are going to innovate our way out of the economic woes we have, and in order to do that you need innovators,” Zoe Lofgren, a Democrat who chairs the immigration subcommittee, said. “It means not sending out people who are innovators who want to become Americans,” said Lofgren, one of the congressional leaders who will meet this week to discuss the matter with president Obama.
More than half the start-ups that emerged from 1995 to 2005 in Silicon Valley — the area near Stanford University in Northern California that spawned the likes of Intel and Apple — had a founder who was a foreign-born national, according to a 2007 study by Duke University professor Vivek Wadhwa. But many foreigners now face a long wait for permanent residence and have come to believe that will never change.
Ken Wilcox, president of Silicon Valley Bank in Santa Clara, said the US now faces an imperative to help talented foreigners stay. “We’re simply not producing, in relative terms, significant numbers of engineers or scientists from people who have already been here for a number of generations,” said Wilcox, who specialises in helping the start-ups that gave his bank its name. “You’ve got to bring them in from the outside.”
Foreign nationals earn half the master’s degrees and 71 per cent of the doctorates in electrical engineering at US universities, according to the House immigration subcommittee. But they are increasingly unlikely to stay. Duke University’s Wadwha said the US lost 100,000 highly educated foreigners over the last 20 years, but faces accelerating losses of 100,000 to 200,000 in the next five years. “The US is experiencing a brain drain and doesn’t even know what that means,” he said.
The combination of better job climates in India and China and seemingly interminable waits for US permanent resident status has changed the calculus for most students, he said. Wadhwa said 60 of the 65 foreign engineers among the 120 he helped train this year to be business executives are leaving for India, China, and Turkey.
“I believe we are going to innovate our way out of the economic woes we have, and in order to do that you need innovators,” Zoe Lofgren, a Democrat who chairs the immigration subcommittee, said. “It means not sending out people who are innovators who want to become Americans,” said Lofgren, one of the congressional leaders who will meet this week to discuss the matter with president Obama.
More than half the start-ups that emerged from 1995 to 2005 in Silicon Valley — the area near Stanford University in Northern California that spawned the likes of Intel and Apple — had a founder who was a foreign-born national, according to a 2007 study by Duke University professor Vivek Wadhwa. But many foreigners now face a long wait for permanent residence and have come to believe that will never change.
Ken Wilcox, president of Silicon Valley Bank in Santa Clara, said the US now faces an imperative to help talented foreigners stay. “We’re simply not producing, in relative terms, significant numbers of engineers or scientists from people who have already been here for a number of generations,” said Wilcox, who specialises in helping the start-ups that gave his bank its name. “You’ve got to bring them in from the outside.”
Foreign nationals earn half the master’s degrees and 71 per cent of the doctorates in electrical engineering at US universities, according to the House immigration subcommittee. But they are increasingly unlikely to stay. Duke University’s Wadwha said the US lost 100,000 highly educated foreigners over the last 20 years, but faces accelerating losses of 100,000 to 200,000 in the next five years. “The US is experiencing a brain drain and doesn’t even know what that means,” he said.
The combination of better job climates in India and China and seemingly interminable waits for US permanent resident status has changed the calculus for most students, he said. Wadhwa said 60 of the 65 foreign engineers among the 120 he helped train this year to be business executives are leaving for India, China, and Turkey.
Thursday, June 25, 2009
HCL, IT market, NRIs
Controversy: American tech grads are unemployable: HCL CEO
HCL technologies' Chief Executive Vineet Nayar recently said that American tech graduates are basically 'unemployable', according to an InformationWeek report. He says that he views American tech grads as inferior to those from India, China and Brazil. American tech students only enter the field to get rich or to dream up the next big thing while students from India and China are willing to handle even the boring part of the industry, ITIL and Six Sigma.
Several months ago few western CEO had claimed that even though India produces second largest number of engineers in the world, more than half of them are unemployable. They also say that Indian graduates are smart, driven and they work for a pittance compared to their Western counterparts but lack critical thinking and creativity and function like robots.
Nayar has responded back to such claims as he feels that Americans are too costly to train as compared to Indian graduates who are highly trained in real life applications because they attend vocational courses and have hands on experience. HCL, however, has recently announced that it plans to open a delivery centre in North Carolina with an investment of $3.2 million and will hire over 500 employees over the next five years under a U.S. Job Development Investment Grant.
These remarks from Nayar have already created quite a few controversies. InformationWeek's Robert Preston wrote: "Imagine if the CEO of a U.S.-based tech company marched into Mumbai seeking a bigger share of the country's multibillion dollar market and declared the locals to be unemployable and un-trainable. A culture of innovation isn't inconsistent with one that values attention to detail." Few websites have taken this to extreme. A protectionist web site JobDestruction.com has sent email newsletter which says, "HCL hires Indians almost exclusively, so it's safe to assume that Nayar's disparaging comments don't just apply to our young college graduates. He thinks ALL Americans are unemployable."
Several months ago few western CEO had claimed that even though India produces second largest number of engineers in the world, more than half of them are unemployable. They also say that Indian graduates are smart, driven and they work for a pittance compared to their Western counterparts but lack critical thinking and creativity and function like robots.
Nayar has responded back to such claims as he feels that Americans are too costly to train as compared to Indian graduates who are highly trained in real life applications because they attend vocational courses and have hands on experience. HCL, however, has recently announced that it plans to open a delivery centre in North Carolina with an investment of $3.2 million and will hire over 500 employees over the next five years under a U.S. Job Development Investment Grant.
These remarks from Nayar have already created quite a few controversies. InformationWeek's Robert Preston wrote: "Imagine if the CEO of a U.S.-based tech company marched into Mumbai seeking a bigger share of the country's multibillion dollar market and declared the locals to be unemployable and un-trainable. A culture of innovation isn't inconsistent with one that values attention to detail." Few websites have taken this to extreme. A protectionist web site JobDestruction.com has sent email newsletter which says, "HCL hires Indians almost exclusively, so it's safe to assume that Nayar's disparaging comments don't just apply to our young college graduates. He thinks ALL Americans are unemployable."
NRIs
Indians on business trips to UK should get visas on short notic
Indians on business trips to Britain should be provided visas on short notice to allow them to explore commercial opportunities in the country, Lord Navnit Dholakia, Deputy leader of the Liberal Democrats in the House of Lords said today.
Participating in a debate on 'British Opportunity in India and Indian Investments in the United Kingdom', Dholakia said "Bilateral trade is impacted by our own visa regime."
Drawing attention towards the difficulties faced by Indian businessmen in obtaining visa, Dholakia said "We should make sure that business visitors and senior providers are facilitated to travel to the UK to explore business opportunities and business contracts."
"Would not the Minister accept that timelines are short in the business world?" he asked. He cited the example of IT industry and said "it is particularly impacted by issues such as delivery of service which is dependent on movement of professionals at short notice."
Participating in a debate on 'British Opportunity in India and Indian Investments in the United Kingdom', Dholakia said "Bilateral trade is impacted by our own visa regime."
Drawing attention towards the difficulties faced by Indian businessmen in obtaining visa, Dholakia said "We should make sure that business visitors and senior providers are facilitated to travel to the UK to explore business opportunities and business contracts."
"Would not the Minister accept that timelines are short in the business world?" he asked. He cited the example of IT industry and said "it is particularly impacted by issues such as delivery of service which is dependent on movement of professionals at short notice."
Wednesday, June 24, 2009
H1-B, NRIs
Temporary US visa holders in Washington to get subsidised tuition
Under the new House Bill 1487, which is to be introduced on 1 July, foreigners working in the US state of Washington on certain temporary US visas such as H-1B visas will receive the same subsidized tuition fee charges as American citizens. Low-cost tuition fees will also apply to the workers' spouses and dependants.
The bill has been nicknamed the ‘Microsoft Subsidy Bill’ and has caused some controversy, but has been passed through the House and the Senate as a good way to help large international firms in Washington attract foreign talent to come and work in the US. Currently, 13 other states offer some subsidised tuition for foreign workers and the Washington bill is intended to help the state compete with these.
Under the plans, an immigrant state resident will pay $7,677 for a years tuition at the University of Washington, which compares to the £24,352 that was payable before the subsidy scheme.
Lydia Tamez, Microsoft’s director of global migration, says the new bill allows spouses, who often cannot work under their US marriage visas, to study while they are living in the US.
She explains, "these are people who are here lawfully, and are going to be here for a long period of time. It makes it affordable for workers who are your neighbors, pay taxes, buy homes and whose kids hang around with your kids to possibly earn a second degree at night."
The bill has been nicknamed the ‘Microsoft Subsidy Bill’ and has caused some controversy, but has been passed through the House and the Senate as a good way to help large international firms in Washington attract foreign talent to come and work in the US. Currently, 13 other states offer some subsidised tuition for foreign workers and the Washington bill is intended to help the state compete with these.
Under the plans, an immigrant state resident will pay $7,677 for a years tuition at the University of Washington, which compares to the £24,352 that was payable before the subsidy scheme.
Lydia Tamez, Microsoft’s director of global migration, says the new bill allows spouses, who often cannot work under their US marriage visas, to study while they are living in the US.
She explains, "these are people who are here lawfully, and are going to be here for a long period of time. It makes it affordable for workers who are your neighbors, pay taxes, buy homes and whose kids hang around with your kids to possibly earn a second degree at night."
Tuesday, June 23, 2009
cognizant, CTS, H1-B, NRIs
H1B Cap: Count Decreases to 44,000 as of June 12, 2009
US visas for foreign workers still available:
The most recent USCIS H1B cap count indicates a lower number of cases than had been previously reported. The updated count reports the receipt of 44,400 “regular” cap cases, through June 12, 2009. This is lower than the previous count of 47,700, given as of May 22, 2009. No explanation was provided. Thus, this reduced number may reflect either withdrawals by employers, denials by the USCIS, duplicate filings, or an error in the prior cap counts.
Thursday, June 18, 2009
H1-B, NRIs
Protectionism, racist attacks to affect Indians' dollar dreams
The protectionist measures in the West and attacks on Indian students in Australia are likely to negatively affect the Indians' overseas job dreams and the aspirants may prefer domestic offers, experts believe.
The anti-outsourcing pitch has been gaining momentum in the US ever since the Barack Obama administration assumed office early this year and the government has been encouraging the companies there to hire local people.
Besides, the recent attacks on some Indian students, allegedly on racism grounds, in Australia is also said to be affecting the Indians' plans to go to the Asia-Pacific nation, which has been a favoured destination thus far.
"People are apprehensive for overseas jobs after these recent attacks. Australia as a country will be somehow affected in attracting overseas talent," executive search firm GlobalHunt India Professional Leader Sunil Goel said.
Global staffing services major Manpower's India Managing Director Naresh Malhan also said: "We should take cognisance about the recent incidents (attacks on Indian students) that have happened in Australia.
"There would be an impact on Indian people looking for jobs abroad but it would be short lived as the need for Indian talent and its attractiveness is established beyond doubt across the world."
The recent attacks on Indian students Down Under has left both students as well as overseas job seekers shaken and apprehensive.
Coupled with this, US President Barack Obama's recent statement on the increased importance of Indian students and the growing concern that jobs are being offshored to places like "Bangalore", have left the Indian community baffled.
While unveiling plans for tax reforms recently, Obama said that his country would "stop letting American companies that create jobs overseas take deductions on their expenses when they do not pay any American taxes on their profits."
Nearly 60 per cent of Indian IT-Business Process Outsourcing industry caters to the US companies, according to latest figures. India's BPO industry employs over 17 lakh professionals.
"We are advanced in technology and serving global market as back operation hub. Definitely, anti-outsourcing and racist attacks will encourage Indians to take up jobs in home country, which in turn will increase competitive edge for us," Goel said.
At a recent meeting, Obama urged the nation to hone their skills and become more competitive.
"We have got to pick up the pace because the world has gotten competitive. The Chinese, the Indians are coming at us and they are coming at us hard, and they are hungry and they are really buckling down," the US President had asserted.
According to experts, India is one of the fastest growing economies of world and offers ample opportunities at competitive compensations.
Goel noted that BPO industry in India has grown “because of cost effectiveness and skills availability.
The anti-outsourcing pitch has been gaining momentum in the US ever since the Barack Obama administration assumed office early this year and the government has been encouraging the companies there to hire local people.
Besides, the recent attacks on some Indian students, allegedly on racism grounds, in Australia is also said to be affecting the Indians' plans to go to the Asia-Pacific nation, which has been a favoured destination thus far.
"People are apprehensive for overseas jobs after these recent attacks. Australia as a country will be somehow affected in attracting overseas talent," executive search firm GlobalHunt India Professional Leader Sunil Goel said.
Global staffing services major Manpower's India Managing Director Naresh Malhan also said: "We should take cognisance about the recent incidents (attacks on Indian students) that have happened in Australia.
"There would be an impact on Indian people looking for jobs abroad but it would be short lived as the need for Indian talent and its attractiveness is established beyond doubt across the world."
The recent attacks on Indian students Down Under has left both students as well as overseas job seekers shaken and apprehensive.
Coupled with this, US President Barack Obama's recent statement on the increased importance of Indian students and the growing concern that jobs are being offshored to places like "Bangalore", have left the Indian community baffled.
While unveiling plans for tax reforms recently, Obama said that his country would "stop letting American companies that create jobs overseas take deductions on their expenses when they do not pay any American taxes on their profits."
Nearly 60 per cent of Indian IT-Business Process Outsourcing industry caters to the US companies, according to latest figures. India's BPO industry employs over 17 lakh professionals.
"We are advanced in technology and serving global market as back operation hub. Definitely, anti-outsourcing and racist attacks will encourage Indians to take up jobs in home country, which in turn will increase competitive edge for us," Goel said.
At a recent meeting, Obama urged the nation to hone their skills and become more competitive.
"We have got to pick up the pace because the world has gotten competitive. The Chinese, the Indians are coming at us and they are coming at us hard, and they are hungry and they are really buckling down," the US President had asserted.
According to experts, India is one of the fastest growing economies of world and offers ample opportunities at competitive compensations.
Goel noted that BPO industry in India has grown “because of cost effectiveness and skills availability.
Tuesday, June 16, 2009
cognizant, CTS, H1-B, Layoffs in USA, NRIs
FAQs: H1B Workers and Layoffs
Courtesy: murthy.com
Question 1. I am in H1B status, but I also filed my I-485 and received an Employment Authorization Document (EAD). Do I need to maintain H1B status, or can I just rely upon my EAD?
It is permissible to rely upon the EAD. However, it is advisable to maintain H1B status if possible. The level of risk when relying upon the pending I-485 and EAD depends upon the specifics of the case. The risk is much greater if the employer's I-140 petition has not been approved. Some of these matters were addressed in articles on AC21 "green card" portability, available on MurthyDotCom.
Question 2. I was laid off a month ago and my company has informed me that it sent U.S. Citizenship and Immigration Services (USCIS) a letter revoking my H1B petition. What happens if I find another H1B employer in the meantime?
The USCIS typically takes several months to process H1B revocation notices. The revocation does not prevent the approval of an H1B by a new employer, although the ability to extend H1B status in the U.S. is affected by whether or not the individual is maintaining H1B status at the time the new employer files its H1B petition.
As a practical matter, the revocation of the H1B may not appear in the USCIS system immediately. However, this is a matter of procedure and not official policy. It is necessary to make efforts to find another job as soon as possible and have the new employer sponsor another H1B promptly. The USCIS will review the proof of status submitted with the new employer's case. This is normally in the form of current pay stubs. If there are not current pay stubs as proof of continuing status, it may not be possible to obtain an extension of stay (reflected in an approval notice with an I-94 at the bottom.) Thus, the new employer's H1B petition may be approved, but with an instruction to depart the U.S. and request a visa at a U.S. consulate. In this event, it would be necessary to travel abroad, obtain a new H1B visa at the consulate (if needed), and obtain a new I-94 card at the Port of Entry.
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Question 3. I have an H1B petition with Company B and was just laid off. I have an H1B petition through Company A, where I used to work, which has not expired. Company A would like me to come back to work for them. They did not revoke the H1B petition when I left. Can I go back to work for Company A?
Potentially, yes. Under a USCIS opinion letter, it is permissible to return to work for employers with "dormant" H1B petitions and maintain status in that fashion. This may create issues for the employer, as employers are required to pay H1B employees, unless they are terminated. Therefore, Company A in this situation was required to revoke the H1B petition upon the termination of employment. By hiring the employee again later, there is a potential for the Department of Labor to enforce payment of back wages. (Of course, this potential also exists when the H1B petition isn't terminated, even without rehiring the employee.) This is an employer matter. Employers in this situation should consult with their immigration attorneys to protect their interests.
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Question 4. If I am being laid off, can I apply for some other status?
In certain circumstances, it may be possible to apply for another status. There are a number of different options. Depending upon one's individual circumstances, s/he may qualify for another category. The most direct option, if it is available, would be as a dependant of one's spouse. This is potentially possible if one has a spouse who holds an independent nonimmigrant status, such as her/his own H1B, L1A or L1B. This may permit a change to H-4 or L-2. The L-2 is particularly beneficial, since it allows one to request employment authorization.
Some individuals apply for student status (F-1), if they wish to return to school to further their educations. This can be a good option, as people often choose to enhance their skills during difficult economic times. There are those who may choose to depart the U.S. and look for options in their home countries or elsewhere. These individuals may be eligible to apply for changes of status to tourist (B-2) in order to wrap up their affairs in the United States.
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Question 5. If I apply to change my status, is it then possible to revert to H1B if I find a new employer?
Generally, yes. It can be a bit complex and confusing if the first request to change status is not yet granted. It is generally best not to have multiple applications or petitions filed in parallel. These issues of coordination of filings should be discussed with a qualified immigration attorney.
It is normally possible to change, for example, from H-4 status back to H1B, if one is eligible for more time in H1B status. The change to H-4 or any other interim status does not subject the individual to the H1B cap. The same is true of changing back to H1B after completion of studies as an F-1.
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Question 6. What happens if I am terminated but the company keeps me on as an employee without pay?
It is extremely unlikely that USCIS will consider a person as being “in status” when s/he is not actually employed and being paid. This is a dangerous option to pursue, both for the individual and the company. When applying for a change or extension of status, it is expected that one's current status is documented by recent pay stubs. Without these, the USCIS is unlikely to regard one as having been in status. It may, in this situation, be possible to obtain an H1B petition approval for consular processing, rather than as an extension or change of status in the United States.
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Question 7. If the company gives me a severance package that includes receiving pay for two months or more after I am laid off, am I still considered terminated and therefore “out of status” during those months?
According to a legacy INS memo on the subject, H1B workers are considered out of status from the day they stop working. It makes no difference that they may still be receiving pay. However, status is normally shown through pay stubs submitted with the new employer's H1B petition. As long as there is no misrepresentation of the situation, since the USCIS often overlooks brief gaps in pay stubs, it may be possible to obtain an extension or change of status during a period when one is receiving severance payments.
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Question 8. Can I still file for an H1B "transfer" one month from the time I was laid off? What about four months from the time I was laid off? I do not have recent pay stubs.
Technically, H1B status ended upon termination of the position. Since H1Bs are not "transferred," however, the fact that one does not hold H1B status does not prevent obtaining approval of an H1B petition through a new employer. USCIS regulations prohibit the change or extension of status for individuals who are out of status (with limited exception for certain unusual situations). Status for H1B workers normally is demonstrated via pay stubs. However, the USCIS is sometimes a bit flexible and will overlook minor gaps in status when making decisions regarding these cases. If the gap in status is too great, the employer may be able to obtain the approval of the H1B petition, but it will not be accompanied by an I-94 authorizing additional time in H1B status in the U.S. It will be approved for consular processing outside the U.S. This means that it becomes necessary to leave the country, make application for an H1B visa at a U.S. consulate (if needed) and obtain an I-94 card upon reentry. If there have been extended periods without status, this may create problems in obtaining a new visa at the consulate. There are also matters of bars on reentry to the U.S. for individuals who were unlawfully present in the United States for extended periods. Thus, the importance of having each situation analyzed by an experienced and qualified immigration attorney, who can assess these risk factors, cannot be over stated.
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Question 9. I was recently laid off and was told that my employer is obligated to continue paying me until the USCIS revokes the petition. Is this true?
According to Department of Labor (DOL) Regulations, an employer must continue to pay the H1B worker until there is a “bona fide” termination of the employment relationship. There are various cases interpreting the precise expectations in different ways. Employers would be well advised to put terminations clearly in writing, and take all necessary internal steps within their organizations. They must also request revocation of the H1B petition in a timely manner, and comply with the return airfare obligation. As it can take several months for the USCIS to act on a request to revoke, employers generally do not continue wages awaiting this action. An employer usually notifies the employee of the termination date, and continues payment only for the length of any standard company notice or severance pay policy.
Conclusion
The U.S. economy suffers downturns at times that are followed by periods of relative prosperity. Even financial experts do not seem to know how long the economy will struggle before there is a recovery. While difficult for everyone, such conditions can be particularly stressful for foreign nationals in employment-dependent immigration statuses. We at the Murthy Law Firm will continue to guide our readers so that they can manage their immigration through these trying times.
Question 1. I am in H1B status, but I also filed my I-485 and received an Employment Authorization Document (EAD). Do I need to maintain H1B status, or can I just rely upon my EAD?
It is permissible to rely upon the EAD. However, it is advisable to maintain H1B status if possible. The level of risk when relying upon the pending I-485 and EAD depends upon the specifics of the case. The risk is much greater if the employer's I-140 petition has not been approved. Some of these matters were addressed in articles on AC21 "green card" portability, available on MurthyDotCom.
Question 2. I was laid off a month ago and my company has informed me that it sent U.S. Citizenship and Immigration Services (USCIS) a letter revoking my H1B petition. What happens if I find another H1B employer in the meantime?
The USCIS typically takes several months to process H1B revocation notices. The revocation does not prevent the approval of an H1B by a new employer, although the ability to extend H1B status in the U.S. is affected by whether or not the individual is maintaining H1B status at the time the new employer files its H1B petition.
As a practical matter, the revocation of the H1B may not appear in the USCIS system immediately. However, this is a matter of procedure and not official policy. It is necessary to make efforts to find another job as soon as possible and have the new employer sponsor another H1B promptly. The USCIS will review the proof of status submitted with the new employer's case. This is normally in the form of current pay stubs. If there are not current pay stubs as proof of continuing status, it may not be possible to obtain an extension of stay (reflected in an approval notice with an I-94 at the bottom.) Thus, the new employer's H1B petition may be approved, but with an instruction to depart the U.S. and request a visa at a U.S. consulate. In this event, it would be necessary to travel abroad, obtain a new H1B visa at the consulate (if needed), and obtain a new I-94 card at the Port of Entry.
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Question 3. I have an H1B petition with Company B and was just laid off. I have an H1B petition through Company A, where I used to work, which has not expired. Company A would like me to come back to work for them. They did not revoke the H1B petition when I left. Can I go back to work for Company A?
Potentially, yes. Under a USCIS opinion letter, it is permissible to return to work for employers with "dormant" H1B petitions and maintain status in that fashion. This may create issues for the employer, as employers are required to pay H1B employees, unless they are terminated. Therefore, Company A in this situation was required to revoke the H1B petition upon the termination of employment. By hiring the employee again later, there is a potential for the Department of Labor to enforce payment of back wages. (Of course, this potential also exists when the H1B petition isn't terminated, even without rehiring the employee.) This is an employer matter. Employers in this situation should consult with their immigration attorneys to protect their interests.
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Question 4. If I am being laid off, can I apply for some other status?
In certain circumstances, it may be possible to apply for another status. There are a number of different options. Depending upon one's individual circumstances, s/he may qualify for another category. The most direct option, if it is available, would be as a dependant of one's spouse. This is potentially possible if one has a spouse who holds an independent nonimmigrant status, such as her/his own H1B, L1A or L1B. This may permit a change to H-4 or L-2. The L-2 is particularly beneficial, since it allows one to request employment authorization.
Some individuals apply for student status (F-1), if they wish to return to school to further their educations. This can be a good option, as people often choose to enhance their skills during difficult economic times. There are those who may choose to depart the U.S. and look for options in their home countries or elsewhere. These individuals may be eligible to apply for changes of status to tourist (B-2) in order to wrap up their affairs in the United States.
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Question 5. If I apply to change my status, is it then possible to revert to H1B if I find a new employer?
Generally, yes. It can be a bit complex and confusing if the first request to change status is not yet granted. It is generally best not to have multiple applications or petitions filed in parallel. These issues of coordination of filings should be discussed with a qualified immigration attorney.
It is normally possible to change, for example, from H-4 status back to H1B, if one is eligible for more time in H1B status. The change to H-4 or any other interim status does not subject the individual to the H1B cap. The same is true of changing back to H1B after completion of studies as an F-1.
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Question 6. What happens if I am terminated but the company keeps me on as an employee without pay?
It is extremely unlikely that USCIS will consider a person as being “in status” when s/he is not actually employed and being paid. This is a dangerous option to pursue, both for the individual and the company. When applying for a change or extension of status, it is expected that one's current status is documented by recent pay stubs. Without these, the USCIS is unlikely to regard one as having been in status. It may, in this situation, be possible to obtain an H1B petition approval for consular processing, rather than as an extension or change of status in the United States.
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Question 7. If the company gives me a severance package that includes receiving pay for two months or more after I am laid off, am I still considered terminated and therefore “out of status” during those months?
According to a legacy INS memo on the subject, H1B workers are considered out of status from the day they stop working. It makes no difference that they may still be receiving pay. However, status is normally shown through pay stubs submitted with the new employer's H1B petition. As long as there is no misrepresentation of the situation, since the USCIS often overlooks brief gaps in pay stubs, it may be possible to obtain an extension or change of status during a period when one is receiving severance payments.
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Question 8. Can I still file for an H1B "transfer" one month from the time I was laid off? What about four months from the time I was laid off? I do not have recent pay stubs.
Technically, H1B status ended upon termination of the position. Since H1Bs are not "transferred," however, the fact that one does not hold H1B status does not prevent obtaining approval of an H1B petition through a new employer. USCIS regulations prohibit the change or extension of status for individuals who are out of status (with limited exception for certain unusual situations). Status for H1B workers normally is demonstrated via pay stubs. However, the USCIS is sometimes a bit flexible and will overlook minor gaps in status when making decisions regarding these cases. If the gap in status is too great, the employer may be able to obtain the approval of the H1B petition, but it will not be accompanied by an I-94 authorizing additional time in H1B status in the U.S. It will be approved for consular processing outside the U.S. This means that it becomes necessary to leave the country, make application for an H1B visa at a U.S. consulate (if needed) and obtain an I-94 card upon reentry. If there have been extended periods without status, this may create problems in obtaining a new visa at the consulate. There are also matters of bars on reentry to the U.S. for individuals who were unlawfully present in the United States for extended periods. Thus, the importance of having each situation analyzed by an experienced and qualified immigration attorney, who can assess these risk factors, cannot be over stated.
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Question 9. I was recently laid off and was told that my employer is obligated to continue paying me until the USCIS revokes the petition. Is this true?
According to Department of Labor (DOL) Regulations, an employer must continue to pay the H1B worker until there is a “bona fide” termination of the employment relationship. There are various cases interpreting the precise expectations in different ways. Employers would be well advised to put terminations clearly in writing, and take all necessary internal steps within their organizations. They must also request revocation of the H1B petition in a timely manner, and comply with the return airfare obligation. As it can take several months for the USCIS to act on a request to revoke, employers generally do not continue wages awaiting this action. An employer usually notifies the employee of the termination date, and continues payment only for the length of any standard company notice or severance pay policy.
Conclusion
The U.S. economy suffers downturns at times that are followed by periods of relative prosperity. Even financial experts do not seem to know how long the economy will struggle before there is a recovery. While difficult for everyone, such conditions can be particularly stressful for foreign nationals in employment-dependent immigration statuses. We at the Murthy Law Firm will continue to guide our readers so that they can manage their immigration through these trying times.
Monday, June 1, 2009
cognizant, CTS, H1-B, NRIs, Wipro
Wipro `warns’ US on H1-B
Wipro's executive chairman, Azim Premji, has warned that a proposal to restrict hiring holders of H1B visas for skilled workers will choke America of talent coming in and could generate a trade war with countries such as India.
"In my opinion it's a very drastic initiative," he said in an interview, referring to a bill in the US Senate basically preventing firms from hiring H1Bs in the US or bringing in holders of L1 visas for semi-skilled workers.
"It will choke the United States of talent coming in. You will not be able to substitute the absence of this talent with local hires because it's not easily available," Premji said.
"Also, you'll generate a trade war with countries such as India," he said, calling it as a freedom-of-trade issue. "It's precisely what President (Barack) Obama said in the G20 meeting: The United States will not get into a spate of protectionism."
Premji suggested the US must realise that today 60 to 70 percent of the growth of the revenues of large American companies comes from India and China.
"These are the growth markets. It's a simple thing for our government to raise tariffs. It's a simple thing for our government to say no American corporation will get central or state government contracts, or defence contracts," he warned.
Noting that the software and BPO industries for India represent 24 percent of its exports, Premji said: "These are critical industries for emerging countries... There's no way our government can take it lightly."
Asked what would happen if the bill passes, the Wipro chief said Obama "is too sensible to pass it. He's too mature".
Describing global trade in IT as vital "because the economies of all countries are getting more and more the dominance of services, versus manufacturing and agriculture", Premji said: "To risk a cycle of protectionism, it's not worth it."
"What's the total of visas issued in a year? 20,000 to India. What will you achieve? The 20,000 will come down to 12,000. You'll create 8,000 more jobs, theoretically, with the rules. "What's that compared to 9 per cent unemployment on a total labour force of 100 million?" he asked, calling it "a very short term approach".
Asked why IBM and Accenture were employing so many people in India, Premji said: "They like the low labour rates... the quality of the people, the willingness to work hard. They're not getting the people they need in the United States. That's the bottom line."
"In my opinion it's a very drastic initiative," he said in an interview, referring to a bill in the US Senate basically preventing firms from hiring H1Bs in the US or bringing in holders of L1 visas for semi-skilled workers.
"It will choke the United States of talent coming in. You will not be able to substitute the absence of this talent with local hires because it's not easily available," Premji said.
"Also, you'll generate a trade war with countries such as India," he said, calling it as a freedom-of-trade issue. "It's precisely what President (Barack) Obama said in the G20 meeting: The United States will not get into a spate of protectionism."
Premji suggested the US must realise that today 60 to 70 percent of the growth of the revenues of large American companies comes from India and China.
"These are the growth markets. It's a simple thing for our government to raise tariffs. It's a simple thing for our government to say no American corporation will get central or state government contracts, or defence contracts," he warned.
Noting that the software and BPO industries for India represent 24 percent of its exports, Premji said: "These are critical industries for emerging countries... There's no way our government can take it lightly."
Asked what would happen if the bill passes, the Wipro chief said Obama "is too sensible to pass it. He's too mature".
Describing global trade in IT as vital "because the economies of all countries are getting more and more the dominance of services, versus manufacturing and agriculture", Premji said: "To risk a cycle of protectionism, it's not worth it."
"What's the total of visas issued in a year? 20,000 to India. What will you achieve? The 20,000 will come down to 12,000. You'll create 8,000 more jobs, theoretically, with the rules. "What's that compared to 9 per cent unemployment on a total labour force of 100 million?" he asked, calling it "a very short term approach".
Asked why IBM and Accenture were employing so many people in India, Premji said: "They like the low labour rates... the quality of the people, the willingness to work hard. They're not getting the people they need in the United States. That's the bottom line."
Tuesday, May 26, 2009
H1-B, Infosys, NRIs
Why Infosys cuts H1-B visas
Even as the strong anti-outsourcing lobby in the US is forcing US lawmakers to take a relook at their H1-B visa strategy amid huge job losses, Infosys Technologies - which holds the largest number of H1-B visas among all the Indian IT services companies - has started reducing the number as a part of the company's policy to reduce its 'overseas bench' strength.
The number of H1-B visa holders in the company, which was 8,700 as of December 31, 2008, came down to 8,200 as of March 31, 2009, according to information available with Business Standard.
This number is expected to come down further by another 500 at the end of the first quarter of FY10, as the company is further rationalising its workforce in the US by inducting more locals (Americans) in its rolls, a source close to the development said.
However, even as the company is reducing its 'overseas bench', it has simultaneously committed to add another 1,000 American citizens to its rolls in the next 12-18 months, which will take the total number of US citizens on its rolls to 1,800.
However, Infosys member of the Board and Head of HR, T V Mohandas Pai, insisted that the current reduction in the number of H1-B visa holders had nothing to do with the 'reduction in the overseas bench'.
"The number of people (H1-B visa holders) go up and down based on business requirements. When the business is down due to the recession, we don't need so many people (in the US)," he said.
He said the company had been hiring in the US for the past three years and it's part of the company's strategic plan to hire more locally.
"It has nothing to do with Obama's announcement and the US government's proposals to lower the H1-B visa limit," he added.
According to the latest update from the US Citizenship and Immigration Services, as against an available upper cap of 65,000 as mandated by the US Congress, only about 45,000 H1-B visa applications were received till May 19 this year.
Other than the global recession, experts say the fact that each H1-B visa costs about $3,000-5,000 per applicant is reason enough for companies not to invest so much on obtaining such visas.
Of late, most India companies have increased their uptake of local talent in the US. Wipro has already announced its intention to hire over 750 US workers for its newly opened centre in Atlanta.
IT major TCS is also focussing on more US citizens in its workforce, according the company's COO N Chandrasekharan.
"It's important to create critical mass and have a local delivery capability to service onsite clients. If we do this from India, it will be quite costly," he said.
Source: rediff.com
The number of H1-B visa holders in the company, which was 8,700 as of December 31, 2008, came down to 8,200 as of March 31, 2009, according to information available with Business Standard.
This number is expected to come down further by another 500 at the end of the first quarter of FY10, as the company is further rationalising its workforce in the US by inducting more locals (Americans) in its rolls, a source close to the development said.
However, even as the company is reducing its 'overseas bench', it has simultaneously committed to add another 1,000 American citizens to its rolls in the next 12-18 months, which will take the total number of US citizens on its rolls to 1,800.
However, Infosys member of the Board and Head of HR, T V Mohandas Pai, insisted that the current reduction in the number of H1-B visa holders had nothing to do with the 'reduction in the overseas bench'.
"The number of people (H1-B visa holders) go up and down based on business requirements. When the business is down due to the recession, we don't need so many people (in the US)," he said.
He said the company had been hiring in the US for the past three years and it's part of the company's strategic plan to hire more locally.
"It has nothing to do with Obama's announcement and the US government's proposals to lower the H1-B visa limit," he added.
According to the latest update from the US Citizenship and Immigration Services, as against an available upper cap of 65,000 as mandated by the US Congress, only about 45,000 H1-B visa applications were received till May 19 this year.
Other than the global recession, experts say the fact that each H1-B visa costs about $3,000-5,000 per applicant is reason enough for companies not to invest so much on obtaining such visas.
Of late, most India companies have increased their uptake of local talent in the US. Wipro has already announced its intention to hire over 750 US workers for its newly opened centre in Atlanta.
IT major TCS is also focussing on more US citizens in its workforce, according the company's COO N Chandrasekharan.
"It's important to create critical mass and have a local delivery capability to service onsite clients. If we do this from India, it will be quite costly," he said.
Source: rediff.com
Saturday, May 23, 2009
H1-B, Infosys, NRIs
The number of H1-B visa holders in the company, which was 8,700 as of December 31, 2008, came down to 8,200 as of March 31, 2009, according to information available with Business Standard. This number is expected to come down further by another 500 at the end of the first quarter of FY10, as the company is further rationalising its workforce in the US by inducting more locals (Americans) in its rolls, a source close to the development said.
However, even as the company is reducing its ‘overseas bench’, it has simultaneously committed to add another 1,000 American citizens to its rolls in the next 12-18 months, which will take the total number of US citizens on its rolls to 1,800.
However, Infosys member of the Board and Head of HR, T V Mohandas Pai, insisted that the current reduction in the number of H1-B visa holders had nothing to do with the ‘reduction in the overseas bench’.
“The number of people (H1-B visa holders) go up and down based on business requirements. When the business is down due to the recession, we don’t need so many people (in the US),” he said.
He said the company had been hiring in the US for the past three years and it’s part of the company’s strategic plan to hire more locally.
“It has nothing to do with Obama’s announcement and the US government’s proposals to lower the H1-B visa limit,” he added.
According to the latest update from the US Citizenship and Immigration Services, as against an available upper cap of 65,000 as mandated by the US Congress, only about 45,000 H1-B visa applications were received till May 19 this year. Other than the global recession, experts say the fact that each H1-B visa costs about $3,000-5,000 per applicant is reason enough for companies not to invest so much on obtaining such visas.
Of late, most India companies have increased their uptake of local talent in the US. Wipro has already announced its intention to hire over 750 US workers for its newly opened centre in Atlanta.
IT major TCS is also focussing on more US citizens in its workforce, according the company’s COO N Chandrasekharan.
“It’s important to create critical mass and have a local delivery capability to service onsite clients. If we do this from India, it will be quite costly,” he said.
Infosys cuts H1-B visas to 'reduce overseas bench'
Even as the strong anti-outsourcing lobby in the US is forcing US lawmakers to take a relook at their H1-B visa strategy amid huge job losses, Infosys Technologies – which holds the largest number of H1-B visas among all the Indian IT services companies – has started reducing the number as a part of the company’s policy to reduce its ‘overseas bench’ strength.
The number of H1-B visa holders in the company, which was 8,700 as of December 31, 2008, came down to 8,200 as of March 31, 2009, according to information available with Business Standard. This number is expected to come down further by another 500 at the end of the first quarter of FY10, as the company is further rationalising its workforce in the US by inducting more locals (Americans) in its rolls, a source close to the development said.
However, even as the company is reducing its ‘overseas bench’, it has simultaneously committed to add another 1,000 American citizens to its rolls in the next 12-18 months, which will take the total number of US citizens on its rolls to 1,800.
However, Infosys member of the Board and Head of HR, T V Mohandas Pai, insisted that the current reduction in the number of H1-B visa holders had nothing to do with the ‘reduction in the overseas bench’.
“The number of people (H1-B visa holders) go up and down based on business requirements. When the business is down due to the recession, we don’t need so many people (in the US),” he said.
He said the company had been hiring in the US for the past three years and it’s part of the company’s strategic plan to hire more locally.
“It has nothing to do with Obama’s announcement and the US government’s proposals to lower the H1-B visa limit,” he added.
According to the latest update from the US Citizenship and Immigration Services, as against an available upper cap of 65,000 as mandated by the US Congress, only about 45,000 H1-B visa applications were received till May 19 this year. Other than the global recession, experts say the fact that each H1-B visa costs about $3,000-5,000 per applicant is reason enough for companies not to invest so much on obtaining such visas.
Of late, most India companies have increased their uptake of local talent in the US. Wipro has already announced its intention to hire over 750 US workers for its newly opened centre in Atlanta.
IT major TCS is also focussing on more US citizens in its workforce, according the company’s COO N Chandrasekharan.
“It’s important to create critical mass and have a local delivery capability to service onsite clients. If we do this from India, it will be quite costly,” he said.
Friday, May 22, 2009
H1-B, Infosys, NRIs
Infosys to add 1,000 more US citizens to its rolls
Indian software firm Infosys plans to hire about 1,000 people in the US in the next 12 to 18 months amid a gloomy job market. In an interview with the local media, Infosys Chief Executive Kris Gopalakrishnan, who is currently in Seattle for Microsoft's CEO Summit this week, said that the company plans to add more than 100 new employees as part of a big US expansion in anticipation of growth resuming in 2010.
Altogether, Infosys plans to hire about 1,000 people across the US over the next 12 to 18 months, he said. Already, 14,000 of the company's 1,04,000 employees are based in the US.
"We believe business will be there if we add capabilities, more services and solutions to our portfolio and increase the business volume with the existing customers -- that's how we see growth coming to our business," Gopalakrishnan said.
Regarding the recovery in the Indian economy, he said that it is in, "Very early stages." Gopalakrishna said, "I hope it is sustained and picks up. The difference with the US is that it has gone from 2-3 per cent in GDP growth to approximately zero, about a 3 per cent decline.”
“India has also declined 3 per cent -- it's gone from 8 to 9 per cent growth to 5 per cent to 6 per cent. On the positive side it's still 5 to 6 per cent growth, but the decline is similar, actually."
Hoping the gathered executives will have insights into what fundamental changes will result from the downturn, so they can distinguish between the greed that marked the financial meltdown and innovations that were happening, he said.
"If you look at the Internet boom, everybody jumped in, many of those companies got funded, lots of money was poured in," he said. "Of course many of those companies failed, lots of money was lost but some good things happened -- some companies emerged very strong, became the leaders in that space..."
Gopalakrishnan clearly sees the dangers in industry consolidation and in changes in the nature of outsourcing, with more businesses taking the same tack as they have with their internal IT organisations by looking at business process applicability rather than discrete technical capability.
Infosys seems well-oriented to adapt to this new world since Gopalakrishnan identifies their value proposition as a strong knowledge of customer businesses.
Altogether, Infosys plans to hire about 1,000 people across the US over the next 12 to 18 months, he said. Already, 14,000 of the company's 1,04,000 employees are based in the US.
"We believe business will be there if we add capabilities, more services and solutions to our portfolio and increase the business volume with the existing customers -- that's how we see growth coming to our business," Gopalakrishnan said.
Regarding the recovery in the Indian economy, he said that it is in, "Very early stages." Gopalakrishna said, "I hope it is sustained and picks up. The difference with the US is that it has gone from 2-3 per cent in GDP growth to approximately zero, about a 3 per cent decline.”
“India has also declined 3 per cent -- it's gone from 8 to 9 per cent growth to 5 per cent to 6 per cent. On the positive side it's still 5 to 6 per cent growth, but the decline is similar, actually."
Hoping the gathered executives will have insights into what fundamental changes will result from the downturn, so they can distinguish between the greed that marked the financial meltdown and innovations that were happening, he said.
"If you look at the Internet boom, everybody jumped in, many of those companies got funded, lots of money was poured in," he said. "Of course many of those companies failed, lots of money was lost but some good things happened -- some companies emerged very strong, became the leaders in that space..."
Gopalakrishnan clearly sees the dangers in industry consolidation and in changes in the nature of outsourcing, with more businesses taking the same tack as they have with their internal IT organisations by looking at business process applicability rather than discrete technical capability.
Infosys seems well-oriented to adapt to this new world since Gopalakrishnan identifies their value proposition as a strong knowledge of customer businesses.
Wednesday, May 20, 2009
H1-B, IT market, NRIs, Outsourcing
Obama must stop neglecting India: Forbes
With India and America sharing both principles and interests, a leading US columnist wants President Barack Obama to stop "neglecting" India and visit India soon saying it would pay "very rich - and very reliable -dividends."
"What is significant is that the convergence of India and America rests just as much on shared principles as it does on shared interests," writes Tunku Varadarajan, a professor at New York University and executive editor for opinions at Forbes magazine.
"As Pakistan tears itself apart, America needs India more than ever. The moment, therefore, is Obama's to seize," he said citing an Asia Society report emphasising, "India matters to virtually every major foreign policy issue that will confront the United States in the years ahead."
"As an Indian who has made his home in the US, I say to Barack Obama: Don't neglect India. Go to India, and go there soon. Or if you can't leave town, invite (Prime Minister) Manmohan Singh to stop by," Varadarajan said. "This is an investment of your time that will pay very rich - and very reliable - dividends."
"Obama's handling of the financial crisis, his stewardship of America's foreign and security policy has been surprisingly deft. But the one part of America's foreign policy that Obama can be argued to have flubbed so far is its relations with India," he writes suggesting since taking office in January, Obama has paid India scant attention.
There are two ways to read Obama's neglect of India. The first reading - one that gives him the benefit of the doubt that he's not keen, by disposition, on India - is that he was maintaining a prudent distance from New Delhi as India went to the polls, he said.
The second, darker reading of Obama's coolness toward India rests on a sense that the president is punishing the Indian political establishment for its closeness to former President George W. Bush.
"Yet if there is any pique at all in Obama's approach to India, he needs to get over it fast," Varadarajan said. "The alliance is too valuable to jeopardise. In Hillary Clinton, the president has a secretary of state with a real feel for India."
"What is significant is that the convergence of India and America rests just as much on shared principles as it does on shared interests," writes Tunku Varadarajan, a professor at New York University and executive editor for opinions at Forbes magazine.
"As Pakistan tears itself apart, America needs India more than ever. The moment, therefore, is Obama's to seize," he said citing an Asia Society report emphasising, "India matters to virtually every major foreign policy issue that will confront the United States in the years ahead."
"As an Indian who has made his home in the US, I say to Barack Obama: Don't neglect India. Go to India, and go there soon. Or if you can't leave town, invite (Prime Minister) Manmohan Singh to stop by," Varadarajan said. "This is an investment of your time that will pay very rich - and very reliable - dividends."
"Obama's handling of the financial crisis, his stewardship of America's foreign and security policy has been surprisingly deft. But the one part of America's foreign policy that Obama can be argued to have flubbed so far is its relations with India," he writes suggesting since taking office in January, Obama has paid India scant attention.
There are two ways to read Obama's neglect of India. The first reading - one that gives him the benefit of the doubt that he's not keen, by disposition, on India - is that he was maintaining a prudent distance from New Delhi as India went to the polls, he said.
The second, darker reading of Obama's coolness toward India rests on a sense that the president is punishing the Indian political establishment for its closeness to former President George W. Bush.
"Yet if there is any pique at all in Obama's approach to India, he needs to get over it fast," Varadarajan said. "The alliance is too valuable to jeopardise. In Hillary Clinton, the president has a secretary of state with a real feel for India."
NRIs
No job in hand, students in US, UK head back home
Last November, Abhimanyu Gupta, an MBA student in New York University’s Stern School of Business, was on the top of the world when he landed a job offer from Bank of America’s investment banking division. This February he felt right at the bottom of the abyss as the bank withdrew the offer and Gupta’s world cratered just like the global markets.
Now, the 27-year-old chartered accountant, who left his home Mumbai in 2007 to become an investment banker in the world’s financial capital, plans to return home if he doesn’t get an offer by June when his course ends.
With five months of recruitment time gone, Gupta concedes that his chances of finding similar job in the US, which is battling the worst downturn in decades, are bleak. His chances are as bleak as hundreds of other Indian and foreign national students across top universities in the US, UK and other western economies, who now plan to go back home.
The Harvards, Whartons, NYU Sterns, Kelloggs, MIT Sloans, Michigans and Dukes – the dream destinations of students till the other day – no longer guarantee top-dollar jobs. One year of downturn has turned the students’ world upside down.
According to a recent study by the University of California, Berkeley, almost 84% of Indian students and 76% of Chinese students in the US think it will be difficult to find a job in their field in the country.
Even lenders are tightening the noose on international students. First-year MBA students, who were relying on loans from US banks to fund their second-year expenses, are in trouble because the banks have stopped lending to international students without co-signers.
Some students say the Obama administration’s move to put visa restrictions on companies accepting Troubled Asset Relief Programme (TARF), a bailout fund set up by the government to help US companies come out of the downturn, too has hit international students’ prospects there.
Now, most Indian students in the West are betting on their home country. “Not getting an offer there, they are looking homewards. Given the economic health of the US, India seems a better option right now,” says Brijtendu Sarkar, chief restructuring officer at Birla VXL, who did his MBA in general management for senior professionals from London Business School (LBS) last year.
The US has been in recession for 18 straight months now and has lost 5.1 million jobs so far. The world’s largest economy shrunk 6.1% year-on-year in the first quarter of 2009, following a 6.3% decline in the last quarter of 2008. A recovery is unlikely before the end of the year even in a best-case scenario.
Indian economy, which has seen a slowdown after growing at over 9% for three years on a trot, is still expected to grow at a healthy pace of 6-7% in the current fiscal. India and China, the other emerging giant, are expected to bounce back faster and drive a global recovery.
In fact, according to the University of California study that surveyed 1,224 foreign nationals from India, China and Western Europe, almost 86% Indian students and 74% of Chinese students believed their home countries’ economies will grow faster in the future than they have in the past decade.
Most students coming back home are scouting for openings in sectors where they came from, as switching industries makes it difficult to get jobs. Some are approaching their seniors settled in India. Mr Sarkar himself has got three such requests.
According to Mr Sarkar, a number of Indian students in his batch read the signs early and returned home last year, to be lapped up by a booming Indian industry. Now they are helping their juniors search jobs in Asia, he adds.
While it may be easier for these students to find jobs in India, salaries here are not very attractive for most of them who are sitting on huge education loans. An MBA in a top western university costs anywhere between Rs 40 lakh and Rs 60 lakh. Also, many Indian students in the US are married and have a family to support.
Convinced that a job in India won’t earn them enough to pay off their debt and support families, some students like Arihant Chowdhury (name changed) are delaying their degrees to buy time.
The 30-year-old Michigan University’s Ross School of Business student, who didn’t get a job offer in campus placement, has delayed his graduation by six months and continues to work with a small firm where he interned. In case he doesn’t get an offer next season, Chowdhury will return to India and start his own business. He said 10-15 Indians in his batch are yet to find a job.
Even those who have found jobs this year — such as Saptarshi Ganguly of MIT Sloan who is joining McKinsey and Kaustubh Jagtap of NYU Stern – agree that the situation is quite grim. Most of the students say there has been a drop of 20-25 % in the average salary. And the quality of the jobs too has slipped. “I believe most of the students graduating during recession continue to suffer throughout their lifetime. They have to make choices about career paths that they wouldn’t have even thought in normal times,” says Jagtap, who is joining a hedge fund in New York.
A number of small and boutique companies, who never had access to top business schools earlier, are now hiring from campuses, they point out.
Little wonder then, the number of applicants for global Bschools has dwindled of late. Students prefer a seat at top Asian schools like China Europe International Business School (Ceibs) in China, Indian School of Business, National University of Singapore and Asian Institute of Management in the Philippines. “These institutes are at par with some of the best schools globally and the cost is far lower.” says Rajat Chowdhury, product head, international education, IMS, one of the top coaching institutes in India.
That doesn’t mean the London School of Business, Wharton and Harvard have lost their appeal though. Students unanimously agree what one learns in these centres of excellence is unparalleled and that products of these institutes will get their dues in the long-term . At least, that’s the hope the Guptas and Chowdhurys live with today.
Now, the 27-year-old chartered accountant, who left his home Mumbai in 2007 to become an investment banker in the world’s financial capital, plans to return home if he doesn’t get an offer by June when his course ends.
With five months of recruitment time gone, Gupta concedes that his chances of finding similar job in the US, which is battling the worst downturn in decades, are bleak. His chances are as bleak as hundreds of other Indian and foreign national students across top universities in the US, UK and other western economies, who now plan to go back home.
The Harvards, Whartons, NYU Sterns, Kelloggs, MIT Sloans, Michigans and Dukes – the dream destinations of students till the other day – no longer guarantee top-dollar jobs. One year of downturn has turned the students’ world upside down.
According to a recent study by the University of California, Berkeley, almost 84% of Indian students and 76% of Chinese students in the US think it will be difficult to find a job in their field in the country.
Even lenders are tightening the noose on international students. First-year MBA students, who were relying on loans from US banks to fund their second-year expenses, are in trouble because the banks have stopped lending to international students without co-signers.
Some students say the Obama administration’s move to put visa restrictions on companies accepting Troubled Asset Relief Programme (TARF), a bailout fund set up by the government to help US companies come out of the downturn, too has hit international students’ prospects there.
Now, most Indian students in the West are betting on their home country. “Not getting an offer there, they are looking homewards. Given the economic health of the US, India seems a better option right now,” says Brijtendu Sarkar, chief restructuring officer at Birla VXL, who did his MBA in general management for senior professionals from London Business School (LBS) last year.
The US has been in recession for 18 straight months now and has lost 5.1 million jobs so far. The world’s largest economy shrunk 6.1% year-on-year in the first quarter of 2009, following a 6.3% decline in the last quarter of 2008. A recovery is unlikely before the end of the year even in a best-case scenario.
Indian economy, which has seen a slowdown after growing at over 9% for three years on a trot, is still expected to grow at a healthy pace of 6-7% in the current fiscal. India and China, the other emerging giant, are expected to bounce back faster and drive a global recovery.
In fact, according to the University of California study that surveyed 1,224 foreign nationals from India, China and Western Europe, almost 86% Indian students and 74% of Chinese students believed their home countries’ economies will grow faster in the future than they have in the past decade.
Most students coming back home are scouting for openings in sectors where they came from, as switching industries makes it difficult to get jobs. Some are approaching their seniors settled in India. Mr Sarkar himself has got three such requests.
According to Mr Sarkar, a number of Indian students in his batch read the signs early and returned home last year, to be lapped up by a booming Indian industry. Now they are helping their juniors search jobs in Asia, he adds.
While it may be easier for these students to find jobs in India, salaries here are not very attractive for most of them who are sitting on huge education loans. An MBA in a top western university costs anywhere between Rs 40 lakh and Rs 60 lakh. Also, many Indian students in the US are married and have a family to support.
Convinced that a job in India won’t earn them enough to pay off their debt and support families, some students like Arihant Chowdhury (name changed) are delaying their degrees to buy time.
The 30-year-old Michigan University’s Ross School of Business student, who didn’t get a job offer in campus placement, has delayed his graduation by six months and continues to work with a small firm where he interned. In case he doesn’t get an offer next season, Chowdhury will return to India and start his own business. He said 10-15 Indians in his batch are yet to find a job.
Even those who have found jobs this year — such as Saptarshi Ganguly of MIT Sloan who is joining McKinsey and Kaustubh Jagtap of NYU Stern – agree that the situation is quite grim. Most of the students say there has been a drop of 20-25 % in the average salary. And the quality of the jobs too has slipped. “I believe most of the students graduating during recession continue to suffer throughout their lifetime. They have to make choices about career paths that they wouldn’t have even thought in normal times,” says Jagtap, who is joining a hedge fund in New York.
A number of small and boutique companies, who never had access to top business schools earlier, are now hiring from campuses, they point out.
Little wonder then, the number of applicants for global Bschools has dwindled of late. Students prefer a seat at top Asian schools like China Europe International Business School (Ceibs) in China, Indian School of Business, National University of Singapore and Asian Institute of Management in the Philippines. “These institutes are at par with some of the best schools globally and the cost is far lower.” says Rajat Chowdhury, product head, international education, IMS, one of the top coaching institutes in India.
That doesn’t mean the London School of Business, Wharton and Harvard have lost their appeal though. Students unanimously agree what one learns in these centres of excellence is unparalleled and that products of these institutes will get their dues in the long-term . At least, that’s the hope the Guptas and Chowdhurys live with today.
Saturday, May 16, 2009
H1-B, NRIs
"In order to grow the American economy and support the American workforce, Congress should expand and improve the H-1B visa programme," said James Sherk and Diem Nguyen.
As adding regulations to the H-1B programme would be a serious setback to US visa policy and would only end up hurting the US economy, the Congress should instead raise the cap from the current 65,000 to the 2001 quota of 195,000 visas a year, they said.
Sherk is a fellow in labour policy and Nguyen is a research assistant for foreign policy studies at The Heritage Foundation, a Washington think tank.
Referring to reports that two senators, Republican Chuck Grassley and Democrat Dick Durbin plan to introduce a bill that would limit the ability of companies to hire H-1B employees, the experts said an argument that H-1B visa recipients are a threat to American workers is "misguided."
"Given the current economic climate, handcuffing employers from hiring talented workers will hurt-not help-the economy, further delaying the ability of businesses to restart the national economic engine," Sherk and Nguyen said.
Many believe H-1B workers merely compete with Americans looking for work, the duo said. But "They are wrong. The US workforce is not a 'zero-sum game’, " they said.
"One hired H-1B worker does not mean an American is out of a job. In fact, the National Foundation for American Policy found that employers hired four new American workers for each new H-1B employee they hire."
Additionally, hiring H-1B employees does not lower the wages of American workers. Current law requires that when employers apply for H-1B visas, they must attest that they will pay the visa recipient the same wage they would pay an American with similar skill sets.
Rather than limiting the ability of employers to hire H-1B workers by adding more rules and restrictions, Congress should ensure the federal government exercises appropriate oversight in enforcing current laws, Sherk and Nguyen said.
Preventing companies from hiring foreign workers harms the US economy's ability to rapidly adapt to marketplace demands, they said suggesting, "Companies must be able to hire persons best suited to fill positions based on their skill sets-not their nationality."
Restricting H-1B to hurt US economy
Source: indiatimes.com
Asserting that "handcuffing" employers from hiring talented workers will hurt the US economy, two experts have criticised proposals to limit hiring of holders of H-1B visas coveted by Indian technocrats as "misguided.""In order to grow the American economy and support the American workforce, Congress should expand and improve the H-1B visa programme," said James Sherk and Diem Nguyen.
As adding regulations to the H-1B programme would be a serious setback to US visa policy and would only end up hurting the US economy, the Congress should instead raise the cap from the current 65,000 to the 2001 quota of 195,000 visas a year, they said.
Sherk is a fellow in labour policy and Nguyen is a research assistant for foreign policy studies at The Heritage Foundation, a Washington think tank.
Referring to reports that two senators, Republican Chuck Grassley and Democrat Dick Durbin plan to introduce a bill that would limit the ability of companies to hire H-1B employees, the experts said an argument that H-1B visa recipients are a threat to American workers is "misguided."
"Given the current economic climate, handcuffing employers from hiring talented workers will hurt-not help-the economy, further delaying the ability of businesses to restart the national economic engine," Sherk and Nguyen said.
Many believe H-1B workers merely compete with Americans looking for work, the duo said. But "They are wrong. The US workforce is not a 'zero-sum game’, " they said.
"One hired H-1B worker does not mean an American is out of a job. In fact, the National Foundation for American Policy found that employers hired four new American workers for each new H-1B employee they hire."
Additionally, hiring H-1B employees does not lower the wages of American workers. Current law requires that when employers apply for H-1B visas, they must attest that they will pay the visa recipient the same wage they would pay an American with similar skill sets.
Rather than limiting the ability of employers to hire H-1B workers by adding more rules and restrictions, Congress should ensure the federal government exercises appropriate oversight in enforcing current laws, Sherk and Nguyen said.
Preventing companies from hiring foreign workers harms the US economy's ability to rapidly adapt to marketplace demands, they said suggesting, "Companies must be able to hire persons best suited to fill positions based on their skill sets-not their nationality."
cognizant, CTS, H1-B, NRIs
No cut in H-1B visas for Indians: US Consul-General
There is no cut in H-1B visas for Indians, US Consul-General for Hyderabad, Cornelis M Keur, has clarified. While the US Government had made it clear that companies give preference to Americans in employment as the jobless rate had risen to 9 percent in the wake of the recession, there had been no significant change in the H-1B visa policy, Keur maintained.
In a programme organised by the Press Club, he described as misconceived the notion that H-1B visas were detrimental to jobs for US nationals.
Raising the cap on H-1B visas would help promote economic growth by bringing in extraordinary and boosting competitiveness, he said. However, the slowdown had meant that companies receiving funds under the US Government’s bailout package would have difficulty hiring H1B workers.
However, students with requisite skills were still attractive for US employers.
Many had also interned with US companies who were now sponsoring them for their H1Bs, he said.
“There are three million Indians in United States who are contributing to its prosperity,’’ Keur said, and also made special mention of the Telugus who have made a mark in various fields besides IT.
Keur said that the Hyderabad Consulate General was processing around 350 visas a per day as against the targeted 500. But this would pick up in June once the new staff were trained by the experienced hands who had been brought in from Chennai and Delhi. There were one lakh students from Andhra Pradesh pursuing higher studies in the USA and demand was likely to increase, he said.
On students and professionals from India being at risk from violent crime, Keur pointed out that nationals of other countries also faced such hazards and that the US administration was taking steps to curb the menace.
Press Club President GS Vasu and General Secretary Ravikanth Reddy were present.
In a programme organised by the Press Club, he described as misconceived the notion that H-1B visas were detrimental to jobs for US nationals.
Raising the cap on H-1B visas would help promote economic growth by bringing in extraordinary and boosting competitiveness, he said. However, the slowdown had meant that companies receiving funds under the US Government’s bailout package would have difficulty hiring H1B workers.
However, students with requisite skills were still attractive for US employers.
Many had also interned with US companies who were now sponsoring them for their H1Bs, he said.
“There are three million Indians in United States who are contributing to its prosperity,’’ Keur said, and also made special mention of the Telugus who have made a mark in various fields besides IT.
Keur said that the Hyderabad Consulate General was processing around 350 visas a per day as against the targeted 500. But this would pick up in June once the new staff were trained by the experienced hands who had been brought in from Chennai and Delhi. There were one lakh students from Andhra Pradesh pursuing higher studies in the USA and demand was likely to increase, he said.
On students and professionals from India being at risk from violent crime, Keur pointed out that nationals of other countries also faced such hazards and that the US administration was taking steps to curb the menace.
Press Club President GS Vasu and General Secretary Ravikanth Reddy were present.
Thursday, May 14, 2009
cognizant, CTS, H1-B, NRIs
US consulate denies H1B visa curtailment for Indians
The US Consulate on Wednesday denied any curtailment of H1B visas to Indians. "Due to economic slowdown world over, the US Government has taken a decision to tie up its unemployment problem which is nine per cent. But, there was no significant change in visa policy," US Consulate General, Hyderabad, Cornelis M Keur said.
"We continue to issue H1B visas with little more scrutiny", Keur told reporters at 'Meet the Press' programme organised by Press Club Hyderabad.
At the same time, the US Government has framed a policy for the companies to give preference to native Americans in employment, he added.
Obama administration has taken up a practical approach in establishing relations with the countries while there were efforts for strengthening relations with India because of the "Brain Borrowing", he said.
Making a special reference about the Andhraites whose presence can be marked in various fields in the US including IT, Keur said, "there are three million Indians in United States who are contributing to its prosperity."
The Hyderabad Consulate, the fourth in the country, was established due to the growing trade and development in the State in the fields of IT, Pharma and Biotechnology, he added.
"We continue to issue H1B visas with little more scrutiny", Keur told reporters at 'Meet the Press' programme organised by Press Club Hyderabad.
At the same time, the US Government has framed a policy for the companies to give preference to native Americans in employment, he added.
Obama administration has taken up a practical approach in establishing relations with the countries while there were efforts for strengthening relations with India because of the "Brain Borrowing", he said.
Making a special reference about the Andhraites whose presence can be marked in various fields in the US including IT, Keur said, "there are three million Indians in United States who are contributing to its prosperity."
The Hyderabad Consulate, the fourth in the country, was established due to the growing trade and development in the State in the fields of IT, Pharma and Biotechnology, he added.
Wednesday, May 13, 2009
cognizant, CTS, H1-B, NRIs
US shouldn't kill hi-tech talent: Steve Ballmer
Microsoft chief executive Steve Ballmer provided a window into his family’s immigrant past to make a case for America keeping its doors wide open to allow the best and brightest to work in the land of opportunity.
The son of a Swiss immigrant father and a Jewish-American mother, the 53-year-old evoked the example of his parents as he spoke of his unease with the protectionist measures that are being planned by the new Obama administration.
“My father was an immigrant right after World War II when he went to work for the US Army as an interpreter in the Nuremberg war crimes trial. And then he met Americans in the army who sponsored him to migrate to the US in 1949,” Mr Ballmer said in an interview to ET on Tuesday.
“We are prepared to participate in broader immigration reform which allows us to bring hitech talent. My father, my mother’s parents were all immigrants. It’s a great thing for the US,” he said in response to a question about the brouhaha over H1B visas.
American companies having overseas operations are worried about President Barack Obama’s proposed taxes on income earned abroad, and India’s top tech firms such as TCS, Infosys and Wipro are anxious about rising anti-offshoring sentiment in the US.
Ballmer said his initial reaction was that such tax proposals are not good for business and that his company would continue to hire skilled professionals in countries such as India and China if Microsoft is unable to employ them in the US.
Microsoft, which was criticised by US Senator Chuck Grassley for retaining and hiring more foreign workers even as it announced plans to lay off around 5,000 employees, is one of the biggest users for H1B work permits issued by the US to skilled migrants from countries such as India.
“We opened a development lab in Vancouver of Canada because we could not get visas for everybody, and the Canadians were willing to give visas,” Ballmer said. “If the US government allows us, we will have those people to work for us in the US, but if the government does not allow us, we are prepared to have those people work elsewhere, whether it be here in India or in China.”
Regarding President Obama’s plans to tax overseas earnings of American companies to create more local jobs, Mr Ballmer said he would wait for more details. “I think the government have to be thoughtful because there are unintended consequences: will their actions create jobs in the US, or will they tend to drive even more jobs out of the US. In general, business is saying this is not a good thing,” he said. Ballmer, who had offered to buy Internet search rival Yahoo last year to compete with Google, said Microsoft is seeking to develop its own technology for search.
“People still speculate, but I have made it clear: they turned down our offer, it’s fine and we will move on. The truth is in this economic
condition I am glad they did not accept the offer of $33 (per share). They might be sad they did not accept an offer for $33, but we crossed the bridge and now we are exploring other opportunities,” he said.
Despite enjoying a near-monopoly in the computer desktop market, Microsoft still lags behind Google and Yahoo in Internet search. And open source software Linux, which is available for free downloads, also continues to put pressure on the company.
“We have competition from this funny thing called Linux, which does not even require it to be successful. In a sense we have all the best and the worst of competition; we have a competitor that’s going to keep competing whether it’s successful or not because it does not require financial resources, it’s keeping our prices down.” Ballmer, however, added that Microsoft would be open to work with Yahoo and create a stronger offering for those currently spending on advertising with Google.
“We are not going to acquire them but are open to work together. We and Yahoo together will be stronger. Everybody who advertises on Google in the US and elsewhere would like to advertise on a combination of Yahoo and Microsoft,” he added.
The son of a Swiss immigrant father and a Jewish-American mother, the 53-year-old evoked the example of his parents as he spoke of his unease with the protectionist measures that are being planned by the new Obama administration.
“My father was an immigrant right after World War II when he went to work for the US Army as an interpreter in the Nuremberg war crimes trial. And then he met Americans in the army who sponsored him to migrate to the US in 1949,” Mr Ballmer said in an interview to ET on Tuesday.
“We are prepared to participate in broader immigration reform which allows us to bring hitech talent. My father, my mother’s parents were all immigrants. It’s a great thing for the US,” he said in response to a question about the brouhaha over H1B visas.
American companies having overseas operations are worried about President Barack Obama’s proposed taxes on income earned abroad, and India’s top tech firms such as TCS, Infosys and Wipro are anxious about rising anti-offshoring sentiment in the US.
Ballmer said his initial reaction was that such tax proposals are not good for business and that his company would continue to hire skilled professionals in countries such as India and China if Microsoft is unable to employ them in the US.
Microsoft, which was criticised by US Senator Chuck Grassley for retaining and hiring more foreign workers even as it announced plans to lay off around 5,000 employees, is one of the biggest users for H1B work permits issued by the US to skilled migrants from countries such as India.
“We opened a development lab in Vancouver of Canada because we could not get visas for everybody, and the Canadians were willing to give visas,” Ballmer said. “If the US government allows us, we will have those people to work for us in the US, but if the government does not allow us, we are prepared to have those people work elsewhere, whether it be here in India or in China.”
Regarding President Obama’s plans to tax overseas earnings of American companies to create more local jobs, Mr Ballmer said he would wait for more details. “I think the government have to be thoughtful because there are unintended consequences: will their actions create jobs in the US, or will they tend to drive even more jobs out of the US. In general, business is saying this is not a good thing,” he said. Ballmer, who had offered to buy Internet search rival Yahoo last year to compete with Google, said Microsoft is seeking to develop its own technology for search.
“People still speculate, but I have made it clear: they turned down our offer, it’s fine and we will move on. The truth is in this economic
condition I am glad they did not accept the offer of $33 (per share). They might be sad they did not accept an offer for $33, but we crossed the bridge and now we are exploring other opportunities,” he said.
Despite enjoying a near-monopoly in the computer desktop market, Microsoft still lags behind Google and Yahoo in Internet search. And open source software Linux, which is available for free downloads, also continues to put pressure on the company.
“We have competition from this funny thing called Linux, which does not even require it to be successful. In a sense we have all the best and the worst of competition; we have a competitor that’s going to keep competing whether it’s successful or not because it does not require financial resources, it’s keeping our prices down.” Ballmer, however, added that Microsoft would be open to work with Yahoo and create a stronger offering for those currently spending on advertising with Google.
“We are not going to acquire them but are open to work together. We and Yahoo together will be stronger. Everybody who advertises on Google in the US and elsewhere would like to advertise on a combination of Yahoo and Microsoft,” he added.
Monday, May 11, 2009
cognizant, CTS, H1-B, NRIs
US adds “fraud prevention tactics” rule to H-1B visa for Indians
US tightens H-1B visa rules for Indians
The United States has adopted fraud prevention tactics to prevent misuse of the H-1B visa programmes for highly skilled professionals, after complaints of outrageous abuse by Indian firms, according to a top US official.
According to the US Department of Homeland Security Secretary, new fraud prevention techniques will be used now.
The top most priority of the Obama administration is to provide jobs to the Americans but of late the senator has accused many Indian companies have been accused of misusing this visa system and profiting from it.
The H-1B work visas are for highly skilled professionals and have been most beneficial for IT sector professionals from India.
The US move is likely to hit the Indian IT industry.
On April 23, the US Senate proposed H1B visa legislation, much to the dismay of India’s IT sector.
The country’s third largest software exporter Wipro said the proposal is an antithesis to globalisation and is a restrictive trade practice.
The apex software body Nasscom said though the stated objective of the Bill is to prevent fraud and visa abuse, several of the provisions of this bill are against the principles of free trade and are creating trade barriers.
"In many ways, it is targets Indian companies and restricts their ability to compete in the US marketplace. This is also against President Obama's stand against protectionism at the G20 summit," Nasscom President Som Mittal said.
Source: ibnlive.com
The United States has adopted fraud prevention tactics to prevent misuse of the H-1B visa programmes for highly skilled professionals, after complaints of outrageous abuse by Indian firms, according to a top US official.
According to the US Department of Homeland Security Secretary, new fraud prevention techniques will be used now.
The top most priority of the Obama administration is to provide jobs to the Americans but of late the senator has accused many Indian companies have been accused of misusing this visa system and profiting from it.
The H-1B work visas are for highly skilled professionals and have been most beneficial for IT sector professionals from India.
The US move is likely to hit the Indian IT industry.
On April 23, the US Senate proposed H1B visa legislation, much to the dismay of India’s IT sector.
The country’s third largest software exporter Wipro said the proposal is an antithesis to globalisation and is a restrictive trade practice.
The apex software body Nasscom said though the stated objective of the Bill is to prevent fraud and visa abuse, several of the provisions of this bill are against the principles of free trade and are creating trade barriers.
"In many ways, it is targets Indian companies and restricts their ability to compete in the US marketplace. This is also against President Obama's stand against protectionism at the G20 summit," Nasscom President Som Mittal said.
Source: ibnlive.com
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