H1 B High Tech Visa numbers lowered- opposed by major corporations APA NEWS (Asian Pacific American) Nov/Dec 2003 - Volume 2 Issue No. 1 Silicon Valley, CA: With the high tech boom now officially over, the expansion program for H1B visas- which passed overwhelmingly in 2000, was sharply reduced to 65,000 by US Congress for the next fiscal year. This is down from a high of 195,000 visas a year in 2001. In year 2000 alone, 45% of these visas were issued to High tech workers from India, with China (8%), Canada (5%), Philippines (3%) trailed behind, according to INS and Congressional Research Service reports.
With a sour economy hitting California hard, at a recent protest in Pleasanton, several workers complained about being laid-off in favor of retaining lower paid H1 B workers With signs ranging from “Will Work for Food” to more militant ones; some even complained about being forced to train their own replacement H1B worker. Many out-of-work high tech workers complained that even with the lowered number of visas, it would take jobs away from native workers.
However, many industry analysts disagree, saying that the H1B program functioned just the way it was designed- when the economy was booming and workers were in demand- more H1B were needed. Now that the jobs are no longer there, the numbers have been reduced.
Several major corporations, including Microsoft, had lobbied US Congress very hard to retain the number of visas, saying that their competitiveness would be hurt if high quality workers were not hired. Many companies have indicated that the inability to get well trained, quality workers would force then to outsource the jobs- also resulting in a net loss of jobs. India, China and Philippines are the favorite target destinations for current software needs.
According to IT analyst firm Gartner, offshore outsourcing is expected to reach US$1.8 billion in 2003, a 38 percent increase from the 2002 total of $1.3 billion, with India getting a bulk of the contracts. Current trends include support centers and back office to the major corporations like G.E, American Express, J.P Morgan Chase etc. Recently, Microsoft announced relocation of its customer support division from Texas and North Carolina to India- employing 800 workers at each site.
IEEE- the Institute of Electrical Engineers, which has been in the forefront of such battles with US Congress, has also blamed the outsourcing problem on the heads of the guest workers on H1 B visa. IEEE sources also complain that the guest workers learn the system and help in getting outsourcing contracts to their native country. “This is ridiculous, you can’t have it both ways” says a laid off worker on H1B visa. “We are the first to be laid off, and in any case, if people like us are better trained and can do a better job - isn’t it better for America?”
Well, looks like the corporate big wigs seem to agree. Even President Bush has reportedly stated his opposition to a drastic reduction in H1B visas, according to immigration attorney Paresh Shah of Los Angeles, who specifically asked him the question at a fundraiser.
SOURCES:
http://www.ieeeusa.org/forum/POSITIONS/h1b.html
-U.S. Congress, Congressional Research Seervice, Immigration: Legislative Issues on Nonimmigrant Professional Specialty (H-1B) Workers (CRS Report RL 30498), Jan 23, 2003.
-U.S. Immigration and Naturalization Servvice, Statistical Yearbook of the Immigration and Naturalization Service, 2001 Washington; Government Printing Office.
-U.S. Department of Labor, Office of the Inspector General, The Department of Labor's Foreign Labor Certification Programs: U.S. General Accounting Office, H-1B Foreign Workers; Better Controls Needed to Help Employers and Protect Workers, (GAO/HEHS-00-157), Sep 2000; and U.S. General Accounting Office, High Skill Training: Grants from H-1B Visa Fees Meet Specific Workforce Needs But a Varying Skill Levels (GAO- 02-881), Sep 2002.
Sam Rao
Contributing Writer APA NEWS (Asian Pacific American) Nov/Dec 2003 - Volume 2 Issue No. 1