LOBBYING FAILS, H-1B VISA CAP FALLS to 65,000

TIMES NEWS NETWORK[ WEDNESDAY, OCTOBER 01, 2003 12:53:47 PM ]via India TImes ^ | OCTOBER 01, 2003 12:53:47 PM | K YATISH RAJAWAT/ECONOMICTIMES.COM

[11th_VA]

MUMBAI: The annual cap for H-1B visas will now be 65,000. This is a sharp drop from the earlier limit of 195,000 visas.

The US plans to enforce this rule from October 1, 2003.

The Indian IT industry has been lobbying hard to freeze H-1B visa limits at current levels. However, these efforts which had the support of some US corporations to retain H-1B visa limits have failed. (Will Europe be the next big hunting ground for Indian IT pros?)

Indian IT professionals are among the largest users of H-1B visas, as US Big Tech shops big from this technical pool. The H1-B visa cap was raised to 195,000 in 02. This particular legislation had a 'sunset' clause. According to this clause, the limit would have (automatically) lapsed on October 1, 2003. Ergo, the H1-B visa annual cap will now fall back to 65,000 visas.

The H1-B visa issue has generated a lot of controversy in the US. Several trade unions representing (local) technology workers have been lobbying against these work permits. The slowdown in the high-tech industry combined with an overall drop in US economic growth has resulted in a number of job losses.

H1-B visa users have been at the receiving end of criticism from unemployed American professionals for taking away their jobs. These visa users are also seen as representative of the trend towards offshore outsourcing trade jargon for moving to cheaper locations like India which is also under flak for spiriting away US jobs.

The visa was created in the early 1950s to give skilled foreign workers a permit to reside in the United States. The H1-B category was added in 1990 to give foreign workers an opportunity to pick up a job with the intention of remaining permanently in the United States.

In 1999, under pressure from high-tech companies and other manufacturers, Congress expanded the limit from 65,000 to 115,000. It raised the cap again to 215,000 in 00 and to 195,000 in 01 and 02.

Top Indian companies have been curtailing the use of H1-B visas for sending employees to the US. Ergo, it unlikely that the offshore outsourcing trend will be affected. Most companies have shifted to the use of L-1 visas (used for intra-company transfers). However, companies whose basic revenue model is supplying manpower to US corporations, ( body-shoppers, are likely to be hit by this move.

[11th_VA]

Sanity prevails ...

[Texas_Dawg]

H1-B visa users have been at the receiving end of criticism from unemployed American professionals for taking away their jobs.

Man... how lame these people must feel. How embarrassing it would be to lose your job to some 3rd worlder because he's deemed more efficient than you, dollar for dollar. No wonder they need the government to try to ban people from competing with them.

[gubamyster]

ping

[dirtboy]

No wonder they need the government to try to ban people from competing with them.

Shove it. The H1-B program's premise, that there is a shortage of IT workers, is no longer valid, so the program should be curtailed. If too many workers come in, it lowers the pay.

[txdoda]

LOBBYING FAILS, H-1B VISA CAP FALLS to 65,000 >>>>>>>>


GOOD !!!! it's PASTIME for the U.S. gov't to put U.S. CITIZENS FIRST.....

[RiflemanSharpe]

LOBBYING FAILS, H-1B VISA CAP FALLS to 65,000 >>>>>>>>


GOOD !!!! it's PASTIME for the U.S. gov't to put U.S. CITIZENS FIRST

I couldn't agree more, with both statements.

[BushisTheMan]

Not more efficient. For some, cheap labor is all that counts. Quality has gone downhill. And the American guy gets stuck cleaning up the mess they created. However, the CEO and other officers still gets their big fat bonuses for coming in under budget (but quality and extra time to clean up the crap can go to hell).

[kingu]

Anyone care to wager that sometime in the next twenty days IBM, Apple or Microsoft will fund a new IT program for disadvantaged Hispanics in California? If they can't get their immigrant workers one way, they'll get them another.

[skeeter]

Cool. Spencer Abraham must be crying his eyes out over there in the Dept of Energy.

[A. Pole]

The Indian IT industry has been lobbying hard to freeze H-1B visa limits at current levels. However, these efforts which had the support of some US corporations to retain H-1B visa limits have failed.

Just so you know.

[adam_az]

Man... how lame these people must feel. How embarrassing it would be to lose your job to some 3rd worlder because he's deemed more efficient than you, dollar for dollar. No wonder they need the government to try to ban people from competing with them.

It's not dollar for dollar - often more like dollar for 50 cents.

[Bikers4Bush]

Very good news.

[OldFriend]

Have not been following the legislation on this.......Is this final.....the number of visas will be reduced?

[JustAnAmerican]

You also need to remember that T_D is a self admitted upper class/Pro-Illegal/Money at all costs type who cares nothing for the Average American or their families as long as he/she/it stays at the top. Read he/she/it's posts and you will get and idea where they stand in relation to the rest of us.

[pyx]

Most companies have shifted to the use of L-1 visas (used for intra-company transfers).

It appears that massive multi-national corporations have no allegiance to the interests of United States. Their loyalties seem to lie by-and-large with their, foreign boards of directors and with the political interests of their overseas investors.

[riri]

self admitted upper class

Oh please. Let's change thet to supposed upper class. Or maybe, wanna-be upper class.

[Texas_Dawg]

If too many workers come in, it lowers the pay.

Good. Cheaper stuff.

[Bikers4Bush]

You think so? I know lots of guys who lost their jobs to the imports not because they were more efficient but because they were cheaper.

It's easy to train a foreigner to maintain a system that's been set up efficiently by a U.S. worker.

The scary part is that you agree with all the yahoos that think we need the illegals to "do the jobs no americans want to do".

[Texas_Dawg]

It's not dollar for dollar - often more like dollar for 50 cents.

Exactly. Clearly they aren't worth what they are being paid once they are open to competition. That's pretty lame.

[11th_VA]

Is this final.

Nothings ever final in Washington, but the original bill had a sunset provision to go back to 65,000 on Oct 1st. So that's where we are today, back to 65,000...