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Silicon Valley's "Body Shop" Secret:Foreign Workers Treated Like Indentured Servants
NBC News (San Francisco) ^ | 10/30/2014 | Stephen Stock, Julie Putnam, Scott Pham and Jeremy Carroll

Posted on 11/02/2014 6:21:22 AM PST by Kid Shelleen

A year-long investigation by NBC Bay Area’s Investigative Unit and The Center for Investigative Reporting (CIR) raises questions about a well-known visa program setup to recruit foreign workers to the US: Is it indentured servitude in the high tech age? Or is it a necessary business model to compete in a quickly changing high tech economy? NBC Bay Area and CIR’s team discovered an organized system that supplies cheap labor made up of highly-educated and highly-skilled foreign workers who come to the US via H-1B visas.

(Excerpt) Read more at nbcbayarea.com ...


TOPICS: News/Current Events; US: California
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Full title:
Silicon Valley's "Body Shop" Secret: Highly Educated Foreign Workers Treated Like Indentured Servants
From the article:
Before an employer hires a foreign worker with an H1-B visa, it must first fill out a Labor Condition Application(LCA). The LCA states that the position to be filled by a foreigner won't negatively affect the wages or employment of US workers
1 posted on 11/02/2014 6:21:22 AM PST by Kid Shelleen
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To: Kid Shelleen

It’s not really a secret.


2 posted on 11/02/2014 6:27:11 AM PST by Drango (A liberal's compassion is limited only by the size of someone else's wallet.)
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To: Kid Shelleen
The LCA states that the position to be filled by a foreigner won't negatively affect the wages or employment of US workers

Uhhhhhhh...by definition, doesn't the bringing of a foreign worker here negatively affect the employment of a US worker?

3 posted on 11/02/2014 6:28:09 AM PST by Texas Eagle
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To: Kid Shelleen

Oh the horrors! The only way that America can right this wrong is to grant all these H1-B visa holders US citizenship! /sarc


4 posted on 11/02/2014 6:31:02 AM PST by Cowboy Bob (They are called "Liberals" because the word "parasite" was already taken.)
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To: Kid Shelleen
I remember when I was working in the Valley in the 80;s and 90's. An experienced engineer might make $40-50/hr. You would see ads in the paper that would read something like

"Wanted: expert in device physics. Ten years experience minimum. Should have five years of particle physics background and be skilled in VLSI design. MS required, PhD a plus. Starting pay $11.40/hr."

They were trying to demonstrate that they couldn't find a US citizen to fill this position.

5 posted on 11/02/2014 6:45:23 AM PST by CA_soon_gone
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To: Kid Shelleen

They are using/abusing L1 and B1 visa. Lot of companies had hired people from India and other countries for this holiday season, they are paying less than minimum wages. Just yesterday, I was talking with someone, who came from India, not yet paid, whatever will be paid is way lower than entry level software engineer in Silicon Valley. Just check Extended Stay etc., where in one room 3+ people are staying. It is really sickening to hear horror stories. These are with Post Graduate degree and how easily get abused.
How it works - Kohls had given contract to some company, that company had sub contracted to some Indian Company, that Indian company had sub contracted to other companies in India. Every step companies are taking their own cut and people who are actually working are getting NILL, only free travel to USA. If they are smart they can stay over their Visa and can join Amnesty season.


6 posted on 11/02/2014 6:46:30 AM PST by jennychase
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To: Kid Shelleen

This is what tech bigwigs Zuckerberg and Gates are actively supporting: more H-1b indentured servants.


7 posted on 11/02/2014 6:58:02 AM PST by Menehune56 ("Let them hate so long as they fear" (Oderint Dum Metuant), Lucius Accius (170 BC - 86 BC))
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To: Drango
It’s not really a secret.


Got that right.

Silicone Valley was built with the help of brilliant foreign PhD students from Stanford and Berkely who were hired to work like dogs for 3-5 years as de fact indentured servants to companies that sponsor them for US citizenship for half of what American Citizens were making, while they go through the citizenship process.

In fact, the high tech sweat shop to American citizenship become somewhat institutionalize and a rite of passage in the Valley just like tough medical residences are for top flight surgeons.

After a few years, their indentured servitude is over and most go on to much bigger and better things like making mega bucks and starting their own high tech start ups or venture capitol companies.

Large segments of Silicone Valley economy are owned and managed by successive generations of highly educated foreign immigrants from Stanford and Berkley who were originally hired as exploited Green Card Indentured Slaves and worked their way up to the top where they become ruthless Green Card Slavers exploiters perpetuating the system.

Over all it's usually a major win - win for all involved and even more of major win for the United States.

8 posted on 11/02/2014 7:02:53 AM PST by rdcbn
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To: Drango

I agree with you that to Americans in the Information Technology and engineering fields, it is not a secret. H1-B has driven many American companies out of business and cost many American’s good paying jobs. American’s cannot compete against the slave labor that is coming from India. Lot of people do not know how H1-B is being used as a modern slave trade though.

I have talked about H1-B a number of times here on FR. It has been abused beyond belief. Before a company can hire a H1-B employee, they are supposed to prove that they have made a strong and reasonable attempt to hire an American. They can then hire an H1-B, but it is supposed to be at the prevailing wage rate that an American would be paid for the same job. An indian software engineer is usually making minimum wage that would pay an American $45/hour and up.


9 posted on 11/02/2014 7:05:21 AM PST by coon2000 (Give me Liberty or give me death!)
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To: Kid Shelleen
Headline?

DNC, RNC, Zukerberg, Chamber of Commerce, Silicon Valley outraged at government interference
Gorvernment Wrong to Interfere In Free Enterprise
"Well, the labor was free, that's what we meant," said one Silicon executive reached aboard his widebody private jet.

10 posted on 11/02/2014 7:09:36 AM PST by WilliamofCarmichael (If modern America's Man on Horseback is out there, Get on the damn horse already!)
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To: Kid Shelleen

I’ve used up all the care quotas for foriegners. They over stay their welcome. They commit crimes. They put US workers out of jobs. They bring down our schools. They end up being the gimme crowd. They make demands on our country’s values and demand our laws be changed to benefit them. No, sorry, if they don’t like it, they’re free to go back from where they came.


11 posted on 11/02/2014 7:10:54 AM PST by bgill (CDC site, "we still do not know exactly how people are infected with Ebola")
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To: Kid Shelleen

Technocoolies


12 posted on 11/02/2014 7:11:28 AM PST by RightGeek (FUBO and the donkey you rode in on)
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To: Kid Shelleen

That must be high in the top 10 of worst kept secrets of all time.


13 posted on 11/02/2014 7:34:37 AM PST by null and void (If a quarantine saves just one child's life, it's worth it.)
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To: Drango

Ha, not at all, and it wasn’t new at a place I worked 20 years ago either.


14 posted on 11/02/2014 8:02:35 AM PST by jiggyboy (Ten percent of poll respondents are either lying or insane)
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To: Texas Eagle

The pretense of the H1B visa program is to bring in foreigners only after they’ve exhausted all possibilities for hiring domestic engineers, because of a “special skill” or somesuch. In practice, they are simply cheap replacements, enabled via a carefully written list of qualifications that nobody could really have being the rule not the exception.


15 posted on 11/02/2014 8:06:04 AM PST by jiggyboy (Ten percent of poll respondents are either lying or insane)
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To: CA_soon_gone

I would like to know where they get the “highly educated and skilled” from. I’d say that 5% of the foreign IT workers I’ve seen can be described that way, the rest are basically hangers on/cannon fodder/warm bodies.


16 posted on 11/02/2014 8:14:39 AM PST by The Antiyuppie ("When small men cast long shadows, then it is very late in the day.")
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To: Menehune56

“This is what tech bigwigs Zuckerberg and Gates are actively supporting: more H-1b indentured servants.”

Why do the Republicans always get associated with slavery? And Silicon Valley companies were also involved in wage-fixing. This is a fact. If “Fat Cat Conservatives” were caught like they were, there would be riots that no number of National Guardsmen would be able to control.

Also, it drives me nuts that Europeans look at us with disdain over slavery in our increasingly distant past. Europe effectively had “indentured servitude” well into the 20th century - oh, it was very genteel, but you could be sure that with class structure the way it was, you could never make enough money to own anything, and even if you had it, nothing would be available for you to be bought.


17 posted on 11/02/2014 8:21:17 AM PST by The Antiyuppie ("When small men cast long shadows, then it is very late in the day.")
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To: Kid Shelleen

Tech type employers were doing that 3 decades ago.

I worked for such a company in the early 1980s. They hired in a Brit to work in the same department I was in. They paid him less than a clerk was making, because the salary they offered sounded ‘good’ at the time to Europeans wanting to migrate to the USA for work.

The guy had 2 PhD’s in engineering fields, had numerous mechanical patents, served in high level positions in both the US and British Air Forces.

It was a travesty to find out how little the company was paying him. His salary did improve to a more liveable wage, but it took him going to a competing company to start earning a salary comparable with his qualifications and background.


18 posted on 11/02/2014 8:30:49 AM PST by TomGuy
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To: Kid Shelleen

This is not just a Silicon Valley phenomenon. It is extensive throughout several high-wage sectors of the economy including healthcare practitioners and university faculty. The salary paid to the import professional can be greatly lower than the relative salary paid to that professional only 20 years ago. One big reason is that you can hire someone with a need for a visa and pay them far less than a US citizen. Many university human resources departments have people who specialize in visa paperwork, for just this purpose.


19 posted on 11/02/2014 8:35:02 AM PST by iacovatx (Conservatism is the political center--it is not "right" of center)
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To: jennychase
Put 'em on salary, work 'em 60-70 hours a week - and bill the client for 40 hours. (As told to me by an Indian lady programmer whose husband was being hosed like that.)

The client has to choose - hire an American who expects to be paid overtime, or one of these guys. Decisions, decisions.

20 posted on 11/02/2014 2:14:38 PM PST by Oatka (This is America. Assimilate or evaporate.)
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