Posted on 04/14/2016 6:58:05 AM PDT by SeekAndFind
The H-1B visa program was designed to encourage highly skilled foreign workers to put down roots in the U.S. and spur innovation. However, many IT firms are twisting the intent of the program, and using it to hire inexperienced workers at lower pay. Here are five highly publicized instances of H-1B visa abuse.
Companies claim there just aren't enough highly skilled IT workers in the U.S. to fill the number of available tech jobs. Perhaps what they really mean is that there aren't enough highly skilled U.S. IT workers willing to work for lower wages and zero benefits. While there is a skills gap, it doesn't explain why some companies are using the H-1B visa program to hire inexperienced foreign workers at lower pay to replace currently employed citizens. Here are the five most highly publicized instances of H-1B visa program abuse.
1. Southern California Edison/ Los Angeles
Beginning in August 2014, Southern California Edison began replacing approximately 400 IT employees with a smaller, lower-paid workforce brought in from overseas through the H-1B program, according to Computerworld's Patrick Thibodeau, who has reported extensively on this issue. The original employees, who were forced to train their replacements as well as sign nondisclosure agreements and gag orders, were making an average of about $110,000 a year. The replacements were brought to Southern California Edison by outsourcing firms Infosys and Tata, and were paid an average of between $65,000 and $75,000, according to depositions in a Senate Judiciary Committee hearing spurred by complaints about the practice.
2. Disney (well, sort of)
The happiest place on earth made headlines when it announced in October 2014 it was laying off many of its IT workers and replacing them with outsourced talent. The firm attempted to spin the move as a "restructuring" that would increase innovation and allow U.S. workers easier access to management and leadership positions. As in the case of Southern California Edison, Disney IT employees also were responsible for training their replacements. Perhaps because of the headlines and the public outcry surrounding the, uh, 'restructuring,' Disney announced in June 2015 it was rescinding the layoffs and canceling its plans to outsource those jobs.
3. Pfizer Connecticut R&D
In 2008, workers at pharmaceutical giant Pfizer's New London and Groton (Connecticut) research and development campus raised the alarm: They were being replaced by Indian workers on H-1B visas and forced to train their replacements. Those outsourced workers were scheduled to return to India, where they will run the same systems as their U.S. counterparts, albeit at a cheaper rate and with diminished benefits. The move was part of an outsourcing agreement signed in 2005 between Pfizer, Infosys Technologies and Satyam Computer Services.
4. Molina Healthcare
In 2010, Molina Healthcare announced it was laying off much of its staff. The announcement took place on the same day the U.S. government approved forty H-1B visa applications for the company; a lawsuit and legal battle ensued. The suit alleged that the fired employees, all of whom were U.S. citizens or green card holders, were fired as a cost-cutting measure so they could be replaced by cheaper, less-experienced foreign workers, according to the Boston Globe. The fired Molina employees were earning an average of $75,000 a year, plus benefits; the new workers, brought over to work on H-1B visas, earned $50,000, with no benefits.
5. Infosys and Tata
Noticed a pattern, yet? The same large outsourcing firms keep cropping up in relation to these scandals. As Ron Hira, an Economic Policy Institute research associate and an associate professor of public policy at Howard University outlines in this blog for the Economic Policy Institute:
"These two India-based IT firms specialize in outsourcing and offshoring, are major publicly traded companies with a combined market value of about $115 billion, and are the top two H-1B employers in the United States. In Fiscal Year (FY) 2013, Infosys ranked first with 6,269 H-1B petitions approved by the government, and Tata ranked second with 6,193 … these leading offshore outsourcing firms use the H-1B program to replace American workers and to facilitate the offshoring of American jobs … they don't use the H-1B visa as a way to alleviate a shortage of STEM-educated U.S. workers; they use it primarily to cut labor costs."
RE: Vote for your Mormon in the closet pal Ted
Did Ted Cruz come out in the open and state that he believes that the Book of Mormon is the word of God and that Lucifer is the spirit brother of Jesus?
He’s been ProLife for a while now - nothing wrong with that.
I’m glad he changed his mind from 17 years ago regarding assault weapons, bear in mind he never had any responsibility for any legislation...he obviously was against gun control and, if he was like myself 17 years ago, didn’t understand the “assault” weapons gun grab tactic, I could understand:
Trump’s gun statements in his 2000 book. In the book’s brief section on guns, Trump said: “Democrats want to confiscate all guns, which is a dumb idea because only the law-abiding citizens would turn in their guns and the bad guys would be the only ones left armed. The Republicans walk the NRA line and refuse even limited restrictions.”
Next, Trump wrote, “I generally oppose gun control, but I support the ban on assault weapons and I support a slightly longer waiting period to purchase a gun. With today’s Internet technology we should be able to tell within 72 hours if a potential gun owner has a record.”
In a March 2016 debate, Trump was asked to speak to his published support for an assault-weapon ban. He replied: “I don’t support it anymore. I do not support the ban on assault” weapons, he said.
In early ‘90’s, Gingrich, Santorum, Specter, Lugar, Warner, Hatch, Hatfield, Dole, Chafee, Bennet, Danforth, Romney, GH Bush, Quayle, Grassley, Cohen, Gorton Kassebaum, Simpson, Stevens, Warner, and more also supported 1993 Heritage Foundation healthcare bill with(Universal Healthcare). Trump has really good and realistic competitive and compassionate ideas on healthcare now...I’m glad to see them. He’s not just saying something different - it is not that easily dismissed.
Trump has donated about half a million dollars more to Republicans than to Democrats...yes, a businessman gets things done, even in blue states, eh!?
Torture does work. I’m glad he’s looking for ways to get it done, within the law or by changing law.
Trump didn’t have any more intelligence on the Iraq war, than you or I, assuming you aren’t on the inside getting briefs either. He had no responsibility to know anything...a Howard Stern interview is what you’re going to hold his feet to the fire with. Well, good luck with that.
I virtually (over the computer) shake your hand
How is that working for Disneyland tickets? Dumb statement.
There is no controlling authority. Congress controls the visa count/quota and they are bought off by the Cheap Labor Express. It cannot be managed and it can only be abused by design. Kill it.
Nice words. LOL. His proposed 180 suspension is window dressing.
What about encouraging US STEM grads?
Love it!
RE: Nice words. LOL. His proposed 180 suspension is window dressing.
Very nice, ridicule Ted Cruz’s more recent stance and then give Trump the benefit of the doubt when he switches on his. LOL, indeed.
RE: He’s been ProLife for a while now - nothing wrong with that.
OK, if you can give Trump the benefit of the doubt when it comes to his past stance about abortion, guns, healthcare, etc. , why can’t people give Ted Cruz the benefit of the doubt when he tells us his RECENT stance about the H1B visa?
Why are people giving Cruz a different standard compared to Trump?
RE: Fullfilment of Mormon prophecy,
I just asked a question, where in his past statement did he say that he believes the Boo of Mormon is the word of God?
RE: good Baptist,
Did he call himself that?
RE: typical Princeton snob and Haarvard lawyer,
Where in his past record shows that? This so called snob Harvard Lawyer busted his guts defending your second amendment rights and here you are vilifying him.
It was sarcasm.
Ask Beck and Ted's Dad where Ted stands on Mormonism because Ted is the sort of chameleon that's whatever you want him to be. Ten minutes later, he's something else. Oh, and you do know he's a member of a Baptist church didn't you? You do know he presents himself as a fine Christian, don't you? So, is a fine Christian who is a member of a Baptist Church a good Baptist or what?
Of course, his wife is the daughter of Seventh Day Adventist missionaries and his father is a Dominionist so whatever they call themselves is nothing but a flag of convenience and political calculation based on what sells best in the Texas State campaign market.
Yes, he's a snob cut from the same cloth as Romney and Obama. Anyone who thinks Harvard Profs. talk about how smart Ted is without Ted having kissed their butts while he was in Law School doesn't understand Harvard Law. The Law is whatever pleases the professors and that varies from decade to decade. There are a few exceptions, but Harvard sure isn't one of them.
Defend my Second Amendment right, or pick a hot button issue to try and get some media attention ? You believe whatever fantasy you like.
you have a nice day now, ya' hear ?
RE: Did he correct Beck or step away from him when Beck declared him to be the fulfillment of Mormon prophecy? Gee
Is it his responsibility to do that? Why is it Cruz’s responsibility to correct every single statement his supporters say about him? If he did that he’d be spending most of time doing corrections or hiring a “corrections” department.
RE: Ted is the sort of chameleon that’s whatever you want him to be.
Look at his record in the Senate and his votes and what he fights for. Look at his record as Solicitor General and tell me where he has been a chameleon.
RE: h, and you do know he’s a member of a Baptist church didn’t you? You do know he presents himself as a fine Christian, don’t you? So, is a fine Christian who is a member of a Baptist Church a good Baptist or what?
I don’t know what you mean by “presents himself”. Did he go out and tell the whole world like Trump does that he is a strong Christian? Or is this impression developed by people who actually see him and know him?
RE: Of course, his wife is the daughter of Seventh Day Adventist missionaries and his father is a Dominionist so whatever they call themselves is nothing but a flag of convenience and political calculation based on what sells best in the Texas State campaign market.
What ever his wife believes or what ever his father believes, they are NOT TED CRUZ. I want Ted Cruz to tell us what he believes personally. His is not responsible for what his father believes in and neither do I conclude prematurely that he is a dominionist simply because his father is one.
I disagree with my family a lot of times even as I love them. So, to say that I am this or that kind of a person because my father or mother believes this or that is a non-sequitur.
RE: Yes, he’s a snob cut from the same cloth as Romney and Obama. Anyone who thinks Harvard Profs. talk about how smart Ted is without Ted having kissed their butts while he was in Law School doesn’t understand Harvard Law.
Well,it looks like we a have a case of over-generalization here. Your argument seems to be this —— Someone is from Harvard, he has Harvard Profs as law professor ( e.g. Alan Dershowitz ), therefore, he is a snob.
Actually, the fact that he turned out to be a conservative DESPITE going to Harvard ( disagreeing with Prof. Dershowitz as the liberal professor states openly ) shows that he is NOT your typical Harvard grad.
RE: Defend my Second Amendment right, or pick a hot button issue to try and get some media attention ? You believe whatever fantasy you like.
He was defedning your second amendment rights in the SUPREME COURT before he even ran for Senate. If that isn’t good enough for you,then we part ways.
I judge him by his record and his record tells me that he is thus far, the best of the remaining three.
Bloody wogs.
Of course I can’t answer for others regarding why they don’t give Ted the benefit of the doubt. For me, I see Ted as an ambitious DC insider who will say/do whatever he needs to say/do to get elected and he really did it for me when he allied with the Marxists to blame Trump for the Marxists’ violence and then again the ridiculous David Duke thing Ted used to try and paint Trump racist. I don’t believe he has a love for this nation, other than the opportunity it offers him. I would still prefer him over Hillary or Bernie.
You can think what you like about Ted. But the above I consider rhetoric in the HEAT of the battle.
My suggestion is to JUDGE HIM BY HIS RECORD IN THE SENATE and as SOLICITOR GENERAL.
I would also suggest that people judge Trump by his public statements in the past and by the contributions he made to the campaign of politicians in the past.
Honestly, I work with quite a few H1B Indians. It’s almost like indentured slavery. Of course they’re paid allot better but they are tied to the company and paid lower wages than BS/Mstr/PHD’s two decades ago adjusted for inflation.
My point...They are smart, well educated and pretty decent folks. Most are humble and law abiding productive people.
Still doesn’t change the fact Americans are being displaced and corps taking advantage of them...and us.
I have nothing against the Indian folks. I have something big time against our congress that is allowing this to happen.
5. Infosys and Tata
Noticed a pattern, yet? The same large outsourcing firms keep cropping up in relation to these scandals. As Ron Hira, an Economic Policy Institute research associate and an associate professor of public policy at Howard University outlines in this blog for the Economic Policy Institute:
“These two India-based IT firms specialize in outsourcing and offshoring, are major publicly traded companies with a combined market value of about $115 billion, and are the top two H-1B employers in the United States. In Fiscal Year (FY) 2013, Infosys ranked first with 6,269 H-1B petitions approved by the government, and Tata ranked second with 6,193 … these leading offshore outsourcing firms use the H-1B program to replace American workers and to facilitate the offshoring of American jobs … they don’t use the H-1B visa as a way to alleviate a shortage of STEM-educated U.S. workers; they use it primarily to cut labor costs.”
Have lost touch with friend...probably a good thing because I would not be able to keep my mouth shut!
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