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.

[ARCADIA]

It will actually make us that much stronger in the next cyclical economic upswing.

You don't know this. Another outcome is that the entry via globalization of third-world workers will depress living standards in first world. Nobody knows the outcome of technology-driven globalization because it's new.

[Bikers4Bush]

If you keep making sense like that his head will explode.

Whatever you do, don't stop.

[BureaucratusMaximus]

...more like delusional rantings...

[JNB]

I just wish the admin moderators would see this, all the Dawg is is a troll. Its one thing to have a intelligent debate, fair enough, but with lies and immature obnoxious behavior, enough is enough. In thread after thread, the Dawg is made to look like a fool by others who know far more about economics and economics schools of thought such as the Austrian school. It seems that others who used to defend him in various threads have abandoned him as well as I previously mentioned.

[null and void]

I'm enjoying Manhattan for now though.

Off topic - do you have a 9/11 story? I'm curious about how being there when it happened touched you.

My ex used to send the kids to "liberal training camp" - Wavy Gravy's Camp Winnarainbow. In the summer of '02 the kumbya and Imagine song fests were different the music director had to send his own son away from Manhatten due to the smoke, dust, stench etc. and was in no mood for the one world touchy feelly crap...

[Bikers4Bush]

Look your illegal lover stance is bad enough but this unfettered immigration theory grabage is just too much.

You belong at du with the rest of the open arms bleeding heart liberals.

[Lazamataz]

Yeah, he does make a heck of a point. From the TOTAL disregard for ANYONE's wellbeing, to a complete apathy towards national security, to an elitist mannerism on everything, to a desire for no borders and total globalism... this guy is a Poster Child for everything wrong with the current Republican party.

[Texas_Dawg]

So who are your friends and family in the White House? Are their positions a secret?

Haha. I can see it now... "Ummm, do you know who this crazy guy calling me and yelling at me about ChiComs and shadow governments and illegal aliens is? He said he knows you. What the #$#% are you doing??"

[JNB]

Ironically Karl Rove was the leading force behind the steel tariff, it was former Tresury Sec Paul O Neil, regaurded almost from the day he went into his position of tresury Sec as a seriously challanged intellectual featherweight, that took the "dawgs" line.

[Lazamataz]

You belong at du with the rest of the open arms bleeding heart liberals.

Sad to say, but the positions articulated by China_Dawg mirror those of Bush lately.

[skeeter]

Alright. There's a mangy, scrofulous butt kickin' going on.

[Lazamataz]

Haha. I can see it now... "Ummm, do you know who this crazy guy calling me and yelling at me about ChiComs and shadow governments and illegal aliens is? He said he knows you. What the #$#% are you doing??"

Haha. Liar. Troll. Haha.

[Bikers4Bush]

Listen for the knock at the door, it's the men in white coats coming for you.

Don't struggle, they'll just make it hurt more.

[Texas_Dawg]

Off topic - do you have a 9/11 story? I'm curious about how being there when it happened touched you.

Watched the whole thing from the 31st floor (and then the ground outside of course) on the Jersey side of the Hudson, right across from the WTC. Pretty crazy stuff. And, yeah... that stench for the next couple weeks was pretty crazy. Why do you think I take it so seriously that half of the so-called conservatives here want Howard Dean as President in 2004 (or at the least, don't care enough about him being President to vote for someone who could prevent that)?

[ARCADIA]

that none of them were economics majors AND capitalists

I'm an econ major and both my father and grandfather were self-employed businessmen. I actually make money freelancing by selling my writing services on the open market.

But, what's your definition of a capitalist? You're not rigorous in your terminology. Do you mean entrepenuer - someone who takes risks to build an enterprise? Or do you mean "ogliarch" - someone who uses financial power to manipulate markets? Both might be called capitalists.

Your own misuse of economic terms betrays your ignorance of economic theory.

[Centurion2000]

Thank God

[null and void]

It also had slavery for nearly 100, but I don't want to bring that back either.

Of course not! An H1-B indenture is much cheaper!

[TopDog2]

Can you believe there are morons like him out there actually telling people what to do with their money?

I'm convinced that China_Dawg is working at JT Marlin...

[Orbiting_Rosie's_Head]

How embarrassing it would be to lose your job to some 3rd worlder because he's deemed more efficient than you

More efficient? Hardly. Let's try: bound to his job by law, we can treat him any damned way we please, and he can't say a word, because if he does we'll revoke his visa and send him packing back to India.... So much for free markets. If socialist intervention sucks, why do you favor it?

[pyx]

It kind of reminds me of home. My friends and I used to go out to our lakehouses and harass rednecks living nearby the same way when we were growing up.

Much of my family is originally from Mississippi and developed red necks from the farm. Its very very fortunate you didn't "harass" them. They know how to hunt.