LayoffBlog.com

February 5, 2009

Senate bill would bar H-1B hiring at firms receiving bailout money

According to ComputerWorld: “Financial services firms that receive federal bailout money will be prohibited from hiring H-1B workers if legislation introduced last night in the U.S. Senate wins adoption. The bill would bar any recipient of the Troubled Assets Relief Program (TARP), the program being used by the government to purchase some $700 billion of bad mortgage assets, from hiring anyone on an H-1B visa.”

~ News submitted by Kirk R.

44 Comments »

  1. Good deal!

    Comment by Art — February 5, 2009 @ 6:25 pm | Reply

  2. They should also be prohibited from hiring bodyshop consulting forms or contracting with offshore services.

    Comment by Cee — February 5, 2009 @ 7:09 pm | Reply

  3. There is one more item to Obama’s todo list: to prohibit companies to subcontract H1B visa workers. Those companies are mostly established just to bring cheap H1B workers to the US, then rent them out to the companies like Cisco, Oracle at a higher rate.
    Simple example: Cisco pays $150/hour to a ‘bodyshop’ company for the contractor. The contractor (an H1B visa worker) gets 35-55/hour. Bodyshop takes the difference.
    The most interesting story is that you cannot join Cisco as a contractor independently: you must be employed via ‘vendor’ (does not matter if you are H1B visa guy, green card holder, or US citizen). If ‘vendor’ has good relationship with Cisco hiring manager, i think they will make a very good deal. You know what I mean.

    Comment by Beetle — February 5, 2009 @ 7:27 pm | Reply

  4. They should set H1B quota to ZERO till the economy improves (or some min timeframe like next 2 years).

    Comment by A — February 5, 2009 @ 9:57 pm | Reply

  5. Good Job Sens… This bill should be passed in order to save more American workers. Also, those Bailed-out banks should be asked to correct their current H1-B policy. They have hired too many H1-B workers.

    Comment by bhb — February 5, 2009 @ 10:42 pm | Reply

  6. About HR support, Corporate lawyer, I don’t see any reason to hire H1-B workers instead of American workers. If we laid off those H1-B workers at those positions, it would not hurt American competitive edges at all.

    Comment by Kevin — February 6, 2009 @ 12:49 am | Reply

  7. My Dear, well informed American citizens. Could any of you back up your claims about hiring malpractices by banks. But ohh, to do that, you would have to pick up your lazy finger and type. Go to break room, get a coffee, chat with your colleague about yesterday’s game and then claim I bust my hump to keep this job and these managers give our jobs to these hard working forigners.

    The Reason US is in mess is not because of H1-B workers, but because of greedy Americans themselves, who would beg for money from one hand and then go blow it on jet or a Vegas vacation, or even better, give it Madoff’s of the US to give them big returns.

    Stop making H1-B’s scapegoat. We pay the same amount of taxes as you do (some of it we can’t even use) we work hard, stay under the law and peacefully live our lives. Don’t start pushing the your own blames on others.

    If you want your jobs back, work hard and demand competitive pays.

    Comment by DK — February 6, 2009 @ 7:23 am | Reply

  8. We have to admit H1-B workers have made considerable contribution to this country in decades, but given economy, millions of American workers need jobs. I also believe hardworking guy could succeed anywhere not only in the States. Use your hardworking attitude and great talent to create your own successes out of this lazy country.

    About tax payment, don’t forget our ancients paid tons of tax to build whole infrastructure and this country. How long have a H1B visa holder paid tax? The main reason for business to hire H1B worker is lower wages instead of hardworking. When your boss interviewed you, how could he/she know whether you are a hardworking guy?

    Comment by OUT — February 6, 2009 @ 8:54 am | Reply

  9. If a non H1-B worker and an American apply for the same job, give the job to the most qualified person. No wonder the economy is in trouble. We have forgotten, that it is not the immigration status, sex or color of a person defining their skills. Maybe this country needs to fix it’s education system and produce qualified workers.
    How would you feel as a contractor when you cannot hire qualified people anymore because of some law. Don’t be shortsighted.

    Comment by California Photo Scout — February 6, 2009 @ 10:05 am | Reply

  10. When cisco or oracle pays 150hr for the H1-B, how do you call the H1B- a cheap labor. Are you kidding me $150 per hr. Its all to do with Skills. Wake up idiots.

    Comment by Patriot — February 6, 2009 @ 10:29 am | Reply

  11. I am a non-H1b-Congtractor. I agree with Beetle(#3). I am not against H1b because I like to compete. But it’s time to ban those oversea outsourced bodyshop. They make the contractors not getting a reasonable rate. Sometimes, you don’t really know how many level your rate has been cut before you get the job. It is ridiculous. We need to stop that. They make Oracle to pay $150/hr but it actually only needs $110/hr. Sometimes, the company is just a name without any office in US, and money goes around the globe and then route back to someone’s pocket.

    Comment by Contractor — February 6, 2009 @ 12:18 pm | Reply

  12. #10: no much to do with your skills.
    This is all about ‘vending’ agreement between bodyshop and a company. A 150/hour means nothing to the worker, since these money are paid to the bodyshop. Ridiculous, isn’t it: the company pays about 300K/year for the guy who is working for 75-110K/year? And this is pretty common practice in all US banks who employ ‘bodies’ from bodyshops.

    To be honest, you do not have to have a PhD in applied mathematics to do Java/Oracle/XML. A year or two in average tech college – and voila! – we’ve got a new Java monkey.

    Comment by Beetle — February 6, 2009 @ 12:52 pm | Reply

  13. DEY TURK UR JAWB!

    Comment by Voin — February 6, 2009 @ 12:52 pm | Reply

  14. This is all an attempt for a “RACE WAR”. Scapegoating is wrong and avoids the real issues. For every job “lost”, these nations buy more HIGH PROFIT items from America.

    This is SCARE-MONGERING. Take for example: US IT/BPO income to India is –only– about $5 billion (see Satyam exaggeration), while India orders $10’s of BILLIONS in Boeing planes, US equipment/tech, etc. These “foreigners” are living on razor-thin margins. How much (factoring out materials, labour, energy, transportation) of a “profit” goes to Chinese-made sneakers selling to Target, American Eagle, etc for $10 BUCKS, but get’s marked up to $100-150 dollars?!!

    The HUGE profits are not garnished by these “foreigners” (mind you every non-native “American” is technically also a foreigner), but by the same Banksters, Chief-Fraud-Officers, Speculators that screwed not only America but the rest of the “3rd” World (a derogatory term)!

    Comment by No_ScapeGoating_Please — February 6, 2009 @ 1:15 pm | Reply

  15. #s 7, 8, and 9

    Anyone that’s worked in the Valley for 15 or more years is not short-sighted on this issue. What Indians and Chinese do to work in the US is called undercutting, and it’s the slimiest of all labor practices. H-1Bs were born of Silicon Valley’s desire to reduce cost and nothing more. There was ALWAYS enough American workers to fill these jobs. If you’re Americans, you have a lot to learn about patriotism. Chances are you’re Indians. In any event, to claim that American workers are not educated well enough to handle most of these H-1B-type jobs is simply moronic and insulting. Not everyone in the US works on a brain-dead assembly line. I’ll stack the US education system up against India’s any day. I’ll also stack our Army, our health-care, and our dog parks against India’s too. India is a shit-hole. Why not stay there and make it better instead of stealing our jobs?

    H-1Bs do nothing more than force the layoffs of EDUCATED American workers. The system is a slap in the face to every young American that aspires to a high-tech career. We are giving away our best jobs to foreigners, who have no vested interest in the success of this country. Yes, it’s American greed and it has to be addressed by ending the program entirely through government action. I’m actively involved in getting Congress to overturn the entire H-1B program. If you’re an AMERICAN high-tech worker, you should be doing the same. The US middle class is being attacked by the rest of the world. Globalization is draining all of our best paying jobs. But I’m sure you’re all looking forward to working at 7-Eleven again.

    Comment by anon — February 6, 2009 @ 1:46 pm | Reply

  16. This is a great idea. I’m sure that the laid off investment bankers can be retrained to do IT jobs in no time. They can do anything they put their minds to and that’s why they deserved their multi-million dollar paychecks. In fact, there should be another bill to replace janitors who are here illegally with laid off investment bankers and pay them millions of dollars.

    Comment by Amused — February 6, 2009 @ 2:41 pm | Reply

  17. #13: We live in globalized world. And this stuff is bi-directional. Therefore, you have to compete for your job globally. If you want twice as much money as programmer from India, you have to be twice more effective.

    Comment by Voin — February 6, 2009 @ 2:49 pm | Reply

  18. #15. Just because I am speaking for H1-B doesn’t mean I am a foreigner on a visa, nor that I am Indian. I also don’t suggest Americans are stupid. Maybe you should read my comment again. Maybe you are a perfect example for the point I am trying to proof and in that case don’t bother.
    A year ago we went through extensive interviewing. The tech jobs we had were open to everyone. High pay good jobs, but guess how many Americans showed up. By law (immigration law for H1-B) you have to pay them the same rate ore more and have to keep the job open for Americans for a time before you can even apply for H1-B. So before you accuse people get your facts straight.
    One more time: If a company can find an American who meets the BARE MINIMUM requirements, they cannot hire H1-B. It has always been like that.

    Comment by myphotoscout — February 6, 2009 @ 3:51 pm | Reply

  19. Intead of getting on each others throat, blame greedy shareholders and executives who do the outsourcing, not the poor sucker in China who works 16 hour shifts to feed his kids! Corporate greed is the cause. It’s easy to get two starving men to fight over a loaf of bread. They should team up and take the steak of the plate of the man making them fight.

    Comment by myphotoscout — February 6, 2009 @ 3:57 pm | Reply

  20. I agree with #18: last time when we were hiring server-side engineers (java/spring/hybernate), only indians showed up for the interview. However, when we’ve got a few openings for user-interface engineers (adobe flex, ajax/dhtml/css, photoshop), mostly americans and europeans showed up. But there were a couple of indian folks pretending they are ‘super star’ user interface engineers. They’ve got no portfolio, resume on 99% was containing irrelevant for the position crap like Websphere, PL/SQL, DBA, etc.

    Comment by Beetle — February 6, 2009 @ 4:25 pm | Reply

  21. #18: That is kinda true. H1B should be paid not less than 100% of prevailing wage in that specialty (btw, till March, 2005 it was 95%). However, we should admit, this prevailing wage is calculated according to the position title. If the position is, let say, Engineer IV, then the prevailing wage is 80,000 (in my ZIP). But if the title is Engineer II then the wage is just about 40,000. I guess, you got the idea – it is just a question of position name. And yes, H1 paid less, no matter what DOL wants with that prevaling wage requirement.
    As to BARE MINIMUM requirements to companies…. They are really MINIMAL. I know companies consisting of 4 people and two of them were H1Bs. And I believe these requirements should be much more strict these days.

    Comment by Art — February 6, 2009 @ 4:46 pm | Reply

  22. “Intead of getting on each others throat, blame greedy shareholders and executives who do the outsourcing, not the poor sucker in China who works 16 hour shifts to feed his kids! Corporate greed is the cause. It’s easy to get two starving men to fight over a loaf of bread. They should team up and take the steak of the plate of the man making them fight.”

    Best statement yet!

    Comment by No_ScapeGoating_Please — February 6, 2009 @ 5:59 pm | Reply

  23. #21 As with many other requirements, I think companies with less than 10 employees are exmpt.

    Comment by SumSam — February 6, 2009 @ 7:11 pm | Reply

  24. The issue is here discussing the Bailed-out banks rather than IT companies. Those banks have hired over 20 thousand H1B workers as Investment Analysts, HR, and Corp lawyers for past 6 years. In the economy expanding stage, nobody would argue with this issue, but it is about time to reconsider if it is still appropriate?

    Comment by Kevin — February 6, 2009 @ 7:45 pm | Reply

  25. #7 DK,

    You (I use this term to relate to guest workers) come to the US with no student loans to repay – your countrymen educated you – and plan to return to your home country to retire like a king on your US earnings. If you work for a bodyshop, you are expected to work longer hours than are the US norms by law; I saw one ad lately indicating a 54 hour work week was required. US citizens expect to be treated and work according to US norms and law. You leave your families in your home country where living costs are cheaper, and you live in conditions that are certainly not US standards; several adult men sharing a bedroom is not how Americans would live. Since you do not have to pay for expenses of your families in the US and are willing to live in absurd conditions, you can work cheap. Since you have nothing to lose, you carry minimum coverage if you have a car; a responsible professional likely pays 3 to 4 times what you do. So you have a lawsuit against you, you can just leave the country and not worry about the person that you injured suing you. As for health insurance, if your employer does not provide it or you think it too expensivce, you just go the the emergency room and use Medicaid. I won’t even go into the discussions on tax fraud – how to claim wages as per diems to avoid paying taxes – or how to make a disability claim near the end of your authorized stay in the US that appear online. Now Americans of European and African origin regularly report blatant discrimination by current or former guest workers in supervisory positons who practice racism that would never be tolerate of an American but is excused because you are from a minority group.

    The corporations – many run by your own countrymen – are abusing you, and the American worker is suffering because their entire business plan is to drive out or drive down the wages the American workers. The irony of this is, if you decided to remain in the US and obtain your citizenship, your children will suffer in the future as the current American worker does today. Be careful what you wish for; you are bound to regret it.

    Comment by Cee — February 6, 2009 @ 7:55 pm | Reply

  26. Cee:

    Immigrants certainly understand what you say. But there is the other argument that needs to be listened to.

    There does not seem to exist level plying field in our globe today. The Americn worker appears to have priced him/herself out of the market. And the primary cause appears to be the hign standard of living in the US.

    In my opinion, education is needlessly expensive in this country. As also is health care. There is too much consumerism and too much government interference into the personal lives of people. These are turning into handicaps for people who grow up in this country.

    In calling for ban on H1B, you are not attacking the root of the problem. It is at most an irritation for people to see their work shipped to India or sent to an H1B. I suggest we tackle the root cause of this problem today.

    The education imparted in the US must enable workers here to be much more productive than workers in other countries for them to justify higher wages here. If you expect high wages for the same level of productivity as in India or China, you are not being logical.

    My solutions for the current state of employment are:

    1. Force governments to write off majority of student loans
    2. Subsidise college education. Schools do not need PHd professors to teach programming 101. They need to cut costs and pass on the savings to students so that students will not be burdened by student loans
    3. Invest in innovation. Do what no one else in world can do and sell those goods/services at a premium. Maintain the lead in innovation.
    4. Disband Social security. Reduce government interference in private lives of people. The government should have no business telling us that our kids stop being our kids after they turn 18.
    5. Make it a law for children to assume responsibility for the care of their parents in their old age. The government should get out of the business of ensuring care of every old person in the country.
    6. Punish wall street for their contribution to the financial crisis. Maybe wall street needs to be shut down.
    7. When the economy recovers, encourage more immigration. More immigration means more tax payers, more buyers of houses, more entreupreneurs, more talent within the country, and makes the country a bigger market for everything that gets produced.
    8. Create a plan for gradually reducing the standard of living in the country to make even low productivity jobs satisfying for our people.

    Comment by Vivian Richards — February 6, 2009 @ 11:25 pm | Reply

  27. To #24

    Kevin,

    I don’t think you are aware of the fact that most banks (not just investment banks) hire a lot of IT workers for infrastructure as well as for developing software for their financial models. The report did not have a breakdown of H-1B’s hired by these banks according to job profiles. I would bet that most of them were either in IT or financial analysts. When Microsoft announced layoffs, everyone automatically assumed that they were laying off software engineers. Maybe they were laying off people from sales. Could they have relocated those people to work in software development? I remember reading that when Lehman Brothers went under, Barclays laid off a lot of people in investment banking but retained the people who worked in the data centers.

    Comment by Amused — February 7, 2009 @ 9:14 am | Reply

  28. I do not understand why people hate H1Bs. I agree that there are people who misuse H1B rules and regulations and they should strictly be taken out. I personally feel H1B programme is like a mutual benefit for the individual and this country (not company).

    SSN and medicare taxes are deducted from H1B visa holders as well but when a H1B holder loses the job, they are not subject to unemployment benefit. So, in plain and simple terms, H1B workers contribute towards the SSN and unemployment benefits of this country. Imagine the deficits of this already falling economy and the effects of totally eliminating H1Bs.

    Comment by AA — February 7, 2009 @ 7:12 pm | Reply

  29. Do NOT forget a legion of families are behind unemployed American workers. Also, do NOT forget the H1-B visa is only for short-term workforce need. It is not a permanent commitment for any foreign worker. In addition, I believe every hole left by H1B worker will be filled by American worker soon, given economy and sky-high unemployment rate.

    In the past, IT companies cannot find sufficient manpower, so that they outsourced or hired contractors. It is apparently not same story now. U.S. governemnt issues 65,000 H1-B visa each yeat in past 10 years. If those H1-Bs are really talented and dependable. Their employers would definitely turn their H1-B status into the green card pool.

    Comment by Kevin — February 8, 2009 @ 2:46 am | Reply

  30. Dear All,

    All H1Bs who got your homes paying all taxes, run away from America with all your money and let the economy crash before American’s own eyes. Already this economy is pretty screwed up and with all these nonsense new policies it will be even worse.

    Why dont you ban H1B instead of not offering jobs to the people after you issue a H1b. You know why?? just because American Govt is greedy for H1b money (2500$ for one H1B).Big companies like Microsoft doesn’t want H1B to be banned.

    Did you guess this?? probably Bill Gates struck a deal with the two senators not to have a bill to ban H1b, so that he can find more loop holes to hire more H1Bs later.

    Comment by MA — February 9, 2009 @ 10:01 am | Reply

  31. Outsourcing is the last bubble to collapse.

    We saw them quiet a few: 1. Oil bubble (“Oil will cost 250/barrel by the end of 2008; among commodities, oil is the most guarantied way to double, triple your investments”); 2. Real estate bobble (“Prices for houses in California will go only up, since nobody produces more land. An old doghouse in Palo Alto could cost above a million or two easily”); 3. Dot com bubble (“In a year or two any fridge will be able to order food for you over the internet; Any toilet will be able to take samples of your sh@t, analyze them and schedule an appointment with your physician”).

    So now we are the witnesses of the last bubble to collapse: outsourcing.

    Comment by Beck — February 9, 2009 @ 10:17 am | Reply

  32. I am curious, what about all those who studied in the US universities, doing research for these big companies and are on H1B? I am sure, they fit the criteria of having specialized skills that you need to get an H1B.

    Comment by MASTERS_GRAD — February 9, 2009 @ 10:54 am | Reply

  33. If IT salaries in US drop by half, outsourcing’s goose is cooked. The race to bottom will ensure that IT salaries in US will be slashed by upto half ensuring a vicious drop in wages. I’ve have come across many grads in QA and testing being paid $10 an hour. The same folks used to command 70$k a year, and this is in a startup in the bay area with zero outsourcing.

    Comment by Eneya — February 9, 2009 @ 11:56 am | Reply

  34. imagine one H1-B household save about $100K USD.
    then lay off just 1000 of them. as they need to go back to home country right away that means including the saving that follow with them, that will reveal 100 Million USD liquid cash lost from US Financial Systems.
    now calculate to layoff all H1B … you can calculate how much money will be lost altogether.
    it’s not answering the problem really … it will add further problem.

    who knows that this so called foreigners (H1B) can take part to help on the crisis. They have more buying power than local/citizen that is already in heavy debt.

    agreed on outsourcing thingy … it just too many pocket get the money before the actual worker get.

    Comment by no_name — February 10, 2009 @ 5:02 pm | Reply

  35. #34: Don’t be ridiculous: you mean to say they haven’t spent a penny during the year???? In H1B household usually only one member of family works, since spouse of H1 can’t legally work. So, Americans have advantage over H1 here. H1 also pays taxes (-20-30%).They still need to pay rent, buy food and cloth. If they also have kids then all what remains from those 100K is in the best case 10K a year (less than 1K per month in cash).

    Comment by Art — February 10, 2009 @ 6:30 pm | Reply

  36. Hi Guys,
    I have been hearing here a lot about H1B bashing. It looks like abusing H1B has become a “Fashion Statement” today and American feels H1B are responsible for all their ills. I feel the real problem lies somewher else…

    1) Manufacturing Sector: The real problem of unemployment has been due to moving out of manufacturing sector from the country. Today a very high percentage(or most) of the consumer and material goods consumed in US are manufactured outside the country. This had resulted in loosing millions of job for US citizen. Loosing jobs to H1B guys in comparison is just a fraction.

    2) Outsourcing of jobs: Coporations to save money has been encouraged to outsource ther jobs to other countries. Today you name any Software or services comapany of US, it has a big development or call center center in Asian countries. The jobs moved out of US are in millions. In comparison to that H1B guys working in India are just a fraction.

    3) Majority of the H1B guys employed today are with IT consultancy companies and small comanpies which serve as a Tier II vendors for these big IT consultancy companies. Most of these H1B guys work on are 100% travel or project specific jobs. On an average a H1B keep travelling across US and if lucky they stay in one project/location for not more than 6 months.
    Let me ask ourselves how many US citisen will like to do this type of job. Many of them wont. Also please understand most of H1B guys today work are on type of jobs which a US citizen wont like to do. Like moving frequenty or 100% travelling. If today H1B is stopped, the IT consultancy Industry in US will crash. You can imagine the impact it has on US companies and economy.

    So let’s not make H1B the root cause of our problem. We have much more bigger issues to solve before blaming these law abiding hard working guys.

    Just a thought…

    Comment by Ariesman — February 14, 2009 @ 6:43 pm | Reply

  37. Interesting discussions. I agree that H1B is a privileged to work in US than a right. The intent of the program is to fill the Gap. The H1B worker are their to earn as so is everyone. Be it for repaying US education loans or supporting parents overseas. It is not an easy money. US workers are equally intelligent and hardworking. I must say as a whole US Citizens are quite friendly and accept the H1B colleagues. On the other hand H1B workers are overall law abiding residents, Contribute equally to the economy. Earn in US and also Spend in US (partially). Their success in an entirely new country is because of attitude and adaptability. If required they work late, travel from coast to coast, ready to move every 6 months, support non-earning family members in US as well back home. They pay taxes. One difference I see is they earn and Save some for rainy days where as largely we earn more than H1B worker and borrow more than what we earn. Student loan, 2nd mortgage, car loan, credit card. Why do we have to spend so much that we live by salary check and if the job is lost we have a huge debt. That is what we are facing this facing this Credit crunch. So to some extent we are also to be blamed for falling in trap of bank loans, real estate crises and now in credit crunch. At this time where liquid money and excellence is needed to recover, we rather need the expertize (H1B or otherwise) who are capable to support and succeed. Also have always stood with us.

    I agree we must stand against the loss of jobs to overseas. We have practically lost our manufacturing industry to China, it is difficult to survive without buying a product mane in China. So we must also stand to bring back the jobs in manufacturing from Asian country.

    So bashing against H1B workers is not good for the image of our country as democratic and financial super power. Also Part of the of 2500.00 collected from each application towards H1B filing intended for educating US citizens. So the program does support US citizens in some way.

    Comment by Capri — February 18, 2009 @ 11:28 pm | Reply

  38. Hello All,
    I am an H1b worker from India. I was reading this blog and though will leave some comment.

    No one cannot ignore the fact that India has contributed a lot to american IT industry. Check out any big IT companies, you would find many indians. It is not because they are cheap, it is only because they are talented. I am not claiming all Indians are smart, there are exceptions and it is the duty of the person who interview to find this.

    Now everyone clamouring about H1b people from India. So many Indian nurses are working here in US. Havent you guys noticed it yet? WHy are u not raising ur voice against it? Why not fill the position with US nurses? Oh, now I realise there is not enough people to support US nurse demand, so we need indians to get treated..

    How about Indians in NASA? I heard almost 25% scientists in NASA are Indias. They educated in India mostly from Indian institute of technology (Indias MIT), Indian goverment used to spend thousands on dollars for each graduate, (cuz education in India is subsidised). And once they complete their education they all will be taken away by NASA. wow, that is so easy, right.. fire them all.. and fill it with Americans..

    See, this recession was not caused by H1B people. Also they are invited by US goverment to fill the post. It is not like they all came through some canadian boarder or Mexican. So please treat them as human being.

    Thanks

    Comment by Ssm — February 28, 2009 @ 5:28 pm | Reply

  39. To All,

    Yes, American jobs should be given to Americans and not to foreigners. All American companies and banks should do their business in US. American are self made people no country of the world should be allowed to trade with America as there products / services are not up to mark of American (In other words we should cancle all the trade treaty with any country), World Bank should not be allowerd to deal with America as thay are not 100% American and US should ban any foreigners to their universities, China should be banned for exporting anything to Arerican as there products are not good in quality and standard as per Americans, Mexico should be banned for automobile service and India for IT service, America should send back all those who migrated from different parts of the world and leave this land of opportunity to it’s natives – the aborigines.

    BTW –> There are few companies like google, yahoo, hotmail etc etc where American citizens are working. Aren’t they patriotic, they should resign from these companies as there founder are immigrants….

    Just observing this tread and how people of this great land spit venom in the times of crisis.

    Comment by globe — March 7, 2009 @ 11:43 am | Reply

  40. Hey ssm,
    India’s best and brightest must all be in the U.S. on H1B because I work as a contractor for a large U.S. electronic mfg and the IT work they outsource to India is a mess.
    Quality control in India is not, for cultural reasons, up to U.S. standards. We constantly rework relatively simple IT tasks (in the U.S.) because the outsourced crews can’t do them correctly.
    I spent a week training with a group of support personnel from N.A. I was shocked to find they are very hesitant to forward relevant issues to their India operations because, as they have learned by experience, the issues don’t get solved or even addressed in many cases. Seems I have heard that Dell brought a lot of their support functions back to the U.S. for this very reason.
    Why does the company I am associated with still outsource work to India if the quality is so bad?
    The only reason I can see is that its whitewash for their books. It looks good to Wall Street if they can show “reduced costs” due to outsourcing. These “reduced costs” come at the expense of people like me who have to fix the mess made in India.
    This model in not sustainable. It will come crashing down at some point.

    Comment by Glen E. — March 9, 2009 @ 7:45 am | Reply

    • Are we discussing “H1B” or “Outsourcing”

      Comment by globe — March 9, 2009 @ 7:41 pm | Reply

      • It is the same… when you outsource there are a few guys at the local site on H1B. It is a norm when you outsource your IT service. For eg : Patni computers. These guys will take over maintaining your IT services for real low cost, and place a couple of guys on H1B at your local site, most of whom many of us cannot understand and they hardly know how to troubleshoot the problem. So basically we end up doing our IT work.

        Comment by H1_B — March 10, 2009 @ 7:11 am | Reply

        • Please do not generilize everyone maybe you are good in doing IT job / work but most of US citizen were busy in completing there MBA degree and wanted only to be PROJECT MANAGER but never tried to be technically good. I would say something is better than nothing.

          I agree all H1 folk’s are not good and it is fault of immigration that allowed everyone but they also didn’t had any option at time of growth cause most of us were busy with BBQ, Camping etc etc…

          (An unemployed and frustated

          Comment by globe — March 10, 2009 @ 4:45 pm | Reply

  41. All Americans should know this. Ever you wonder why American companies choose H1B workers over you. The main reason is because you demand the companies to give you more than what you can do. That explains why many companies decide to outsource rather than keep it in US. Specifically, You are not as skillful as H1B workers. H1B workers are more dedicated, work harder but demand less than most Americans. Never says “Yes, we are Americans and American companies should choose us.” The companies dont care who you are as long as you are benefit to them.

    Comment by Timmy — March 12, 2009 @ 1:42 pm | Reply


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