Hiraepi

Date: Thu, 20 Jan 2011 21:28:12 -0800From: Normal Matloff To: Normal Matloff Subject: bang on H-1B and offshoringTo: H-1B/L-1/offshoring e-newsletterI think readers will find the bounded article connecting H-1B andoffshoring to be of conglomerate. Still I condition make my resolved point thatthe problems of H-1B go FAR beyond completely the offshoring issue and FARbeyond the Indian bodyshops, the fact remainder that offshoring is a veryreal issue, and I thank Prof. Hira for his returning work on thisissue.Period we're on the have reservations about of carriage U.S. jobs strange, Obama made ahilarious allusion yesterday in his fix together press meeting with ChineseSkull Hu Jintao (my heaviness supplementary)http://www.nytimes.com/2011/01/20/world/asia/20prexy.html?ref=asia Natural ability for the two countries to "break out of the OLD STEREOTYPES that one way or another China is completely taking diligence jobs and taking manage of low income," Mr. Obama thought wearing a meeting with Mr. Hu and American and Chinese powers that be leaders that it was expressive for American companies to be official into China's gigantic promote. The relationship concerning the powers, he thought, condition be "notably higher nitpicky" than one in which America functions completely as a souk for Chinese products. Declaration familiar? Efficiently, it necessitate, to the same extent here's what Obama thought inIndia just two months agohttp://www.bloomberg.com/news/2010-11-06/obama-says-india-s-economic-growth-win-win-situation-for-both-countries.html The supportive benefits of knob "world power not be excitedly alleged" to also Americans and Indians, Obama thought. "Present-day are masses Americans whose only experience with knob and globalization is a shuttered plant or a job that was shipped strange." In the U.S. portray was a send up of India as a land of call centers and back offices that presume Americans their jobs, he thought. Period in India, Obama thought masses see the way in of American companies and products as a compulsion to the existing of small shop keepers. "These OLD STEREOTYPES and old concerns cut rate today's reality," Obama thought. "Trade concerning our countries is not just a one-way street of American jobs and companies forceful to India. It is a dynamic company relationship that is creating jobs, growth and arrogant ethics in also our countries." The two speeches are regular in aged ways, for box Obama praisingChina's long history of civilization yesterday and pretend the awfully forIndia back in November.I be incorporated there's not an iota bigotry with recycling a good foreign languageseldom, but in this line of reasoning it makes one sensation whether the Obamaadmininstration has any proclivity at all to rethink the issue of offshoring. It a great deal suggests to me that Obama is completely wedged, at a low ebb to clash the powers that be display. The dispirited view I wrote in my Fourth of July posting hold close see, http://heather.cs.ucdavis.edu/Archive/ObamaSpeech.txt seem smart by comparison today.Mr. Hu, for his part, wasn't any better, asserting that "China supportsfree knob." No they don't, not in view of the resolute tariffs theyvigor on imports. Do your teenage worry like to shop at H&M, The Gapand so on? Efficiently, don't oblige them to Shanghai, someplace I used up a weeknewly (and a week hold close June), to the same extent above-board classification prices at thosestores are notably arrogant than everyday prices in the U.S. Upon askingwhy, I was told that it was due to the resolute tariffs, everything like50-100%.Normalhttp://www.manufacturingnews.com/news/newss/outsourcing111.htmlIndustriousness CommunicationJanuary 19, 2011 Largeness 18, No. 1Indian Outsourcing Firms Use H-1B To Get out U.S. Avant-garde Department "By Richard McCormackrichard@manufacturingnews.com "The U.S. visa programs that avoid companies to hire lovely perplexingeffort is "out of carry on" and is quotation Americans hundreds ofthousands of jobs, according to an analysis from the Economic SpecialismPeople. The H-1B and L-1 visa programs promptly depiction for 1million guest effort in the Joined States. Many of these perplexingeffort are employed at companies that wait embraced offshoreoutsourcing of high-wage, avant-garde effort as their early powers that bemodel.The top four companies that use the H-1B visa to barricade their U.S.operations are Indian outsourcing firms: Infosys, Wipro, Satyam andTata Consultancy. By bringing in tacky Indian effort, these companiesavoid hiring Americans and are able train effort for when they aresent back to India. They are what's more decimating one of America's limitexpressive industries: IT armed forces.American effort protect to be replaced by cheaper perplexing effort,and they are being asked to train their perplexing replacements, accordingto the study by Ron Hira, be friendly trainer of for all language atRochester People of Technology. "Loopholes in also programs waitmade it too easy to store in cheaper perplexing effort with everydayskills, who frankly marginal for, somewhat than affix, effortrather than in the rural," says Hira.In the function of the visa programs were created in 1990, the Joined States wasfacing shortages of lovely avant-garde effort. But that is no longerthe line of reasoning. The perplexing laborer visa programs wait no souk tests writteninto their statutes so companies do not wait to prove that portrayis a scarcity of effort in the Joined States.Present-day has been no growth in IT charge for a decade, with the totalnumber of U.S. IT effort (by means of lower lovely effort likecomputer specialists and call medium human resources) holding gaining at 3.8million. Earnings are immobile.That has not been the line of reasoning for companies that produce IT outsourcingarmed forces. Tata was expected to hire up to 50,000 effort in 2010.Infosys is hiring concerning 7,000 and 8,000 effort per zone. Bycomparison, Google's total worldwide charge is 20,000. Weird and wonderfuloutsourcing firms "are intensifying by Google's number in one see," saysHira. "If you had a company with that encouraging of growth in the JoinedStates, Obama would be all over it. But portray is not a single companyin the U.S. that is intensifying like that, unconsciously not in avant-gardearmed forces."Last U.S. technology companies that wait embraced the outsourcingmodel and are impatiently hiring H-1B effort. Accenture, Cognizant,Larsen & Toubre Infotech and IBM India Personal Ltd. are all fantastic usersof the H-1B visa program.IBM now has higher people functioning in India than it has functioning in theJoined States, according to register compiled by The Economist magazine. In2003, IBM's U.S. headcount was 135,155, to the same extent it had 6,000 effort inIndia. By 2009, its U.S. headcount had shrunk to 105,000, to the same extent itsIndian run numbered 100,000. Deloitte has tripled its headcountin India, from 11,000 to 33,000. "None of this gets reported in theJoined States," says Hira.India now has 2 million effort employed in the IT offshoring andpowers that be continue offshoring industries. An hypothetical 65 percent ofthose effort frankly assistance the U.S. souk, according to register fromthe NASSCOM, the Indian IT knob association."You are talking about 1.3 million jobs offshored to India," says Hira."Tiny proportion of the problem is that to the same extent no one is paying attention to whatis separation on, the industry can make up at all statistics it wants. Sothe U.S. Chamber of Trade is using the multitude layoff information [from theAgency of Grind Facts] claiming that only 10,000 jobs wait beenoffshored and they are able to get unacceptable with it."In the meantime, U.S. companies like Accenture, IBM, EDS, HP arereporting report on income. Accenture's headcount in India surpassed itsU.S. headcount in 2007. The company has 50,000 effort in India.The companies that exploit the H-1B and L-I visas wait powers that be modelsthat "alarm as masses American jobs as material offshore," according toHira. Eight of the top 10 H-1B employers were offshore outsourcingfirms or had stool pigeon offshoring operations," according to Hira. Theawfully in custody true for the top 10 L-I employers."The register show that the H-1B and L-I visa programs are being used tospeed up the offshoring of high-wage, high tech jobs, contradicting theclaims by those who have a row that expanding the programs would eliminateoffshoring," says Hira. The Trade Member of the clergy of India above-board referred tothe H-1B visa program as the "outsourcing visa" in a 2009 viewerswith the New York Grow old.Infosys has confirmed in its financial intelligence to the U.S. Securities andNegotiate Problem that it is zone on the H-1B and L-1 visas andthat if they were discontinued it "would pretense a stool pigeon cozy up to to itspowers that be model," Hira intelligence. In its 2010 SEC filing Infosys states:"The gigantic organization of our human resources are Indian nationals." Theseeffort are employed at investor locations. "The ability of ourtechnology professionals to work in the Joined States, Europe and inaged countries depends on the ability to foothold the obligatory visasand work permits," writes Infosys.Infosys revenues increased to 4.8 billion in 2010, up from 203million in 2000. Its run has increased from 5,400 to 113,800. Ithas 10,700 H-1B and LI visa holders on its payroll.India has misshapen the magnificent American avant-garde separation in a waythat has panicky U.S. effort, Hira argues. Companies like Pfizer,Siemens, Wachovia and Enlargement of America wait all reportedly necessarytheir U.S. effort to train perplexing replacements that wait H-1B or L-Ivisas. "This practice, gloomily acceptable, appears to be accuratelylegal under the charge sets of system and laws," writes Hira. "Wedo not convene how public it is to the same extent employers wait threatenedeffort with lawsuits and conditioned their unemployment insurance andseverance transmit to word peace and quiet. Each new bang, however,a great deal reduces the loveliness of IT to students of Americanuniversities."Commercial CEOs and Skull Obama recurrently state higher Americans tostudy science, technology, hard work and arithmetic, but the top outcome ofpeople functioning in puzzling fields is the offensive mark of offshoreoutsourcing on their job diagnosis. A new-fangled survey glossed by HighestWeek build that offshoring of technology jobs "is ill-fated youngAmericans from pursuing tech careers and [is] moving take forwardabroad." The survey build that limit IT effort, managers and studentscount on that the practice has led to the Joined States knock down itsleadership position in technology, "with 66 percent -- the singletestimony fortune -- citing offshore jobs movement as one of the topthree reasons."Says Hira: "I give lectures at RIT's Commerce School, and one of theclasses is for a masters in product forecast for functioning mid-levelengineers. They thought they voted for Obama not to the same extent of therapeutic carebut to the same extent they expected him to do everything on offshoring, and theywere sorely troubled."Hira what's more does not understand how the Joined States executive ismeasuring service imports. The Agency of Economic Cure claims thatthe Joined States imported 9 billion in armed forces from India, but justthe top three Indian outsourcing companies reported exporting higher thanthat dose.The offshore outsourcing industry in India is generating 62 billion asee in takings, up from 4 billion in 2000, according to a January 1,2010, bang in The Grow old of India. By 2020, NASSCOM projects theindustry will engender a feeling of 225 billion and use 10 million effort.NASSCOM says that IBM, Cisco, Dell, Microsoft, Intel, Clairvoyant, HP andGoogle will all wait higher Indian human resources than American human resources.The Indian outsourcing firms are gaining branching out of IT armed forcesand into aerospace contrive, import, pharmaceuticals R&D, legal andbanking systems and systems adjustment of the U.S. diligenceseparation. Outsourcing companies in India are targeting new professionalsectors, new technologies and armed forces "from less significant companies," saysNASSCOM chief executive Som Mittal.None of this bodes well for Americans, says Hira."I wait friends at Xerox," Hira log, whose school is positioned inthe awfully capital as Xerox ignoble. "Xerox just took over AlliedProcessor Army. They are training their Indian counterparts, and ACSis offshoring like crazy, too." Xerox CEO Ursula Burns is the vicebe in charge of Skull Obama's Feel Council, "and people up all over arescoffing and smiling to the same extent she made her bolt all over preceding she becameCEO by setting up the offshoring of hard work in India," says Hira."The only regulation she knows how to supervise are jobs."The paper, "H-1B and L-1 Visa Programs: Out of Stick," is positioned athttp://www.epi.org/publications/entry/bp280/.