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Firms firing U.S. workers cannot hire foreign pros
By
SiliconIndia,Monday, 23 November 2009, 01:10 Hrs
New Delhi: Seeking to prohibit companies that lay off large number of American workers, from subsequently hiring temporary workers (such as tech professionals) from outside the U.S., two U.S. senators - Senator Bernie Sanders and Senator Chuck Grassley have proposed the 'Employ America Act'. The proposed legislation, if passed, could severely hit tech companies that had resorted to axing jobs during the economic downturn even as they continued to file for H-1B visas.
As reported by Business Line, Ameet Nivsarkar, Vice-President of Nasscom, said, "The proposed legislation will be painful for global companies, if it becomes a law. While it may not get cleared as a standalone legislation, what we need to watch out for is whether it gets tagged as a provision to other must-pass Bills. We are constantly monitoring the situation." The IT industry has expressed concern over the proposed legislation given its ramifications on businesses. But, industry watchers also pointed out that the possibility of the new legislation being passed on a standalone basis may be somewhat low at a time when the U.S. is slated to look at comprehensive immigration reform next year.
According to the two U.S. Senators, the proposed law aims to prohibit companies receiving bailout from the Troubled Asset Relief Program from replacing laid-off American workers with guest workers from overseas. The Employ America legislation would require employers hiring temporary workers such as IT professionals to certify that they have not resorted to mass layoffs in the past 12 months and that they do not intend to fire in the future. Companies that have announced layoffs of over 50 American workers in the past year, could be subjected to the prohibition. The two U.S. lawmakers have claimed that the tech industry, a major employer of H-1B workers, has laid off over 3,45,000 workers since August 2008.
"With the unemployment rate still climbing and millions of people looking for work, we have a responsibility to ensure that companies do not use the temporary guest-worker programme to replace American workers with cheaper labour from overseas," said Senator Sanders, a member of the Senate Budget Committee. Also, earlier this year, Senator Grassley, along with Senator Richard Durbin, introduced a legislation that, among other measures, proposed to prohibit employers from hiring additional H-1B and L-1 guest workers if over 50 percent of their employees were already in that category.
However, the passage of the Durbin-Grassley legislation may be remote, given that comprehensive immigration reforms appear to be just around the corner.
As reported by Business Line, Ameet Nivsarkar, Vice-President of Nasscom, said, "The proposed legislation will be painful for global companies, if it becomes a law. While it may not get cleared as a standalone legislation, what we need to watch out for is whether it gets tagged as a provision to other must-pass Bills. We are constantly monitoring the situation." The IT industry has expressed concern over the proposed legislation given its ramifications on businesses. But, industry watchers also pointed out that the possibility of the new legislation being passed on a standalone basis may be somewhat low at a time when the U.S. is slated to look at comprehensive immigration reform next year.
According to the two U.S. Senators, the proposed law aims to prohibit companies receiving bailout from the Troubled Asset Relief Program from replacing laid-off American workers with guest workers from overseas. The Employ America legislation would require employers hiring temporary workers such as IT professionals to certify that they have not resorted to mass layoffs in the past 12 months and that they do not intend to fire in the future. Companies that have announced layoffs of over 50 American workers in the past year, could be subjected to the prohibition. The two U.S. lawmakers have claimed that the tech industry, a major employer of H-1B workers, has laid off over 3,45,000 workers since August 2008.
"With the unemployment rate still climbing and millions of people looking for work, we have a responsibility to ensure that companies do not use the temporary guest-worker programme to replace American workers with cheaper labour from overseas," said Senator Sanders, a member of the Senate Budget Committee. Also, earlier this year, Senator Grassley, along with Senator Richard Durbin, introduced a legislation that, among other measures, proposed to prohibit employers from hiring additional H-1B and L-1 guest workers if over 50 percent of their employees were already in that category.
However, the passage of the Durbin-Grassley legislation may be remote, given that comprehensive immigration reforms appear to be just around the corner.
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Reader's comments (19)
1: Well ... I would like those senators to
implement this law asap.. Am an indian n
working in india . lol. Guys can i ask you
one simple question. if the domestic
companies over here like TCS,infy wipro blah
blah, hires so many chinese employes for less
salary instead of our jobs, being a citizen
of the country wont u guys protest against
it? Even americans are tech pros n can do the
same job tat indians in usa can do. but the
thing is employer needs to pay them more.
lolz. I can see some self centered ppl down
here who opposes the law.
Posted by: Raja - 25 Nov, 2009
2: I'm a native US citizen who actually worked
for Infy in Karnataka several years ago, and
have also seen how my industry has been
literally destroyed by too many foreigners
chasing too few jobs here in the US. When I
was unemployed for six months this year, I
became very angry towards Indians and also
the American executives who hire so many of
you.
On the other hand, I do not forget how well I was treated by Indians when I was a visitor in your country.
Unfortunately, we engineers and developers, the ones who create the real wealth and have worked so hard to learn our trade, are being pitted against each other by the master wealthy owners (both Indian and American). Instead of the Indian developers gaining ground, you will see how they push both we American and Indian engineers into the ground - working more and more for less wages until we both are slaves to the owners.
On the other hand, I do not forget how well I was treated by Indians when I was a visitor in your country.
Unfortunately, we engineers and developers, the ones who create the real wealth and have worked so hard to learn our trade, are being pitted against each other by the master wealthy owners (both Indian and American). Instead of the Indian developers gaining ground, you will see how they push both we American and Indian engineers into the ground - working more and more for less wages until we both are slaves to the owners.
Posted by: bob - 24 Nov, 2009
3: Dear Sanjay....do you have any idea of the
NRI remittance of precious Foreign Exchange
to our country ? Be proud of our people
working in foreign lands. They are the assets
of this nation. Do you have any idea of the
likely social and economic problems once they
are send back to this country ? Study before
reacting.
Posted by: ROY - 24 Nov, 2009
4: Good bill. I hope they implement it strictly.
One of the reasons of the recession was the
mass firing of American and other employees
in their country.
Those opposing it, should realise one thing, will we tolerate such scenario in our own country. No, we won't.
The more local people are employed by companies, better it will be for everyone. It is plain economics.
Regarding Indians going to US, well, I have a suggestion for them. Why don't they migrate when they are kids, that way, we, the common man won't have to spend our hard earned money on their education and then see it going down the drain by their migration.
Good bill, senators. Implement it with an Iron fist.
Those opposing it, should realise one thing, will we tolerate such scenario in our own country. No, we won't.
The more local people are employed by companies, better it will be for everyone. It is plain economics.
Regarding Indians going to US, well, I have a suggestion for them. Why don't they migrate when they are kids, that way, we, the common man won't have to spend our hard earned money on their education and then see it going down the drain by their migration.
Good bill, senators. Implement it with an Iron fist.
Posted by: sanjay - 23 Nov, 2009
5: Fire all of those lazy, stupid Americans,
Brits, Canadians, French, Germans, Swedes,
Danes, Czechs, Italians,.... Let them become
dustmen.
India rocks, India owns world IT, India is flushing its dollars for safe gold...
Oooops SiliconIndia is reporting that China is making a big push to lure those Indian "slavemaster outsourcers" to cheaper southwestern China...
The 70% aboriginal Chinese can be trained to work cheaper than the 70% aboriginal Indians, and learn "English" better and faster, and sleep by their terminal more faithfully, and ....
India rocks, India owns world IT, India is flushing its dollars for safe gold...
Oooops SiliconIndia is reporting that China is making a big push to lure those Indian "slavemaster outsourcers" to cheaper southwestern China...
The 70% aboriginal Chinese can be trained to work cheaper than the 70% aboriginal Indians, and learn "English" better and faster, and sleep by their terminal more faithfully, and ....
Posted by: BozoTheClown - 23 Nov, 2009
6: For the sake of disclosure, am an Indian
working in US,CA on H1B and following are my
personal views.
While I understand the sentiments of my fellow Indians that it would be unfair to stop hiring H1Bs, I would suggest to stop the ranting and think a bit on what toll the economic situation has taken to locals in US. About 2.3 million people in California alone have no jobs at this point, which is about 12 percent.
It would be the rights of US and lawmakers to do what matters to their citizens the most. Those of my countrymen who still wish to pursue their American dreams can do it through legal available channels. Eg: Look for companies who didn't receive TARP money, those entrepreneurial can get together and setup small service companies. If we can create a win-win relationship and show hiring a fraction of H1Bs are not harming to local economy, then that gives more assurance to the Govt. The anti H1B lobbying will reduce.
I would hope that the comprehensive reform to be taken once again next year, will bring in some meaningful ways for businesses and individuals to thrive.
While I understand the sentiments of my fellow Indians that it would be unfair to stop hiring H1Bs, I would suggest to stop the ranting and think a bit on what toll the economic situation has taken to locals in US. About 2.3 million people in California alone have no jobs at this point, which is about 12 percent.
It would be the rights of US and lawmakers to do what matters to their citizens the most. Those of my countrymen who still wish to pursue their American dreams can do it through legal available channels. Eg: Look for companies who didn't receive TARP money, those entrepreneurial can get together and setup small service companies. If we can create a win-win relationship and show hiring a fraction of H1Bs are not harming to local economy, then that gives more assurance to the Govt. The anti H1B lobbying will reduce.
I would hope that the comprehensive reform to be taken once again next year, will bring in some meaningful ways for businesses and individuals to thrive.
Posted by: Naveen - 23 Nov, 2009
7: I think this is great for all the workers all
over the world. Indian tech pros are also
being exploited by their slave masters i.e
hcl infy wipro etc. It is time that it
becomes a employee market again and people
get their due. As an righteous Indian I
totally support this law.
Posted by: Subhash Bose - 23 Nov, 2009
8:I think you are now U.S. citizen and that's
the reason you are in favor of this law. Just
think about the case when you came 1st time
to USA. Just keep some moral value and
feelings for India and Indians. It looks
people like you are self centered and
selfish. I really feel shame about people
like your mindsets.
Ram replied to: Subhash Bose
post - 23 Nov, 2009
post - 23 Nov, 2009
9: It is time that America protect is employees
against foreigners. I support the law.
Posted by: Amar - 23 Nov, 2009
10:I think you are now U.S. citizen and that's
the reason you are in favor of this law. Just
think about the case when you came 1st time
to USA. Just keep some moral value and
feelings for India and Indians. It looks
people like you are self centered and
selfish. I really feel shame about people
like your mindsets.
Ram replied to: Amar
post - 23 Nov, 2009
post - 23 Nov, 2009
11: Talk of self-centered people ... this Ram
wants to be in USA at the expense of another
person's job! And, he says that people like
Amar and Subhash are self centered. Isn't
that funny? Like someone else has said, how
come you don't think it is fair that America
wants to protect its citizens from becoming
jobless and/or homeless? Ram should be
ashamed of himself/herself for thinking that
America is where s/he wants to be in rather
than India despite the richness that
engineers enjoy there now and even if it
means sending some one else's job down the
drain.
Yes, I am an Indian and an American too. Being an American doesn't mean that I don't want India to flourish and being an Indian doesn't mean that I want America to suffer. This law is only trying to stop people with your mindset scoop in more money. And, because I am an American citizen already, you are suggesting that I shouldn't care about losing my job...where exactly does that logic fit in and how?
Yes, I am an Indian and an American too. Being an American doesn't mean that I don't want India to flourish and being an Indian doesn't mean that I want America to suffer. This law is only trying to stop people with your mindset scoop in more money. And, because I am an American citizen already, you are suggesting that I shouldn't care about losing my job...where exactly does that logic fit in and how?
Blogger replied to: Ram
post - 23 Nov, 2009
post - 23 Nov, 2009
12: Blogger,
While I agree with your sentiment, one correction. You cannot be american and Indian. India, does not permit dual citizensip. So if you have taken American citizenship, I won't comment on that as that is your personal choice, I would like it if you stop calling yourself as Indian as you are not.
In my eyes, you are same as other americans, that's all.
While I agree with your sentiment, one correction. You cannot be american and Indian. India, does not permit dual citizensip. So if you have taken American citizenship, I won't comment on that as that is your personal choice, I would like it if you stop calling yourself as Indian as you are not.
In my eyes, you are same as other americans, that's all.
sanjay replied to: Blogger
post - 23 Nov, 2009
post - 23 Nov, 2009
13: A little bit nationalistic, huh?
Just because someone is a citizen of another country, that person is not of a particular race or ethnicity anymore?
Just curious, have you even travel outside of India or been to a country that is much more open and acceptance to diversity?
Just because someone is a citizen of another country, that person is not of a particular race or ethnicity anymore?
Just curious, have you even travel outside of India or been to a country that is much more open and acceptance to diversity?
Joey replied to: sanjay
post - 24 Nov, 2009
post - 24 Nov, 2009
14: I think it's remote...nothing to worry about.
And it does not reflect view of all
Americans. Btw 3,45,000 is not a real
number, do you mean 345,000?
Posted by: Christie Fox - 23 Nov, 2009
15:u should learn numbering system.. 3,45,000 is
a valid representation of a number
jon replied to: Christie Fox
post - 23 Nov, 2009
post - 23 Nov, 2009
16: This extremely awful on part of Americans.
Posted by: Saket - 23 Nov, 2009
17:how come every country has right to protect
its citizen welfare. I dont think so if
America tries to protect its citizen against
unemployment to be bad. I think same thing
Indians enjoy too, for their own desi
companies. So why should we think its unfair
of sort.
Rahul replied to: Saket
post - 23 Nov, 2009
post - 23 Nov, 2009
18: I think we forget the fact that, unemployment
is not because of the indians competing with
the job market - its because of the market
situation. Skilled professionals were hired
and are continued to hire, may be its very
thin now.
I am wondering but for indian who will be doing the core application development - let it be onsite/offshore or opensource or production support.
Considering the companies execution, it will be tough to put fullstop for hiring skilled professionals, may be as mentioned before it might be thin.
I am wondering but for indian who will be doing the core application development - let it be onsite/offshore or opensource or production support.
Considering the companies execution, it will be tough to put fullstop for hiring skilled professionals, may be as mentioned before it might be thin.
some blogger replied to: Rahul
post - 23 Nov, 2009
post - 23 Nov, 2009
19:
The Beginning The working life is
already tough enough, but the worries of
being out of work was even tougher.
he unsecured working environment have prompted
me to search the internet for an alternative source of
extra income so that I could learn how to Make Money Work
for me and be Financially Independent. I listed down a number of
Free Internet Business Opportunity Ideas while researching ways
how people earn money online while working-from-home.......
www.onlineuniversalwork.com
The Beginning The working life is
already tough enough, but the worries of
being out of work was even tougher.
he unsecured working environment have prompted
me to search the internet for an alternative source of
extra income so that I could learn how to Make Money Work
for me and be Financially Independent. I listed down a number of
Free Internet Business Opportunity Ideas while researching ways
how people earn money online while working-from-home.......
www.onlineuniversalwork.com
abass replied to: some blogger
post - 23 Jan, 2010
post - 23 Jan, 2010
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