Times of India- H1 program being abolished ?

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Bill in US Congress to abolish H1-B Visas

IANS[ SATURDAY, JULY 12, 2003 02:01:37 PM ]

WASHINGTON: A quiet move is afoot in the US Congress to do away with the H1-B visa category that has benefited countries like India, particularly its software exports and IT professionals.


A Republican Congressman from Colorado, Tom Tancredo, has introduced a 15-line bill proposing to eliminate all visas under the H1-B category, created in 1952 to provide the US economy with technically skilled foreign workers.



The bill comes at a time of slump in the US economy and unemployment, resulting in an outcry against H1-B visas and tech jobs being shipped abroad, particularly to India, via outsourcing.



Tancredo, who is chairman of the Congressional Immigration Reform Caucus, had earlier also tried to limit H1-B visas without success.



Calling Tancredo's latest bill as "an anti-immigration, anti-tech move disguised as an economic stimulus", Gopal Raju, chairman of the Indian American Centre for Political Awareness, said: "Congressman Tancredo has argued that current unemployment levels in the US warrant an outright cancellation of the H1-B programme in order to save those jobs for American engineers and programmers."



"This move is patently unfair and will not help unemployment. Rather it will cripple the high-tech and other technical industries and undercut the American hi-tech industry's ability to be a competitive global leader."



In a statement issued in New York, Raju said, "There is little evidence that these jobs could be filled immediately by permanent residents and citizens. These jobs would most likely be outsourced, further hurting the economy by removing a substantial tax base."



Bhupi Patel, IACPA president, said: "Indian Americans who have come to this country via the H1-B programme have added significantly to our economy, our culture and our nation as a whole. Any attempt to eliminate this programme would have a profound effect on the Indian American community and would also signal to the world that the US has turned its back on the spirit of diversity that has made us a great nation."



The statement said IACPA would work with other national organisations to highlight this legislation and educate members of the Indian American community on its impact. IACPA is a strong advocate for stronger civil rights and better immigration and hate crimes legislation.



The latest report from India's National Association of Software and Service Companies said India accounted for 77,000 H1-B visas in 2001 but only 33,000 in 2002, and the total is expected to drop to 30,000 this year.



"As of March 2003, India's software exports industry has approximately 120,000 H-1B visas and 15,000 L1 visas. These are a fraction of 195,000 H1-B and 315,000 L1 visas issued in a year by the US," Nasscom stated.



The report adds that about 40,000 Indian H1-B visa holders have returned to India in the past two years, as the US economy has slumped.



The Nasscom report contended that outsourcing has not caused layoffs but has, on the contrary, helped some US companies avert them. US banks, financial services companies and insurance firms saved $6 billion in the past four years by sourcing work to India, it said.



During that time, part of the money saved via outsourcing went toward the addition of 125,000 jobs at those institutions.



"Indian IT companies have and continue to contribute to the US economy by employing nearly 60,000 people in the US in 2001," Nasscom report said. "Nearly 170 Indian IT companies have physical establishments in the US"



Nasscom's report was based on the findings of a study by the global consulting firm McKinsey & Co.
 
Rajiv .... Jim. How can we stop this? Pl advice

Please refer to Times of India

Re: Bill to abolish H1 visas.

what can we do to stop this bill from becoming law?

Please advice.
 
It is not in the best interest of the US govt to abolish H-1B visas. This is an irrational move in a desperate (and probably opportunistic) attempt to get support from American voters, and to show them that they're doing something about this problem. The world is becoming smaller every day, and all of us have to remain competitive. Abolishing H-1's means that US citizens are confessing they can't compete with foreign talent.
 
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