H-1B Restrictions Driving Companies’ Outsourcing, Offshoring

As the Trump Administration tightens up its restrictions on the H-1B visa (as well as the H-4 EAD, which it wants to eliminate completely), it’s worth examining how companies are reacting to the restrictions. Fortunately, one professor at the Wharton School of Business has taken a stab at that kind of analysis (big hat tip to Forbes for surfacing the research paper).

That professor, Britta Glennon, wrote in the May 2019 paper that she used a dataset that combined “firm level data on H-1B visas and multinational firm activity” to examine some key questions about company usage of H-1Bs, including:

“First, do restrictions on H-1B visas result in increased high-skilled foreign affiliate employment? Second, how does any impact differ across firms, industries, and countries? Finally, do these restrictions also affect the location of innovative activity?”

Based on her analysis, Glennon concludes that H-1B restrictions lead to more outsourcing (she also supports the theory, voiced by other researchers, that H-1B immigrants have little impact on local employment rates). Companies that spend most heavily on research and development—such as technology firms—are most likely to engage in this sort of practice. From her paper:

“Firms were more likely to open new foreign affiliates abroad in response [to H-1B restrictions], and employment increased at existing foreign affiliates. The effect is strongest among R&D-intensive firms in industries where services could more easily be offshored. The effect was somewhat geographically concentrated: foreign affiliate employment increased both in countries like India and China with large quantities of high-skilled human capital and in countries like Canada with more relaxed high-skilled immigration policies and closer geographic proximity.”

Glennon’s conclusion seems supported by reports earlier this year that firms were looking to open Canadian offices rather than deal with unpredictability related to the U.S. government’s H-1B policies. “Talented international professionals choose destinations other than the United States to avoid the uncertain working environment that has resulted directly from the agency’s processing delays and inconsistent adjudications,” Marketa Lindt, president of the American Immigration Lawyers Association, told a U.S. House of Representatives hearing during July testimony about delays at U.S. Citizenship and Immigration Services (USCIS), which processes H-1Bs.

Meanwhile, the U.S. government has continued its tightening policies. For example, USCIS wants to institute a $10 registration fee for each H-1B visa application. The agency claims that the added money will allow it to better “adjudicate” applications. The agency recently began asking companies about the type of work that H-1B visa recipients will be doing, such as vendor agreements, subcontractors, and lists of projects. These requests for evidence (RFEs) may have driven a declining rate of visa approvals, and helped spark dozens of corporate lawsuits against the federal government. But is that activity also driving outsourcing (and offshoring)? Give the paper a read for yourself.

88 Responses to “H-1B Restrictions Driving Companies’ Outsourcing, Offshoring”

  1. Donna Bradley

    Good..let them go offshore..it’s better than having then here dropping anchor babies and benefiting from our infrastructure. The US will continue to free-fall downward by importing 3rd world labor.

      • No, it’s not! Nearly half of the new petitions are getting denied, so number of new people coming on H1B are reduced. Along with it government is vastly rejecting the extension petitions as well. Be happy and stop worrying about H1B people who’re already going thru miserable conditions!

    • Funny Pirate

      How about considering this? For people already living in developed countries, USA feels like a third world country and are hence not interested in moving here. Every immigrant who moved to the United States was to escape poverty, war etc. What makes you think it would change now? You did not become an American citizen by just wielding a magic wand!

      • Yours is the dumbest comment of all … The USA is a land of opportunity for people with talent and ambition like no other place (not for those who prefer a free lunch from the government). Your “developed” countries are overregulated and devoid of innovation places, protecting incumbents, creating barriers for startups where those kinds of brightest people waste their lives.
        Your “developed” countries are real 3rd world when it comes to innovation.

        • Funny Pirate

          And you think people from third world countries who are born poor or are escaping war and try to come to USA do not have talent or ambition to succeed? People who are here on H1-B are not expecting free lunches from the government, they are contributing to the US economy. They are here legally as well !

  2. if companies are sending more and more jobs to India….then whats the point of bringing thousands and thousands of H1b people from outside into US ? (specially when there are so many jobless people looking for jobs in the US)

    • Sorella

      The point is: training. There really is that big a gap between the knowledge and performance of H-1bs and the experienced Americans they are replacing. In other comments here we’ve discussed the differences between their education and degrees. So they round up a bunch of young foreigners – what are they going to do without at least seeing something to imitate?

    • Robert E Zurkammer

      Incredible companies go off-shore, provide secret and patented documents to individuals in countries with no confidentiality laws, and feel they get great deal. India and China are largest countries engaged in off-shore companies. They do not recognize copyright and other protective laws. Investors money becomes profit for these countries. How do US make America Great Again when patents are violated in China and India at will. Stupid Americans. Stupid Investors.

  3. Finally, I will have my hour. After struggling in the swamp of Indian IT contractors for years as a fellow contractor, I am finally getting serious job offers rather than 3 month stints. I don’t like the admin, but this is the best IT market I’ve seen in years. This policy is probably welcome to the Indians already here as they are now moving up in the tech chain.

    • Enjoy for the time being. In few years time start crying when most innovations happen in foreign countries and they dominate the world in technology. Already US is behind China in 5G Tech and US is falling behind Canada and China in AI as well. Then you will have to go to these countries begging for jobs. If not you the next generations of Americans will be bearing that fate due to the selfishness of few who thinks restricting High Skilled People increases your chance of getting job.

      • Sorella

        And let’s not get started on the topic of credentials. First, the 3 year Indian bachelor’s degree. Then the bogus “Master of Computer Applications” that the C-suite idiots swallowed whole. Actually, if you look at the syllabus, it’s much closer to a 3 year vocational intensive at a community college. Useful? Sure, but it was used as an excuse to reject American workers because all these wonderful foreign workers had “Master’s” degrees. Accidental misunderstanding or deception?

        • I don’t believe much of the credentials presented. I’ve talked about this with Indian co-workers. Most often, people are given a crash course in whatever it is they’re going to be working on here. Once here, they initially rely on a network of friends an colleagues to get them through a project.

          • Sorella

            I’ve even heard of some maintaining open chat sessions and other lines of communication with more experienced people to help them get through projects and technologies they really weren’t up to par with.

        • I believe it is misunderstandings of political decision-makers. My case in point is the gang of 8 who typically are bottom line driven. My specific reference is Ted Cruz’s comments on the subject stating that each H1B job added 5 other jobs. The misunderstanding comes when his intern failed to tell him what type of jobs are created. The jobs created are service jobs so now those Americans that previously held the high tech roles are shifting to driving Uber, waiting tables, bar tending, real estate agents, insurance producers, and trades which typically pay less than half of their past earnings. The expansion use of H1B caused the problem, initially it was to help supplement high technology PhD level roles, but as many government programs the oversight is lacking and you get unintended results.

        • As someone holding a Master in Computer Application and M.S Computer Science from a U.S university, you don’t know much about Master in Computer Application. It is 6 semesters of Computer Science and Computer applications area. I have lived and worked in U.S for 30 years. I would rather see a faster path to residency/citizenship through H1B so the talent stays in U.S (and yes, rest of us will have to compete with that work force). Limiting H1B will export jobs (of all skill levels, not just low level)

          • As someone who actually holds a US Master’s degree from an esteemed and accredited university, I never said the MCA course work was not potentially useful, only that it was largely how-to skills that most of us learn in community college or vocational training programs. By the time I got to actual grad school, I was supposed to already know how to do computer work with any technology I was studying. You don’t learn how to program or query a database in a proper graduate school – you are already supposed to know anything that is relevant to your studies. What I want to see is a path back into the IT profession for all the Americans who got replaced and shown the door as if they were last week’s trash.

        • Have any of you noticed how many of the RECRUITERS are Indians now? Almost all of them! In the well over 25 years I have done IT, I have seen this industry literally taken over by Indians – in every area! They have so filled up the IT industry that the ones who can’t get jobs in IT switch over to recruiting in order to stay here. The rules for H-1Bs state that they have to leave if they can’t get a job, so they become recruiters. What exactly is “high-tech” about RECRUITING? The H1-B visa was created to address an actual shortage of high tech people in IT and certain science areas due to the advent of PCs (new at the time). Guess what, there is NO shortage now! and the the attached H-4 visas have resulted in nearly every hotel, gas station, taxi cab and donut shop being owned by somebody named Patel. It is sickening to me that I have to lower my rates to get a job these days because I am competing against foreigners in my country for jobs IN MY COUNTRY!!! I can’t go there and get a job!

          • Foreign recruiters are a whole new dimension to the problem! In my last job hunt, I updated my LinkedIn and resume and was mobbed. A few good US recruiters contacted me, and for every one of those there were 10 foreign recruiters. The US recruiters often got me phone screens, interviews and jobs. The foreign recruiters not so much. A couple of phone screens, no face-to-face interviews, and no jobs. Same resume and skill set. What was really going on here?

            As my understanding of the process grew, I was presented with two theories: some people told me that what they really wanted was my resume, so they could gain information they could use to place their countrymen. But I couldn’t prove that. What seemed much more obvious is that what they really wanted was for me to sign their “Right to Represent” as once they had that I would get dropped like a hot rock.

            I was not in the habit of blaming recruiters, but the pattern of discrepancies between the results I got from domestic vs. foreign workers was amazingly clear. I began to question how the foreign recruiters were presenting me, as I was getting nibbles and jobs from the domestic recruiters but nada after the foreign recruiters had my RtR. All I was accomplishing by signing a Right to Represent with a foreign recruiter was allowing them to tie up my candidacy for that particular opening. Then, all they had to do was either present me poorly to the client, or maybe not at all. Then I was out of the running for that position.

            So, I don’t work with foreign recruiters any more.

      • The only reason China is ahead of the US is because all of the patton theft. One of the top items for trade sanctions. A majority of advances in AI would stop if the US pulls back our intellectual property rights. American innovation is far from dead like some people want the populist to believe. MIT, Mines, CU, CSU, MU, Baylor, TU, Texas A&M, UCLA, ASU, and Harvard just to name a few schools 100’s more. Bottom line executive’s want to reduce cost of headcount to make the ebit look stronger for the stock holders. They choose cheap over quality, and cheap many times equals rework, so it fails the fast test too.

  4. sumair sajid

    Funny… Big companies are already offshore/outsourcing the jobs.

    Why do they need to send someone to USA where have to pay high TAX, living charges, USA pay etc etc..

    Stop spreading nonsense.

  5. JoeITworker

    I am lucky the US Government did this, I work for a Indian IT company, a few years ago, they sent a person from India for simple desktop support, they should have hired local. I was told I had to train him if I wanted to seceded.
    I know for a fact, if it wasn’t for these new rules, I would have been fired once I trained the new person from India.

  6. Working on H1B visa in USA- I can say this with no doubt that there is huge difference in work culture and skill set. In India I have seen people from Top to Very bottom in chain- “WORKING” with no time boundaries or weekend breaks.
    In US people like to play Safe, Pass on there work to Indian counter Parts, Stay home 10 days out of 22 working days in a month- calling in with reasons like lawn mowing, car washing, running simple errands.. US tech companies will fail if not for Indian’s standing up and delivering on time.

    I myself have trained multiple US natives in last 16 months since I am here… Still irreplaceable.

    • Sorella

      I’ve never seen American workers do anything like this. Sure they have basic rights, like weekends and a certain amount of time off. It’s the foreigners who don’t seem to understand workers’ basic rights.

      They seem willing to take all sorts of abuse just to have a job, and this degrades their standing as humans, and endangers ours as well. They should stand up like men and insist on the provisions of US labor law.

      And I would never hand off my work to someone else. What if they mess it up? What if they had an incentive, like making me look bad, so they could post nonsense like the comment I’m responding to?

    • Maha Guru

      I have seen such behavior from Americans, In fact, the Indians on H-1B seem to be have bad working habits – sit outside smoking, drinking coffee all the time, and talking among themselves. In short, wasting time.

      • Sorella

        I recently worked in a large company on a project that used a crew of young Indian men here on visas (of course). Their American manager was always having to discipline and criticize them, even during the daily scrum meetings for all to see. They were like a bunch of unruly kids. They made a lot of mistakes.

    • You’re so wrong. I’ve seen Indians (both onshore and offshore) work diligently in covering up their mistakes. I’ve seen large mistakes made that cost firms millions of dollars. Most of these mistakes are covered up.

  7. The Visa workers have done to the white collar what the latinos did to the blue collar workers. I used to make good money as a software engineer. I don’t fault those that come here to make a better living, but I do fault the employers that are taking advantages of the immigrants and paying low wages. This idea that “there aren’t enough Americans to fill positions” is bogus. The problem is “there aren’t enough Americans to fill positions at slave wages”. That’s where the problem is.

    • My newly graduated college friends seem to start at $20/hour lately (not in tech though, it is impossible to get a job in tech if you are not Indian). That is pretty low, although I am sure that the H1Bs are able to go lower.

      The only thing that the employers do not find is someone skilled working for slave wages for a short period of time (like $20/hour for three months contract, or 10 months contract). Lately there are a lot of job announcements like that, some of them from big companies.

      Another thing the big companies want to do is lay off a lot of people when they have a bad quarter, and hire skilled others when they have a good quarter. That is hard to do if you want skilled American people to work for you. The Indians would do anything.

  8. I laugh at all the Indians and their comments here. You are sucking the blood out of another nation because you are unable to clean up your own country and make it economically viable and less corrupt. Then, criticizing the country, you are bleeding and its people who voted in the laws that protect labor and are hurting. That makes you swine.

    We are in the process of removing this mess now. And soon, India will need to find a way to support themselves. As for the companies outsourcing, they too always come back because of the sub-par labor and the fact that the people on top, really do love their country and don’t want to see their friends and family members suffering.

    And don’t forget USCIS, they know what you are doing as do all of the Federal judges around the country, and they have you in their sights. Just look at all the news. They are arresting all of these criminal HR companies leaders now.

    It’s just a matter of time now.

    • Where ever you are it all depends on the capabilities to work and survive. Pointing fingers to each i not going to help. Blame the system most of the part not to people.
      You should raise up and ask yourself how to change your leader and change the system. If you see the history of this country, this whole country is built by immigrants/non-immigrants. We are also trying to give something for betterment. Don’t blame all because of only handful of companies did something.

      • S386 will be dead on arrival and Cuccinella just made the beautiful comment of what he wants to happen to this H1B Visa mess.

        Mr Cuccinelli’s comment ” I want it to cost more to use non-American workers because if you are willing to pay that amount, that’ actually the truest test to me that, in fact, in that particular market, we really do need temporary foreign workers” is perfect.

        He’s also about to become the head of DHS. He knows the risk to security as well. So TaTa (pun intended) and see ya later.

        • Still, call your representative – HR1044 is being amended and that will need to be agreed to – then back to the senate as an amended s386. That bill is bad. We need our immigration laws to support our needs – not the wishes of foreign interests which have gamed our systems.

  9. H1b approval rating is still good. L1 is super good. their green card approval is great. Not much have done so far to save Citizens.

    Many client’s customer services have offshore offices taking away non-it jobs as well. Surviving in US is not easy anymore.

    If client prefer offshore increase corporate taxes to pay unemployment.

    • So, why is India still such a wreck. Hmm, let’s see…systemic corruption. Even IF you are correct, automation and AI will take it all within the next 10 years. Universal income will only be for Americans and you’ll be without…again. Do you really think the high taxation of American companies’ AI is going to trickle down to Indians? Best fix your own country and its corruption. You’ve got large companies there. I wonder if they will pay you all a universal income. Yes, fix your own country, it’s the only thing that will save you. I am saying this because you are depending on a foreign market for your economy. It’s dangerous and if we are in a global war at point, you will have no leverage but to spend Indian lives in our stead. It’s a crappy way to live.

    • Believe this, because the company I am working for is has been laying off hundreds at a time. We are talking about knowledgeable, skilled citizens that know the business and tech. They are being made to train their replacements and those replacements are inferior.

    • Saurabh Bhatnagar

      That company is just following the USCIS regulation when they start the H1b process for an employee. They are required to post the LCA in a prominent place either on their website or at the work location. Stop spreading fake news!

  10. Duh!

    If US firms cannot find capable and affordable workers in the US, whether that is US citizens or foreigners on some kind of visa, they will move work to a place where there is supply. I don’t see the need for some kind of paper written by a professor to establish that. Anyone with basic knowledge of the law of supply and demand SHOULD come to the same conclusion.

    If you are in IT and you are currently unemployed: take a close look at your skills and where you are located. Update your skills to what is needed now, or move to an area where your COBOL knowledge has value!

    PS Believe it or not: there really still is a need for COBOL developers…

  11. It is a disgrace to use of foreign labor as a wedge against the good people of the USA (and their children). Only a sociopath would follow such a course. In this corporate oligarchy of crony-capitalism and globalist swine, only the crap rises to the top. Look at those people that cause you to cringe and feel uneasy to be around because they have no conscience and you can feel it… and beware of them, for as long as we allow these things to continue, they will someday be your boss; you sheep. We reign these bastards in, or they will destroy us. MAGA!!!

  12. Dice is a schill for the H1B virus. Cheap tech labor lines the pockets of big tech companies and those line Dice’s pockets. Meanwhile Americans pay the price from non-tech incomes.

  13. Tina J Emam

    I want to see who paid for this research. Professors at the Wharton School of Business don’t produce white papers and research without somebody financing a grant to do it. So who paid for these numbers?

  14. Deborah Richards

    Legal slave labor, then the corps get tax breaks off of our tax money, and we foot the bills. Then we are told no money for healthcare, education, or infrastructure. The corps have no social contract with the country anymore, they are not made to. They do whatever they please because the teeth of labor were pulled under Reagan. Support labor, vote the corporate suck ups out of office, get rid of the electoral college, take the country back and make laws to protect the citizens.

  15. I don’t need any research paper because I can freely observe and assess skillset of H1B employees and resources. An overwhelming majority from the 3 rd world are unqualified for the positions they are filling. Fake degrees and resume are rampant. Out of 10 people about 8 or 9 have fictitious resume and or degree. Logically, If they had great schools people would not live in horrific conditions. Google or check on youtb for yourselves.

  16. Charles Glass

    I am a healthy over 65 past IT worker ( a mainframe systems programmer ) who was retired by the onslaught of foreigners into my profession and if the government now truly reverses itself I might see if I can get a job in the profession and do better than my paltry Social Security monthly payment.

  17. If an indian hires another indian there are money or favors being exchanged. It might be a lump sum or it might be monthly. It may be through relatives back in India. There is always corruption and kickbacks that occur on multiple layers.

  18. Scott Spurlock

    Send it offshore. BUT, realize that software is a tangible, created product. If an American company wants to use software created offshore, there needs to be a system put in place to value the software usage and apply tariffs accordingly. My only interest is in de-incentivizing the exporting of work to cheap labor overseas or the importing of cheap labor that costs qualified Americans the ability to support themselves and their families. Complex as it is, putting steep tariffs on the product produced by non-Americans seems the only way to do that.

  19. H1B exploitation is not very different from other capitalistic exploitations. Frankly some of the folks here seem to be disgruntled employees. There is exploitation in both directions. Many multinational companies exploit labor in these countries (China in particular). There have been documented instances of horrific working conditions, child labor, not compensating victims in the event of catastrophic accidents (even the ones that have 1000s of victims), etc., In terms of foreigners dominating US institutions has anyone here seen the percentage of people enrolled from India and China in Masters and PhD programs? Increasingly, universities also enroll fair number of undergrads who pay full tuition (cash cow for Universities). BTW universities do a much better job of validating foreign degrees and obviously our Govt is not able to do that for H1B. I think the real question is what are we doing to get our kids to aspire for higher degrees and dominate these fields. If we really want to reform H1B program we have to think creatively and perhaps make some education here in the US mandatory. In this capitalistic system I don’t think protectionism is going to go too far and if we want to stop exploitation shouldn’t it be in both directions.

  20. William Levan

    I agree with you. In order to protect American Workers:
    WE need to tariff foreign produced products and foreign labor used to produce products whether it be software, hardware or other products. WE also need to tax the use of foreign workers or have a tariff on them being imported into this country.
    That will help in MAGA.
    So far Trump has been the only one in gov’t that seems to understand that we must MAGA and jobs are as big a product in that as anything else, maybe more so.

    • We don’t need no stinkin’ tariffs. It just makes everything more expensive. It is a tax you and I pay.

      Make sure that whatever you produce is of great quality and priced competitively. That is how you survive!

  21. Corporate greed is going to make this a perpetual issue, until there’s a change in behavior there it will never go away. Why pay an American full-time when you can get someone from Asia who will work on a temporary basis, accept whatever abuse is thrown at them and do it cheaper. Would be nice if the government could find a way to get ahead of this but it’s not gonna come from this sloppy, reckless administration. It would be better to have foreign workers here contributing to the tax base and economy than having the work chased out of the country altogether. BTW for those wondering why there’s such an abundance of workers in Asia to compete with Americans, keep in mind that India and China are the two most populous countries in the world, 4-5 times the size of America. Many of the same people supporting the sloppy efforts of the trump admin on this front were likely mocking John Kerry back in 04 when he said he wanted to tax companies who outsource at a higher rate.

  22. It’s the fault of American companies, immigration law firms and business lobbyists.

    India is simply taking advantage of a really great thing for themselves. I’m also against the H1b and L1 visa programs, but it’s not gonna stop. If anyone knows a way to stop both of these programs, then there needs to be reporters involved. But anyone you go to to complain, might be let go from your jobs for bringing it up or complaining, lack of diversity, discriminatory and whatever the company wants to call it. Remember, everything is at will employment!!

    Stop complaining about these visas. You’ll likely not get too far.

    This can only be stopped in its tracks via executive order. The only other way I can think of is by organizing a union, but that doesn’t seem to be gaining much traction!! Any other ideas? Thanks, Ronald

  23. Carlton M

    Thanks to all for some great insights and comments, except the ridiculous referral to corporations all being bad and we need to remove the Electoral College. Let’s see, remove Electoral College to give in to the Clinton’s drive to do so to support their water rights fights. RIGHT, we all want Nueva York and LA to run the country! What the hell are you thinking? Take some history classes or bother to read of our heritage. FYI, a vast majority of corporations are small family-type owned businesses, and all corps are not evil, period. Blaming corps on everything is pure stupid listening to the C’s of the media. I have owned straight and Sub S corps, usually with a handful of small investors, profitably, with no foreign employees, even when in El Paso. Sadly and not always, the worst employees i’ve ever had were past military. I know that this is unusual. Also, some corps often react to stockholders who want high profits regardless of means. Don’t buy stock in them! ALL America needs to educate themselves on the new worldwide WWIII – Economic War. We must win this just like all the others we won.
    China evil? Damn right, as I have written over 1600 patents for American inventors to see them cheaply copied and stolen from by Chinese. That country is a threat to all of humanity, in all ways. Want another country to harmfully invade the world? Sure, let government run it!

    I can easily fault Trump on anything wished, but never on worldwide dealings or on his successful drive of the economic boom since before him. He may be the only truly qualified economic leader we’ve ever had. Why? Because he has dealt worldwide business deals, when our other “leaders” have almost never. I obviously congratulate Ben Franklin maybe first. Louisiana Purchase not bad, right? I’m glad he liked French girlfriends!
    So happy that most who commented here are well informed and make intelligent, experienced thoughts vocal. So hope that all types of forums yield to more of these individuals. Thank you immensely.

    • Carlton,
      Here’s something else to chew on. As the media and the United States go wild about China and Hong Kong, I ponder the hypocrisy of it all. The rage over Hong Kong is because they are fighting and protesting, and we are willing to stop doing business with China for human rights violations. But what about India? Yes, India, the country that is destroying the U.S. labor market with thieving and fraudulent actions. They still legally have child brides in India and sell and beat women and children like animals. But Senators Lee and Harris want more of it! I double down on Senator Harris because she’s a woman, and this is sick! Just sick.

      S386 and HR 1044 gave Indians the green light for their behavior and a medal for their actions. They are turning our labor market into their brand of disarray. What used to be an organized and somewhat respective field of recruiting has turned into a 3rd world bazaar laced with data mining. H1B Visa personnel also illegally share information (like U.S. banks sharing YOUR info with U.S. insurance companies because the people are on foreign soil). They intercept the transfer of data and information throughout our country because they now have access to systems that permit them to do it. One small example of this is if you apply for a job that they want to go to an Indian and they have control of the corporate job board and emails, they can delete the email and erase your application. This is one of many examples of what is going on behind corporate networks.

      So why while we are up in arms about China, there is another villain in our midst. The only difference is that this villain smiles and says, “Yes, sir. Yes, sir, you’re brilliant, and I’ll do whatever you want.” Executives buy into outsourcing IT because of this kind of seduction.

      Finally, India is a bigger criminal to its people than China. Time to kick ’em all out and start a new fair system!

      No raising the cap on fraud, please!

      Also, remember TCS, HCL, and all the Indian outsourcing companies force their H1B Visa holding to apply for Green Cards. The reason is that while they are on the waiting list, they can stay for as long as it takes to be accepted or rejected. THIS is why the numbers are so high and NO OTHER REASON.

  24. if you goto walmart for grocery or stand on the side of any road, you see people from all race , religion and countries….but if you check the IT org of any US company, its 80-90% are only indian. its almost impossible to get job in IT when the interview panel only consists of indians. you might have seen promotion emails at work and you will notice that 80-90% people promoted are only indian. this kind of out of turn promotions discourages non-indians at work.

    currently indians are trying to pass s386 and HR1044. indian already getting 20% green cards per year and rest of world countries only gets 7% (per country). passing s386 & HR1044 will open flood gates for them. this will bring down wages in IT to maybe half of current and uncertainty will increase (which is already at peak). due to declining wages, people will start leaving IT and moving to other professions and wages will start going down there as well (a typical chain reaction). home prices will go high due to inflow of millions and millions of indians and many people will go below poverty line resulting in pockets of homeless people poping up in our neighborhoods.

    some people say that s386 and HR1044 is for indians already in US but that doesn’t seem to be true. green card is for future employment. there are millions of indians whose green card is filed and they are either in canada or india etc just waiting. once S386/HR1044 is passed and their GC is approved, they all will rush back to US.

    I personally think that H1b must have per country quota so that this indian backlog is reduced with the passage of time and align it will green card quota. also these outsourcing/offshore companies submit thousands and thousands of h1b applications to get upper edge in h1b lottery which clogs the whole system…..so i think USCIS should not return money to those companies whose applications are not selected. some indians say that they are high skilled and therefore getting the jobs. well… try asking any indian at work about their qualification….you will find that hardly 5% are US masters degree holder and remaining ones only have basic indian education in computer science. you will also find some don’t even have their basic education in IT but working in a senior level positions in IT.

  25. For those showering negative comments on India techies :
    “Survival of fittest” – Simple fact ! Those who are not smart will eventually perish. In the 21st century doesn’t matter if you born in rich country or poor country. Any school in metro areas of USA has most of the topper students from India. Any national competion from USA you see only india faces. All this is just co-incidence ? Note that influx in India to US immigration only started at the late 90s. So, this is just beginning. Just wait for next 20 years you see the impact once first generation Indian US citizens enter into job market. Also most of crtical – core development projects where immense brain work is needed like those which goes into Microsoft Product Development or Oracle Product Development is already offshored to India from 2005. I’ve been part of those projects in India where core work is done by Indians and all the support work like picking and answering support calls from customers was done by American citizens durig US time. I pity US citizens commenting without knowing facts. Just visit top 10 IT companies in USA and talk to your US citizen friends. Almost every project I worked had a white US born manager who hired and fired American citizen and favoured hard working Indians when it comes to quality of work being develiered. At end of the day Business is Business for people who hire and pay !!! So stop complaining and start competitng inorder to survive. Don’t expect favoritism just because you were born in USA. Welcome to 21st century. Note that not just US companies but countries like Canada, UK and Austrialia etc are hiring only bright Indian techies for their IT work. They will continue to do so as they are not racists and purely consider skills required during interviews. I know of cases where for months or even a year they wait to find a candidate in USA and offshore job to India eventually. Because at the end of they day US managers are answerable. So if they hire a wrong candidate they will face the consequences. I have also worked with Super smart American born citizens in my career and they never complained in this manner. It’s just their number is small- may be 1 out of 10 US graduates are really smart. Rest of them can hardly compete with even 10th Grade India student. Might be the US Education system needs a reform. Let’s see ! USA is always open in attracting best talents. That’s how it has come to that position. Never forget that. It’s the first generation of 18th,9th and 20th centurty American Citizens who worked really hard(mostly immigrants) and made the most powerful country in history. So if 21st century born Americans were born lazy and in-competent and start complaining – it’s not a good sign. Fix that problem by finding the root-cause. See our kids can compete starting at school level and then at job level. Think about it ! I am writing in all this with great love for our country USA. So always remember “Fitttest WILL survive” period.

    • If Indian workers were so great, why did Nasscom have to pay so much for lobbyists to influence our politicians to let you guys in, and in such huge numbers? There is a big difference between “a shortage of skilled workers” and bringing in an Indian crew and forcing the Americans to train them, and then firing the Americans. That’s not filling a shortage, that’s replacement. Why was so much of the modern IT field invented here, and not in India? America has been a great IT power since the 1930s. In the 1950s and afterwards we were exploding with IT success story after success story. What was happening in India then? No, India has found a comfy coattail to ride on, and is fighting hard to keep the gravy train rolling. India saw something it wanted, and the bag of (dirty) tricks was opened. India has laid claim to our jobs, our wealth, and even our history – a nation whose population outnumbers us by around 4 to 1. Wake up, America. Your job is next.

    • Yes, business is business and they can get Indian labor cheap so they fire Americans and hire H-1B Indians while claiming there are zero Americans who can do the job. Except the American who had the job until they found a cheaper Indian. Trump is right to call these companies on their lies.

    • Fittest?! I’ve been in IT for 20 years. The ineptitude of the Indian foreign labor is HILARIOUS. Fittest? LOLOLOLOL! You’re just simple criminals that saw that a family left their door open when we went on vacation and helped yourselves. But guess what? WE”RE BAAAAAACK!

  26. One of the universal characteristics of somebody who’s trying to get away with doing dirt to someone else is: to try and make people – especially the victim – believe it’s their fault, that they somehow deserve mistreatment. We’re seeing this here, and no surprise, it’s how they ran the caste system for millennia. They told stories about how the lower castes deserved to be where they were. Now they’re telling stories about us. Pay attention, America, we’re next.

    • Next? Hello, we’re the ones they’re telling don’t deserve the job because they can get an H-1B for less. Been telling us that for years. Just ask the Disney employees who were forced to train their H-1B replacements if they wanted unemployment.

  27. So rather than hire Americans they’re so determined to hire Indians that they’re opening offices in Canada? How do the Canadians that they won’t hire for those new “Canadian” jobs feel about that? Probably about as ecstatic as we unemployed Americans who they refuse to hire.

  28. H1B is just a scam by companies to lower costs and increase profits.

    The research is flawed. For smaller companies, they will not open operations overseas to compensate. However, Andy is correct. The numbers have not changed for the past decade.

  29. You cannot blame the indians or the companies at all. It’s the U.S. companies and the congress that they paid/lobbied that let this happen in the first place, not only in IT but in manufacturing and many other areas. Don’t really see a way to change it at this point. Get or learn a job that cannot be outsourced at a cheaper rate is all I can think of.

    • I can blame the Indians. Our government has its part, but the Indians cheat in interviews and on resumes in order to get our jobs. The Indians hire only other Indians once they get a job in America. We have to blame them for that.

  30. Based on all these comments I have seen and experienced everything first hand. My family and I are living just above the poverty line because of corruption inside and outside of the US Government. Yes I used to make 6 figures, Yes I trained and also busted my butt while others get promoted by my efforts. And Yes I am being told “No cant help you” when I am in need of help. Native born US Citizens know this…”We the People” elect the politicians from local government to those who are running our government today. “We the People” have let the Open Borders overrun our communities. “We the People” are the same people who train “the foreigners” to fill positions US Native born citizens refuse to take. “We the People” have to accept the fact “we” started this mess and “we” have to fix it. Yes on all scales of the spectrum, Democrat, Republican, independent alike. Look at our current administration….Where in history have you seen, or experienced a President, his cabinet, etc…tell Congress No! This stone walling is “our” fault because we have elected and chosen these same individuals to run “our” lives. We have fallen blind to scandal, corruption, lies and treachery. Here is everyone’s favor example. Taxes/Social Security etc… We pay in taxes for what?? It surely isn’t for those who contributed all their lives and expect to have that available to use when retirement comes. We file taxes because the government ( IRS & Census ) bureaus for example can invade our personal lives and “tax” on what we earn. To allow our streets to fall in disarray so the upper class can benefit from deductions they invent – Or better yet – “Build a Wall” So when we come to the government for help they tell us to live in our cars, and off the streets…deny us the help we truly deserve. Why is Social Security going broke? We allowed it to happen because we allow H1Bs to file tax exemptions among other entitlements. “We the People” have changed the way America is today. Yes, there will be comments on both sides but America, change your comment direction!! Use your Constitutional right to “take control” of our lives again. Contact your Senator, Congressperson, local government, etc… Start saying No! Start training( re-training ) the unemployed, get them back to work so they can rebuild their lives. Yes Corporate America, from skilled labors to executives, bring back affordable if not Free training and internships to Retrain and Wake up America. “We the People” are not prospering if we continue to let it happen. Our government officials are there and are in “our favor” “We the People” vote, pay our dues to survive. “We” elected them to work in our best interest. As my Grandmother used to say – What we Give -We can Take Away.

  31. US is very big economic country and creates lot of jobs to developing countries.
    H1b is not a big revenue for US economy, not sure why people are very much concern about it.
    H1-visa is mainly benefited by corp-orates to save their taxes and make good revenues…