AT&T Layoffs, Outsourcing Show H-1B Denials Aren’t Curbing Visa Use

AT&T is engaged in sweeping layoffs, according to a new report from Axios, which also suggested that the telecom giant is engaged in significant outsourcing.

“AT&T is poised to send thousands into the new year hunting for new jobs after assigning them to train their own foreign replacements,” Axios wrote, based on documents and firsthand conversations with laid-off workers. “They aren’t being offered severance or early retirement, and may not easily find a comparable job elsewhere with similar pay.”

AT&T has business-services contracts with IBM, Tech Mahindra, and other firms, all of which provide contractors who can take the place of full-time workers. “We are continuously working to be more efficient in our operations,” an AT&T spokesperson told Axios, although the company refused to confirm or deny exactly how many positions it had outsourced to contracting firms. 

Trading full-time employees for contractors is a practice under severe scrutiny at the moment, especially within the context of the H-1B visa program, which critics suggest is being used by companies across the country to import cheaper labor. Professional consulting and business-services firms that petition for numerous H-1B visas every year are finding an increasing number of their applications either forced into review or denied. 

Indeed, a recent analysis by the National Foundation for American Policy (NFAP) of U.S. Citizenship and Immigration Services (USCIS) data noted that denial rates for H-1B petitions had skyrocketed to 24 percent through the third quarter of fiscal year 2019.

“At least 12 companies that provide professional or IT services to other U.S. companies, including Accenture, Capgemini and others, had denial rates over 30 percent through the first three quarters of FY 2019,” the report (PDF) added. “Most of these companies had denial rates between 2 percent and 7 percent as recently as FY 2015.”

Just look at the spikes in this chart:

Many companies have responded to these restrictions by outsourcing jobs and opening offices in other countries, including Canada. “I was a serial entrepreneur and I spent most of my career watching a brain drain from Canada,” Yung Wu, the CEO of Toronto-based MaRS Discovery District, a tech-innovation hub for startups, told Vox earlier this year. “This is the first time in my career I’ve seen a brain gain.”

In a statement to Mother Jones, a USCIS spokesman suggested that the agency’s crackdowns were “designed to protect U.S. workers, cut down on frivolous petitions, strengthen the transparency of employment-based visa programs, and improve the integrity of the immigration petition process.”

But those changes to the H-1B and other visa programs (for example, the federal government’s efforts to kill the H-4 EAD are rolling forward, despite some recent court battles) clearly haven’t stopped many companies from continuing to petition for the visa, as well as outsource at least some of their employees. 

85 Responses to “AT&T Layoffs, Outsourcing Show H-1B Denials Aren’t Curbing Visa Use”

    • Former employee

      It is definitely true. They rebadged a boatload of Americans to Indian consulting firms and the former employees are training said Indians to take their jobs

  1. Folks badly wanted to cut back on H1Bs, which the administration delivered. OTOH companies move jobs to places where they can staff their efforts adequately while keeping their costs down.

    CEOs are rewarded by Wall St. and even the retail investors for improving margins which depends to some extent on managing costs apart from delivering products of value. Protecting jobs is unfortunately not part of the equation.

    • jake_leone

      No the problem is that we give H-1b, B-1, even OPT visas to outsourcing companies. These companies don’t need government assistance, it is insane to give them such assistance. And specifically that assistance is the ability to bypass the American Free Labor market, in favor of an external market where the workers are will to work for less.

      We can’t really stop Outsourcing, the model is simple move jobs to where the labor is cheaper. Because the dollar is so valued, people work on minimum wage in the U.S. pay more in taxes than the average overseas worker. Again, it is impossible to stop Outsourcing.

      The issue is, should our government be rolling out the red-carpet. Give every break to such companies? No Way!!!

      The U.S. government should give no market manipulating help to such companies. The companies should use the U.S. Free Labor market exclusively, since they don’t benefit the U.S. economy. Outsourcing may benefit companies, and hey we believe in Capitalism, so that is actually okay.

      But lets be clear, H-1b, OPT, and B-1 are not Capitalism, they are Federal government programs that manipulate the free market, essentially picking the winners and the losers. They are fundamentally anti-capitalist, since they are corporate welfare that benefits companies with the resources to pursue them.

      Instead, such programs should be replaced by a better Green Card system. We should never have unlimited immigration, our cities can’t build enough housing fast enough. But we should encourage healthy free market competition for labor. And not allow lobbyists and campaign donors to write our immigration laws.

      • that is not true most of the action before does earn a really good salary and live and learn highest salary standards.i agree system is rigged and that is why President is putting check on these things by putting stringent framework in place.

        Also these folks are ready to learn new technologies andinvest in New learning and come ready and prepared Than some of their American counterparts.

        • jake_leone

          Because the government facilitates the removal of jobs, in essence subverts the market, picks the winners and losers, we can’t really know who is best, because the people being asked to train their replacements are never given a chance to compete for those jobs.

          Instead of a temporary visa system, controlled by the employer, and held over the employee, which is an entirely artificial way of subverting the market. We should instead have a Green Card system controlled by the employee, so that the worker isn’t in the country (or back to abject poverty) at the whim of the employer. Every citizen and Green Card holder in the U.S. has that right, it is fundamental to capitalism and ownership of the means of production, in this case our own bodies.

          And what evidence do you have that “these folks” are more ready to learn new technologies than some of their American counterparts? You don’t, what you have is a stereotype of Americans. That stereotype is bigotted. And is flawed thinking on your part, I feel sorry for you.

          The one thing we do know is that the people coming in on temporary visas are trainees. They are not “The Best”, “The Best” are in fact training their replacements. So that those replacements can facilitate the complete removal of thousands of jobs to another country.

          And in doing so, costing the American people the value of the lost tax revenue and the cost to keep the better qualified, more experienced workers from starving via the unemployment line. And, keep this in mind, a person on unemployment insurance in the United States costs more than the average worker in many of the destination countries of the Offshore Outsourcing companies.

          Do you even understand what Offshore Outsourcing is? It is where people from another a company operating in another country use our visa system to assist them in removing jobs from the United States.

          A plain question we Americans need to ask ourselves. Why on Earth should our visa system give assistance to companies that are removing jobs from the United States. No, that is completely insane. The reason why we even have laws that benefit job destroying companies is because of our liberal political campaign contributions laws. We have a video of Hillary Clinton, in India, praising the Offshore Outsourcing companies, at the same as America was experiencing the worst recession, since the Great Depression.

          Look, I believe in Capitalism, but people are not goods to be traded across the ocean like so much chattle. People require a support infrastructure, in this case bought and paid for by the people of the United States. That, literally, requires that our government work on behalf of people in the United States (and that’s citizens and Green Card holders), for the benefit of the people who provided that infrastructure. For the benefit of the people who have pledged their lives to defend it.

          So we are completely within our right to want to ensure that our laws (in this case temporary visas) work to benefit the American people and to ensure a fair competition for jobs within the United States.

  2. It’s absolutely true. This type of outsourcing and forcing employees to train their foreign replacements has been going on for at least the few years I’ve been at AT&T. AT&T, and I assume many other companies as well, simply don’t understand that the people need to come first. If the employees love the job and have security, then they’ll want to be with that company. What has happened is that on some teams, there are now more workers from India than from the US. It creates a hostile environment at work because it is a crazy culture clash. We sell thousands of our jobs to other companies as well. I met an employee in August that was set to retire in December. Instead, she now works for HP because we transferred 3,000 people to another company. No retirement, no severance, just a day one employee after spending just under 20 years with AT&T. Companies have once again found another way to make a few people at the top richer, while screwing over thousands.

    • When you are in the market to buy a new car, are you primarily looking to buy a car made in the US by US people or a car that is good value for your hard earned money? (Cars or anything for that matter). Do you assume that whatever has been built in the US by the people here ends up with the best quality? When you select stocks to invest, do you explicitly look for companies that only or predominantly employ Americans or just look at their performance?

      We seem to give ourselves a pass but expect very different standards from corporations, which by exist to make a profit so that people find their stock good enough to buy.

      I personally don’t know what is right and what is not. It is a fact that capital seeks efficiency. Unfortunately, this gets applied ruthlessly (no matter who is on which side of the efficiency barrier) and has the potential to destroy well-set lives.

      • Jake Leone

        The problem is that H-1b, OPT, and B-1 are U.S. government programs that allows employers to bypass the U.S. Free Market (in this case the Free Market for Labor).

        If we had a better Green Card system (although still limited), then normal market forces would be restored.

        Businesses on Main St. USA have to use the Capitalist system they don’t get to go to say another country and just pickup regular workers and haul them in. When I go to get permitted contract work on my house, I have to pay what the market will offer.

        Why should some business be allowed to bypass that with an indentured workforce? A workforce that cannot say, I quit, unless they are willing to return to abject poverty in another country. But even more insane, why should we facilitate such market bypass with U.S. Federal Government program?

      • I see where you’re coming from, but not sure I agree with the comparison. These corporations doing these outsourcing practices are far wealthier than individuals and pay far less taxes. American wages have not increased measurably in decades, while these corporations have increased in both net worth and income greatly in the same time period. Americans are basically forced to find value given the crunch of inflation, flat wages, and tax burdens. These corporations get no pass.

    • Looks like a dodged a bullet, then. I was up for a position at AT&T about 1-1/2 years ago only to hear at the last minute that HR had frozen the hiring process. Would I have been there only to find myself not in line for a promotion and/or a raise but, instead, training my replacement?

  3. 25+ years of this bs and it’s still going on! Those changes at USCIS don’t mean a damn thing. Those numbers are meaningless. There are some very sneaky SOBs out there that know exactly how to game the system.

    H1b and L1 visas aren’t going anywhere. We’re giving the vast majority of our jobs to India and will continue to do so into the foreseeable future.

    US immigration attorneys know exactly how to game the system and large corporations are their bread and butter.

    The only way is to stop it completely and we all know how that’s going!!

    • I came to the US 3 decades ago and worked on an H1B visa before becoming a naturalized citizen of this great nation. While I benefited from the program, I do agree with with your analysis- attorneys and companies will find ways to game the system.
      In my small way of giving back, I do my best to train my fellow colleagues whenever I get an opportunity. As I am getting closer to retirement, I am planning to spend time training kids as well as others wanted to retrain in hitech. My two cents is that every person employed on an H1B must be required to perform community service to improve the job skills of at least two Americans every 3 years, since it takes time to train someone.

      • Johnathan OColmain

        Better the vast wealth of these treasonous executives and the public officials responsible for the occupational genocide of American technical workers be taken back and used to compensate their victims.

  4. ATT and other companies have been playing this game for a long time. I am glad that this administration is doing something about the H-1B Visa fiasco!
    ATT and others can realize efficiencies in many other ways/areas, but they choose the easy/lazy way. Yet, internally they give you lots of lip service – “Our employs are our biggest asset”. Right!
    They lay you off and ship your job overseas. If you are skilled, a few months later you may get a call from an Overseas based contracting company trying to get you to work for ATT as a contractor without any benefits and half of what you use to make.
    Would you say this is unethical?

  5. ATT and other companies have been playing this game for a long time. I am glad that this administration is doing something about the H-1B Visa fiasco!
    ATT and others can realize efficiencies in many other ways/areas, but they choose the easy/lazy way. Yet, internally they give you lots of lip service – “Our employs are our biggest asset”. Right!
    They lay you off and ship your job overseas. If you are skilled, a few months later you may get a call from an Overseas based contracting company trying to get you to work for ATT as a contractor without any benefits and half of what you used to make.

    • Johnathan OColmain

      You might notice that the corporate costs of keeping their pampered executives in obscene luxury is only going up. No effort to cut costs there. The techies are paying for it, use of foreign scab sycophants against the tech employees and schmoozing politicians are the weapons driving this, not market forces. There is nothing in the free market that makes one employee worth more than thousands of actual productive workers. This is driven at the highest levels as part of the extermination of the middle class and re-establishment of a system of serfdom.

  6. Cutting H1B number a is classic way of US problem solving skills ( which has pretty much never worked in long term). Fix the education system. it’s so hard to get A decent software developers( yes even in 2020) that there is very Difficult to pass on qualified people from India and increasing from South America and East Europe. Current US education system is a capitalist business making it very tough to educate bulk population. It serves only to wealthy school owner and not the country. Fix that, get bulk population educated properly and you won’t need H1bs .

    • There are plenary of educated and skill people in the US! I have been in the high-tech industry for 35 years and I know what I am talking about. I agree that the cost for higher education in general is out of control and needs to be addressed/fixed, but we still have the best system. Why is it that millions come from overseas to attend US universities?

    • AmericanSTEMWorker

      Another racist attempt to rewrite history. The US had the first nuclear bomb, the first moon landing, the best software and hardware long before H1B entered the scene.

      You are still trying to sell us the idea that Americans are not smart enough and don’t work hard enough. Yet your country eats rats for dinner, defecates in the streets and does not provide basic sanitation (i.e. toilets) for a majority of the population. We no longer want what you are selling!!

  7. As a former employee of AT&T they will never improve their work force by out sourcing their work. Most of the Customer and Tech support employees don’t speak English or very broken English. Most of them have NO clue what you are talking about and don’t seem to care. If AT&T want to become the good company it use to be stop out sourcing all the work and leave it with people that know what they are doing and really care. They wil continue to loose customers if they continue to out source.

    • Johnathan OColmain

      This isn’t just about saving money, more can be saved in those bloated executive compensation packages. The goof ups from these sycophantic incompetant scabs such as the crashing of the jumbo jets by $3/Hr scabs is costly. It’s about occupational genocide.

  8. MuggedByAtt

    I am trying my best to avoid giving any business to ATT. They will do anything it takes to extract a nickel from you. They will try to trick you any chance they get. One problem is they have a monopoly in several business types. How did this happen?

    • Dan Schultz

      AT&T has done the same thing after buying out Direct TV and someone should investigate this mess which as caused an increasing number of former Direct TV customers to look for better service elsewhere as I did.

  9. I don’t like doing business with ATT. They will lure you in with all the cheap rates, and rewards then surprise with you a big monthly bill. Couple things I learned is: Never do business with ATT, and never do business on the phones. They will promise you anything to get you sign the contract.

  10. AT&T has spent billions on acquisitions which are questionable. They will now spend billions buying back stock for a activist investor with only a 1% holding. They don’t are about employees and are screwing up everything.

    • StopTheBS

      HAHA… Sush blatant horseshit it’s laughable! Show me the data to support this asinine assertion.

      … And yes, I work in banking where there’s a lot of IT outsourcing and yes, you’re right (to one of the posters above), half the time they don’t understand or comprehend what you’re trying to explain, not to mention this other fact: These big outsourcing companies LIE ON THE RESUMES OF THESE CANDIDATES! We’ve seen multiple times where we’ve had “resumes” of candidates submitted and they are LITERALLY, VERBATIM… THE SAME EXACT RESUME. Fraud much? Or, when you call them out to explain some of the “past work” on their resume, it’s obvious it’s all BS… THIS GOES ON ALL WEEK, EVERY WEEK.

      … Yeah, any claim of these “highly skilled” candidates filling a job that can’t be filled by an American is 100% a flaming pile of horseshit

      • TiredOfzliberals

        h1b is just a scam for big companies to make money by slave trading. Indians will lie, cheat and steal to get into usa. they work for peanuts just to get green card.
        the stupid c level execs feel workers are beneath them and that anyone can do their job. they get fooled with fake cv and experience thinking they “saved’ company money.
        how did that ATT moron word it. headcount rationalization.

    • AmericanSTEMWorker

      Please take your corrupt labor schemes and racist attitudes back to India. We both know you can barely implement the flush toilet in your home country, because of the high levels of corruption there. We don’t want it here and 2020 is the year we send you home.

      • Prakash

        How racist is this comment and how come DICE approves these type of racist comments?

        DICE, are you guys racists?

        No one is above law. This person is a racist and should be punished legally. If immigrants are to be sent back to their home then no one except native Americans can stay here.

  11. EnoughExcuses

    I work in banking where there’s a lot of IT outsourcing and yes, a lot of you are right, half the time they don’t understand or comprehend what you’re trying to explain, not to mention this other fact: These big outsourcing companies LIE ON THE RESUMES OF THESE CANDIDATES! We’ve seen multiple times where we’ve had “resumes” of candidates submitted and they are LITERALLY, VERBATIM… THE SAME EXACT RESUME. Fraud much? Or, when you call them out to explain some of the “past work” on their resume, it’s obvious it’s all BS… THIS GOES ON ALL WEEK, EVERY WEEK.

    … Yeah, any claim of these “highly skilled” candidates filling a job that can’t be filled by an American is 100% a flaming pile of horseshit

  12. Out Soourcing Body Shop

    2020 bay area housing bubble will drop by 70 percent. Trump admin is doing something to stop IT OutSourcing / Human Body Shopping that previous administration failed altogether. Kudos to Trump admin and this admin should stop H1B and H4 EAD completely. By all means, IT OutSourcing companies need to be kicked out of US immediately. Punish corporations like At and T, MSFTg, GOOGg, APPLh, CSCOh that indulge in OutSourcing.
    TCS, Accenture, Cognizant, INFOSYS, Wipro, Tech Mahindra, Cap Gemini, Persistent, Zensar, L T Infotech, Mindtree, HCL TECH, Mhapsis, KPIT —> USCIS please watch.

  13. The article is a partisan click bait fanning the fears of the insecure. The comments show that the article has succeeded in that effort. H1B is part of what has made America the dominant force in the modern industries like computer and software. There is a reason the east and the west coast are dynamic and the middle is in a rut – because of such protectionist mindset.
    There is a reason that bay area has million dollar homes and a lot of H1B folks. These guys create value, they create wealth.
    There is talent all over the world and if the US companies are to remain competitive, they will go wherever the talent is. The losers will complain. If you think that people in India, China, Korea etc are getting paid less than in US, you are living in a fantasy land of your own.
    How do I know? Because I work in one of the top US companies and hold a pretty good position. I am also an immigrant. If I were in my home country, I would have held a top position there too.

    The world has changed guys. You are not valuable just because you are born in a certain geography. You need to have skills. It truly sucks if you lose your job, I empathize with you. But make no mistake, it is not just an American problem. All over the world the same thing happens. If your skill is obsolete, you will lose your job.
    So stop finding scapegoats for your problems and direct your energies to get the right training and get US government to setup such training.

    • AmericanSTEMWorker

      Immigrant labor such as yourself likes to rewrite history. The USA was #1 across the board before the H1B program existed. There was no STEM shortage until Gates and other greedy oligarchs decided they preferred indentured servants to American workers. The Bay Area was already wealthy before mass imports of slave labor began. And, the founders of ALL of these tech companies were not from India or China, debunking your ridiculous theory that H1b’s “create wealth”.

      If you want to criticize and generalize all Americans as entitled and underskilled, then why did you move here? And why does your country struggle with implementing the flush toilet if you all are so brilliant and hardworking?

      The truth is, immigrants like yourself bring dangerous stereotypes, unjustified haughty attitudes, and run-of-the mill skills, along with high levels of corruption your home countries are known for. Indians have an obvious bias for hiring indians, and discriminating against Americans.

      It is not an idealistic economy where the most skilled wins. The cheapest and most indentured of servants wins. I could study all day only for an Indian manager to tell me I am not up to speed because of my skin color. This sham has been playing out for years and is coming to an end.

      You are obviously racist against americans, that we do not study as much as you, that we arent as skilled as you. Take your racism home and master the flush toilet, then maybe we can talk. Meanwhile 2020 is the year we put an end to your shams.

    • AmericanSTEMWorker

      Please explain again how you “create wealth”! You can barely keep the lights on in your home country, your rivers overflow with filth and pollution and your air quality is unbreathable. Yet, somehow you come here and can “create wealth”. Snake oil at its finest. Enjoy your last sights of a modern country, as we deport you in 2020.

    • “There is a reason that bay area has million dollar homes and a lot of H1B folks. These guys create value, they create wealth.”

      The rank and file employees at those Silicon Valley employers are not the ones living in those million dollar homes. And, in case you haven’t noticed, a million dollars doesn’t buy you much of a home in the San Francisco area any more. Most high tech employees have to endure commutes from/to far-flung communities because living near work isn’t financially feasible any more.

  14. “They aren’t being offered severance or early retirement, and may not easily find a comparable job elsewhere with similar pay.”
    I went through the same scenario five years ago, but in my case severance and outsourcing support were contingent on training the interlopers.
    Given the AT&T situation, train them with non-sense. Most will not know the difference.

    A side note: the company that cut me five years ago? I’ve been back contracting for them for 3-1/2 years, so far. They learned the lesson that AT&T will learn in due course.

    • Back when I was in a position of having to train replacements, they rarely even showed up to the scheduled training sessions. I guess that, since they were so highly-skilled, they felt they didn’t have to attend.

  15. Trump2020

    What can we do to get rid of H1B visas? It’s long past due to end these programs. Instead of giving away H1B for foreign workers, the Federal government should be paying only to upgrade American citizen with new skills and paying American citizens to have American kids. And stop the Anchor baby scam. If parents are both H1B or foreign, no way their kids should get American Citizenship until the kids are 18 and apply like everyone else who comes legally and has to go through the process. We need our elected government to stop giving automatic citizenship benefits to kids of temporary workers or people who’s visas have expired or entered illegally.

    Millions of skilled Americans can do these jobs that’s how we got to the moon. It wasn’t with people from India or China who can’t clean their own cities. Why do they keep moving here if their ability to create wealth is so advanced?

    Since outsourcing and visits skyrocketed, the Bay Area and many parts of New York and Los Angeles have become full of homeless and drug addicted Americans who are of no use to society. The coastal cities are more polluted and rat infested than anywhere in the middle of the country.

    These companies like AT&T really want cheaper labor so let them send employees overseas rather than importing foreign workers. But now we must TAX THE HELL out of these companies like AT&T for doing it. Take away all incentives for shipping jobs overseas and it will slow down or stop. Give tax breaks to companies that hire and keep American workers here.

    The Trump administration succeeded to bring manufacturing jobs back into this country. No thanks to the previous admins that allows jobs to go to Mexico or China. But more needs to be done. Send comments to Democrats in Congress and their campaign officials that they cannot have your votes anymore without more work to protect American jobs. The Democrats want benefits for illegal immigrants and ignore the poor Americans and veterans living on our streets. #WalkAway from the Democrat party.

  16. This article seems like it is trying to intimidate Americans into giving up in some way. H1B Visa restrictions will work and does work! I know several people who did not have jobs in IT and were looking for nearly a year and they are NOW working thanks to USCIS policies. One guy was teaching math because he couldn’t find a job in IT. He is 27 years old with a Masters in CS and experience. But he was always undercut by these Indian firms and their nepotism and sleezy 3rd world ways that have snuck into our country like thieves.

    The companies that want to offshore, will be paying in other ways soon taxes and penalties. And, if they want to go to Canada, brrr, go for it. So happy USCIS and DHS is finally showing backbone. I will say that I do think Congress should separated the H1B Visa issue from the humanitarian issues though. They need to put legislation in to do that and that would require them working for their money, so I don’t see it happening anytime soon. USCIS can only follow the laws and do what they can with the rules provided. Like make it too expensive to import cheap labor to undercut American citizens. By the way, anyone notice how all of a sudden Chicken farms are hiring local American workers? Crazy huh? After all these years of lying that Americans don’t want those jobs, they are happily filled with locals that used to be on welfare or working at jobs that paid less than chicken farming. Can you believe chicken farming was $15.00 per hour and these locals were make $8.50 at donut shops and restaurants when they could find work? The chicken farms wanted illegals because they could let go of them and abuse them without consequence. But they did pay them above min wage. Interesting indeed.

  17. swittie

    Please stop with the pro-Trump stuff. He is doing his best to stop brown people from coming here (curtailing H1B and the closing the border). Based on his other behaviors I would have to say his crack down is more racial then pro-job. Yes, this helps protect some jobs. But he does nothing to stop companies from out souring and closing factories here and moving those factories (jobs) over seas. That is still in full force and has not slowed down. His policy seems to be to keep the brown out, but like all previous American governments, let the jobs go to cheaper labor over seas so that corporations can profit. Republicans vs Democrats, Obama vs Trump, India vs USA. These arguments deflect us. A pox on all these houses

    More to the point is this: The flow of jobs is mostly “One Way”. Think. What does that tell you? “American based” corporations continue to hire more and more lower cost non-American employees here and over seas. Why don’t they move the whole company and declare it a corporation of that country? It’s because the people of this country, while far from perfect do supply the largest population of hard working, law abiding citizens. We have our share of corruption and law breakers. Our share of lazy people. And other countries have their share of good law abiding, hard working citizens. But in these areas the USA still offers more.

    This means that the USA offers the highest level of “Stability”. Thats the key word. Business loves this and needs this. It can’t plan without it. Our society, our dollar. If you are from another country, please don’t take offense to my saying this. The statistics around businesses, the US dollar, standard of living all show that we lead, though lagging over the last decades. And yes, other countries, like India, should not be maligned if they are not there yet.

    The result here in the USA is that corporations now get to burn the candle at both ends. Enjoy the greater stability our people offer by being an “American” corporation. And at the same time, increase profits by double crossing those same people and offering the job to countries with cheaper labor.

    I don’t know the answer. I only know that currently, things are not fair. The American middle class is having its wealth monetized and sold off by the very same companies that have benefited from it.

    Message to AT&T: The least you could do is to obey the truth in advertising laws. Your use of the letter “A” and what it stands for, is false advertising.

  18. Anonymous

    Despite all the BS rhetoric/propaganda from this lying filthy POS administration, Indians coming in here in huge numbers by the plane loads everyday to grab all your good jobs on top of all the ones that are getting outsourced over there, this will only increase as all kinds of visas are being given out like candy over there.

  19. Anonymous

    The article is spot on.

    AT&T is laying off as many people as it can. Management employees must sign an NDA in order to receive their severance package, thus why it’s not reported on much. IMO, if the DOJ could be bothered to look into the matter, they would likely find a large majority of the folks AT&T is laying off are over 40 and / or are close to retirement. ( Age discrimination )

    Those who are left are getting moved / outsourced over to other companies like IBM or Accenture where they learn your job then fire or lay you off a year later when they replace you with cheaper labor.

    Anyone remaining with the company are likely doing what they can to hang on because they are so close to retirement.

  20. This is the kind of behavior (by AT&T) that increases anger in the society. Why blame guns? Trump and Pelosi can not compare with these crooks, trying to destroy the country. This has to be stopped •

    • Ex AT&T employee

      I’m not surprised. I worked for AT&T for 16 years. The lease for our building was up for renewal. Instead of renewing the lease or moving everyone to one of their other office buildings, AT&T laid everybody in the building off. They don’t value their employees or customers. They only care about the money. AT&T has been in a death spiral for awhile now. Change your phone company and let them die.

  21. I was affected by the rebadging. AT&T refuses to pay out severance or give us the option of being laid off. Instead we are so valuable that we are “rebadged” to a global outsourcing company in which we will be required to Knowledge Train our foreign replacements. These agreements are called “year and a day” as the outsourcing company has agreed to keep us employed for one year but will terminate us as soon as the knowledge training is complete.

  22. I was engaged by a tech firm in the USA for 6 months to do some IT work it was a rare skill in the area so they contracted it out, it was only for 6 months after the work was completed I returned back to UK.
    Remember seeing hundreds of Indian workers coming down a street in Bellevue Washington thought it was a conference, turns out they were local workers from a well known IT company, utterly shocked, not because they were of a different nationality more because I expected a wider diversity.

    • AmericanSTEMWorker

      Bill Gates and company have convinced the elites that only Indians can program. What you saw is just a fraction of what is going on in this country. Ever been to San Francisco/San Jose? White people are a minority there.


    Even in India there are laws that gives priority for Indians for jobs, same is the case in Australia, Canada, EU and every where else except in our country cause corporates bribe our politicians, they create laws favoring corporates, India tax foreign vehicles 150% but here in our country we give tax exemption for corporates for hiring foreign citizens on OPT visa. 10 million jobs created by American companies, 8 million are shipped to India(all entry level and junior level) , even for the 2 million jobs exist here 1 million H1b visa employees, 3 million OPT visa employees and millions of other visa employees compete with 300,000 American Citizens and green card holders. Only way to stop insanity is to create a 250%tax on hiring foreign citizens and make Education and skill training free for American Citizens

  24. Free Market Advocate

    Lots of discussion regarding hiring cheap foreign workers that are not qualified to perform those jobs; yet, the companies that engage in such outsourcing of jobs eventually find the equilibrium and continue to drive growth and create shareholder wealth.
    Do consulting companies that tend to benefit from these contracts engage in questionable practices? I am sure some of them do. That’s the reason we have laws and oversight.
    American workers who are displaced suffer an emotional and financial setback. That’s natural. Similar to what happened when America was a manufacturing giant. Slowly but steadily, those jobs moved overseas, and manufacturing declined. Whole communities get uprooted when a large manufacturing plant closes down. There is only one way for people in that situation – forward. The ones that were able to find opportunities and forge ahead made it, the rest kept waiting to relive the past.
    We are now at the cusp of an AI revolution. Matter of time till that hits home and starts displacing jobs regardless of who is performing them – American or a foreign worker.
    The Economy is a complex adaptive system. What impact a specific policy or law will have is hard to predict. You loosen or tighten one part and it tends to affect other parts; some consequences intended and others unintended.
    In the end, Capital always seeks higher returns, period.

  25. This is NOT about American’s lacking skills. Or American’s not having the right skillset. This is all about companies looking for CHEAP labor, plain and simple. So until American’s get angry enough to voice there opinion with their wallets and voice their outrage with the H1b visa system at the ballot box, nothing with change. I work in IT and in my opinion this problem has gotten worse with each passing year. It’s gotten so bad, that it’s almost impossible for an IT contract worker to find work without going thru an Indian firm. This has got to STOP!

  26. Paul Ericson

    I’m British living in the UK. My employer, a nationally distributed media company, was bought by a US firm based in NY. After a couple of years of thinning the workforce and doubling workloads, they decided that wasn’t enough and started making redundancies. Eventually it got round to the creative department where I worked, and they started with the dead wood, then the oldest and most experienced, probably because of our pension rights and how to stop them growing. So in a period of about a year about 25 people went until one ‘monitor’ remained who corrected faults from the outsourced labour in India. No-one is telling me this back office in Mumbai was paying more than a quarter of the UK salaries, and of course, no pension scheme. In fact it’s all at arm’s length: an IT agency just takes a fee and delivers a package to the UK company. BTW, the CEO’s salary went up 20% in two years, so not everyone lost from it.