Visa Walls Will Negatively Affect US Companies More
Of interest to it companies Toronto as North American residents is that in early April of this year the US Citizenship and Immigration Services revealed that the federal agency receiver over 236,000 H-1B visa petitions. That was during the yearly filing period. As a result, the demand for highly-skilled/temp foreign employees in the US is almost three times greater than the US Congress’ 85,000 limit on H-1B visas.
As a matter of fact, the demand for US visas is still very high. That’s even though the reinstated/higher visa fees passed by the US Congress during December of last year shows that there’s still a shortage of IT specialists within the US.
The shortage is becoming a worse situation as companies and organizations across the US economy’s sectors look for digital solutions to get efficiencies, boost customer service, as well as open brand new markets. Based on US gov’t data, by the year 2018 there could be 2.4 million science/tech/engineering/math-related (STEM) jobs that are unfilled. Over half of those vacancies would be in IT and computer fields.
Thu8s, it’s interesting that so-called experts/journalists in the US keep claiming that India’s IT employees who are working in the US are somehow stealing American jobs. Part of the reason is that it’s an election year, which results in complex issues resulting in simple slogans in order to boost votes. However, they also show myths that Nasscom is working diligently to fix.
One of the myths is that wrong idea that US worker are some how losing jobs to foreign workers with temporary visas who aren’t qualified. The idea is that the US workers must train the employees before they leave. However, the truth is that IT workers from India with temporary H-1B visas who go to the US have high education levels and also have a high level of technical know-how.
Another idea is that temp highly-skilled employees earn less money than US workers. However, various US institutions have proven that the idea is wrong. The Brookings Institution has conducted studies that showed holders of H-1B visas receive salaries that are equal to or higher than US workers who have bachelor’s degrees.
Another myth is the idea that building a “wall” of policies/higher costs in order to keep Indian IT businesses from investing, operating, and recruiting within the US might benefit available jobs as well as Americans’ quality of life. The opposite is likely true. American business who have problems getting skilled It support within the US must reduce operations and reduce their payroll or move their operations to foreign countries.
Nasscom companies also invest almost $1billion every year in the United States, support employment of Necessary and Proper Clause over 411,000 American workers, and pay $6 billion in local, state, and federal taxes per year.
Another concept that’s become more popular this year election year is that the US’ foreign trade hurts Americans. However, the converse is true in terms of India. This year the World Bank reports it could pass China in terms of real GDP growth. The US’ long trade deficit it’s had with India is starting to change.