India wary of US visa bill impact on IT industry

India wary of US visa bill impact on IT industry

IANSUpdated: Thursday, May 30, 2019, 09:34 AM IST
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New Delhi/Washington/Bengaluru : India on Tuesday said it has expressed its concern to the US over a bill to change rules on H-1B visas that will impact the IT industry and Indian techies working in America.

“India’s interests and concerns have been conveyed both to the US administration and the US Congress at senior levels,” said External Affairs Ministry spokesperson Vikas Swarup in New Delhi.

The High-Skilled Integrity and Fairness Act of 2017, introduced in the House of Representatives by California Congressman Zoe Lofgren on Monday, calls for doubling the minimum salary of H-1B visa holders to $130,000 from the current minimum wage of $60,000 – a move that could impact Indian techies.

The bill, likely to be signed by President Donald Trump, would make it difficult for firms to use the programme to replace American employees with foreign workers, including from India, with lower wages.

The bill would require that employers first offer a vacant position to an equally or better qualified American worker before seeking an H1B or L-1 visa holder.

It would also establish wage requirements for L-1 workers and improve H1B wage requirements to encourage companies to hire qualified American workers and prevent them from using foreign workers as a source of cheap labour.

H1-B visas are issued to qualified professionals. A related visa is the L-1, which is given to employees of a company who are transferred to the US. Both of them are used extensively by Indian companies.

According to ComputerWorld magazine, nearly 86 per cent of H1-B visas for computer-related jobs and 46.5 per cent for engineering positions were given to Indians.

The US issues 85,000 H1-B visas every year, of which 20,000 are for master’s degree holders from US universities. Because of the large number of applicants – 236,000 in 2016 – the H1-B visas were issued through a lottery system.             –IANS

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