A US expert stated that US President Donald
Trump's proposed changes in the past days to the H-1B visa program may end up profiting
Indian IT professionals in terms of higher wages.
The new amended rules for the visas could increment the labor costs for both IT companies and businesses that are using outsourced manpower services in the US, said Ignatius Chithelen, founder and managing partner of Banyan Tree Capital Management.
He added "These extra costs are estimated upto USD 2.6 billion for a year. The presumption is that the visa holders will be paid USD 100,000 in annual wages, around the average at major companies based on online job postings, while the number of visas issued remains the same. However, a new visa policy is expected to be announced in November.
The visas could go to applicants with the highest wages and skills, and the H-1B visas issued numbers may also be reduced since the Trump administration’s aim is to ‘hire Americans’ he said.
The large number of technocrats from India, seek for h-1B visa to work in the US, has kept technology wages from surging too high in the US, especially when demand increases rapidly as in the current social media exposure and during the internet boom of the late 1990s, Chithelen said.
"If this rule is followed from 2018, then H-1B visas will be issued to those with the highest wages and skills, Indian professionals could get profited. Indian graduates having advanced degrees in the US and also highly skilled professionals in India applying for H-1B jobs should then be able to find jobs with higher wages and better working conditions," he said.
Six out of 10 US IT leaders with large
development teams say Trump's proposed changes to the H-1B program as it stands
has helped businesses successfully access highly skilled IT talent, According
to a survey released by Harvey Nash Pulse.
H-1B visa program does not put America First, Republican Congressman Dave Brat said in an op-ed.
"The current system for H-1B visa workers does not put the welfare of our country first, and rampant abuses to the system leave the American worker standing on the sidelines and often underemployed.
"During a time of heightened political divides, this is an issue both Democrats and Republicans in Congress can agree needs to be addressed," he wrote in The Hill Newspaper.
"Too often, companies capitalise on the loopholes in our immigration system to displace high-skilled American workers in search of cheap labour," said Brat, who is one of the co- authors of a bill proposing changes to the H-1B visa program.
Trump has signed an executive order that seeks tomake changes to a H-1B visa programme that brings in highly skilled foreign workers.