U.S. Lobby Group Restates Indian IT's H-1B WorriesTop Stories

November 10, 2018 05:58
U.S. Lobby Group Restates Indian IT's H-1B Worries

(Image source from: The Gazette)

Compete America, a lobby group supported by American technology firms including Google, Facebook, and Microsoft, has written to the United States government complaining over the high level of rejections in H-1B visa applications, in a move likely to provide a fillip to the efforts of Indian outsourcing companies that have been seeking akin redressal for the past two years.

In a letter sent on November 1, Compete America highlighted issues faced by its members due to the stand was taken by the U.S. Citizenship and Immigration Services (USCIS) on the grant of work visas for their employees, chiefly engineers.

"Our coalition's members have reported dramatic increases in the issuance of Requests for Evidence (RFEs) and denials regarding H-1B petitions for the last 18 months, and more recently are experiencing a sharp increase in the issuance of Notices of Intent to Deny (NOIDs) and Notices of Intent to Revoke (NOIRs) concerning H-1B petitions," stated the letter addressed to Kirstjen Nielsen, secretary of the U.S. Department of Homeland Security (DHS); L Francis Cissna, director of USCIS; and legal counsels at the government bodies.

Indian IT (Information Technology) companies have been complaining about the increased issuance of appeal for evidence, which has required them to increase the lead time needed for a visa.

Compete America's letter pointed to legal issues with H-1B adjudications under the Donald Trump administration.

These involve interpretations of salary requirements, a specialty of occupation and degree requirements.

"The Compete America coalition asks that both DHS and USCIS legal officers review the agency's current H-1B adjudications and practices, and provide any clarification needed either internally or with the regulated community prior to the agency's receipt of FY2020 H-1B cases," the letter stated.

Experts are of the view that while the Trump Administration has not yet made any overt moves against the H-1B visa, the number of administrative hurdles that companies face have increased.

"Individually none of the regulations are showstoppers, but collectively they increase friction, cost and raise the bar on who is granted H-1Bs," Peter Bendor-Samuel, Chief Executive Officer of IT consultancy Everest Research said on Monday in response to questions regarding tightening Department of Labor rules on H-1B visas.

India's technology lobby group - National Association of Software and Services Companies (Nasscom) - has been seeking the U.S. government to simplify visa curbs. It has spent $440,000 in 2018 on the U.S. lobbyists, data from the Centre for Responsive Politics shows, the same amount it has spent in the past two years.

According to data, Compete America has spent $145,000 thus far this year lobbying on immigration. Compete America spent $300,000 in 2017.

The visa issues have hitherto started to impact the profitability of Indian IT companies. Companies are employing local talent in the U.S. and taking a hit on margins to employ sub-contractors in places where there is not adequate local talent available.

-Sowmya Sangam

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India  H1B visa  Google