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Saturday, October 17, 1998

Silicon Valley lobbies for increasing H-1B visas 

TV Parasuram  
Washington, Oct 16: United States Congress has included the legislation for increasing work visas for skilled foreign professionals in the omnibus bill, on demands by software and other hi-tech firms facing skilled manpower shortages.

If passed by the Congress, this bill will benefit the large number of Indian software professionals seeking jobs with American firms under the `H1-B' work visa.

Senator Spencer Abraham, the bill's author, said "this is a big victory for the economy, which is being fuelled in large part by our hi-tech industries. The legislation strikes the right balance in safeguarding America's competitive edge and protecting US jobs."

American computer and software companies have lobbied aggressively for this bill, arguing they were unable to find enough skilled Americans to fill vacancies.

The bill provides for increasing the number of `H1-B'work visas from 65,000 to 115,000 annually for the next two years and to 107,500 in the third year.

Thereafter 65,000 such visas would beissued annually.

But some restrictions, as per White House views reflecting labour unions' objections are likely to be imposed.

The bill requires that if 15 per cent or more of a company's work force comprises H1-B visa employees, it must attest that they have not replaced American workers.

However, companies hiring H1-B workers with masters' degrees or higher qualifications -- or at salaries of $60,000 a year or more -- would be exempt from this requirement.

There are also special exemptions for small businesses and start-up companies.

The bill also authorises the US labour department to investigate suspected abuses of the programme and imposes $500 filing fee on visa applications and renewals.

The more than $75million raised by these fee collections would be used for training and scholarship programmes for US citizens.

Labour unions contend that though the foreigners allowed into America earn much more salaries than they would in their own countries and are, therefore, quite happy to come,their arrival depresses local wages.

Another complaint is that companies prefer to recruit young men from other countries and refuse to hire middle-aged Americans, whom they would have to pay more.

Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.


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