While the increase in the H-1B quota seems inevitable, there are some provisions that will impact the Indian Outsourcing Regime. You know it is bad when even the cheerleaders in the Indian press realize that the prime abusers of the visa process, the slumdog slave traders like Infosys, Tata, HCL, etc. while be hurt:
The proposed changes in the issuing of H-1B visas, the highly sought after US work permits, will badly affect the Indian IT firms which depend heavily on these work visas.
The changes under the Comprehensive Immigration Reform (CIR) put a curb on use of H-1B visa for those companies which have a higher ratio of work force under this category.
Most of the Indian companies will fall under this classification.
The companies will also have to shell out more fee [WTF? Why can't these Indiots write properly?] to get a H-1B visa, if the draft legislation is cleared by the Congress and is signed into law by the US President.
Even Bloomberg's Business Week, which used to tout the "best and the brightest" myth of the Indian H-1B, now bemoans the displacement of American techies:
Under the bill, even undergrads can get green cards directly out of college without having to apply for the H1-B. Ruiz estimates that about 343,000 foreign students currently studying in the U.S. will be eligible to apply for this fast track to citizenship. That’s a huge number, and it includes people who currently don’t even try to apply for an H1-B. Right now, many foreign students in the U.S. decide to go back to their own countries after graduating because the visa restrictions make it hard to land a job. If a British political science major graduating from a U.S. liberal arts college, for example, wants to work at a nonprofit organization in New York City, she’s unlikely to apply for an H1-B because she has almost no chance of getting one. Other types of visas are even harder to obtain.
If the bill passes, there will be plenty more slots to go around. The bar to prove that one qualifies for those slots will also become more stringent. Even so, the number of available visas is expected to skyrocket. That will send ripples through the entire job market.
Which is great, if you’re a U.S. business seeking to recruit the best talent. It’s also great if you’re a university, because now you’ll have an easier time getting top graduates to stay on as researchers. But if you’re headed into the job market in the next couple years, the changes are rather frightening. No matter how you slice it, you’re likely to face more competition.
Brian Fung of the National Journal also echoes this sentiment:
The implication is that even if the H1-B visa holders were geniuses -- and they may not be, judging by their educational achievements, patent applications, or other merit-based measurements -- businesses aren't putting their potential to effective use. What's more, most of the supposed shortage of STEM workers has been in the computing industry -- a very specific, if growing, sector. Meanwhile, other scientific fields have the opposite problem: There aren't enough jobs for well-qualified applicants.
Costa admits that even if it were native graduates who were filling the entry-level computing positions rather than foreigners, the Americans wouldn't be much more likely to come up with the next Apple or Google. But, he said, the ultimate effect of that trend is to keep STEM wages from rising. And over the long term, that should be troubling for native and foreign-born workers alike.
It remains to be seen what all this will do to the lives of American programmers assaulted by the curry-scented wage pirates, but I predict fewer locals will be blackmailed into training marble-mouthed Kumar or Ashish to do their job. It just doesn't make economic sense anymore, and the IT business is littered with failed projects that met their demise in curry den sweatshops.
THERE WILL BE RETRIBUTION