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Click for more articlesMOTIVATED BY ONGOING HIGH TECH VISA SHORTAGE, SOME COMPANIES MOVE OPERATIONS ABROAD 

Even as high-tech companies continue to pressure Congress to raise the annual limit on the number of H-1B visas, they are developing other ways of coping with the technology worker shortage, including sending their business overseas.  Some reports claim that the amount of work now being sourced overseas is increasing by 30% a year. Many companies see this new trend as a way to employ high-tech workers without the hassle of going through US immigration procedures. Already, major outsourcing operations have developed in India, Ukraine, Ireland and Israel.

The pattern may become more common in the future, especially if the trends that have encouraged its growth continue.  In fiscal year 1998, when there were 65,000 available H-1B visas, the annual cap was reached with three months left in the year.  In fiscal year 1999, with 115,000 visas available, the cap was hit with five months left.  Now, in fiscal year 2000, which began on October 1, there are rumors that the cap could be reached as early as January, only four months into the fiscal year. 

While there are countries that have benefited from the movement of technology jobs overseas, critics worry that the trend will not benefit the US.  Labor unions and other critics worry that it will hurt US workers, both in the short term by eliminating jobs, and in the long run by reducing the chances that US workers will be retrained for technology jobs.  Ironically, labor unions have also been some of the organizations most harshly critical of raising the H-1B cap.

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Siskind Susser Bland
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Memphis, TN 38119
T. 800-343-4890 or 901-682-6455
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