End of the American Dream?
business & finance
New Delhi, Delhi, India
Indian tech stocks fell on news of a new US legislation that seeks to double the minimum salary of H-1B visa holders, making it difficult for firms to replace American employees with Indian software professionals.
Infosys, TCS, Wipro and Tech Mahindra, the big four Indian IT firms, each lost between 3%-6% on the Bombay Stock Exchange on fears that their competitiveness vis-à-vis global competitors will now be eroded as they will be forced to hire expensive American labour.
The order, first reported by Bloomberg that saw a draft of it, will enjoin American companies to employ Americans first, and if they must look outward, they should grant priority to highly-paid positions.
“Our country’s immigration policies should be designed and implemented to serve, first and foremost, the US national interest,” the draft read, reportedly. “Visa programs for foreign workers…should be administered in a manner that protects the civil rights of American workers and current lawful residents, and that prioritizes the protection of American workers – our forgotten working people – and the jobs they hold.”
Let’s see what’s in store when if the bill passes.