------------------------<<<>>>------------------------
JOB DESTRUCTION NEWSLETTER
by Rob Sanchez
February 28, 2006 No. 1429
------------------------<<<>>>------------------------

On Wednesday President Bush will fly to India. See, last week he met with
American workers. This week he will go to India and visit their old jobs.
-- Jay Leno

India wants a free trade agreement that, among other things, allows them to
send more Indian workers to the U.S. Bush is showing he is serious about an
FTA with India because he arranged a one-on-one meeting between US Trade
Representative Rob Portman and Commerce Minister Kamal Nath.

At the same time Bush is visiting India, Sen. Arlen Specter is pushing his
new immigration bill through the Judiciary Committee. In addition to a
50,000 increase in the H-1B cap, the bill contains a sliding cap on H-1B
visas, so if the cap is hit in a given year, the cap for the following year
goes up to 120 percent of the existing cap. The Judiciary might vote on
Specter's bill by Thursday.

I don't think these two events are unrelated. Specter is sending a message
to India that the U.S. is willing to approve more H-1B visas in return for
cooperation on nuclear weapons.

******************************
Articles Used for this Newsletter
******************************

http://sify.com/finance/fullstory.php?id=14148124
Bush India visit: H1B visa may be discussed

http://www.navhindtimes.com/stories.php?part=news&Story_ID=02289
Indian IT sector eyeing free trade pact with US

http://www.workpermit.com/news/2006_02_27/us/bush_visits_india.htm
Indian IT industry hopes for H1B increase during Bush visit

http://www.zeenews.com/znnew/articles.asp?aid=278740&sid=NAT
Bush visit to have strong economic focus

+++++++++++++++++++++++++++++++++++++++++++++++++++

http://sify.com/finance/fullstory.php?id=14148124

Bush India visit: H1B visa may be discussed

Friday, 24 February , 2006, 10:25

New Delhi: Considering that major Indian IT companies such as Infosys, TCS
and Wipro among others depend on H1B visas for easy movement of their
workers to shore up their outsourcing business, it is very likely that
raising the H1B visa cap shall be taken up at various fora during the
forthcoming visit of the US president George Bush to India.

The fact remains that Bush himself feels that the cap should be relaxed to
meet the shortage of technical workers in the US. | Run-up to Budget 2006:
Special coverage |

The current 65,000 cap on H1B visa (non-immigrant worker) has added to the
woes of Indian IT workers. Recently, US president George Bush has said the
US Congress should consider relaxing the cap as that country needs more
specialist workers.

The H1B is a temporary visa that allows technical specialists with at least
a college degree to work up to six years in the US. The US embassy in India
issued almost two-thirds of all H1B visas given worldwide in 2005. |Go to
Sify Business Home Page|

Speaking to the FE from the US, a technical worker who wished to remain
anonymous, said, ‘‘This month there were rumours that there would be
changes in the legislation over H1B visas and the Green Card, but we
haven’t heard anything yet. Legal immigrants like the Indian techies get
clubbed with the roughly 8 million to 11 million illegal immigrants here
which creates problems."

"About 30 per cent of the H1B visas are issued to Indian workers. The
Indian workers on H1B visas here have started a website called
immigrantvoice.org that is considering engaging lawyers and lobbying with
the US government on this issue,’’ he added

The US had increased the H1B cap to 1,95,000 during the peak of the tech
boom, but scaled it down to 65,000 following a slowdown in early 2000s. The
fact remains that Indian high-tech firms have complained furiously about
the shortage of temporary visas to skilled workers.

US companies such as Microsoft and Hewlett-Packard have been lobbying
Congress to increase the H1B quota, despite opposition from US labour
groups. However, nothing significant has happened yet.

Almost two-thirds of the 1,22,981 intra-company transfer visas (l) were
issued to Indians in the fiscal year 2004-05, according to the
Congressional Research Service Report of January 2006. Great Britain,
including Northern Ireland, and Japan followed with 10.5 per cent,
respectively, of the L-visas issued.

+++++++++++++++++++++++++++++++++++++++++++++++++++

http://www.navhindtimes.com/stories.php?part=news&Story_ID=02289

Tuesday, February 28, 2006

Indian IT sector eyeing free trade pact with US

IANS Mumbai Feb 27: India’s dollar-spinning information technology
industry is looking forward to some positive initiatives towards inking a
free trade agreement with the US in the services sector during the US
President, Mr George W Bush’s visit to the country.

With just a couple of days to go for the arrival of Mr Bush in India on
Wednesday, hopes are soaring that the US administration would also raise
the visa limit for the entry of Indian tech professionals in the world’s
largest economy.

The US is the biggest market for India’s software services and business
process outsourcing firms, accounting for nearly 70 percent of the total
exports that are likely to touch a staggering $ 24 billion in the year
ending March 31.

"A free trade agreement with the US in the services sector will be a
win-win situation for both the countries," said Mr Kiran Karnik, president
of the National Association of Software and Service Companies (Nasscom).

"It (the agreement) will complement both the economies. While their
strength is the vibrant venture capital and marketing skills, the Indian IT
industry is known globally for its vast and skilled manpower base," Mr
Karnik told IANS.

"Despite the Indian IT firms’ foray into new geographical locations, the
US continues to be the biggest and rapidly growing market. A free trade
agreement in services will greatly boost the bilateral business relations."

A large base of skilled talent that speaks English and service delivery
expertise at a significant cost advantage have lured a large number of US
firms like GE, Microsoft, Cisco and American Express to outsource jobs to
India.

The Indian IT industry also hopes that Mr Bush’s talks with domestic
policymakers and business leaders would also focus on America’s
"restrictive immigration regime" that, they say, acts as roadblocks in
boosting tech trade relations.

According to local software makers, the current cap of 65,000 H1B visas,
which allow technology professionals to work up to six years in the US, is
inadequate to tap the emerging business opportunities there.

They say the Bush administration should consider relaxing the cap since US
companies need a large number of Indian technology professionals to help
them stay competitive in the global market.

"There should be specific services industry related visas and there should
be no cap or delay in processing them," said Mr Karnik.

Lauding the US government’s non-protectionist attitude even in the face
of an outsourcing backlash, Indian IT firms hope the presidential visit
would enhance strategic cooperation between companies in the two countries.

Outsourcing and loss of American jobs had been hot button issues in the US
presidential election held in November 2004.

"A lot of technology companies in India are hoping for better relationship
with the US," said Mr Promod Haque of Norwest Venture, a US-based
venture-capital firm with business interests in India.

"It’s a good signal on the part of the US that it looks at India as a
strategic opportunity to further develop trade and business," he added.

"While we should continue to work on the nuclear cooperation issue that is
obviously very controversial, I think there are easier ways to build some
trust and cooperation that in turn would create lots of jobs in India and
the US."

Mr Haque was referring to the differences on a landmark civilian nuclear
accord to give India access to US nuclear equipment and fuel to meet the
spiralling energy needs of one of the world’s fastest growing economies.

The Indian American venture capitalist said that there was a growing
realisation in the US that India was emerging as a very significant economy
and, therefore, there was an opportunity for the two countries to work
together very closely.

+++++++++++++++++++++++++++++++++++++++++++++++++++

http://www.workpermit.com/news/2006_02_27/us/bush_visits_india.htm

Indian IT industry hopes for H1B increase during Bush visit
27 February 2006

India's IT industry is hoping for some positive initiatives that will
create a free trade agreement with the US in the services sector during
President George W. Bush's visit to the country.

India hopes that during Bush's visit to the country on Feb. 29 the US
administration will also raise the visa limit for the entry of Indian tech
professionals in the world's largest economy.

A large base of skilled talent that speaks English and service delivery
expertise at a significant cost advantage have lured a large number of US
firms like GE, Microsoft, Cisco and American Express to outsource jobs to
India.

The Indian IT industry also hopes that Bush's talks with domestic
policymakers and business leaders would also focus on America's
"restrictive immigration regime" that, they say, acts as roadblocks in
boosting tech trade relations.

According to local software makers, the current cap of 65,000 H1B visas,
which allow technology professionals to work up to six years in the US, is
inadequate to tap the emerging business opportunities there.

They say the Bush administration should consider relaxing the cap since US
companies need a large number of Indian technology professionals to help
them stay competitive in the global market.

"There should be specific services industry related visas and there should
be no cap or delay in processing them," said Karnik.

+++++++++++++++++++++++++++++++++++++++++++++++++++

http://www.zeenews.com/znnew/articles.asp?aid=278740&sid=NAT

Bush visit to have strong economic focus: Shyam Saran

New Delhi, Feb 28: Speaking to reporters on the Bush visit to India,
Foreign Secretary Shyam Saran said that the visit has a very strong
emphasis on economic and trade ties. He however refused to confirm a nuke
deal during the tour.

Laying out the programme, Saran apprised that the US Trade Representative
Rob Portman will have a one-to-one meeting with Commerce Minister Kamal
Nath, in addition to CEO Forum’s meeting.

Detailing the American President’s Hyderabad itinerary, he said that this
tour has both substantive as well as symbolic significance. The President
will visit the M G Ranga Agricultural University in Hyderabad, where
discussion on Knowledge Initiative will be the main theme. The idea is to
show the President the successes of Indian agriculture and to enter into a
partnership that will engender the second green revolution in India.

In Hyderabad, the President will have a chance to interact with women
self-help groups and local farmers. Next, he will visit the Indian School
of Business, where he will meet young entrepreneurs of the country.

On his return to Delhi, he will address a select but representative
gathering of Indians at Purana Quila. His speech there will be a message of
the American people to India.

On the nuclear deal, the Foreign Secretary just said that it is a work in
progress.

- - - - - - - - - - - - - - - - - - - - - - - - - -
http://www.ZaZona.com
Support this Newsletter and ZaZona.com by donating:
http://www.zazona.com/Donations.htm

To Subscribe, Unsubscribe or to view the Archive go to:
http://www.zazona.com/shameh1b/JobDestructionNews.htm
- - - - - - - - - - - - - - - - - - - - - - - - - -