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June 15, 2007

POLITICS: Obama digs in, plays the outsourcing card

[NEW: One-stop shop for SAJAforum coverage and resources about the 2008 U.S. Presidential Race]

Senator Barack Obama's campaign seems to be picking up where John Kerry left off in 2004, in regards to outsourcing. The Obama campaign is suggesting that Senator Hillary Clinton's investment portfolio reflects a pro-outsourcing, pro-India stance. From The New York Sun's Latest Politics blog:

Mr. Obama's campaign is circulating a document critical of President and Senator Clinton's links to India in an effort to portray Mrs. Clinton as having a poor record on outsourcing and protecting American jobs. The three-page piece of opposition research, titled "Hillary Clinton (D-Punjab)'s Personal Financial and Political Ties," was obtained from a source unaffiliated with the Obama campaign.
<snip>
The "Punjab" reference is an apparent riff on a joke that Mrs. Clinton herself made last year at a fund-raiser hosted by a top Indian-American supporter. "I can certainly run for the Senate seat in Punjab and win easily," she is quoted as saying.

The full text of the Obama document is available on the Sun's site, and it heavily cites Indian publications such as the Economic Times, Mangalorean.com and Tribune India, as well as India Abroad and the Press Trust of India (see the original document on the NYT site). The reason the Obama campaign has dug up the assets issue now is because the Clintons have been forced to cash in (and list) their millions of dollars of investments, and these include holdings in Easy Bill, Ltd - "an India-based company that works on electronic transactions and business services for Indians" [NYT] - as well as Bill Clinton's $300,000 in speaking fees from Cisco. According to the Obama campaign, Cisco has been shifting American jobs to India:

Hillary Clinton Accepted Almost $60,000 In Contributions From Employees Of Cisco Systems, Which Laid Off American Workers to Hire Indian "Techies." Clinton's Presidential Exploratory Committee took $39,450 from Cisco employees during the first quarter of 2007. Cisco employees have also donated $18,900 to Clinton's Senate committee between 1999 and 2006. Forbes reported, in a feature called "A Tale of Two Cities" that Cisco was laying off $60,000-a-year "techies," while hiring new employees in Bangalore, India. "Cisco used only a few Infosys workers in Bangalore six years ago [in 1998]; [by 2004, it used] almost 300 contract staff, plus 550 full-fledged employees in its own Bangalore office." [Obama document, via the NY Sun]

Adam Nagourney of The New York Times blogs on the matter. He says the Times received the document from the Clinton campaign as well, apparent evidence that they think the Obama campaign will come off looking bad:

Why would the Clinton campaign want to circulate documents attacking its candidate? Mrs. Clinton’s aides declined comment. But the Clintons have been seeking to undercut the effort by Mr. Obama to present himself as the face of a new-kind-of-politics that eschews these kind of attacks. These documents – with their bold type and grabby headlines, including one that referred to Mrs. Clinton as (D-Punjab) – are text-book examples of old-school opposition research practices. Second, the documents include what could be construed as attacks on Mr. Clinton, who is probably the most popular person among Democrats these days.

For South Asians, the Obama campaign may also appear a bit xenophobic, just as Kerry did leading up to the 2004 campaign, until Congressional Democrats told him to cool down the anti-outsourcing rhetoric. At the DNC Convention in Boston, Congressman Joe Crowley told me the sentiment had been conveyed by members of the Indian community that they didn't like the vibe, and he in turn passed that on to Kerry. That is likely to be an even greater risk in this campaign season, given the increased clout of the community.

[ UPDATE: Easy Bill is a company run by the Munjal family (http://www.easybillindia.com/profile_directors.asp) of Hero Bicycles fame (now a multiline business). More on EasyBill India: http://www.easybillindia.com/ ]

The NYT is also covering this in a story about the Clintons' current wealth entitled "To Avoid Conflicts, Clintons Liquidate Holdings" by Patrick Healy.

Mr. Clinton also has $15,001 to $50,000 in Easy Bill Ltd., an India-based company that works on electronic transactions and business services for Indians.

Shortly after the Clinton campaign released the financial information, the campaign of Senator Barack Obama, the Illinois Democrat, circulated to news organizations — on what it demanded be a not-for-attribution-basis — a scathing analysis. It called Mrs. Clinton “Hillary Clinton (D-Punjab)” in its headline. The document referred to the investment
in India and Mrs. Clinton’s fund-raising efforts among Indian-Americans. The analysis also highlighted the acceptance by Mr. Clinton of $300,000 in speech fees from Cisco, a company the Obama campaign said has moved American jobs to India.
<snip>
Asked about the document, Bill Burton, a spokesman for Mr. Obama, said: “We did give reporters a series of comments she made on the record and other things that are publicly available to anyone who has access to the Internet. I don’t see why anyone would take umbrage with that.”

Asked why the Obama campaign had initially insisted that it not be connected to the document, Mr. Burton replied, “I’m going to leave my comment at that.”

See USINPAC's open letter to Senator Obama below, in the comments section. Excerpt:

“As representatives of the Indian American community, we have been encouraged by your message of inclusion and your promise to bring a new kind of politics to our country. This is why we are so concerned about media reports indicating your staff may be engaging in the worst kind of anti Indian American stereotyping.”
<snip> “We request that you respond directly to these media reports and let us know if indeed your staff is promoting these hurtful stereotypes. We trust that you will take all appropriate action on this matter and look forward to your response on this issue of great concern to the Indian American community.” [FULL LETTER IN THE COMMENTS SECTION]

See coverage and comments at SepiaMutiny: "Obama Just Got a Less 'Brown' Friendly."

Read our recent post: "POLITICS: Hillary courts the Indian vote, and purse"

What do YOU think? Post your responses in the comments section... Responses especially welcome from those South Asians affiliated with the various andidates' outreach efforts. We are also looking to identify South Asians working with the Republican candidates. McCain Masala, perhaps?  Gujaratis for Guiliani? Romney's Rajputs? Baluchis for Brownback?

Also see:

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Comments

I think this is an issue that divides the Indian-American community, largely along the lines of whether one considers himself to be more Indian or more American. As someone who considers himself an American who happens to be of Indian heritage, I am very much opposed to outsourcing and view Hillary's attempts to get my vote based on this issue very disturbing.

Congressional Democrats telling Kerry not to talk of outsourcing during the last election ... that was not right. Anyway, that was then. Things can change rapidly in politics. Today, Americans are very upset by the immigration bill that the Democrats want to pass. And that is going to get them even more furious about "outsourcing", because Americans are going to feel they have lost all control of their country. That U.S is now controlled by Mexico and India.

Like Raj, I feel I am an American of Indian origin, and thus my loyalty is more towards America, simply because this is where I lived most of my life and made my bread and butter. And I am opposed to OUTSOURCING. Besides, I have come across Indian IT professionals in America who have lost their jobs to Indians with H1B visas, and they are very resentful of it. It is disheartening to read about wages of IT professionals skyrocketing in India while wages of American professionals have been curtailed because of outsourcing to India, or American jobs given to H1B visa holders.

Soon Americans will resent us Indians here as much as they resent the Mexicans crossing the border. Why? Because the Mexicans take over their unskilled jobs, and the Indians take over their skilled jobs. Talk show host Jay Leno got that part of it right.

It was during Bill Clinton's presidency that "outsourcing" phenomenon really took off. Microsoft moved their operations big time to India. Today, Bill Clinton is associated with the Bill Gates Foundation... with the AIDS issue. CISCO is another example. And Clintons stake in so many Indian companies shows why they have been constantly promoting outsourcing. Perhaps Hillary Clinton ought to sign on Tom Friedman as her adviser. He is the guru on 'outsourcing.' He will show her how to level her political playing field as well, be it in DC or D-Punjab.

I can't believe how many politicians, bureaucrats and greedy entrepreneurs sell the soul of their country to get ahead in life.

Jaya Kamlani

I don't think it matters whether you consider yourself more Indian or American, or what your view on outsourcing is, to consider this memo from the Obama campaign very problematic.

Look at the first sentence of this memo: "The Clintons have reaped significant financial rewards from their relationship with the Indian community, both in their personal finances and Hillary’s campaign fundraising."

The memo makes it sound like knowing Indians is a terrible thing. It's directly xenophobic and plays into nativist sentiment, just like the anti-Japanese rhetoric of the early 90s.

If someone wants to bash someone for supporting outsourcing, fine. But they don't need to bash the Indian commnuity to do it.

USINPAC Sends Letter to Senator Obama Regarding Allegations of Indian American Stereotyping

WASHINGTON – United States India Political Action Committee Chairman Sanjay Puri sent a letter asking Senator Obama to respond to recent allegations reported by the media that his presidential campaign staff has been promoting hurtful stereotypes against the Indian American community.

In the letter Chairman Puri states, “As representatives of the Indian American community, we have been encouraged by your message of inclusion and your promise to bring a new kind of politics to our country. This is why we are so concerned about media reports indicating your staff may be engaging in the worst kind of anti Indian American stereotyping.”

Furthermore, Chairman Puri asks, “We request that you respond directly to these media reports and let us know if indeed your staff is promoting these hurtful stereotypes. We trust that you will take all appropriate action on this matter and look forward to your response on this issue of great concern to the Indian American community.”
Following is the full text of the letter:

June 15, 2007


Senator Obama,
Obama for America
P.O. Box 8102
Chicago, IL 60680

I am writing on behalf of the over 50,000 members of USINPAC, the largest bi-partisan political action committee representing the Indian American community. As representatives of the Indian American community, we have been encouraged by your message of inclusion and your promise to bring a new kind of politics to our country. This is why we are so concerned about media reports indicating your staff may be engaging in the worst kind of anti Indian American stereotyping.

We are very proud of the contributions Indian Americans have made, and continue to make, to our country. USINPAC represents members across the nation, from all walks of life, who are caring for the sick, building businesses, educating our children and supporting their families. We are extremely proud to be Americans, and are working everyday for the brighter future you regularly speak about.

We are also proud of the strong relationship shared by the United States and India. This is a vital partnership between the two largest democracies who share common values. Our sincere hope is that you will seek to strengthen this relationship and celebrate the contributions Indian Americans make to our country and the world.

We request that you respond directly to these media reports and let us know if indeed your staff is promoting these hurtful stereotypes. We trust that you will take all appropriate action on this matter and look forward to your response on this issue of great concern to the Indian American community.

Sanjay Puri
Chairman


About USINPAC
The US-India Political Action Committee is a Washington-based bipartisan organization that provides support to candidates for federal, state and local office who support the issues that are important to the Indian American community. USINPAC currently has over 50,000 members nationwide.

For more information, call Amit Patel at (202) 628-3451 or email him at media@usinpac.com.

I think this is less an issue about whether one feels more an Indian or an American, and more about economic policy. If you believe in globalization, free flow of capital, etc., you are likely to be favorably disposed to outsourcing. If you believe in protecting the labor force and local industries from competition, you are likely to be against outsourcing. For me it's pretty simple - on one hand you have protectionist policies that have been tried by many countries, including India, and have generally failed and been abandoned. Such policies are now largely being endorsed only by nativists like Pat Buchanan. On the other hand, globalization and free trade (goods and services) are endorsed by most economists as sound economic policy.

George,

Globalization is fine, but not to the extent it has happened recently, where hundreds of thousands of American jobs are being shipped offshore. Why do you think Americans are not inclined to go in for computer science or other technical degrees any more? Because they think it is a hopeless cause. Why bother to get all those degrees when those jobs are being outsourced to India? Now you hear politicians complain we don't have the people with the right education or skills for the jobs. They should not complain. They saw it happen. They let it happen.

This has nothing to do with protectionism. It has to do with educating your own force first. Take care of your own family before you start helping global families.

Hillary Clinton comes across almost like a Republican when she pushes for "outsourcing." If it were not for that, she would have my vote tomorrow. I recognize she is very capable. She has been a good New York Senator. And most of all she has my sympathy vote for the humiliation she suffered in the White House while Bill Clinton was having his affair(s). I think, at that point many women all over the world empathized with her. And despite that she stood strong. Her bold laughter and personna are a cover for her wounded heart. I like Hillary. I feel her heart is in the right place. She is a good role model for women. She just has to make sure she is not swoon in by the rich Indian magnets who are only looking out for their own interests.

George, on another note, look at where free trade has got us with China? Do you still believe America should not look out for its own interests? America's free trade policy is NOT working. It is one-sided and corporations are taking advantage of it.

Jaya Kamlani

I found all the comments interesting. As an Indian based in India, four things puzzle me.

1)Outsourcing is done by American companies. Does that make them less American?

2)Outsourcing is not just in the IT sector but also covers manufacturing, film production and other business sectors. Why are those sectors ignored even though several of them involve high paying jobs?

3)Do Americans and this includes Indian Americans, really believe that they can manufacture all they want and expect the rest of the world to consume "Made in America" products at the rates Americans pay? Consider the discrepancy of the currency rates and that is why most American brands couldn't go global in the 60s, 70s, 80s and early 90s.

4)Is the above scenario even feasible ? If you and Obama think it is, then you'll have to think of the natural resources and labour available to the USA now. Compare this with what China or European Union has and see if it is possible to compete with them in today's world.


In reality, I don't like outsourcing either though I live in India. It takes away the next generation's capacity to be entrepreneurs, develop unique products fit for our stage of development and find their own way in the world instead of them becoming the "new" coolies which is what outsourcing has done despite 60 years of independence. However, I'm not too worried about it as it affects less than one million in a country of over one billion people.

What I'm worried about are two things that are never addressed by Americans including Indian Americans, especially politicians.

1) The protection of American corporate criminals by the govt. ( Democrat or Republican irrespective of whoever is in power) when they commit mass murder in other countries -- Bhopal in India for a start and get away with it.

2)The stealing of traditional knowledge of other cultures by American companies like the numerous American patents on yoga, neem, etc. and the jobs and the profits that result from it. Is it ethical to do it?

However, in the end nothing really matters as the history of mankind shows that all countries follow a sine wave pattern. There are periods of tremendous growth, followed by stagnation and recession only to rise again. South Asia used to be wealthy once upon a time but after colonisation became poor and is now growing again. No one is stopping Americans from immigrating to other countries for jobs or in search of new prospects just as Europeans did 400 years ago.

The fundamental problem is not many in our world are thinking globally. We all care about own countries, or rather about our own immediate self interest though we profess to be citizens of Earth.

It is time to think of the human race instead of the American presidential race.

On trade issues - you can expect more of the same from Democrats. I think it is a touch choice for all US citizens, whether to chose between inept Republicans or xenophobic Democrats! sigh.

Jaya - as far as your friends in IT who've lost their jobs - you should ask them to introspect. In today's hot tech job market in the US, an IT professional should not have a tough time in landing another job; I don't think H1B visa program is the reason why they don't have a job.

Vikas,

Yes, the people I know have jobs now, but after they went through a rough cycle and they saw their salaries stagnate or took on jobs that paid much less. I heard of people who just quite the field altogether.

A couple of years ago, SAJA had a panel on 'outsourcing' at the annual convention. Among them, was someone who had lost a job to H1B visa holder, and she was pretty bitter about it. There was also a lawyer on the panel who represented Indians who had lost their jobs to H1B visa holders.

I think H1B visa holders are qualified professionals, and they should be given a green card after a year, or even immediately, like Indian professionals in the 1960s and 1970s were given green cards so they could officially migrate to the U.S. Perhaps it is time to eliminate the H1B visa category. This way they have a sense of permanancy here in the U.S when they arrive in the U.S., and they would not be mistreated by their employers. They would also be free to look for another job.

With the H1B visa situation, the employers have the ball in their court. They can lay off their permanent American employees at their whim, because they are more expensive to retain than an H1B visa holder. And they also have control over the H1B visa holders. Most of all, the H1B visa holders keep the American salaries down. So while salaries stagnate in the U.S., they are doubling and tripling in India. Is this fair? To the American CEO it still makes sense, when he converts dollars to rupees. It is this conversion from dollars to rupees that is having the American corporations rush to India, plus of course the fact the Indians are very capable, very smart and very hard-working. I feel India has so much of brain power and so many qualified individuals, why do the Indian CEOs have to come and get U.S jobs. Why not innovate your own products, your own wealth. Why do Indian CEOs have to court U.S politicians for business favors?

My question is, if a dollar equals to ten or fifteen rupees, would U.S companies rush to India. I doubt it. And if they had to pay the same salary to an H1B visa holder as they pay their regular employees, would they lay off their permanent worker? I doubt it, unless it is a performance issue.

Jaya Kamlani

The anit-outsourcing comments are rooted in general ignorance and is a useful populist stance taken on by some Democrats. If people really feel outsourcing is un-American, than please don't buy anything made in China, practically everything at Walmart and Target, and only wear clothes made in the USA (check your labels) to help the garment industry. Also, shame on you for buying anything but an American car, causing job losses in Detroit. Also, make sure any homes that you buy is made strictly with American labor (highly unlikely) We live in a global economy that is already an integral part of America. We benefit by paying lower prices on all types of goods. It is unfortunate Senator Obama makes comments like these. By his calculations, sacrificing the votes of a few Indian Americans and making outsourcing to India a scapegoat, he will increase his appeal to middle class whites who feel it is their right to earn 5 times what someone in Indian would make for the same job.

Sachin,

You believe that anti-sourcing comments are rooted in ignorance.... Well, my friend, I've heard that rhetoric before. Those who are pro-outsourcing always say that. Its a worn-out old cliche.

I don't know where you are writing from ... India or U.S. But for argument sake, let's assume you live in the U.S. If so, then I would like to ask where have you have been all these years when jobs have been outsourced to India? It started with the Clinton presidency. Since then the Clintons have been courted by the Indians for the same reason. And guess who has been reaping the benefits of outsourcing. NOT the American workers. In fact, they are the losers. It is the American and Indian CEOs who are the big winners. The second beneficiaries are the Indian workers (skilled and unskilled) who have been at the receiving end of this bounty.

Since you know what U.S has gone through for the last few years - 9/11 tragedy, fifth year into the wars, thousands of Americans dead, tens of thousands more injured, tens of billions spent on wars, don't you think it is time that U.S politicians turned their attention to rebuilding their own country's morale and their own economy rather than outsourcing more jobs? I want you to consider this very carefully.

All this time, we Americans have been told to face up to the reality of "outsourcing," even by Hillary Clinton herself. While Hillary brought in only twenty consulting jobs from India to New York, hundreds of thousands of American jobs have been outsourced to India. Where is the balance of justice? The scale is completely tilted at one end.

Sachin, don't think Obama only appeals to the white. He is also trying to raise the status of the African-Americans, and it is high time some recognition goes to the African-American community for all the difficult years they have seen in the past. Also, if Obama's campaign chest is comprised of primarily small contributions that add up to millions of dollars, it goes to show that he has many supporters. The facts are still not out on all the candidates. Most people have not made any final decision on a candidate.

Jaya Kamlani

Those who mouth anti-outsourcing rhetorics, suffers from many delusions. Some of these are:
(1) It is duty of a company to provide employment only to its citizens. Even business anchor like Lou Dobbs of CNN is pandering to populist but economically untenable propositions. Just think of a scenario when American companies being prohibited from selling it product and services to other countries. This is exactly what will result, if outsourcing of jobs were to stop by Government mandate.
(2) Anti-Outsourcers know US of A is great, but don't ever reflect why it is so great: One word: USA is great because NO OTHER COUNTRY in the world is as open as it is, period. US is open to people from other countries (immigration), open to ideas, has freedom of speech, and also open to take their products and employment wherever they can, and do it most economically. You take away one freedom and the whole citadel will come crumbling down. No one denies loss of jobs leads to individual uncertainty - I have lost jobs many times - but it also teaches you how to prepare yourself better for future. US has survived and thrived amidst Japanese businesses and products, because the openness of Americans prepares them for the worst and thrive.
(3) They being citizens of USA are entitled to a job: This entitlement mentality is leading only to frustration and heartburn but does not prepare them for their own future. If jobs are being outsourced then obviously the jobs are available in India. How many of those who complain would like to go to India and find job there? But they won't do it, because of their entitlement mentality.


It is high time Indian Americans vigourously protest against stereotypical pandering to sentiments against enthnic minorities. It is time the community uses it financial clout to its fullest extent.

Jaya,

For the record, I am an American and was raised here and I am fearful of your type of populist rhetoric. The US economy has hummed along primarily because of consumer specding, which is driven by the availability of cheap goods, which is the direct result of outsourcing. All this provides us with a higher standard of living. Can you imagine the economic devastation if everything that is made in China HAD to be made here. Prices on simple goods would triple and quadruple. Inflation would skyrocket.
The problem with the anti-outsourcing argument is that the world has always engaged in some sort of outsourcing...I mentioned a few example above in my previous post. It's just that Indians are an easy target, and candidates like Obama find it feasible to attack a small minority for populist purposes. It is nothing short of a racist xenophobic reaction. Why has he not mentioned Chinese manufacturing (greatest trade deficit country), or Japanese car and electronics manufacturing (again, a greater source of trade imbalance than India), or Canadian auto parts makers (our greatest trade partner and consistent source of a trade deficit), or Mexico (with it's small manufacturing centers along the border)? Also, why doesn't he rail against the American investment banks that provide services and charge fees to corporations all across the globe?
I suspect the Indian is the easiest to attack. And since most people have no idea about how much outsourcing already affects their lives, they can focus their anger on one scapegoat.
Jaya, the fact that Obama's war chest consists of primarily small contributions only proves that he has populist appeal. That does not make what he says and does right. Majority does NOT equal morality.

Sachin,

Have you worked in the IT industry? If not, then you don't know what you are talking about. I have worked in the industry for 20 years. I have worked in the Silicon Valley in the 80s and 90s and even consulted from coast-to-coast. I have toured many chip manufacturing plants, even given IT and manufacturing seminars. I heard people talk in the corridors of losing their jobs to Indians with H1B visas. I read newspaper articles about it. IT industry and chip manufacturing is the one industry that suffered the most from H1B visas and from outsourcing under Clinton's presidency. And now with the distraction of the wars, the corporations have quietly moved many more of their operations overseas - China (mfg) and India (IT and some mfg).

Up until the time of the severe four-plus year recession in the Silicon Valley, there were H1B jobs by the hundreds and thousands. When recession came around and people protested the H1B visas, companies started to send those same jobs offshore to India. So either way, The Indians were working on the jobs - here or there, and Americans were the losers.

What I am proposing is that the U.S government should give all H1B holders green cards. This way the corporations cannot abuse them, and they (corporations) cannot leverage on the salaries with their regular employees. This way both Indians and Americans win, but it will be less money in the pockets of the CEOs, directors and shareholders, which is what the corporations want to avoid. If you look at the issue deeper, they have all pitted us against each other. The H1B visas and outsourcing is all for the benefit of the corporations. And that is why they are lobbying so much for it in the Capitol.

I am not going to address your points because you are going off on a tangent and not addressing the 'outsouring' issue and how politicians are used by lobbyists.

Jaya Kamlani

Vivek Wadhwa at Duke university has been talking for a long time about the broken system of H1B visas. His idea is that for companies that want people in the US for short term to work on projects that are primarily being done in offshore mode (the primary business model of Infosys, TCS etc), there should be a different short term visa.

For people who want to settle in the US, grant a green card on expedited basis so that employers cannot take advantage of them.

I think this is a good argument but knowing the US lawmakers, I doubt if it would ever be implemented.

Vikas,

Then why can't SAALT or some other organization fight the war against H1B visas, so those of you who are here have the option to apply for a Green Card? I am all for that. I want you all to be given the opportunities that I was given. I am NOT into politics. I just put the issues on the table and hope that we can all come to some kind of consensus. I want the people to be the winners, not the corporations or the lobbyists. Now, how can we resolve this issue without getting any lobbyisits involved?

Jaya Kamlani

Jaya - I don't think opposing just the H1B visa will serve any purpose, unless we know what system will replace it. Knowing the US lawmakers, I doubt that H1B issue will go away because the lawmakers tend to think only in the terms of H1B numbers. They either reduce or increase the H1B numbers but never talk about fixing the system.

As for SAALT - like I said, they are too busy fighting an untenable fight and I don't see any common ground between legal immigrants and SAALT because we respect the right of a country, including the US, to enforce its immigration laws while organizations like SAALT "demand" that illegal immigrants have a right to settle in the US.

Vikas,

Get together with some of your other H1B-visa friends and set up a website for H1B visa holders so you can all communicate on this issue with the ultimate goal of becoming a Green Card holder. Perhaps Arun can write a short article where he can mention that H1B visa holders are looking to settle down in America (or, make American their home). Send him an email and see what he suggests about the article and website. Write to your Congressmen for assistance. Eventually find a good lawyer to represent all of you in the U.S.

But here is another thought. According to this article I received this morning from Ram Narayanan of US-India Friendship organization, large Indian IT companies are planning to hire more Americans in the U.S. Perhaps you may want to approach them and see how they can sponsor you for a Green Card or find a way to do it. Get in touch with the personnel manager of these Indian companies in the U.S. This is a very interesting article. You must read it. I think Indian companies are feeling the heat of the ‘outsourcing’ cry in the U.S and are determined to do something to pacify the situation.

http://www.businessweek.com/globalbiz/content/jun2007/gb20070613_771470.htm?chan=top+news_top+news+index_global+business (full story)

BUSINESSWEEK June 14, 2007, 10:00AM EST

“Guess Who’s Hiring in America”

Infosys and other Indian companies are recruiting more locals in the U.S. … by Steve Hamm

“…Think of it as offshoring in reverse. In the past, Indian companies almost always transferred Indians to work in the U.S. on temporary visas. But now Infosys and other Indian outfits are hiring aggressively in the U.S. Wipro Ltd. (WIT), for instance, is scouting U.S. locations for two big software writing centers that eventually could employ hundreds of programmers each. Cities on its short list include Austin, Tex., and Atlanta, because of their deep tech- talent pools and reasonable salary costs. "The work we’re doing requires more and more knowledge of the customers’ businesses, and you want local people to do that," says Wipro Chairman Azim H. Premji. Today only 2.5% of Wipro’s global workforce is non-Indian, but the company wants to boost that to more than 10% in a few years.

The Indian outsourcers say their U.S. expansion plans predate the latest concerns over immigration and jobs. But they acknowledge the trend might ease tensions as the Senate mulls regulations that would require companies applying for H-1B visas--temporary working papers for foreigners--to try hiring Americans first. "If we can hire close to our clients, we don’t have to bring in somebody from India on an H-1B," says S. Padmanabhan, human resources chief for Tata Consultancy Services Ltd. (TCS), India’s largest outsourcing firm. About 1,000 of TCS’s10,000 U.S.-based workers are Americans (out of 90,000 total employees worldwide). And it plans to hire an additional 2,000 Americans within three years….”

Good Luck.

Jaya Kamlani

I just received this Youtube link from an Indian IT friend in the U.S who had suffered job losses to Indian H1B visa holders. From the video you can tell how the employers find ways to disqualify the resumes they receive from Americans looking for jobs, so they can then hire H1B visa holders, or outsource a job (but of course to India).

Sparked by the immigration debate in the Senate, this video has been making its rounds in the U.S. Expect to see more backlash now from Americans who have lost their jobs to H1B visa holders, or whose jobs have been outsourced. The old trend of U.S corporations to try and save money by employing these two options is on its way out. It’s about time.

http://youtube.com/watch?v=TCbFEgFajGU

Jaya Kamlani

Wow. The obama campaign harkens back to the japan bashing of the 80s.

Globalization is a reality. Like it or not, we bought in to the idea of comparative advantage and globalized. Now it's time for the labor movement to become global. Whenever a global labor movement raises the working standard, then it makes cheap labor less of a comparative advantage and makes C.A. turn on other factors. The labor movement in the beginning of the last century also had a narrow parochial outlook. The unions didn't take non-whites and thus strikebreakers were often time minorities. Rather than repeating the same mistake, it would be wise if the labor movement began figuring out ways to raise working wages and conditions worldwide. I think this doesn't necessarily apply only to blue collar labor, but makes sense for white collar jobs which are non-managerial too. to the extent that agitation caused workers overseas to receive higher wages, they benefit. the higher wages also translates into less of an incentive to outsource. A win win situation.

Obama is taking the parochial bigoted road of xenophobia. I hate to say, but the guy appears to be a morally bankrupt tool of the system.

When you built a course of action on a deceived foundation, you can certainly create a rocky aftermath. Some politicians are looking to wipe out the payday loan industry and sadly, some have succeeded in many areas. This action reflects the groundless idea or assumption that payday lenders fall under the same category as illegal loan sharks. This ongoing challenge to pass this legislature attempts to restrict or take away your ability to get a payday loan for unforeseen emergency cash needs. Please do not be misinformed and educate yourself, friends and family on the right of financial independence.

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