Trump orders review of visa program for highly skilled workers
In the whole immigration debate, H-1B visa issue is very small, he said. Agencies have also been asked to suggest changes so that the H-1B visas are granted to the most-skilled or highest-paid applicants.
Throughout his election campaign, Trump pushed the "Buy American, hire American" maxim and prefers to move towards a merit-based visa system, which only encourages the most-talented workers from overseas to come.
"Sending a powerful signal to the world, protect workers and jobs and put America first", President Trump said.
"We believe jobs must be offered to American workers first".
Last November, Gartner analyst Arup Roy said the global IT services sector would be hit by Trump's protectionist policies, with India-based suppliers likely to be hit the hardest.
As Trump approaches his 100-day milestone in the White House, he has failed to pass any serious policies through Congress.
Read: Trump to sign "Buy American, Hire American" executive orders.
"No longer are we going to allow foreign countries to cheat our producers and our workers out of federal contracts".
Observing that salary levels as the metric was not the best indicator of benefits to the USA economy, it said unless a system that reflects variations in prevailing wages across the United States was considered, it could advantage certain regions such as the Silicon Valley over other regions in of the US.
President Donald Trump will be ordering a thorough review of the country's high-skilled immigration visa program Thursday after having signed an executive order Tuesday targeting the H-1B program. "The H-1B visa system exists specifically because of the persistent shortage of highly-skilled domestic talent in the United States", the statement said. However, as per studies, 80 for every penny of the endorsed applications were for the two least wage levels permitted.
Trump and other critics of the program say it is abused by those Indian firms, who - they claim - flood the visa lottery with applications and then send workers to the US on salaries that undercut their American counterparts.
"From the customer perspective, these H-1B visa announcements are nearly a non-issue". A Goldman Sachs analysis found that 65 percent of all H-1B visas in 2015 went to computer-related jobs, with 70 percent of visas awarded to Indian nationals.
But Schott says other countries would likely respond to stricter Buy American policies by making it harder for USA companies to bid on foreign government contracts. Universities and other nonprofit or governmental research organizations are exempt from the cap on new H-1B visas, which are otherwise limited to 85,000 per year.
Critics argue that too many H-1B visas are awarded to foreign staffing companies contracted by USA employers to replace US workers with cheaper, foreign workers.
"This does nothing", said Senator Charles Schumer of NY, the Democratic leader.
Much like some prior orders, however, Trump's executive action Tuesday essentially looks for detailed reports rather than making decisive changes. It's not going to fix the problem.
"Many companies use to employ people passing out from mediocre engineering colleges on low wages and take them to U.S.", said the 22-year-old who graduated from a government college in Pune.