Friday, January 10, 2025
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Trump signs order against hiring H-1B holders for federal contracts

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Washington: In another huge blow to Indian IT professionals eyeing the US job market, President Donald Trump has signed an executive order asking federal agencies to hire Americans and preventing them from contracting or subcontracting foreign workers, mainly those with H-1B visas.

The move came over a month after the Trump administration on June 23 suspended the H-1B visas along with other types of foreign work visas until the end of 2020 to protect American workers in a crucial election year.

The H-1B visa, most sought-after among Indian IT professionals, is a non-immigrant visa that allows US companies to employ foreign workers in speciality occupations that require theoretical or technical expertise. The technology companies depend on it to hire tens of thousands of employees each year from countries like India and China.

“Today I am signing an executive order to ensure that the federal government lives by a very simple rule, hire American,” Trump told reporters in the Oval Office of the White House on Monday before signing the order against hiring H-1B visa holders for federal contracts.

Trump told reporters that his administration will not tolerate firing of hardworking Americans in the pursuit of cheap foreign labour.

“As we speak, we’re finalising the H-1B regulation so that no American workers are replaced ever again. H-1B should be used for top highly paid talent to create American jobs, not as inexpensive labour programmes and destroy American jobs, said Trump, who was surrounded across the Cabinet Room table with individuals campaigning against job outsourcing.

Prominent among them were Sara Blackwell, founder and president of Florida-based Protect US Workers organisation; Jonathan Hicks, a software engineer in the Tennessee Valley Authority; and Kevin Lynn, founder of Pennsylvania-based US Tech Workers.

The H-1B visa has an annual numerical limit cap of 65,000 visas each fiscal year as mandated by the Congress. The first 20,000 petitions filed on behalf of beneficiaries with a US master’s degree or higher are exempt from the cap.

The executive order requires all federal agencies to complete an internal audit within 120 days and assess whether they are in compliance with the requirement that only US citizens and nationals are appointed to the competitive service.

As a result, the Department of Labour will also finalise guidelines to prevent H-1B employers from moving H-1B workers to other employers’ job sites to displace American workers.

Trump’s order follows the federally-owned Tennessee Valley Authority’s (TVA) announcement that it will outsource 20 per cent of its technology jobs to companies based in foreign countries.

TVA’s action could cause more than 200 highly-skilled American tech workers in Tennessee to lose their jobs to low-wage, foreign workers hired on temporary work visas, the president said.

Outsourcing hundreds of workers is especially detrimental in the middle of a pandemic, which has already cost millions of Americans their jobs, the White House said in a statement.

Given the current climate of rampant intellectual property theft, outsourcing IT jobs that involve sensitive information could pose a national security risk, it said. According to the White House, Trump’s actions will help combat employers’ misuse of H-1B visas, which were never intended to replace qualified American workers with low-cost foreign labour. (PTI)

 

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