The number of annual H-1B hires by Wipro and Infosys coupled with the corresponding average salary data reveal the extent of abuse in the current system. Indian developers are imported into the US to essentially provide an in-house alternative to offshoring, with pernicious consequences for the US economy and the high tech labor pool within the US. A small disclaimer- I'm not a bitter ex-developer who lost his job with a large US corporation in the recent past. In fact, I'm an internet dude in San Francisco, personally unaffected by these policies. I'm also convinced that Intel and other cutting edge companies absolutely need access to more brilliant tech minds through the H1-B program.
Let me point out a few obvious and unsettling problems that stem from Infosys and its ilk directly importing developers into the IT offices of US corporations. First and foremost, if the number of programmers in this country is a real issue (see excellent article linked at bottom) and one that you're serious about solving, then the consequences of underpaid H1-B developers is troublesome. When companies can replace US hires with H1-B consultants, not only do US developers become comparatively expensive, but the number of job openings is also reduced, artificially holding down IT salaries. The market's answer to a shortage in supply is higher prices- yet stagnant IT salaries remain an obstacle to the tech industry attracting more talent ("in computing and IT, wages have generally been stagnant for the past decade, according to the EPI"). Money can absolutely make IT more cool, but unless you land in a promising startup, you're better off pursuing a career in finance or attending business school.
In the context of a country burdened with stagnanet wages and a growing wealth gap, repressed IT salaires are even more distrubing. While IT automation allows corporations to significantly downsize and slash mid-level executives across the board, the IT developers directly responsible for these greater efficiencies can never expect to earn the same $300k salaries of the laid off executives. You might think that as high paying US middle management jobs are lost, equally attractive IT jobs might help stem the drain on US middle class incomes. But there are few signs that even the supposedly systemic shortages of programmers in a country where "software is eating the world" can lift IT salaries across the board, year over year, over a significant period of time. Ask yourself- why hasn't IT wage inflation, inevitable under the normal market conditions of a true shortage, reduced corporate profits by even one tenth of one percent over the past decade?
Just as troubling, US corporations can lean on H1-B consultants as a band-aid that lets them avoid the steps needed to actually address the underlying problems they see in the tech labor market. Despite record profits, how many corporations have revamped their technology department training and recruitment practices, or started offering better benefits and improved career paths to new IT hires? Why don't college-bound kids generally show even the slightest amout of excitement when asked about the promise of working in IT? The answer is simple- those jobs are no more attractive than they were 10 or 20 years ago. Exciting opportunities for advancement or higher pay or even the opportunity for mentorship from leaders in non-IT parts of the business? Good luck with that! Let's face it, beyond the opportunity to indulge your joy of coding on a daily basis, IT jobs still suck. H1-B programs let corporations avoid spending resources needed for real, substantial improvements.
Let me point out a few obvious and unsettling problems that stem from Infosys and its ilk directly importing developers into the IT offices of US corporations. First and foremost, if the number of programmers in this country is a real issue (see excellent article linked at bottom) and one that you're serious about solving, then the consequences of underpaid H1-B developers is troublesome. When companies can replace US hires with H1-B consultants, not only do US developers become comparatively expensive, but the number of job openings is also reduced, artificially holding down IT salaries. The market's answer to a shortage in supply is higher prices- yet stagnant IT salaries remain an obstacle to the tech industry attracting more talent ("in computing and IT, wages have generally been stagnant for the past decade, according to the EPI"). Money can absolutely make IT more cool, but unless you land in a promising startup, you're better off pursuing a career in finance or attending business school.
In the context of a country burdened with stagnanet wages and a growing wealth gap, repressed IT salaires are even more distrubing. While IT automation allows corporations to significantly downsize and slash mid-level executives across the board, the IT developers directly responsible for these greater efficiencies can never expect to earn the same $300k salaries of the laid off executives. You might think that as high paying US middle management jobs are lost, equally attractive IT jobs might help stem the drain on US middle class incomes. But there are few signs that even the supposedly systemic shortages of programmers in a country where "software is eating the world" can lift IT salaries across the board, year over year, over a significant period of time. Ask yourself- why hasn't IT wage inflation, inevitable under the normal market conditions of a true shortage, reduced corporate profits by even one tenth of one percent over the past decade?
Just as troubling, US corporations can lean on H1-B consultants as a band-aid that lets them avoid the steps needed to actually address the underlying problems they see in the tech labor market. Despite record profits, how many corporations have revamped their technology department training and recruitment practices, or started offering better benefits and improved career paths to new IT hires? Why don't college-bound kids generally show even the slightest amout of excitement when asked about the promise of working in IT? The answer is simple- those jobs are no more attractive than they were 10 or 20 years ago. Exciting opportunities for advancement or higher pay or even the opportunity for mentorship from leaders in non-IT parts of the business? Good luck with that! Let's face it, beyond the opportunity to indulge your joy of coding on a daily basis, IT jobs still suck. H1-B programs let corporations avoid spending resources needed for real, substantial improvements.
Is there actually a STEM shortage?
http://spectrum.ieee.org/at-work/education/the-stem-crisis-i...