H-1B visa ban order 'misguided, harmful to US economy': IT body Nasscom

Global tech firms like Google, Twitter have also criticized the move by terming it as discriminatory in nature.
(Photo | Express Illustrations)
(Photo | Express Illustrations)

India’s apex IT body, Nasscom says H-1B visa ban is misguided and harmful to the US economy. Nasscom said that the new order will only limit the access of the organizations to the talent overseas and will also force more work to be moved offshore since local talent is not available. Nasscom has also sought to shorten the burden of these restrictions to 90 days.

“Coming on the heels of the problems created by the coronavirus crisis and the USCIS and DOS office closures that have delayed the processing of visas and made it difficult, if not, impossible at times to travel to or from the United States, this new proclamation will prevent our companies and thousands of other organizations from accessing the talent they need from overseas,” Nasscom said in a statement.

Earlier, trade and industry bodies including Nasscom, the U.S. Chamber of Commerce, the American Medical Association, Compete America, the National Association of Manufacturers, and the Association of American Universities among others had written to Trump and his Secretaries stating that such policies and his Secretaries that policies such as these undercut the ability to grow and create jobs, inhibit the provision of critical infrastructure services, and add burdensome new regulatory requirements and costs.

“Lengthening these burdensome restrictions on U.S. companies that are trying to recover from the economic fallout of the COVID-19 pandemic will only serve to harm our economy. In this time of Covid-19 crisis and recovery, the Administration’s policies that impact American businesses should follow the oath taken by healthcare professionals: first do no harm,” the IT body added.

Global tech firms like Google, Twitter have also criticized the move by terming it as discriminatory in nature. Google CEO, Sundar Pichai said that he is disappointed by Trump’s Moday’s proclamation. “Immigration has contributed immensely to America’s economic success, making it a global leader in tech, and also Google the company it is today. Disappointed by today’s proclamation - we’ll continue to stand with immigrants and work to expand opportunity for all,” Pichai said in a tweet.

Jessica Herrera , VP, Public Policy, Twitter said that this proclamation undermines America’s greatest economic asset: its diversity. People from all over the world come here to join our labor force, pay taxes, and contribute to our global competitiveness on the world stage.

“Unilaterally and unnecessarily stifling America’s attractiveness to global, high-skilled talent is short-sighted and deeply damaging to the economic strength of the United States,” she added in a statement.

After April 22nd’s executive order banning immigration into the US temporarily, US President Donald Trump said that banning non-immigrant visas like H-1B and H-2B was pivotal to saving jobs for Americans at a time when unemployment is soaring in the country.

Hemant Mohapatra, Partner at Lightspeed ventures, India told this publication that the ban will surely impact the Indian IT industry in short term , however it will also promote the already existent remote work culture adopted by leading tech firms and push more talent towards India.

“The impact is going to linger on for next 6-9 months at least and at the same time drive more talent towards home markets especially as visa regimes are only getting stricter.We can expect a more vibrant startup ecosystem in India especially if the compensation structure is at par with what these workers were offered in the US,” Mohapatra added.

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