Indian IT smells trouble in H-1B visa reforms by the US

The planned overhaul of America's immigration system is giving the jitters to Indian software services companies, and raising concerns that it could have severe repercussions for Indo-US economic ties,as reported in TOI.

Indian companies fear that the draft immigration bill, which will be unveiled soon, will contain provisions making it onerous for Indian companies dependent on H-1B visas to send professionals on assignments to the US.

"Free movement of skilled professionals for temporary work is a trade-related matter and should not be linked to immigration. It is important that trade relations between India and the US align to the long-term strategic agenda that supports growth in both markets," JS Satyanarayana, secretary, department of electronics and information technology, said to media.

The bill being drafted by a group of eight senior senators could make it much harder for Indian companies to obtain H-1B visas. It could also make it costlier by mandating higher wage levels for employees on H1-B visas that Indian companies send on assignments.

"The language appears to be clearly discriminatory in nature, specifically targeted at Indian IT companies and putting them at a competitive disadvantage against their US-based competitors," said Som Mittal, president of Nasscom, which represents the $108-billion ( 5.9 lakh crore) Indian IT industry. India exported software worth $46 billion to the US in 2012-13.