IT Companies Beware: US May Introduce 50:50 Law

It is likely that the US may introduce a 50:50 hiring law wherein it will be mandatory for the Indian IT companies to employ 50% Americans in their US operations. If the law comes into place, top Indian IT companies like Tata Consultancy Services (TCS), Infosys Technologies, Wipro, Satyam Computer Services and HCL Technologies will take a hit. According to reports, about 90% employees at the US offices of some top-rung Indian IT companies are Indians. With the new law, Indian IT companies would have to shell out much more as salaries for foreign staff, which will have a bearing on the profitability of these companies. At present, IT companies can send any number of Indian employees with a year’s experience under L1-B visas. Besides, the H1-B visa, through the lottery system, enables about 65,000 employees to immigrate to the US, of which about 80% lands in the IT industry