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> "prevailing wage" scams Who exactly is getting scammed in prevailing wage scams?
by dennisgorelik 11y ago
> "prevailing wage" scams
Who exactly is getting scammed in prevailing wage scams?
- riskable 11y agoAmerican workers and the US government (to a lesser extent). What's the "prevailing wage" for IT workers at an Indian outsourcing firm? $60k. What a surprise! That's the scam: If those workers were Americans doing the same job they'd be paid a lot more than that. Probably double or more in many markets! The system is being abused. Disney wants to lower IT costs but it can't just replace their workers with H1Bs because that's A) illegal and B) they'll never get enough. Tata to the rescue! By replacing those American IT workers with Tata H1Bs they completely get around all the safeguards built into the law to prevent that precise situation.
- dennisgorelik 11y ago> American workers ... getting cheaper services due to cheaper labor cost in other industries. They also getting better employment opportunities, because companies grow faster with better selection of labor. In addition to that immigrants are more likely to hire in the future, so it also improves opportunities for American workers. > US government ... wins, because there are more employees to tax and corporations have higher profits. > The system is being abused. ... by politicians, restricting access to jobs to some categories of workers.