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The top comment here says: > The top H1-B employers are outsourcing onshoring consulting companies who bring foreign employees to the US and typically underpay

The top comment here says: > The top H1-B employers are outsourcing onshoring consulting companies who bring foreign employees to the US and typically underpay them. These companies then farm these people out at their actual value. Many other comments echo it too. This is wrong. The outsourcing companies use H-1Bs mostly as local liaisons for their remote teams. They all have businesses that annually generate _billions_ of dollars in revenue. That revenue is generated by the labor arbitrage between countries, not shaving off few dollars per hour in the wages of their H-1B employees. The real wage abuse comes from the tail of the distribution - staffing companies, owned and operated by American citizens. Many of these citizens were immigrants originally. If you look at the cases DOJ has brought against H-1B abuses, you will notice that many of these people operate _multiple_ companies. Each of these companies get only few H-1Bs per year, but as an aggregate they get a significant portion of the H-1B quota annually. If wage abuse is the concern, blaming outsourcers is barking up the wrong tree, IMO.

uberman 6y ago
Here are the top H1b-Sponsors and the number of visas they sponsor per year. Take out the handful of "Big Tech" FANG types and JPMorgan and what is left? Is this not then exactly a list of consulting firms importing cheap international labor and then farming them out at their true worth? 1 Cognizant Technology Solutions 28,526 2 Infosys 21,473 3 Tata Consultancy Services 11,868 4 Google 10,577 5 Ernst & Young 8,893 6 Capgemini 8,411 7 Deloitte & Touche 8,258 8 Amazon.Com Services 7,705 9 IBM 7,237 10 Microsoft 6,041 11 Accenture 5,654 12 Hcl America 4,688 13 Wipro 4,291 $77,533 14 Tech Mahindra (Americas) 15 Larsen & Toubro Infotech 3,625 16 Facebook 3,212 17 Wal-Mart Associates 2,277 18 L&T Technology Services 2,117 19 Syntel 1,893 20 Jpmorgan Chase 1,796 21 Salesforce.Com 1,722 22 Amazon Web Services 1,711 23 Apple 1,708 24 Intel 1,683 25 Compunnel Software Group 1,667 Tata explicitly advertises their services are "Onshore-Offshore". When a FANG like google hires an H1-B employee, their average salary is $143,373. When Tata or Cognizant hires an H1-B employee, their average salary is $86,453. If we take the number of H-1B visas sponsored per year at Tata and Cognizant and compare their average salaries to their FANG counterparts it suggests a short changing of $2 billion per year.
- mavelikara 6y ago
  > When a FANG like google hires an H1-B employee, their average salary is $143,373. When Tata or Cognizant hires an H1-B employee, their average salary is $86,453. If we take the number of H-1B visas sponsored per year at Tata and Cognizant and compare their average salaries to their FANG counterparts it suggests a short changing of $2 billion per year. $2B is nothing to sneeze. But Cognizant made $16.7B last year; TCS made over $22B. My claim is that these companies make their revenues by selling the services of their outsourced teams located at low-cost locations. They hire H-1Bs to serve that business model. There are H-1B wage abusers, but those are smaller staffing companies who individually have a small number of H-1Bs, but collectively own a big chunk of it. (For this analysis, I am ignoring the fact that American citizens employed at companies that outsource to Cognizant or TCS pay significantly lower than FANG companies)

uberman 6y ago

Here are the top H1b-Sponsors and the number of visas they sponsor per year. Take out the handful of "Big Tech" FANG types and JPMorgan and what is left? Is this not then exactly a list of consulting firms importing cheap international labor and then farming them out at their true worth? 1 Cognizant Technology Solutions 28,526 2 Infosys 21,473 3 Tata Consultancy Services 11,868 4 Google 10,577 5 Ernst & Young 8,893 6 Capgemini 8,411 7 Deloitte & Touche 8,258 8 Amazon.Com Services 7,705 9 IBM 7,237 10 Microsoft 6,041 11 Accenture 5,654 12 Hcl America 4,688 13 Wipro 4,291 $77,533 14 Tech Mahindra (Americas) 15 Larsen & Toubro Infotech 3,625 16 Facebook 3,212 17 Wal-Mart Associates 2,277 18 L&T Technology Services 2,117 19 Syntel 1,893 20 Jpmorgan Chase 1,796 21 Salesforce.Com 1,722 22 Amazon Web Services 1,711 23 Apple 1,708 24 Intel 1,683 25 Compunnel Software Group 1,667 Tata explicitly advertises their services are "Onshore-Offshore". When a FANG like google hires an H1-B employee, their average salary is $143,373. When Tata or Cognizant hires an H1-B employee, their average salary is $86,453. If we take the number of H-1B visas sponsored per year at Tata and Cognizant and compare their average salaries to their FANG counterparts it suggests a short changing of $2 billion per year.

mavelikara 6y ago
> When a FANG like google hires an H1-B employee, their average salary is $143,373. When Tata or Cognizant hires an H1-B employee, their average salary is $86,453. If we take the number of H-1B visas sponsored per year at Tata and Cognizant and compare their average salaries to their FANG counterparts it suggests a short changing of $2 billion per year. $2B is nothing to sneeze. But Cognizant made $16.7B last year; TCS made over $22B. My claim is that these companies make their revenues by selling the services of their outsourced teams located at low-cost locations. They hire H-1Bs to serve that business model. There are H-1B wage abusers, but those are smaller staffing companies who individually have a small number of H-1Bs, but collectively own a big chunk of it. (For this analysis, I am ignoring the fact that American citizens employed at companies that outsource to Cognizant or TCS pay significantly lower than FANG companies)