The average wage for an H-1B employee at Infosys in FY13 was $70,882 and for Tata it was $65,565. Compare this to the average wage of a Computer Systems Analyst in Rosemead, CA (where SCE is located), which is $91,990 (according to the U.S. Department of Labor). That means Infosys and Tata save well over $20,000 per worker per year, by hiring an H-1B instead of a local U.S. worker earning the average wage.
http://www.epi.org/blog/new-data-infosys-tata-abuse-h-1b-program/
@2kai - You are totally off base. Get a life!
Tata is an Indian company.
@ioqe, of course not. The pay grade is there as a function of performance. If you think your H1B counterpart is on the lower end of the pay scale compared to you, then you are the one in denial.
It is amusing to see so called educated folks making blanket statements without knowing the facts. It clearly tells me how emotion has no logic.
Again, intel can save money by moving jobs out if Anerica, not by hiring H1Bs. Period. If you can't understand that part, good luck with your whining.
"All employees - whether a citizen or an H1B - gets paid the same."
Boy, you are living in denial. Pay ranges for a given grade are HUGE, especially the higher the grade. People doing the same job at the same grade are NOT paid the same. Period.
This maybe true for small shady startups. But not for big corps like Intel, who have set payscales for each employee grade.
Are we even graduating enough Americans from Engineering schools? In 100 level it's diverse. By 400 level over half foreign students. Graduate school, forget about it. At least my experience.
Get a grip! Cost is not an issue here for intel. Intel is an equal opportunity employer. Go and talk to any manager at intel, past or present. All employees - whether a citizen or an H1B - gets paid the same. What you say is about the industry, more so SW industry. It is the body shoppers.
If Intel can really save some money, it is by moving jobs to low cost GEOs, not by hiring H1Bs. Get some facts right before whining that H1Bs at Intel make less money. Nothing can be farther from truth.
That means recruiting firms like Info Sys make a huge buck on those h1b resources. Their bill rate stays the same, so the company isn't realizing the savings. Only if a company hires direct do they get that savings. Recruiting firms are the ones making bank on that
I think it's not just the lower cost, it's also that the H1Bs can't just easily jump to another company.
Intel hates labor unions, I tend to agree. The unions have too much power and effectively collude to demand higher wages than they're worth.
So originally, companies like Intel liked non-union American workers. But even if they're non-union, American workers have the capability to leave for a new company easily if they get a better offer.
So H1Bs are the next step beyond non-union, not only are they not unionized, they can't easily leave for a new company so will work for less.
Congress should get rid of H1B visas, and just make it easier to become a US citizen.
Funny how the only Senator (Jeff Sessions of Alabama) who is even identifying H1B abuse as problem is a Republican.
So next time you hear a Democrat politician saying they are looking out for the interests of workers over the greed (or whatever adjective you prefer) of corporate America, you might want to remember Senator Sessions.
It is not the free hand of capital markets that creates H1B, it is a corrupt corporatist state that does so. This is the corporatist way in steps it looks like this: 1) use government to create barriers to entry (restrict legal immigration) 2) use lobyists to write laws that allow big companies a way around the created barrier (H1B program) 3) use barrier + way around to have a government imposed advantage over smaller competitors that is enforced via government force.
It's true. Our startup hires H1Bs for this very reason. For same or even better skills, we pay less, even after including the H1B legal process costs.
All of this posting job notices in the lunchroom, etc., all this govt process, is all for nought. As usual, big govt fails to stop the free hand of the capital markets.