Indian IT companies rely on India’s talent pool, even in the US
Posted by: Nora Bieberstein in News on Apr 05, 2011
Indian IT service developers do not hire many US workers. This represents a general tendency discovered by an Indian industry group, and means that only 1 out of 10 US-based employees of Indian IT companies is usually an American citizen.
The results on US employees of Indian IT organizations stem from a research study by the Confederation of Indian Industry (CII). The CII conducted a mass survey with numerous Indian companies. Generally, the results reveal that approximately 80% of the human resources that are located in the US but employee by the surveyed Indian organizations are of the respective country’s local origin.
This, however, does not apply for the IT industry. IT workers based in the United States but working for Indian IT companies are mostly Indian Visa holders who have a work permit instead of US nationals. The research leaders of the study highlight the low dependence of Indian IT firms on the US workforce.
Reason for the high demand of Indian IT workers even abroad are India’s large talent pool and high-quality education system that annually bears a large amount of high-end professionals. In contrast, the US is currently facing a shortage of qualified, high-skilled IT workers.
Especially in the US, this issue raises concerns about the negative impacts of outsourcing on the economy. High unemployment rates are causing discussions on the effects of outsourcing partnerships, predominantly between the US and India.
Another problem that might occur in this relation is the potential abolishment of free trade agreements between nations. Stricter visa policies would imply an even more restricted movement of human resources from India to the US. Already, Indian companies often face problems with the aspect of free human resource movement as it is a very complicated and time-consuming process for Indian nationals to get a US working visa.
