Brain drain @ USA, India will witness the opportunity amidst crisis!
US Congress has Okayed $787 bn stimulus package, it is going to hit badly to H1-B visa holders especially Indian IT professionals as the US Congress has prohibited banks and firms receiving federal bailout money from hiring people on H-1B visas in place of Americans laid off by them due to the economic meltdown.
The industry estimates, around 100000 people will get impacted due to this amendment, in turn this will lead to flow of more professionals (techies) back to Indian soil, APNE ANGAN KA DIYA GIVING LIGHT NOW TO APNA HOUSE ……
With this stimulus package development, USA will likely to witness brain drain in coming days.
I think this will lead to a great opportunity for Indian Government as well as the corporate to retain talent at our end and provide them the best of opportunity to exploit their potential for the Indian economy and the masses. I feel our corporate houses and the Government should jointly worked out the strategy to boost the confidence within the people returning back to our soil and instill confidence to stay competitive in the tough times. An extra care should be taken while dealing with these people… they should not be treated as secondary citizens….treat them like, “SUBAH KA BHULA SHYAM KO GHAR LAUT AYA”
Govt. should identify something called as SPV (Special Purpose Vehicle) to encourage our own people to undertake either something in R&D activities or venturing into enterprise of their own. Significant proactive efforts need to be put in for retaining these talents on the Indian soil in the decades to come….. This will create the abundant talent available for global giants on Indian Soil and in turn will attract fortune 500 to invest in India. This will help Indian Economy to create more employment opportunities, higher per capita income, higher demand, foster the high growth rate and move on the journey to become super power….
On the other side, the professionals returning back to Indian soil will lead to pressure on bench strength. This should not adversely impact the local bench. A due care should be taken to handle such situation rather than just laying off the extra bench…
APNE ANGAN KA DIYA GIVING LIGHT NOW TO APNA HOUSE ……
Welcome to Indian soil….. A dream destination for decades to came for global Indians….
Cheers!
Regards
- Nilesh
फेब्रुवारी 16, 2009 at 6:29 pm |
Hi Nilesh,
Interesting perspective. I’m sure we’ll get quite a few migrating back home. But there is a silver lining I see to this. First and foremost only those companies that would be receiving the bail-out package would not be hiring H1-B professionals. What is the percentage of these companies and how many H1 professionals that they employ direclty?
Interestingly, most of our guys who work on H1-B visas are sent through US based setup companies and work as contractors through these setups. In which case:
1. Would the bailed-out companies have a say in these matters? As by hiring contractors they are saving Direct Cost and other over-heads.
2. Would this prevent them from out-sourcing to other countries, where labour is cheap?
3. Would this prevent the prevailing High Labour Rates there?
4. If the existing H1-B workers are to be sent-back, the impact of the same on the Organizations performance also needs to be evaluated. Remember an H1-B professional is a Qualified/ Talented professional and hired only due to unavailability of that skill-set in the local market.
5. Lastly, by announcing this kind of a bail-out, how long can these ‘Bailed-out’ companies sustain it operations. Imagine a BIG Car-manufacturing company receving 100Billion US$ as a bailout package and the Quarterly losses run into 2-5 Billion US$.
In which case, I would say that there is a Systemic problem and this needs to be looked at holistically. This bail-out would provide a momentary relief and would only prolong the eventual death. Personally, my gut-feel says that there is some flaw in the economic model and needs to be re-visited.
Now, coming back to H1-B professionals….it is now a practiced norm that I’ve seen with most of them, that they immediately apply for a Green-Card and dont really bank upon the H1-B. And most have them already clearing the Labor and other formalities. In-effect they would be getting their GC’s in the near future (1-5 years) and one need not be in the US to get the GC. Therefore, even if they return today due to lack of opportunities, it would not prevent them from going back once they get their GC’s and as we know there is no cap/ ceiling on GC’s….’SUBAH KA BHOOLA….SHAAM KO GHAR…PHIR SUBAH KA BHOOLA HO GAYA’
BRAIN DRAIN…might PREVAIL!!
The cycle continues!!
Yes, I’m sure in which case the next school of thought here would be as to how can we prevent this BRAIN DRAIN @ HOME in the first place.
Cheers!!
-MG
फेब्रुवारी 17, 2009 at 11:56 सकाळी |
Good one….
The bailout is normally to safeguard the citizen’s (masses) vested interest at the cost of fiscal kitty in the hands of ruling government. Putting some constraints ( Prohibiting H-1B ) at higher cost is like an investment ( management fuding in our term ) to instill confidence within the localites especially the people who have lost their jobs in the economic downturn.
Seccondly, the bigger picture of this story may lead intiating a thought process within Indians that ‘Apne Ghar Bhi Hai Roti’ ….the recent bailout may hit H-1B to a miniscule nature but can have repel effect on the global Indians and lead initiate a their thought process to introspect their decisions on staying back in USA ….
Lastly, its right time to attract and retain talent on Indian Soil….proactive efforts to attract global Indians will benefit the economy in the decades to come. Unfortunately, at this juncutre, Govt to have little options as the transition process ( Formaing New Govt.) will start in a short span of time…
Regards
- Nilesh
फेब्रुवारी 20, 2009 at 8:36 pm |
The very first point you have mentioned is that the banks and other institues are advised to issue pink slips to the Foreign staff and employ locals.
In other terms, these guys are kicked on their asses and asked to” Get the hell ass off US”
No one is coming back for the love of India. These people will stay here as long as the recession is there, and will try to get their them a job in US.
I don’t feel it necessary for government to form a SPV for these people. As it is there are many People back home , working in IT industry in India, who have been shooed from the various companies. Also, the Satyam people in India are also looking for the jobs. Let government do some thing for these people who have been issued pink slips in India.
Had there been no recession, the Indians in US would not have even though to return here, but they would have never bothered to return to India. Having Indian pass port , if they want to come back to India, they are all well come but, not with a special previllage..
Its Brain Drain.. In for Indian’s its all the brains have been considered gone though the drainage..
DO you think, the people who are in India are not capable of taking up R&D activities? Why are these guys required?
In my opinion, no one will come back to India for atleast 6 months. These people will even work on Gas Stations, or as waiters, but will put all their efforts to avoid coming to India.
फेब्रुवारी 20, 2009 at 10:03 pm |
Mahendra,
Thanks for sharing your views…. Your views are welcome !
At first, I am not saying we don;t have I talent in INDIA, I do understand, enormous talent is available within INDIA.
The point I would like to put forward is ….. On one side, our own people are in trouble so we should take care of them in the tough times ( Subha Ka Bhula Agar Ghar laut Kar Ata Hai TO Vo Bhula Nahi Kahelata ) and on other side we as a nation should exploit the opportunity with this by consoilidating our position…we should think of larger view rather than limiting ourselves to what happened in the past or what they did . I am thinking from the Nations point of you, an unbaised view.
FYI – In my 19 Years of IT Career, I always belong to the community who has always prefer to be India rahter than based at onsite and adviced most of them to do so…. my entire family ( brother, Sister, Brother-in law ) into IT and most of them are frequent flyers to USA and Europe but they are resident Indians throughout ….
Regards
- Nilesh
फेब्रुवारी 21, 2009 at 11:06 सकाळी |
Mahendra,
I appreciate your views.
I do agreee with your point regarding the wrong doings and the misleading comments by the Indians staying abroad…. We have full right to protest this ..nothing wrong about it. At times, I to loose my temper with these people…. .. but as an Ambassador for our motherland we should channelise our energy to turn and transform these people to our way of thinking and love for India…. and convey message to them …. we are changing at the rapid pace …. and going to be super power in the decades to come…. and there tremndous potential and opportunities available …. World is looking at us as asolution provider…..
Prajasattak Bharat Chirayu Hoao!
Keep sharing your views…
Regards
- Nilesh