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Let's see, last time (3 yrs ago) I was in consulting the firm I worked for
and 2 other US firms were competing for the contract. The hourly rate
quoted by my company and the 2 US firms were within 10% of each other (range
$100-110 an hr). The contract went to one of the big Indian outsourcing (I
beleive it was Tata) for $35 an hour and my source said the people actually
doing the work got 1/3 of their billed rate as wages!!!!!

On Tue, Mar 25, 2008 at 8:35 PM, Joe Pluta <joepluta@xxxxxxxxxxxxxxxxx>
wrote:

SJL wrote:
Joe Pluta wrote:

By using that pool to deflate costs, MS (and any other
company that abuses the H-1B laws) is profiting by what
they are not paying American workers.


Joe -

You made a slight technical error with your statement above - one
commonly
made by our media, but more importantly our lawmakers. I know that you
know
the truth about what I'm writing below, but those who read what you
wrote
above may interpret it the wrong way, so I'm going to correct you.

<snip>

I repeat, there is NOTHING in the H-1B law that requires employers to
give
preference to American workers...

2) The 'prevailing wage' provision of the H-1B law is also easily (and
usually) exploited by simply changing the title of the person's job from
something like 'software engineer' to 'systems analyst', thus allowing
the
employer to legally pay substantially lower wages to the H-1B worker.
The
law also allows the employer to do the salary survey to establish the
'prevailing wage'.

This is why the H-1B guest workers are so cheap...employers don't have
to
pay 'Market' salaries...


Thanks, Steve. I actually wasn't even touching that particular piece of
the argument, I was simply assuming that we all now know that H-1B
workers get paid less than the same American workers, and that because
of that the prevailing wage drops, and so students don't want to get
into the field, and thus the H-1B advocates can point to the falling
enrollment as evidence that they need more guest workers.

I forget that some people actually still think that the H-1B process has
real safeguards in place, although I think that if nothing else we've
disproven that theory to the folks on this list. But I could be wrong;
let's ask! Show of hands: do you think H-1B workers make MORE or LESS
than the workers they displace?

Joe
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