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Large Corporations Displacing Aging IT Workers With H-1B Visa Workers

New submitter genericmk writes "NPR is running an interesting story about the unfortunate status of the aging programmers in the IT industry. Older IT workers are opposing the H-1B visa overhaul. Large corporations want more visa, they claim, because of a shortage of IT talent. However, these companies are actively avoiding older, more experienced workers, and are bringing in large volumes of foreign staff. The younger, foreign workers are often easier to control, and they demand lower wages; indentured servitude is replacing higher cost labor."

20 of 617 comments (clear)

  1. Greedy Upper Management. by Serpent6877 · · Score: 5, Interesting

    You have to be able to afford pricey CEO's, CTO's, and any of the C's. To do this you have to compensate by replacing a higher paid employee that know what he is doing with one that half ass knows what he is doing but makes the books like nicer. You can see here (http://thinkprogress.org/economy/2012/05/03/475952/ceo-pay-faster-worker-pay/?mobile=nc) that companies have spiraled out of control. Heck look at AIG, General motors bonuses paid out when we the tax payers were paying their salaries.

    --
    When all else fails, hire me!
    1. Re:Greedy Upper Management. by SwampChicken · · Score: 5, Insightful

      Easy fix. Large corporations simply to sack all their high-priced execs and get some H-1B visa ones. They'd save a *lot* more money from there than from IT...

    2. Re:Greedy Upper Management. by Lord+Kano · · Score: 5, Interesting

      Ahhhhh, echos of the housing bubble? Corporate America has shifted targets from lowly craftsmen, to the formerly elite IT crowd.

      The day will come when a citizen of the US can't buy an IT job, especially if he looks like a white American.

      It's funny that you mention that. I work in IT at a Fortune 500 company. One day last week, I was in a meeting and I was the only black person there and ironically I also had the lightest skin. Indian H1Bs are ALL OVER IT. Anything Oracle related is dominated by Indian H1Bs.

      LK

      --
      "Hi. This is my friend, Jack Shit, and you don't know him." - Lord Kano
  2. "Shortage" by v1 · · Score: 5, Insightful

    "Large corporations want more visa, they claim, because of a shortage of dirt cheap IT talent"

    There, ftfy

    --
    I work for the Department of Redundancy Department.
  3. 52 years old.... by edmanet · · Score: 5, Insightful

    And I really thought I'd be in management by now. But I really hate meetings.

  4. one solution by phantomfive · · Score: 5, Insightful

    If they allowed H1B visa holders to find other jobs, then this wouldn't be nearly as much of a problem, because employers wouldn't be able to force them into indentured servitude. If they were able to find other jobs, their salaries would rise to the level of their ability.

    --
    "First they came for the slanderers and i said nothing."
    1. Re:one solution by cob666 · · Score: 5, Insightful

      If H1B visa holders were allowed to find other jobs then there is no point in issuing H1B visas, just issue s regular work visa. The whole point of the H1B visa is to allow companies to hire people for skilled jobs that they are unable to fill with local talent. They are by design short termed and extremely limited in scope so the visa holder must leave the country when the visa has expired.

      Widening the scope of the H1B visa shouldn't be an option. I'd like to see H1B visas become even MORE restrictive. Cut the number of H1B visas issued, shorten the term, limit the number allowed per company. In fact, I'd also like to see something implemented where once a visa issued for a company has expired they can't apply for another visa for a certain length of time, also require companies applying for H1B visas to fund programs to train people for the skill they are applying for visas for, something in the ballpark of $50K per year per visa. Would accomplish two goals, would guarantee that there is training for skills that are obviously in demand and would make bringing in H1B workers more expensive, thus possibly forcing companies to hire locally again.

      --
      Do what thou wilt shall be the whole of the Law - Aleister Crowley
  5. This is very true by Anonymous Coward · · Score: 5, Interesting

    I had worked for a major software company that was not Microsoft but worked in the virtualization area.

    Over the last few years saw anybody over 50 terminated and then subsequently replaced with immigrant workers for lower wages. The workers terminated had alot of experience and could do the job more correctly and faster than staff subsequently hired -- suspect longer vacation time and higher wages made them targets for termination.

    This has happened consistently over 3 years.

    This is wrong.

  6. Older IT staff = Higher expected pay by eksith · · Score: 5, Insightful

    It's just a race to the bottom in terms of dollar amount spent on manpower. It's basically outsourcing without having the workforce overseas.

    --
    If computers were people, I'd be a misanthrope.
  7. This would go some way in explaining... by ackthpt · · Score: 5, Insightful

    I've been observing a downward spiral in quality of web applications, sites and services for some years now. Old school programmers/developers wouldn't make some of the bone-headed mistakes I keep encountering. How can we suddenly have so many incompetant people doing this work? Easy - they know how to write code, but do not have the wisdom to avoid drop-through logic, non-intuitive interfaces, extremely fragile code, etc.

    Gotta be a mill somewhere, cranking out code monkeys who are paid by the deadline, not but the quality of their work.

    --

    A feeling of having made the same mistake before: Deja Foobar
  8. video showing how this is done by corbettw · · Score: 5, Informative

    This is an older video, but it shows just how companies manage to avoid hiring qualified Americans just to flood the market with cheap H1B laborers.

    https://www.youtube.com/watch?v=TCbFEgFajGU

    --
    God invented whiskey so the Irish would not rule the world.
    1. Re:video showing how this is done by An+dochasac · · Score: 5, Interesting

      Mod parent up. Yes this is a very old problem. Pre Y2K and years prior to my 40th birthday I saw the writing on the wall. I saw how friends with H1Bs were treated as indentured servants, sometimes earning little more than 1/2 what their US-born colleagues earned. I saw how people from certain countries were assumed to have magical mystical IT talent and how people with dubious certificates and knowledge of hot software products (VisualBASIC, DBase 3...), were given the same "irreplaceable" specialized H1B treatment as brain surgeons and PhD level scientific experts.

      I saw where US IT jobs were going-- so I followed my outsourced IT career out of the country. And no, I don't particularly miss the short vacations, high taxes, high medical costs, high education costs, long drives and terrible job security many US workers have to put up with. If US companies continue to abuse the H1B system as a cheap labor pool, American workers should consider emigrating to countries where real IT experience is still valued as being worthy of more than a living wage. (e.g. all of Europe, Brazil, most of Asia, Canada, Australia, New Zealand...)

  9. job based health care hurts haveing older people by Joe_Dragon · · Score: 5, Insightful

    job based health care hurts having older people work for companies.

  10. This is happening in all departments for a while by Grand+Facade · · Score: 5, Interesting

    That and using temp workers calling them contract but not paying contract wages.

    Thus avoiding paying for benefits and vacations.

    It's like the trucking industry "driver shortage" an illusion promoted around a business model that uses up (abuses) young drivers.

    --
    Rick B.
  11. And this is a reason why so much software sucks by gweihir · · Score: 5, Insightful

    Of course not everybody older is actually better. Older folks that have refused to learn will be on par or worse than the younger people. But older folks that have kept up are invaluable. True, young programmers can generate a lot more lines of code for the same price, but once you take quality into account and things like design and architecture, most code by young programmers sucks badly. Not their fault, but quite a bit of experience is required for good coding. Unfortunately, incompetent management cannot understand that (and most management is incompetent with regard to IT). What would be needed is something that other engineering disciplines have mastered: Qualification levels, and required minimum qualification levels of personnel used to protect you from becoming liable for software failures. While this may sound old-school, there really seems to be no other way. If electricians were the mixed bag that "programmers" are, houses would burn down all the time and many people would die from electrocution.

    --
    Most ACs are not even worth the keystrokes to insult them. Be generically insulted by this and ignored otherwise.
  12. Re:Not indentured servitude by kidgenius · · Score: 5, Insightful

    It is a form of bondage though, as those workers have no freedom to move to a different company on that visa. They are tied to the company. Therefore, they have to accept a lower wage because there is no threat of them leaving for a competitor.

  13. Re:Unemployment? by PRMan · · Score: 5, Interesting

    The other day I was thinking. If you want to deal with unemployment, just federally mandate 40-hour workweeks maximum for anybody who is not a partial owner of a company (minimum of 1%). Some employers would instantly have to hire almost double the workforce, because they couldn't force everyone to work 80-hour weeks anymore. Companies would have to hire and train people. Unemployment would go through the floor and the number of people that could afford things would go up, meaning that it should spike the GDP in a very positive way. It would also, take money back from the rich to the middle class...

    --
    Peter predicted that you would "deliberately forget" creation 2000 years ago...
  14. MBAs ruining business by Chemisor · · Score: 5, Insightful

    And the clueless MBAs strike again. Business school graduates forget that the basis of capitalism is capital, not short term profits. You build capital when you care about the company sticking around for a long time, when you intend people to buy your products because of the reputation of your brand, and when you genuinely care about making the world a better place one awesome toothbrush at a time.

    MBAs on the other hand, only care about the company's survival until the next bonus time, believe that people will only buy something if they are tricked and brainwashed into it, and have no interest or knowledge of what the company actually produces.

    And when you do not care about the products you make, why would you want talented employees to make them? If quality is irrelevant, all you need is a bunch of cheap warm bodies to make whatever garbage marketing can sell. It is amazing how fast you can ruin the economy when you only intend to stay on your job until the company dies, rather than until you retire from it.

  15. Modern business school thinking by GodfatherofSoul · · Score: 5, Informative

    Ever had a conversation with these guys about how they do their jobs? They think in the short term and quantitatively, not quantitatively. They figure if they can get 2 subpar H-IBs at the same price as a 50 year-old, it evens out in the end.

    Short story, I had a great conversation with one of these guys years back who was a manager of a chain restaurant. He was explaining to me the glorious logic of shorting ingredients to save money. How, by removing one pickle from a sandwich you could save millions a year. He was wildly enthusiastic about how powerful a management tool that shorting ingredients was. Now, as I listened to this my thoughts were on the long term effects of this policy and the promotion he was angling for.

    So, Joe the manager cuts one pickle, saves the company $10 million a year and gets promoted up. Kelly takes his place and wants to move up too. So, she decides to make the buns 1 ounce smaller. She saves the company mad money and gets promoted up as well. And so on and so on until a premier chain restaurant starts looking more like McDonalds quality. But, none of those guys care because by the time the shit hits the fan they're probably cashed out!

    --
    I swear to God...I swear to God! That is NOT how you treat your human!
  16. Re:"Free" Trade, What Did You Expect? by fermion · · Score: 5, Funny

    The majority of voters over 45 voted for Romney. The populous has spoken. Older workers want to be fired and replaced with more efficient and cheaper workers.

    --
    "She's a scientist and a lesbian. She's not going to let it slide." Orphan Black