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Microsoft Could Move Some Jobs Abroad Because of US Immigration Policies, Top Exec Says (cnbc.com)

Microsoft does not want to move jobs out of the United States but certain decisions out of Washington could potentially force its hands, the company's President and Chief Legal Officer Brad Smith warned. From a report: The Trump Administration's tough stance on immigration has attracted a lot of criticism from big technology firms, which rely heavily on skilled foreign workers from around the world. Smith previously spoke out against efforts to stop the Deferred Action for Childhood Arrivals (DACA) program -- an Obama-era policy that provides legal protection for young immigrants brought to the U.S. illegally as children. Microsoft has advocated the protection of DACA and more broadly supported immigration as a way to make sure U.S. companies are hiring talented people. "We do worry about a couple of the very specific immigration questions that people appear to be debating in Washington," Smith told CNBC's Akiko Fujita in an interview on Wednesday.

[...] "We don't want to move jobs out of the United States and we hope that we don't see decision making in Washington that would force us to do that," he said, adding that Microsoft has been openly speaking to people in Congress, at the White House and even the Canadian government to safeguard the interest of its employees. Microsoft has a development center in Vancouver, which Smith described as a "bit of a safety valve." "We're not going to cut people loose. We're going to stand behind them," he added.

39 of 293 comments (clear)

  1. Hereâ(TM)s the Translation: by cunina · · Score: 3, Insightful

    âoeWe want the cheapest workers possible that will endure the most abuse, and if Trump wonâ(TM)t let us have them, weâ(TM)ll go someplace where we can get them. Obama knew to play ball on this, why canâ(TM)t Trump?â

    1. Re: Hereâ(TM)s the Translation: by Archfeld · · Score: 4, Insightful

      I call BS. It is all about who will accept the abuse and work 80+ hours for peanuts. There is no shortage of talent here in the US, it is all about cost of living and a decent wage. I've had to train many of those so-called high talent workers from foreign lands, their biggest asset is their willingness to do whatever is asked of them regardless of what it does to their life.

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    2. Re: Hereâ(TM)s the Translation: by lgw · · Score: 5, Insightful

      Have you ever worked for a large left-coast tech employer. I've worked for many, including Microsoft. Microsoft is unique in have so many Americans on their payroll - it may even be as high as half! I worked at 2 places where it was about 2%.

      If MS is complaining about "immigration policy" they're not worried about lettuce pickers, they're worried about H1-Bs. MS already has offices in Canada, specifically because they max out the bodies they can bring into the US. Hardly a surprise if they do more of that.

      This is not just virtue signaling by MS, t's also blatant corporate self-interest.

      --
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    3. Re:Hereâ(TM)s the Translation: by Anonymous Coward · · Score: 2

      It's not even that. To the best of my knowledge, Trump has not altered the H-1B visa in any meaningful way. I've heard the idea floated that visas will be granted to the jobs that pay the highest. If that is true and Microsoft really needs the "best" people who just happen to not exist or be in shortage in the U.S., they still shouldn't have a problem because they have to money to pay up for the "best" talent.

      This is a threat due to Microsoft's opinion on illegal aliens who are great majority unskilled and uneducated (not even high school education). There is no such thing as throngs of college-educated people entering the U.S. illegally. As for DACA, very few will end up getting degrees in STEM. You know how many Hispanic people I saw when I was in college for an electrical engineering degree? One, and neither he nor his parents were illegal immigrants.

    4. Re: Hereâ(TM)s the Translation: by Anonymous Coward · · Score: 5, Insightful

      It wasn't an issue in the past, it's only an issue now because companies refuse to train their own employees or invest in them in any way.

      It's unrealistic to expect that graduates fresh out of college are going to be suitable without more training.

      What's more, look at the pointless bullshit that talent we're producing is being used for, developing better and more clever scams to trick people out of their hard earned money. New financial schemes that should be illegal, but aren't due to bribes. And let's not forget taking things that we already do and turning them into apps because apps.

      There's also plenty of older workers complaining about not being able to get new jobs in the field once laid off.

      The problem here isn't a lack of talent, it's a lack of companies behaving responsibly with their talent and failure to invest in new people trying to enter the industry.

    5. Re: Hereâ(TM)s the Translation: by Anonymous Coward · · Score: 5, Insightful

      I don't even make it out of the summary without getting pissed at the spin on display. "an Obama-era policy that provides legal protection for young immigrants brought to the U.S. illegally as children". What a crock of shit. There were no legal protections there because it wasn't a law - it was a memo that Homeland Security published about how they were going to NOT ENFORCE THE LAW in a specific way. https://en.wikipedia.org/wiki/...

      Watching people try to defend this kind of end-run around the legislative process tells me everything I need to know about them.

    6. Re:Hereâ(TM)s the Translation: by dr.g · · Score: 5, Insightful

      +1, anticipated my post

      Which was gonna be something along the lines of "Wait. What the fuck does DACA have to do with the H1B program that provides all this foreign "talent"?" Answer: nothing at all. This is clearly political.
      Now...since we know MS has gotten some nice considerations from government, and we can see this as a political attack on Trump, not an explanation of real business concern, WHO is MS paying back? And the answer is, the Dems. Of course, that can't be because "The Narrative"© clearly states that only the Republicans do favors for big companies and get political returns from it. So, more cognitive dissonance, lefties?

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    7. Re:Hereâ(TM)s the Translation: by Anonymous Coward · · Score: 4, Insightful

      Here's the dirty secret at Microsoft that no-ones wants to talk about.

      Diversity policies resulted in the promotion of lots of Indian workers.

      Indian workers, who aren't the slightest bit interested in diversity beyond themselves, promoted other Indians.

      White workers have been all but eliminated in Seattle.

      If you even mention this purge... you are branded a racist.

    8. Re:Hereâ(TM)s the Translation: by SoftwareArtist · · Score: 2

      You're making incorrect assumptions based on a few lines from the summary. Read the full article. He was very clear what policies he was referring to, and they're entirely on topic. Here is the relevant passage.

      "We do worry about a couple of the very specific immigration questions that people appear to be debating in Washington," Smith told CNBC's Akiko Fujita in an interview on Wednesday.

      He pointed to two particular examples. The first is another Obama-era rule that allows some spouses of people who have a non-immigrant H-1B visa to take on paid work. The Trump administration has proposed revoking that type of work authorization last year but a lack of update has left many in limbo, according to reports.

      The second is a rule that allows international graduates in science, technology, engineering or mathematics from U.S. universities to continue working while they're trying to apply for a work visa.

      This isn't a political attack on Trump as you claim. It's legitimate concerns about specific proposed changes that really would affect their ability to hire skilled workers.

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    9. Re: Hereâ(TM)s the Translation: by Archfeld · · Score: 2

      What I've wondered for a long time is why industries don't go into local colleges and universities and teach soon to be graduates what they want the job candidates to know when they graduate. Surely a semester of Cobol, or any of the specialties you mentioned could only benefit both the companies, and the students soon to be in the market for jobs in the area.

      --
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    10. Re:Hereâ(TM)s the Translation: by AmiMoJo · · Score: 2

      Do you have evidence to back this up?

      Checking Microsoft's own stats they claim that 56% of their workers are caucasion, which is what I presume you mean when you say "white": https://www.microsoft.com/en-u...

      The EEO-1 report is here: https://query.prod.cms.rt.micr...

      Of course that is for the whole company, but it would be quite incredible if somehow at their main HQ "white workers have been all but eliminated" and yet all other locations put the overall figure at 56%.

      Unfortunately it's hard to say how many of their employees are Indian because the EEO-1 form lumps them in with a lot of other nationalities and ethnicities: "A person having origins in any of the original peoples of the Far East, Southeast Asia, or the Indian Subcontinent, including, for example, Cambodia, China, India, Japan, Korea, Malaysia, Pakistan, the Philippine Islands, Thailand, and Vietnam." But it's certainly less than 31% which is the total for all of those, and of course that number includes all Americans who are "Asian" but not foreign nationals.

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    11. Re: Hereâ(TM)s the Translation: by NickGnome · · Score: 2

      âoeIn the US there is a shortage of talent, an awful lot. And in any other country at a given time. The question is whether you stop everything until that local talent...â You should give the âoedon your wadersâ warning. There has never been any actual evidence of a STEM talent shortage published. Yah, sure, every few months a few STEM executives get together at the country club or congress, but I repeat myself... and whine that they want cheaper, more pliant, low-skilled laborers with ever more spurious non-merit-based credentials & âoequalificationsâ, with ever more flexibility in ethics, to implement their latest privacy violation, barriers to entry schemes. That is NOT evidence of shortage. They still refuse to relocate talent, still refuse to fly talented USA citizens/ UK citizens/ German/ Scandinavian... citizens for interviews, still refuse to invest in training (or at least not anywhere near as much as they did in the decades before H-1B was hatched), still refuse to purchase print ads, still refuse to do their recruiting in such a way that illegal discrimination in hiring can be caught and prosecuted, still retain sheisters to fabricate phony/spurious pretexts on which to reject able and willing USA...citizen job applicants. IOW, their behavior is evidence that there is plenty of talent. Every year for several decades, tens of thousands of USA citizens have been getting degrees (plus more who attain other academic & non-academic credentials) in STEM fields... only for one-third to two-thirds to be rejected for STEM employment. One could understand if they rejected the lowest 1%, 5%, maybe even 10%. But, of course, if there were actually a severe talent shortage, the execs would be rushing to grab even those up and bring them up to speed through customized training... Only they donâ(TM)t.

  2. Yes... by SharpFang · · Score: 5, Insightful

    "We don't want to move our asses from our comfortable offices, but as we can't continue importing cheap labor, we'll have to follow where that cheap labor used to come from."

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    1. Re: Yes... by Anonymous Coward · · Score: 2, Insightful

      Lol they hire foreigners because they cannot find local talent at any price point. It does not exist in sufficient numbers.

      Have you worked for or applied at Microsoft? It's very hard to get in there - they want top notch folk. They pay very very well. Half if the r&d staff are foreign because that's where the talent is. These are not sweat shop jobs.

    2. Re: Yes... by ichimunki · · Score: 4, Interesting

      In my 20+ years of experience, natural born US Citizens are no better than foreign born developers who work in the US. And I've run into a handful of natural born US coders that were, in fact, terrible at their jobs... whereas I've seen a lot of foreign-born techies come to the US and thrive, do great work here -- and can't recall a single foreign-born coworker who was below average.

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    3. Re: Yes... by AuMatar · · Score: 3, Insightful

      That's selection biased- only the best get to come over here. The rest don't get jobs here. Work with some outsourced developers and you'll see utter crap. Or hang out on stack overflow and read the questions posted in broken english.

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    4. Re: Yes... by ichimunki · · Score: 2

      Absolutely agree. Whereas the foreign-born who come to the US have barriers to entry, the US-born who work here do not have the same limiting factors.

      Off-shoring/outsourcing seems to be a way to hire those "left behind" at really low cost... penny-wise/pound-foolish if you ask me. Never seen outsourced work produce results to match domestic by a long shot... but what MS is planning here isn't really off-shoring in that vein, rather "right-shoring" in the sense that they will be still co-locating a team built from a global pool, just not putting them in Redmond.

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    5. Re: Yes... by angel'o'sphere · · Score: 3, Insightful

      Broken english is not the problem. (Keep in mind asian languages e.g. are so far away from english grammar that is extremly hard to learn english for them)
      You find plenty of questions where it is completely clear that the poster does not grasp the simplest things about programming. That is the problem.

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  3. Translation by Opportunist · · Score: 4, Insightful

    Politics can do what they want, if we want to hire cheap foreigners we'll hire cheap foreigners. Here or abroad.

    Ya know, while he's at it, couldn't Trump start putting tariffs on software?

    --
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  4. Feel-good bullshit by PeeAitchPee · · Score: 5, Insightful

    Let's see the actual demographic makeup of their devs. Spoiler: it's overwhelming male and white / Asian / Indian like all other big tech firms. This is just a cheap soundbite to placate the SJW crowd with absolutely no substance behind it, and everyone knows it. Besides, I'm confused: doesn't the H1B program that Microsoft et al abuse exist in practice solely to bring (temporary) immigrants into the country (to work as indentured tech servants and save big corps money)? Their statement here about caring about immigrants is 100% trash -- follow their money.

  5. Just Another Big Business by rally2xs · · Score: 5, Interesting

    ...that wants to hire cheap foreign labor within the USA. They claim they can't get good US help. Well... maybe they can't. If you are about to embark on a career, and are looking at studying for 4 or more years, incurring massive debt, and then having to wait to be hired by businesses that have lowered their wage scale substantially by importing cheap foreign labor that you have to compete with, what are you going to do? Maybe take up law or medicine, if your that smart, because the software industry is now a comparatively low pay industry, and often with insane work hours to boot. These people are smart, and lots of 'em are smarter than lining themselves up to be mediocre middle-classers instead of upper middle-classers is not all that appealing.

    Back before the dot-bomb of the early 2000's, actual Americans were making 6 figures, even in those more valuable year-2000 dollars, because real Americans were doing the work. Then the outsourcing and H1B Visas had their impacts, and news from the software wage front has been pretty dismal. This industry sabotaged itself with complicity by the US gov't working against it's citizens.

    1. Re:Just Another Big Business by rally2xs · · Score: 5, Insightful

      No, I have no memory of that. Up until about the 1990's, US industry was populated pretty much exclusively by US workers. Then, the US gov't made it possible to hire 100's of 1000's of foreigners at the behest of big business that wanted to pay less for their labor, and the destruction of good-paying tech jobs began.

    2. Re:Just Another Big Business by Hodr · · Score: 2

      Might be new-ish in white collar jobs. We have been importing migrant labor for farming for as long as we have been a country.

    3. Re:Just Another Big Business by Solandri · · Score: 2

      While I agree the program is abused, the program was started due to other countries running similar programs. A study found that the U.S. was suffering a net drain of talented graduates leaving for jobs in these other countries. These work visa programs are basically ways for countries to poach talent from each other, and the U.S. had been on the losing end. So it started its own work visa program.

  6. Re:Why not employ skilled Americans? by AHuxley · · Score: 5, Insightful

    The best US university courses are still graduating the best graduates who got accepted on merit. Every year. For decades.
    From artists, to engineers to every kind of computer expert.
    What is some other nation doing that the USA cant get from its educational graduates?
    Cost of work?

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  7. Labor exploitation problem has been solved by mrops · · Score: 2, Interesting

    It is the wrong kind of immigration policies in US that allow for this "cheapest labor exploitation". Speaking as a Canadian, the work permit here, which is equivalent to H1-B in US is bound to the employer, but the permanent resident status, equivalent to green card is not. So you get here on work permit, apply for permanent resident status couple years later and your employer effectively has no leverage except a just pay and a healthy work environment. Sure it costs 2 years before you can apply, however its not like a decade or so in US at the mercy of your employer.

    1. Re:Labor exploitation problem has been solved by Anonymous Coward · · Score: 2, Interesting

      US immigration law is horrendous, unjust and uneven. If you come here illegally, you are VIP and every politicians want to shake your hand. If you apply thru proper channel, be prepare to wait 20 years.

    2. Re:Labor exploitation problem has been solved by luis_a_espinal · · Score: 5, Insightful

      It is the wrong kind of immigration policies in US that allow for this "cheapest labor exploitation". Speaking as a Canadian, the work permit here, which is equivalent to H1-B in US is bound to the employer, but the permanent resident status, equivalent to green card is not. So you get here on work permit, apply for permanent resident status couple years later and your employer effectively has no leverage except a just pay and a healthy work environment. Sure it costs 2 years before you can apply, however its not like a decade or so in US at the mercy of your employer.

      You've pretty much perfectly described the system in the US as well. I have no idea what you think is different, except maybe the green card process is a bit longer here.

      No. It's not a bit longer. It's damned atrocious. I know cases of engineers and doctors waiting for 8-10 years for a decision.

      I'm like, why are we doing this? If we have a professional working here for 8-10 years, just give the papers to him/her automatically. That person has obviously shown value.

      And why wait 8-10 years of more? Put a cap, and tell them yes/no within 2-3 years. That way people can plan accordingly instead of living in a damned limbo.

      Our incompetence is turning into cruelty, honestly. This is why I get so pissed at people saying "huurr durr come here the right way" without knowing we are making that all but impossible in the most idiotic, dysfunctional and capricious ways possible.

    3. Re:Labor exploitation problem has been solved by Cyberax · · Score: 2

      You're looking at the very last step of the process - getting the citizenship. It's very easy and simple.

      What takes most of the time is he US green card processing. They are assigned based on a country, so Chinese people will have to wait for about 6 years as of now to get a regular employer-sponsored green card.

      You can look them here: https://www.trackitt.com/curre... - right now the USCIS is processing cases from 2013 for Chinese nationals. And it is even worse for India.

  8. in other words by Tsolias · · Score: 4, Insightful

    We can't import them, so we export our offices... and because we don't want to seem like we are the bad guys who outsource everything to non-americans, we will blame the goberment.

  9. Not about "skills" by mi · · Score: 4, Informative

    Smith previously spoke out against efforts to stop the Deferred Action for Childhood Arrivals (DACA) program

    DACA is not about skilled technology workers at all. The man, quite clearly, is against US enforcing its borders in principle...

    --
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  10. Re:Cost Issue, Not Skill Issue by DarkOx · · Score: 2

    Right there is no reason to move all but the smallest subset of professional jobs over seas other than seeking lower labor costs.

    Sure there are handful of PHD level specialist positions for which there may only exists 100's or few qualified candidates the world over - but that does not describe the vast vast majority of positions available at Microsoft, which they seek to fill with foreign workers.

    Global trade imbalances, immigration (legal and not), are the cause of the increasing wealth gap! Liberals and non-populist Conservatives alike need to square that. They are not being honest with the public about their polices and their effects.

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  11. Re: Why not employ skilled Americans? by luis_a_espinal · · Score: 3, Interesting

    You may have noticed you basically need to be rich to get a degree in America.

    Utter fucking bullshit.

    ^^^ This. I don't think a person fitting the economic profile I had 30 years ago could go to college. No way no how.

    I made it by sheer luck, a lot of people helping me, pell grants, a scholarship and a non-trivial amount of student loans (which I'm still paying.)

    Now, and due to the exorbitant cost of living, all of that is almost gone, except student loans. You either fail to graduate (because you have fucking eat sometimes) or take so much loans you end up in financial indenture for life.

    This is not the same for all, though. If you live within driving distance of a 4-year university, you *still* get a chance to make it through college while poor.

    But if you do not live within commuting distance from a college or university, forget about it.

    I could see the changes coming when I was in college, and boy I'm glad I could graduate. No way I could do it again. And I see how much I need to save in college funds for my kids, it might be cheaper to send them to study overseas (or move my entire family).

    I. AM. NOT. FUCKING. KIDDING.

    The game is rigged against you unless your parents are within the 13% upper income bracket. Believe it. Believe it now more than ever.

  12. Re: Why not employ skilled Americans? by luis_a_espinal · · Score: 2

    Dude that article is from 1956. America in 2018 just isn't comparable to 1956. It's lost the will to build. Consider there are 550 million europeans with access to education easily as good as American, at a fraction the cost. There are 2 billion Indian and Chinese, of those a small % but high number are rich enough to send kids overseas to get a great education, previosuly the prime target for that was the USA (until Trump, now they go to Europe/Canada/Australia).

    This high tech advanced tech stuff is common now and has gone global. Hence, there are more foreigners than Americans with the skills. Hence, it's hard to find Americans.

    The choice is this: Import the foreigner, or export the job. Which would you prefer? We can move the jobs to Vancouver/Sydney/Dublin/Berlin/London easily enough.

    Well, a lot of this folks still think the World operates as if we were in the 50's. It explains a lot.

  13. Apartment buildings around Microsoft in Redmond by BrookHarty · · Score: 2

    Lots of Indian contractors living 5-6 to an apartment building, just walking distance to Microsoft, hardly any furniture except a TV, they work crazy hours, and send money home.

    M$ has been using cheap visa workers for years, everyone around the Seattle area knows it, sees it.

    Are these the workers M$ will move overseas? Or the flux of middleman project managers they burn through?

  14. Companies are behaving responsibly by rsilvergun · · Score: 2

    to their shareholders, which is the only legal requirement they have.

    If we want them to behave well to their employees we have to force them, and that means electing the kinds of people who will do that. That means less Nancy Pelosi and Paul Ryan and more Bernie Sanders and Alexandria Ocasio-cortez. But the latter leaves a bad taste in people's mouth because nobody likes paying taxes, even if it's for things they want (like enforcing pro-worker regulations)

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    1. Re: Companies are behaving responsibly by Reverend+Green · · Score: 2

      Thing is, most candidates who say they want to raise taxes also support every anti-worker bill that comes along. And most candidates who say they want to lower taxes, are lying.

  15. I've found the US citizens better by rsilvergun · · Score: 3, Insightful

    note I said "US Citizens". Because they're here for the long haul. They're citizens. They expect to have careers. Throw away contractors know they're throw away contractors and behave accordingly; spending as much time preparing for the next contract as doing their jobs.

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  16. Re:the best choice omong bad solutions by StikyPad · · Score: 2

    "The challenge is to keep it reigned in and on target."

    Not really. The challenge is that people have a wide range of opinions about what the target is.