IT services companies and clients bear the brunt of Trump's H-1B crackdown
A major disconnect exists between those making U.S. immigration policy – now designed to make it very difficult to hire people with sought-after technical skills – and the role digital platforms play in determining the competitiveness of companies. “One of the most significant secular trends today in U.S.
Bendor-Samuel explains access to talent is crucial for IT services companies to conduct work for U.S. clients attempting to build these digital platforms. “The U.S. faces an acute shortage of digital and IT skills and these digital transformations and digital platforms require a significant amount of these skills to build and maintain,” he said in an interview. “The access to international talent and particularly to the large Indian talent pool is vital to the success of these programs.
The administration’s immigration crackdown against IT services is taking place even though economists recognize the key role such services today play in spurring a nation’s economic growth. “The relationship between services growth and overall economic growth has become stronger in the past two decades as services’ average contribution to GDP [gross domestic product] and value added has increased,” explain economists Dr. Patricia Buckley and Dr.
for Deloitte. “In 2015, services’ value added accounted for 74% of GDP in high-income countries, up from 69% in 1997. The contribution of services’ value added to GDP was higher in the United States than among its peer high-income nations.Vic Goel, managing partner of Goel & Anderson, said in more than 20 years of representing companies he has never seen the tactics currently used to change how U.S. immigration law is applied.
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