Minimum H1B Wage Becomes Rs 1.5 Crore; Small Indian IT Firms Cannot Afford This 47% Rise In Salary
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The new H-1B rules executed by the Trump-led government have garnered a ton of negative responses from various organizations that employ H-1B visa holders. The rules direct associations to raise the minimum wage of H-1B visa holders. By as much as 40%, which is not very affordable for small Indian IT firms.
Minimum H1B Salary Becomes Rs 1.5 Crore
The president of America, Donald Trump had executed two new rules for H-1B visa holders.
Under these guidelines, the wage levels of H-1B visa holders have been climbed by as much as 47%. For some H-1B and green card candidates in certain regions by the Department of Labor (DOL).
The increase in wages has been done as such as to make it hard for organizations. To recruit H1B visa holders and turn them to hire their employees locally. Climbing the wages would suggest that the profit margins of employers are reduced.
Tough For Small Indian IT Firms To Hire H1B Employees
The second rule was to fix the guidelines and set a sharp limit on the number of H-1B visas. To be handed out to the employees so that there would be a preference for local hiring. According to the guidelines, the estimates of the Department of Homeland Security (DHS) have recommended that about one-third of the candidates should be denied the visa.
After these rules were announced, three claims were filed against the administration. Furthermore, presently, business leaders have said that the increased H-1B visa wages will destroy the startup culture.
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The new guidelines have been analyzed by the non-partisan National Foundation for American Policy who has said that foreigns will be paid considerably more than American residents on market rates.
While this may not be a major issue for giants like Facebook and Apple, it would definitely affect smaller businesses, for example, Infosys. Also, it would tremendously affect all organizations that depend on immigrants workers, along with small and medium-sized organizations.
However, all of these impacts will occur if Trump is re-elected, but on the off chance that Joe Biden wins in the present elections, there is the possibility that these H-1B rules might be rolled back.
