US anti-offshoring law blocked
- Reduce text size Decrease text size
- Increase text size Increase text size
- Print article Print
- Jump to comments Comment
- Share this article Share
- Email article to a friend Email
“Creating American Jobs and Ending Offshoring Act”, designed to encourage companies to move jobs back to the US, squashed by Republicans
An attempt to change US law in order to discourage the use of offshore outsourcing have been blocked in the Senate.
The “Creating American Jobs and Ending Offshoring” bill aimed to eliminate tax breaks for US companies that send jobs offshore and to create incentives for them to move jobs back to the country. It was blocked by Republican senators, however.
Interesting Links
Barriers to entry How US and UK immigration rules affect Indian IT outsourcers
Business advocates criticise immigration cap Some fear that the limit on migrant workers from outside the EU will exacerbate technology skills shortage, damaging economy
Iowa senator Chuck Grassley, a Republican, argued that the bill would burden US companies, making them less competitive. “The overall bill is being sold as somehow having the potential to create American jobs … but it would more likely have the exact opposite effect and lead to a net decrease in American jobs,” he said.
US trade union the AFL-CIO said the Republican party has shown its “true colours … by blocking debate on a bill that would help create jobs and push forward toward economic recovery.”
Last month, the US senate successfully passed a bill to increase the cost of migrant worker visa applications. In making the case for the bill, Democrat senator Charles Schumer referred to Indian IT outsourcing companies “such as Infosys” as “chop shops”.
He added that the bill would “not affect the high-tech companies such as … Microsoft that play by the rules and recruit workers in America.” According to a 2007 report by Information Week, Microsoft receives more H1B visas than any other company.






Outsourcing hurts all Americans!!
Don’t be fooled, corporations and foreign governments are heavily lobbying congress through outsourcing/H1B advocacy organizations. Don’t let corporations and foreign governments be the only voice that congress hears. Call your local representatives and senators today. You can also visit and contribute to the American Engineering Organization to make sure your voice is heard: http://www.aea.org/
Report this comment »