May 12, 2009
Software industry body Nasscom on Friday hit out at the US H1B visa legislation, introduced in the Senate yesterday, saying its provisions are targeting Indian firms and restricting their ability to compete in the US market.
Nasscom said though the stated objective of the Bill is to prevent fraud and visa abuse, several of the provisions of this Bill are against the principles of free trade.
“In many ways, it is targeting Indian companies and restricts their ability to compete in the US marketplace. This is also against President Obama’s stand against protectionism at the G20 Summit,” Nasscom President Som Mittal said.
The almost USD-billion Indian IT outsourcing industry draws over 60 per cent revenue from the US and many of its skilled workforce work onsite on H1B visa for the client.
Indian companies had been allocated only 12,000 visas in 2008, out of the limit of 85,000 visas. The data from USCIS shows that in April 2009 till date, it has received about half the H-1B visa applications against the cap for FY10.
This clearly demonstrates that companies are not using the H-1B Visa route to replace US workers.
US does not have a temporary service visa as in other countries and companies that do send highly skilled engineers on H-1B visas are for temporary period with average stay in US of less than two years, he added.
July 10, 2008
The Indian IT-BPO industry (including domestic market) recorded an overall growth of 28 per cent (currency adjusted), clocking revenues of $52 billion in FY07-08, up from $39.6 billion in FY06-07.
According to an annual Nasscom survey on the performance of the Indian software and services sector (excluding hardware), the domestic segment grew by 26 per cent (in INR) to register revenues of $11.6 billion in FY07-08.
Within the export segment, IT services exports have grown by 28 per cent (in USD) to clock revenues of $23.1 billion; while BPO exports are up by 30 per cent (in USD) registering revenues of $10.9 billion.
Engineering services and products exports clocked revenues of $6.4 billion, growing at 29 per cent (in USD) in FY 07 -08.
The survey projected that the overall software and services revenues will grow by 21-24 per cent (currency adjusted) to touch $50 billion in FY08-09.
Som Mittal, president, Nasscom, said: “The Indian IT-BPO industry’s resilience is reflected in its FY07-08 performance, with a 28.2% overall growth rate and next year’s projected growth between 21-24 percent. Given that we are well on our way to achieve the target of USD 60 billion in exports by FY09-10, the industry is now focusing on improving productivity, efficiency, as well as opening up new markets and services”.
He further added: “The next decade offers opportunities and challenges which will require new business models and the industry dynamics will also see significant changes leading to a many new industry drivers and enablers, and we will need to prepare ourselves for these. NASSCOM is developing a long term vision for 2020, to chart out the roadmap for all stakeholders and help them tap into this opportunity.”