Washington | US President Donald Trump has signed an executive order that bans technology workers on H-1B visas from replacing American citizens in federal government contracts.
According to the new orders Federeal agencies need to prioritise hiring of American workers. This is being considered as a major jolt to the Indian technology workers in USA.
“We believe jobs must be offered to American workers first,” Trump said in a statement. –
According to the order, all federal agencies need to carry out an internal audit to assess the compliance with the requirement of appointing only US citizens and nationals to competitive service. Department of Labor will also finalise a guidiline to prevent H-1B employers from having H-1B workers to other employer’s job sites to displace American workers.
Trump’s decision to ban workers on H-1B visas comes after the federally-owned Tennessee Valley Authority’s (TVA) said that it will outsource 20 percent of its technology jobs to companies based in foreign countries. Around 200 American workers were to lose their jobs over the next five years, said the order.
French technology major Capgemini, Accenture and CGI had won the contract from TVA, according to the employees union of TVA.
A Bloomberg analysis of Department of Labor data showed that in the first nine months of fiscal 2019, over 2,000 H-1B visa holders were employed by federal agencies.
The order said that outsourcing IT jobs involving handling sensitive information would also pose a national risk in the current climate of intellectual property theft.
“Outsourcing hundreds of workers is especially detrimental in the middle of a pandemic, which has already cost millions of Americans their jobs,” it said.
Over the last few months, the Trump administration has taken several steps towards protecting American jobs by suspending the H-1B, L-1 and J-1 visas till the ..
Trump, who is facing elections for his second term in November, in June suspended H-1B and L-1 visas that were used by technology workers till December stating that it would help in providing local jobs amidst the economic crisis due to the Covid-19 pandemic.