In the event of a trump victory, our beloved American Dream may come with a shiny new twist—one where H1B visa hopefuls see “opportunity” in the form of hurdles and hoops. While tech giants like tcs, Infosys, wipro, and HCL Tech nervously watch election results, investors can sit back and enjoy the drama as the US Department of Labor (DOL) contemplates new and improved wage obligations for H1B workers—because who doesn’t love a good plot twist in the land of tech talent?
Remember the golden era of trump 1.0? Ah, 2017–2021—a magical period when the US stock market flourished, and IT stocks soared! tcs up 189%, Infosys 182%, wipro 148%—you get the idea. Midcaps and smallcaps like Mastech and Coforge even flew up to a modest 500%! In that enchanted time, many H1B workers lived with a healthy dose of suspense, wondering if their American Dream would be approved or left in administrative purgatory.
Fast forward to today. If trump is reelected, there's talk of a new trick up his sleeve: a push for higher wages for H1B workers. Because, naturally, increasing costs for companies hiring foreign talent will have no impact whatsoever on employment dynamics! Yes, those tech firms, who only happen to rely on skilled workers, might find themselves needing to pay significantly more—potentially around 25% higher than the already prevailing H1B wage. But hey, what’s a few more dollars for the sake of fair competition?
Our IT titans are on alert. After all, Infosys saw a dip in H1B/L-1 visa usage from 65% in 2017 to below 50% by 2020, while wipro went so far as to “localize” 69% of its global workforce. Yet here they are, still somehow booming. Who knew these companies could thrive by training local talent instead of relying on imported expertise?
Currently, three employment-based immigration bills sit cozily in Congress, with promises to protect American workers. These proposals aim to bring the benefits of fewer H1B workers to the forefront, allowing the good old American workforce to finally have their fair shot.
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