Chop shop reference is distressing, says Infosys

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Goutam Das: Bangalore, Aug 10 2010, 01:14 IST

Infosys Technologies has reacted strongly to US seantor Charles Schumer's statement that the company is a 'chop shop'. In response to a FE query, Infosys HR chief Mohandas Pai said on Monday, “We are distressed with this statement. We play by the rules. Infosys is a good corporate citizen, pays its taxes and is law abiding.”

Other captains of India's $60 billion IT industry also reacted to Schumer's rhetoric about Infosys and the industry, calling it unfair and completely uncalled for. Chop shop implies a place where stolen cars are dismantled and its parts sold. CEOs, some of whom did not want to be named, said one should not give too much importance to the statement, that is evidently a political rhetoric, given that the US mid-term elections are due in November.

Infosys Technologies, in a separate statement, said the firm's strategy is to create jobs in every jurisdiction that it works in. “We provide a world-class work environment for all our employees in every country and we add significant value to our clients, helping them compete effectively in the global marketplace,” the company said. Infosys employs 1,300 citizens and permanent residents in the US and has been working towards hiring over 1,000 additional people over the past few quarters.

Discussing the Border Security Bill, which seeks to fund a $600 million emergency package for strengthening security along the Mexican border by doubling H1B visa fees, senator Schumer had said, “The emergency border funds will be paid for by assessing fees on foreign

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Reader's Comments (1)| Post a Comment

Let them be distressed

BB | 10-Aug-2010Reply | Forward

Let them be distressed, just like the hundreds of thousands of unemployed American software engineers who find it difficult to compete with INDENTURED labor. Some claim that the H-1B program helps to create American jobs, but it is currently being used by some companies to outsource American jobs to foreign countries. Under current law, an outsourcing company can use American workers to train H-1B guest-workers, fire the American workers and outsource the H-1B workers to a foreign country where they will do the same job for a much lower wage. In fact, Indian Commerce Minister Kamal Nath has referred to the H-1B as %u201Cthe outsourcing visa.%u201D Employers can legally discriminate against qualified Americans by firing them without cause and recruiting only H-1B guest-workers to replace them. The U.S. Department of Labor (DOL) has said: %u201CH-1B workers may be hired even when a qualified U.S. worker wants the job, and a U.S. worker can be displaced from the job in favor of a foreign worker.%u201D Some companies that discriminate against American workers are so brazen that their job advertisements say %u201CH-1B visa holders only.%u201D And some companies in the United States have workforces that consist almost entirely of H-1B guest-workers.