Attention

The opinions expressed by columnists are their own and do not represent our advertisers

Wednesday, April 03, 2013

Outsourced, At Home


Hyped as source of tech talent, H-­1B visas usher in cheap replacements for US workers

ON JAN. 14, 2010, senior executives at Molina Healthcare in Long Beach, Calif., called their staff together for a somber meeting. The company had done poorly the previous quarter, they announced. Dozens of people in the IT department would have to be let go.

What the fired employees didn’t know was that the previous day, the US Department of Labor had approved applications for 40 temporary workers from India to be placed at Molina, through a company called Cognizant.

The fired employees — all US citizens or green card holders — were earning an average of $75,000 a year, plus benefits; the new workers, brought on H-1B visas, earned $50,000, with no benefits, according to a lawsuit filed by the ex-employees. The lawsuit alleges that Molina was flush with cash at the time, and that the real reason employees were fired was their nationality.


1 comment:

Anonymous said...

A sad fact is you would not believe how many people in Perdue's IT Department in Salisbury are from Cognizent and India. So many, in fact, that many of the current emloyees have to give up their seats, and work from home. Employees who have been with the company for many years.

I have nothing against Indian workers, and I believe they are decent people. Unfortunately though, calling it anything other than insourcing would be a lie.