$this->bbcode_second_pass_quote('', 'P')rinceton economist Alan Blinder predicts that these choice jobs could be lost in a mere decade or two. We speak of computer programming, bookkeeping, graphic design and other careers once thought firmly planted in American soil. For perspective, 40 million is more than twice the total number of people now employed in manufacturing.
Blinder was taken aback when, sitting in at the business summit in Davos, Switzerland, he heard U.S. executives talk enthusiastically about all the professional jobs they could outsource to lower-wage countries. And he's a free trader.
What America can do to stop this is unclear, but it certainly doesn't have to speed up the process through a government program. We refer to the H-1B visa program, which allows educated foreigners to work in the United States, usually for three years. Many in Congress want to nearly double the number of H-1B visas, to 115,000 a year.
To the extent that the program helps talented foreign graduates of U.S. universities stay in this country while they await their green cards, it performs a useful service. But for many companies, the visa has become just a tool for transferring American jobs offshore.
Ron Hira has studied the dark side of the H-1B program. A professor of public policy at the Rochester Institute of Technology, he notes that the top applicants for visas are outsourcing companies, such as Wipro Technologies of India and Bermuda-based Accenture.
The companies bring recruits in from, say, India to learn about American business. After three years here, the workers go home better able to interact with their U.S. customers.
In other cases, companies ask their U.S. employees to train H-1B workers who then replace them at lower pay. "This is euphemistically called, 'knowledge transfer,' " Hira says. "I call it, 'knowledge extraction.' "
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