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US visa fee hike: Tech companies hail India’s plan to move World Trade Organization

Friday, March 4, 2016, 20:28
This news item was posted in Business category and has 0 Comments so far.

NEW DELHI: Software companies have welcomed India’s move to file a complaint against the US with the World Trade Organization (WTO) over higher fees and curbs for work visas. According to a Reuters report, India “has disputed measures imposing increased fees on certain categories of temporary work visas for the United States and limits on their numbers.” The Indian IT industry is one of the biggest users of H-1B and L-1 visas, which are temporary US permits for skilled workers. The industry has been accused of misusing these visas to displace skilled US workers, an issue that’s been raked up in the run-up to US presidential elections. “We call it a welcome step that the Indian government has decided to take it up at the WTO. We strongly oppose this move of discriminatory treatment being meted out to Indian IT companies,” said Shivendra Singh, vice president of the National Association for Software and Services Companies. Nasscom has for long held that the Indian IT industry has been unfairly targeted to fund unrelated US government programmes. India’s complaint comes about five years after the US increased fees for some categories of temporary work visas. That was followed with a doubling of fees for H-1B and L-1 visas in December, a move that may cost the Indian industry $400 million annually. India has voiced its concerns at the highest levels – Prime Minister Narendra Modi spoke to US President Barack Obama regarding the visa fee increase last year. “IT industry should not be repeatedly targeted as a revenue source to fund unrelated programmes,” Nasscom had said in December. Cases involving US technology workers displaced by H-1B visa holders from India have been held up as examples of exploiting the visa regime. However, a recent probe by the Department of Justice into one such case did not find any evidence of wrongdoing by the Indian IT companies involved. While the industry had been trying to reach out to the US government, the filing of a complaint with the WTO indicates that the Indian government wants to resolve the issue at an international level.

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