Wednesday, September 11, 2013

Immigration and Downsourcing

The Washington Examiner notes that many of the companies demanding immigration reform so they can hire more workers have, in fact, recently laid off thousands of workers:
A new immigration law, the corporate officers say, "would be a long overdue step toward aligning our nation's immigration policies with its workforce needs at all skill levels to ensure U.S. global competitiveness." The officials cite a publication of their trade group, the HR Policy Association, which calls for immigration reform to "address the reality that there is a global war for talent." The way for the United States to win that war for talent, they say, is more immigration. 
Of course, the U.S. unemployment rate is at 7.3 percent, with millions of American workers at all skill levels out of work, and millions more so discouraged that they have left the work force altogether. In addition, at the same time the corporate officers seek higher numbers of immigrants, both low-skill and high-skill, many of their companies are laying off thousands of workers.
The article goes into specific examples.

While in the past we have seen jobs outsourced to other countries, such as India and China, this trend is slowing because of increased labor costs in China, and ongoing development issues in India. So, instead, companies or "downsourcing"--eliminating jobs here and using temps or lower paid (in this case) guest workers.

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