Anti-offshoring pitch, H-1B visa cap may affect biz: Infosys

New York, May 10: Expressing concerns over the possible measures by foreign countries, especially the US, to restrict off-shoring and movement of work visa-holders, Indian IT bellwether Infosys has said that such steps could adversely impact the company's business.
The Obama administration has restricted the hiring of H-1B visa-holders by companies bailed out by the Federal government and recently announced a plan to end tax incentives for American entities generating jobs overseas.

Both moves are expected to impact the Indian IT sector, whose major chunk of revenues come from the US.

Infosys has said that in the prevailing economic environment, there could be a change in the existing laws or the enactment of new legislation, restricting "offshore outsourcing" or imposing restrictions on the deployment of work visa holders at client locations.

Such actions "may adversely impact our ability to do business in the jurisdictions in which we operate, especially with governmental entities," the IT firm said in its annual filing with the US Securities and Exchange Commission.

Nearly 60 per cent of Indian IT-Business Process Outsourcing industry caters to the US companies, according to latest figures. India's BPO industry employs over 17 lakh professionals. PTI