Indian Staffing Firms Hog H-1B visas

Just 10 staffing firms, six of which are based in India, account for 11,000 H-1B visas, one-sixth of the 2009 total. Staffing firms place these workers at worksites of other companies.

The GAO found that “demand for new H1-B workers is largely driven by a small number of employers …. And only a few employers (fewer than 1 percent) garnered over one-quarter of all H-1B approvals.” According to the report, “Since 2000, most people that were approved to be H-1B workers were born in China or India, were hired for technology positions, and increasingly held advanced degrees.” India accounts for almost half of all H-1B visas.

The GAO concluded, “Taken together, the multifaceted challenges identified in this report show that the H-1B program, as currently structured, may not be used to its full potential and may be detrimental in some cases.”

The GAO urged Congress to consider “the adequacy of the qualifications of foreign workers the U.S. admits through the program, the appropriateness of H-1B hiring by staffing companies, and the role of the program with respect to permanent residency” in considering key provisions of the H-1B program.