Outsourcing shadow hangs over Obama's India visit-6/10/10

Outsourcing shadow hangs over Obama's India visit-6/10/10




President Barack Obama, who is in charge an economy that has lost nine million jobs since December 2007, has often taken pot-shots at outsourcing.

Specifically, a bill that more than doubles the visa fee for skilled workers to fund security on the Mexico border and moves to end tax breaks for companies that outsource have raised concerns that India’s technology companies could face significant obstacles in selling their services.

The Republican victory in the mid-term election, they have a majority in the House of Representatives, will diminish the possibility of fiscal threat to outsourcing being approved by the Congress. Indeed, a legislation to end tax breaks for firms that send jobs overseas in a move to prevent outsourcing and offshoring was defeated even by the old Congress and the possibility of it being revived is slim.

Here is a weekly roundup of the latest happenings in the IT sector.