Trump signs order to implement 'Buy American, Hire American'

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The order will also direct US agencies to propose rules to prevent immigration fraud and abuse in the program. It instructs the agency to pay special attention to visas which should only go to highly paid, specially skilled applicants when there is a US deficiency.

As for the labor component of Trump's executive order, foreign visa programs require a level of labor predictability that construction companies rarely have, so that portion of the order should have limited impact on the industry in general.

She said limits on non-immigrant visas such as the H-1B program make it harder for many foreign students who are educated in MA to find work in the state after graduation.

Although H-1Bs are the main focus of the order, other guest worker programs could also come under scrutiny.

The executive order calls on the departments of Commerce, Labor, Homeland Security and State to more strictly police the visa program. Industry experts believe this may harm companies like Infosys and Tata Consultancy Services that outsource those jobs to India. It also pushes for stricter enforcement laws by the federal governmentregarding the purchase of American-made goods and the use of American-made iron and steel in all projects supported by federal funds.

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Trump is looking to stamp out "abuses" of the time-limited work permits, which are pervasive in the USA high-tech sector, as a first step towards reforming the regime. It would give a "leg up" to advanced degree holders, those being paid a high wage and those with valuable skills. The EO calls for the application of existing US laws to visa recipients and the re-evaluation of the H-1B program. "Why shouldn't we put American companies first?" The H-1B visas section included no definite timeline. Mr Pai sees Trump's executive order coming into force from next year.

Since the current system of awarding the H-1B visas is based on a lottery, Trump administration officials have said they would want to change to one based on merit and restrict it to purely highly skilled workers. But he said some ideas could make the system ineffective, such as requiring advertisement of job openings for long periods to prove the unavailability of U.S. workers. Agencies have also been asked to suggest changes so that the H-1B visas are granted to the most-skilled or highest-paid applicants. That takes work away from Americans, lowers wages and keeps Americans from being trained in tech-related fields, they say. Such a change could significantly impact large Indian IT companies which bring thousands of engineers and programmers on H-1B visas to work on United States projects, says IT analyst Girish Pai.

"I've introduced bipartisan legislation with Senator Durbin to address these problems, and I've expressed to President Trump the need to take action to restore the integrity in the H-1B Program", Grassley said.

Changes in the policy of the temporary visa program could affect companies that heavily rely on outsourced workers.

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