Tech giants hiring low-paid H-1B IT workers shortly after layoffs

Many tech companies such as Google, Amazon, Microsoft, and Meta have recommenced recruiting foreign workers shortly after announcing substantial layoffs. Following the downsizing initiatives that began in late 2022, the companies  are now facing scrutiny as they opt to hire low-paid foreign employees to fulfil their technical roles.

The recent hiring practices highlight a paradoxical situation where thousands of H1-B visa holders, including those from India, have been directly affected by layoffs in the United States. These employees have either lost their jobs or are at risk of losing their right to stay in the country. Meanwhile, the same companies are actively inviting new applicants on H1-B visas to fill positions within their organisations.

As per a report, based on data from the US Department of Labour, Google has submitted applications for H1-B workers with low salaries to occupy specialised technical roles within the United States. A significant portion of these workers are H1-B visa holders.

The visa application is believed to encompass various positions, including software engineers, analytical consultants, and user experience researchers, among others. Additionally, Waymo, a subsidiary of Google specialising in autonomous vehicles, also pursued visa applications specifically for engineering positions. 

In specific instances, Meta (formerly known as Facebook) downsized its workforce by laying off 21,000 employees within a short span, as CEO Mark Zuckerberg referred to 2023 as the “year of efficiency” in response to the contracting US tech industry. Google carried out significant layoffs, affecting 12,000 employees in January, while Amazon underwent two rounds of layoffs, resulting in approximately 27,000 employees being removed from its workforce.

Similarly, Microsoft, in January, announced a global reduction of nearly 5 per cent in its workforce, equivalent to 10,000 jobs. However, CEO Satya Nadella emphasised that despite the job cuts, the company would continue to hire in crucial strategic areas.