Comment This is good, for every one in the long run. (Score 1) 29
I worked for 35+ years with US corporations and had every one of the (in)famous outsourcing clown shows as my vendors, inherited from my US counterparts who found them unmanageable from 10 timezones away.
My job was to get rid of these guys, and replace them with direct hires. Typically a team of 70 (don't ask me why they loved that size) would be replaced with 15-20 directs.
The business model - excluding the h1b issue - is plain and simple: salary arbitrage. In 2008 for example the USD was around 33 INR. Today it's closer to 95 INR.
They continue to pay the same salaries in INR which they paid 20 years ago, dollar for dollar. But corporate revenue trends upwards.
This model is not good for any nation, and only a crisis will get rid of it.
Thankfully I am no longer part of this, semi-retired.