More on Labor Arbitrage

Hi,

After the results of the data analysis on DOL data, many of you have evinced interest in details. Yesterday’s image did not have clear text subtitles and my sources in USA are too busy minting money for themselves than create a nice graphic to illustrate their case.

Anyway , I am posting three tables that provide details.

The first table below shows the biggest H1B users in descending order. Only those companies who applied for atleast 1000 visas last year have been considered.

You can see all the usual Indian outsourcers topping the list

Companies arranged in the descending order of number of H1Bs they
applied for in 2006
Name of Company No
of H1Bs applied
INFOSYS TECHNOLOGIES LIMITED 22567
WIPRO LIMITED 19450
Cognizant Technology Solutions 10435
MPHASIS CORPORATION 9908
Patni Computer Systems, Inc. 7775
HCL AMERICA, INC. 7590
TATA CONSULTANCY SERVICES LIMITED 7528
Accenture LLP 7253
Satyam Computer Services LTD. 5497
PricewaterhouseCoopers LLP 4831
JSMN International, Inc 4793
Deloitte & Touche LLP 4698
Microsoft Corporation 4471
New York City Public Schools 3989
iGate Mastech, Inc. 3133
Covansys Corporation 3031
Tech Mahindra (Americas), Inc. 2959
Cisco Systems Inc 2461
Houston Independent School District 2171
Patni Computer Systems 1997
Deloitte Consulting LLP 1973
PricewaterhouseCoopers, LLP 1876
Satyam Computer Services, Ltd. 1738
KPMG LLP 1730
KITTY KELLY SHOE CORP. 1722
Deloitte Tax LLP 1696
Ernst & Young LLP 1475
LARSEN & TOUBRO INFOTECH LIMITED 1376
ORACLE USA, INC. 1361
Intel Corporation 1269
Rapidigm, Inc 1266
NIIT Technologies Inc. 1237
Liberty HomeCare Group II, LLC 1120
IGATE GLOBAL SOLUTIONS , AN IGATE CORP. 1100
Marlabs, Inc 1050

The above data is also available as jpeg H1B Beneficiaries (Descending Order)
The next table is the average salary offered by these companies as per the H1B petition they filed. As you may know many unscrupulous companies inflate the salary on DOL data. But for the moment we would assume these companies atleast pay what they promise on H1B papers. The salaries for above employers has been arranged in ascending order to figure out who pays below the market. Now ignore the top three. They are not IT companies. Houston Independent School District and New York Citi public schools are importing teachers and Liberty Home care group is importing nurses. These salaries are commensurate with market salaries in their respective groups. Then check up who comes up. Virtually all the Indian outsourcers fight out to top this list. So much of value being delivered!!!!

NAME OF COMPANY Annual Wages
Houston Independent School District 38553.7
New York City Public Schools 42742.47
Liberty HomeCare Group II, LLC 50000
iGate Mastech, Inc. 50194.47
HCL AMERICA, INC. 51179.37
MPHASIS CORPORATION 53538.38
LARSEN & TOUBRO INFOTECH LIMITED 53594.07
JSMN International, Inc 53732.38
Deloitte Tax LLP 54771.3
Satyam Computer Services LTD. 54798.34
Patni Computer Systems, Inc. 54875
Patni Computer Systems 55350.74
INFOSYS TECHNOLOGIES LIMITED 55532.53
WIPRO LIMITED 57254.93
Tech Mahindra (Americas), Inc. 57693.08
Covansys Corporation 59089.68
Deloitte & Touche LLP 59472.88
Satyam Computer Services, Ltd. 59829.54
Cognizant Technology Solutions 60796.7
Marlabs, Inc 61499.05
TATA CONSULTANCY SERVICES LIMITED 62340.36
NIIT Technologies Inc. 62364.56
KPMG LLP 65049.14
Ernst & Young LLP 65296.56
PricewaterhouseCoopers, LLP 65463.56
IGATE GLOBAL SOLUTIONS , AN IGATE
CORP.
65953.44
PricewaterhouseCoopers LLP 66341.79
Rapidigm, Inc 69284.66
Accenture LLP 69529.73
Deloitte Consulting LLP 75272.69
KITTY KELLY SHOE CORP. 75500
ORACLE USA, INC. 76483.27
Intel Corporation 78528.19
Microsoft Corporation 87274.35
Cisco Systems Inc 88161.17

The above table is also available as image hereAverage Wage H1B

Based on above two tables it is possible to come out with a labor arbitrage income for each of the companies and this is what the table looks like.

Labour arbitrage enjoyed by companies because of H1B
NAME Labor Arbitrage
INFOSYS TECHNOLOGIES LIMITED 736330509.65
WIPRO LIMITED 601126491.81
MPHASIS CORPORATION 343042667.71
Cognizant Technology Solutions 285548320.96
HCL AMERICA, INC. 280691919.14
Patni Computer Systems, Inc. 258800044.37
TATA CONSULTANCY SERVICES LIMITED 194379082.21
Satyam Computer Services LTD. 183395479.19
JSMN International, Inc 165017197.64
Accenture LLP 135133901.4
Deloitte & Touche LLP 134777616.98
iGate Mastech, Inc. 118949676.06
PricewaterhouseCoopers LLP 105409445.72
Tech Mahindra (Americas), Inc. 90155096.7
Covansys Corporation 88115704.89
Patni Computer Systems 65522437.75
Deloitte Tax LLP 56629229.85
Satyam Computer Services, Ltd. 49240373.52
LARSEN & TOUBRO INFOTECH LIMITED 47564331.85
PricewaterhouseCoopers, LLP 42580721.38
KPMG LLP 39983826.55
Ernst & Young LLP 33725305.13
NIIT Technologies Inc. 31910416.38
Marlabs, Inc 27995233.2
Deloitte Consulting LLP 25428983.85
IGATE GLOBAL SOLUTIONS , AN IGATE CORP. 24428511.92
Rapidigm, Inc 23897668.87
KITTY KELLY SHOE CORP. 21802542.45
ORACLE USA, INC. 15893631.28
Intel Corporation 12224257.96
Microsoft Corporation 3964988.27
Cisco Systems Inc 0

A older version of the above table (that included non IT professions such as teachers and nurses) is provided here. Labor Arbitrage H1B

I rest the case.

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6 Responses to More on Labor Arbitrage

  1. Bombat guru ..baruva dhinagaLalli naanu hechu Bomb haaktheeni

  2. eniv says:

    mit-mithaayi colours bagge yaake ashtond loveu?

    please change them!

    Muthry clarifies.

    I made them Jpegs because I am new to wordpress and yet to find a decent HTML markup to use with the posts. Since you had difficulty, I have now provided plain tables using HTML in addition to retaining earlier created tables as jpegs.

    Please continue to read and contribute to my blog.

  3. Doddi Buddi says:

    Saar Muthryawarey!

    Yestu chennagidhey saar nimma analysissu!

    Thoo antha aaw Muthrygey ughibeku; maha doddh manushyana tharaha sogu haakhtha irthaney!

    Please post more of this scandal. Idhu 20/20 alli barutthey!:)

    That’s why the smart Nilekani quiet so soon–because he wants to spend the rest of his natural life in India:)

  4. Doddi Buddi says:

    I mean ‘quit’

  5. Anon says:

    You may want to check out today’s (4/30) NYTimes article on H1-B visas, salaries, and a curious cross-firm difference in a key ratio of H1-Bs to green cards. The article also mentions a related published reserach paper.

  6. Ron says:

    for a report about subsidies provided by chandigarh govt by providing subsidized land to infoaya, wipro, see http://chandigarhland.org/Infosys/infosys-land-subsidy.htm

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