US still taking a passage to India

Plans to stop outsourcing US jobs have been blocked by the US Senate scuppering the president’s protectionist plans

President Obama’s anti outsourcing promotion faced a setback when the Republicans of the US Senate blocked the anti-outsourcing bills, providing relief to the Indian IT industry. If the anti outsourcing bill had been passed in the US Senate, American companies would have been deterred from shifting jobs to various overseas competitive markets.

Marked as a blow to Obama’s anti outsourcing campaign, the bill faced a defeat of six votes with ratio of 53-45 and got blocked on Tuesday. To clear the hurdle of Democrat Bill, the anti outsourcing bill needed at least 60 votes in its favor. The anti outsourcing bill had proposed for a ban on American government contractors from using the money of American taxpayers and shifting of the jobs offshore to other overseas nations.

Indian IT industry was in worries over this proposed anti outsourcing bill and had lobbied hard to stop US campaign against it. They hailed the Republicans for blocking the bill at US Senate as it denied any tax relief to US companies that outsourced jobs. The setback of the bill came weeks after a Nasscom delegation that comprised of representatives from companies such as Infosys, Wipro and TCS visited US and tried to lobby hard and convince the Congressmen and American corporation against this anti outsourcing issue.

To boost up the employment in US, Obama tried hard to end the tax break system for companies that ship off their jobs to other offshore nations. He had stated that companies that will create jobs for the locals in America will be entitled for tax break system and not to those who outsource jobs. India is one of the most prominent destinations that works as the back office of Western companies and holds about 5% of global outsourced market with large number of call centres, software development outlets etc growing to cut costs.

While Democratic supporters assure to make this a vote issue for the November 2 Congressional election, the Republicans rejected the bill as a political stunt by Obama government that will only increase taxes and reduce job growth.