India's reverse brain drain

CALCUTTA, India, Aug. 25 (UPI) -- Rattled by burgeoning job losses and the resultant backlashes against foreign workers, as countries like America, Britain, and some in the European Union are trying to contain entry of Indian workers, and fed up with the shrinking opportunities of a seemingly everlasting downturn, an increasing number of Indian immigrants to these countries are casting off their foreign career dreams to return to greener pastures back home.

"In the past, the only way people returned to India was when they were pushed out; now it is voluntary," says Madhulika Khandelwal, a leading expert on the South Asian diaspora in New York.

Although the United States government, as well as other countries, has not started tracking the numbers of returning Indians yet, those trudging home say that the urge to be back is significant and the exodus is the biggest from the Unites States.

End-July, some 1,000 professionals of Indian origin attending the job fair in Santa Clara hosted by the Silicon India magazine, handed over their resumes to recruiters from American companies starting operations in India.

The job fair hosted by India's second-largest software vendor Wipro to attract Indian professionals also elicited an equally enthusiastic response. "Our fairs in New Jersey and California fetched a response from almost 600 software professionals in the U.S. who want to get back and work," said Wipro's human resource chief, Prateek Kumar.

The overriding factor, prompting expatriate Indians to return home, is indeed shrinking opportunities. For instance, California's employment figures reveal that in Santa Clara -- the hub for Indian information technology professionals -- over 190,000 workers lost their jobs in the past two years. "Geography is no longer a limitation. Also, there is a distinct shrinking of options in the United States. Since these were the major attractions in the first place, it is clear that this may no longer be the place to come to," said Khandelwal.

But making the exodus easier are promising economic prospects in India and opportunities that the country now provides for entrepreneurship. "The quality of life in India is much better and jobs too have become better both in terms of material benefits and professional challenges," says Kiran Karnik, chairman of India's biggest IT industry lobby, The National Association of Software Services Companies -- NASSCOM.

India with its over 6 percent projected growth in the second half of the year to March 2004, that could even move up to 7 percent going forward is perceived to be the fastest growing Asian economy after China, while the United States is still struggling to reach 3 percent.

"Uncertainties in US markets are much higher today compared to the rapidly growing Indian market," said Ajay Chopra, COO of Commerce Velocity which he founded in the United States, but is coming back after 22 years to set up a business process outsourcing outfit for the company in India. "The Indian economy is booming, so coming back was one great opportunity for me. There always was that feeling that this was home."

Some have found job satisfaction too. "Eight years ago I would have found it difficult to come back because a competitive environ and monetary support were lacking," said Suresh Narayanan director of Cognizant Technology Solutions who retuned to Bangalore from Virginia recently. "Things are different today. India, and more so Bangalore, is a global hub. People are working on cutting-edge technologies right here."

Sensing an opportunity, multinational companies are increasingly targeting India for moving more work that demands a higher skill set. Already majors like Intel, Oracle, Microsoft, National Semiconductor Company, and 28 others including names like Cadence, Sequence Design, Cognizant, Covansys, Insilica, FutureSoft, CalSoft, Synopsys and Informatica have started tapping what some call the "reverse brain-drain" to fill their expanded Indian operations.

Some experts also say that multinational software developers have even started encouraging the exodus. "Moving operations offshore has almost become de rigueur for multinationals, particular the information technology companies to remain globally competitive," said a Texas-based advisor on offshoring strategies to U.S.-based companies, requesting anonymity for fear of triggering a controversy of creating jobs or moving existing jobs offshore. "Much of the exodus thus, is fuelled by U.S. companies outsourcing work there. Moreover it often makes sense, to recruit Indians in U.S. and move them home. You can pay much less for moving them to India and save costs, and, still keep them happy. It's a win-win deal."

No wonder therefore, that economists in the United States, have started worrying already. They fear that the exodus could eventually hurt the country's economy because America is losing some of the world's smartest and most entrepreneurial people.

"I think it's a loss for the long run," said Rich Wobbekind, economist with the University of Colorado. "Over the centuries, that's what made our country great, having a melting pot of different cultures and talents. We're accidentally exporting some smart people who could easily compete with us."

Nonetheless, critics of immigration not only continue to grow in number but are also becoming voluble. For instance, Republican John Mica of Florida and Democrat Rosa DeLauro of Connecticut have already introduced a bill in the US Congress to restrict the intra-company L-1 visa category. Joining them now is Republican Congressman from Colorado, Tom Tancredo, who has moved a bill seeking to abolish the H1-B visa category. He admits that it is not likely to pass muster. "What I hope to do is raise enough hell to generate momentum in our direction," said Tancredo.