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Infosys Consulting in the U.S. (in 2010): What to Do Now?
Infosys' global delivery model was being challenged by the United States backlash against outsourcing. Tax incentives and H1B visas for foreign workers were being reformed to support this policy. The tax incentives being proposed were meant to save American taxpayers $210 billion over ten years by repatriating taxes on foreign profits. Arguments for the H-1B reform advocate ensuring that where there are qualified American workers, those jobs are filled with those individuals before foreign workers. Also, competitors like Wipro and Tata were challenging Infosys' global consulting strategy. How should Infosys react to pressure to hire costly local talent while trying to remain competitive?