The Boeing Company is outsourcing 600 American information technology (IT) jobs to Dell Technologies, which regularly imports foreign visa workers, while expanding its production base in India.
This month, Boeing executives announced that they would be outsourcing hundreds of IT jobs to Dell Technologies — about 10 percent of the company’s IT employees — as it intends to lay off 11,000 of its employees this year after laying off 20,000 last year.
Dell, which will absorb some of Boeing’s IT work, has a record of outsourcing American jobs to imported foreign visa workers through the H-1B visa program. Through one of its many subsidiaries, Dell sought to bring 600 H-1B foreign visa workers to the U.S. this year to take American jobs at an average salary of $119,000.
Between 2018 and 2020, Dell sought to import nearly 1,700 H-1B foreign visa workers to take American jobs at average salaries ranging from $109,000 to $119,000.
While Boeing outsources hundreds of jobs to Dell, the company is expanding its production capacity in India after one of its manufacturers in China was put on a U.S. blacklist for its ties to the Chinese Communist Party, according to Business Insider:
Boeing said Friday it has added a new production line at Tata Boeing Aerospace Limited, its joint venture in Hyderabad, India, to manufacture complex vertical fin structures for 737 Max single-aisle jets. [Emphasis added]
Boeing employs 3,000 people in India, and more than 7,000 people work with its supply chain partners. [Emphasis added]
Boeing 737 vertical fins are now made by Chinese manufacturers at Aviation Industry Corporation of China, Ltd. AVIC was recently added to a U.S Defense department list of companies banned from receiving exports by U.S. aerospace companies. [Emphasis added]
While hundreds — and potentially thousands — of Americans are set to lose their jobs at Boeing this year, the company’s CEO Dave Calhoun is likely to continue raking in a lucrative salary. When Calhoun took over as head of Boeing earlier last year, he stepped into a large pay scale.
“According to the filing, Calhoun gets a base salary of $1.4 million to start,” Barron’s reported:
Total annual compensation, including bonuses and long-term incentive awards will come to about $11 million a year. There is an additional $7 million payment tied solely to 737 MAX milestones. (Details of the MAX milestones weren’t included.) Calhoun will also receive a $10 million payment—like a signing bonus in connection with foregone compensation at other employers—for taking the top job. [Emphasis added]
Outsourcing Americans’ jobs to imported H-1B foreign visa workers is often the first step by corporations in their plans to fully offshore their production and business services.
Every year, more than 100,000 foreign workers are brought to the U.S. on the H-1B visa and are allowed to stay for up to six years. There are about 650,000 H-1B visa foreign workers in the U.S. at any given moment. Americans are often laid off in the process and forced to train their foreign replacements, as highlighted by Breitbart News.
More than 85,000 Americans annually potentially lose their jobs to foreign labor through the H-1B visa program. Despite an ongoing pandemic, about 37,000 Americans lost their jobs to outsourcing last year.
Like other Defense Department contractors, Boeing profits hugely from American taxpayer money. In 2017, the company noted that about 79 percent of its profits came from government contracts with the U.S. federal government. In 2018, Boeing saved $230 million in taxes thanks to tax breaks offered by Washington state.
John Binder is a reporter for Breitbart News. Email him at [email protected]
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