Tit for Tat? Singapore blocks Indian workers visa, India puts trade pact on hold

Singapore/New Delhi: Singapore has joined the list of countries after the US to cut down on work visas issued to Indian IT professionals, prompting India to put the review of Comprehensive Economic Cooperation Agreement (CECA) on hold, citing violation of the trade pact.

According to a media report, the visa problem began around early 2016 when no new visas were being issued. Indian companies in Singapore have been advised to hire local talent. Top Indian companies like HCL, TCS, Infosys, Wipro, Cognizant and L&T Infotech have their offices in Singapore.

"All Indian companies have received communication on fair consideration, which basically means hiring local people", said Nasscom president R Chandrashekhar.

Sources told Hindustan Times that Singapore has imposed several conditions making it difficult for companies to hire resources from India. This is blatant violation of CECA and India has put the review of this trade pact on hold.

According to the Singapore government, it is necessary to gauge what the Indian industry has received from the agreement before



adding to its scope. But recently, Singapore has begun exercising caution in letting foreign professionals work there.

In US, President Donald Trump had said that he would not allow Americans to be replaced by foreign workers, in an apparent reference to companies wherein people hired on H-1B visas, including Indians, displaced US workers.

India had said it is engaged with the Donald Trump administration as well as members of the US Congress on concerns regarding the H1B visa issue, amidst apprehension that there may be a clamp down on it which can hurt Indian IT industry.

There was indication that President Trump is set to sign an order overhauling work visa programmes like H1B.

The H1B visa is a non-immigrant visa that allows US companies to employ foreign workers in speciality occupations that require theoretical or technical expertise in specialised fields. The technology companies depend on it to hire tens of thousands of employees each year.

During his campaign, Trump had promised to increase oversight of H-1B and L-1 visa programmes.