Trump is expected to sign the order during a visit to the Snap-on tool company in Kenosha, Wis.
He said the order sets in motion the first steps to initiate "long-overdue" reforms to end "visa abuses".
Trump criticized the visa program, determined by a lottery, as an off-the-rails initiative that has driven down wages for American workers in the same fields. "Instead, they should be given to the most skilled and highest-paid applicants, and they should never, ever be used to replace Americans", the US President asserted. Trump said his administration is going to enforce "Hire American" rules that are created to protect jobs and wages of workers in the United States.
The Trump administration is concern the visas are awarded mostly to India-based companies for lower-paying jobs, effectively undercutting American workers in the job market. Paola Avila, vice president of global business affairs for the San Diego Regional Chamber of Commerce, said because the executive order mostly just calls for more study of the issue, the chamber would remain optimistic.
A leaked draft executive order read stated the motives for instituting the ban.
The new order will now seek to strengthen requirements that American-made products be used in certain federal construction projects and in various federal transportation grant-funded projects. "It's been very, very bad for our companies and for our workers, and we're going to make some very big changes or we are going to get rid of NAFTA for once and for all".More news: Senators beat Bruins 1-0, take 3-1 lead in series
US President will sign an executive order to recommend changes to H-1B visa programme for skilled workers. However, as per studies, 80 for every penny of the endorsed applications were for the two least wage levels permitted.
Under the new order, the H-1B visa would no longer serve as a cheap way for companies to replace United States workers, the official added.
Employers, such as Walt Disney World and the University of California in San Francisco, have laid off tech employees and replaced them with H-1B visa holders. The additional scrutiny DHS has ordered will include "site visits" to determine whether "H-1B dependent employers are evading their obligation to make a good faith effort to recruit US workers", the Trump administration says. The H-1B visas section included no definite timeline, while the government procurement section did.
The order is more administrative in nature than a clear policy change.
The "buy American" part of the executive order directs agencies to conduct a top-to-bottom performance review of the use of waivers. "This does nothing", said Senator Charles Schumer of NY, the Democratic leader. In other words, nothing is happening immediately. Large outsourcing companies, such as Wipro Technologies, IBM and Cognizant all utilise the H-1B visa scheme to employ highly-skilled workers. The Republican senator Joni Ernst of Iowa reportedly told a town hall meeting: "I do wish he would spend more time in Washington DC". USA lawmakers have already tabled more than half a dozen legislations in the Congress with specific proposals to reform and improve the H-1B visas systems. Many work in the tech industry. The new policy, to be signed by Donald Trump in Wisconsin, will keep them (Indian companies) in check and provide a uniform access to all the well-qualified graduates all over the world'.