In the context of the thread, and for the workforce as a whole, “new hire” is being used to mean entry level.
I mean, if I switched companies, I’d technically be a new hire at the new company, but for the purposes of the thread, I wouldn’t be, since I’m a 26 year IT vet with advanced degrees and a senior management role. Similarly, a guy with a PhD in some technical specialty and seven years of relevant experience in whatever esoteric field it is, isn’t what people mean by “new hire”, even if he’s switching jobs.
Never said they were, or that it is. And that’s exactly what I’m arguing.
As I understand it, what’s happening is that companies aren’t wanting to hire entry to mid-level IT people domestically because they want more money than they’re willing to pay. So they’re resorting to either hiring Indian H-1B visa holders who are willing to work for what they’re willing to pay, or they’re outsourcing to contracting companies who employ those people for those wages, because where they’re from, they’re not middling wages.
It’s a symptom of a larger problem in the IT industry, which is that companies and IT management are often focused on the short to medium term, and aren’t people-focused. What this means is that there’s been a shift from hiring people with the intent of training them up and/or promoting them, to hiring them for a specific job without any real expectations of promotion, etc… Because you know, they’ll just hire a manager to fill that role, not promote someone.
This people-as-interchangeable-resources mentality means that they’re also much more likely to contract pieces of their shop out, especially on the support and development side. Which is ok, if your contractor isn’t overseas, and you can poach the best contractors when they get ready to jump. But when they live in Bangalore, and are willing to do that work for $45k, that’s a problem when the local guys want 55 or 60k. It means that those local guys struggle to find jobs, and end up being paid closer to that 45k.