Difference between Consulting & Direct H1B Employers

Spread the word

Link Copied

The concept of H1B employment is no longer straightforward. There are a number of legalities associated with the process and also a number of roundabouts that either benefits the employer or the employees. With the government tightening the leash around the H1B visa process by reducing the number of visas being issued and also increasing the application fee, most employers compensate for the loss of income by taking advantage of their employees.

Know your H1B employee rights and get complete information on wages, salary and H1B visa status benefits on Career Corner. Even if you employer is being transparent and providing you a great environment for working in with good benefits, you always stand a chance of ending up on the bench if your employer is a Consulting Employer.

Consulting Employers are companies who hire H1B talent to work for other clients in the US. Such type of employment can lead to longer periods in the bench! Learn how to cope up with “Benching” and how to get out of the phantom zone and back in the groove. One advantage of working for consulting employers is that you can demand the 80-20 pay billing. Read all about the 80-20 billing formula for H1B employees and earn big bucks before the project is complete.

On the other hand, Direct Employers are big MNCs like Google, Microsoft, Amazon, IBM, HP, Apple, Facebook etc., who all hire H1B talent not to mint money but based on your talent and what value it would add to their organization. This means that you will spend very less to no time on the bench and you also have more job security and higher benefits.

Here are a few points you might want to consider before accepting a job offer from either type of employer:

Direct Employers	Consulting Employers
MNCs who have their own projects	Smaller firms that depend on clients for projects
Work atmosphere will remain the same	Changing work ethics as per the current client
Your service is directly utilized by the employer	You work for the client through the employer
Visa fee, lawyer, and sponsor fee are taken care of	You might be required to pay the fees
Benefits are superior and so are hikes	Benefits are less or non-existent and so are hikes
Your voice and ideas are heard better	The client might or might not hear of your ideas
You are treated as a talent and an asset	You are treated as a cash cow!

Most of the direct employers are top firms that feature in coveted lists like Fortune 500 companies and have a strong international presence. Consulting firms are smaller and are nowhere near as good as direct employers. However, a few consulting firms do catapult a few H1B talent right to the top of the food chain with the right exposure. Read all about the company you are applying for and make a smart decision.