Memorial Day with HAKE 🇺🇸 Mon 5/25/26
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The Hake Report, Monday, May 25, 2026 AD
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PRE-SHOW NOTES (See also: Hake News)
Memorial Day
RIP WH "Jesus"
Douglas McCain, the eldest son of Sen. John McCain, dies at 66 - CBS News
Trump says an Iran deal is working out
Fiber optic drones — israel vs Hezbollah?! https://x.com/academic_la/status/2058776866496868809 & https://share.google/aimode/lXbEch8Z2zMFN09mc
Some green card drama: TOLD you Trump is tough on immigration! (H-1B related BTW, right?)
H-1B EXAMPLES:
The Walt Disney Company: In 2015, Disney laid off roughly 250 tech workers. They forced many of them to spend their final 90 days training H-1B replacements imported by outsourcing contractors. This led to highly publicized federal lawsuits by the displaced workers.
Southern California Edison: Around the same time, this major utility company replaced hundreds of its domestic IT workers with H-1B holders. Employees reported being forced to sign non-disclosure agreements (NDAs) and train their cheaper foreign replacements.
Other Major Corporations: Over the years, similar outsourcing restructurings involving mandatory training periods have been reported at companies ranging from AT&T to Harley-Davidson.
Two types of H-1B usage:
The "Best and Brightest" Model: A company hires a highly specialized foreign graduate from a top university because they have unique skills the company cannot find locally. They are paid top-tier wages.
The "Cheap Labor" Model: A company uses an outsourcing firm to bring in junior-to-mid-level workers. They do this primarily to slash payroll costs. [1, 2, 3]
RESULTS:
Short-Term Accounting Wins: On quarterly financial spreadsheets, dropping payroll expenses by 30% to 40% looks like an immediate win to corporate executives and shareholders.
Delayed Consequences: The drop-off in service quality, increase in software errors, or slower project delivery times usually take months or years to severely impact the company. By that time, the executives who approved the outsourcing have already claimed their bonuses for "saving money."
Systemic Errors: In some cases, the quality drop is so severe that companies are forced to quietly re-hire domestic consultants [REMINDS ME OF ZIMBABWE?] at a premium to fix the systemic mistakes made by the cheaper outsourced teams. [1, 2]
Per GOOGLE AI: https://share.google/aimode/MCUXQEt3wa0qT9dRp