The bodyshops flood USCIS with Indian-born applicants because they don't really care who gets approved and who doesn't. Those that get approved get a US job. The system is designed to stop employers abusing the power this gives them over employees. They fail in a number of ways.

First, part of the process is a Prevailing Wage Determination to make sure the employee isn't underpaid for that job in that geographical area. There is abuse here at the bodyshops where (IIRC) employees are paid less or not at all if they aren't currently farmed out to a third-party. This should be policed but I don't think it is, at least not effectively.

Second, the real abuse comes from the H1B -> Green card pipeline. H1B visas don't have per-country quotas. Green cards do (max 7% per country as determined by the country you were born in, not your actual citizenship). Because so many H1B holders are Indian-born, the backlog for Green cards for Indian-born applicants is decades long.

Now you can stay with an employer beyond your 6 years (the usual limit of 3+3 for H1B visas) if you have a pending PERM application. The employee can't really leave. If they do they have to file their whole PERM case again (but they retain their priority date at least) so this becomes like indentured servitude almost.

Nobody has really addressed this H1B abuse nor dealt with the huge backlog. A few years ago there was a bill that sought to address some of the issues by essentially removing the per-country quota but the net effect would be that for many years, nobody but Indian-born applicants would get green cards (because they have earlier priority dates). And that bill died in Congress.

But back to Big Tech: they abuse this system too but not so egregiously.

If you wander around any Big Tech office you will find likely a cork board in some obscure corner of some floor with little traffic. It will have a bunch of job postings on it. If you look in the physical newspaper for your area, you will also find them.

Why are these here? To "prove" that the employer could not find a US permanent resident or citizen to fill that particular position. You have to advertize that position through a number of channels and those channels are chosen to receive the fewest applicants because who in 2024 applies for a SWE job from a physical newspaper? If you do apply, there is a whole process to exclude you from the position. You'll be too qualified or under-qualified or your salary expectations won't match the advertisement. Or they'll find some other reason to strike you.

All of this theater is so someone else's PERM application with USCIS can go through.

To me this is also abuse.