Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

What Is The H-1B Visa, And Why Does Donald Trump Want To Kill It?
International Business Times ^ | 03/11/2016 | BY PAUL MCDOUGALL

Posted on 03/11/2016 1:18:18 PM PST by SeekAndFind

Republican presidential candidates sought to outdo each other in Thursday’s debate when it came to reforming the H-1B visa, a controversial program through which Silicon Valley giants like Facebook, Apple and Hewlett-Packard import skilled help from India and other countries with vast pools of low-cost tech talent on tap.

GOP frontrunner Donald Trump said the H-1B hurts American-born workers and said that he would end it outright. Marco Rubio said the program needs to be better policed, while Ted Cruz simply said the U.S. needs to update its immigration laws for the 21st century.

“I know the H-1B very well … We shouldn’t have it; it’s very, very bad for workers,” said Trump, with Cruz on his left and Rubio on his right during the CNN-sponsored debate, the last before crucial primaries next week in Florida, Ohio, Illinois, North Carolina and Missouri. Rubio said that if a company is caught abusing the H-1B, “they should never be allowed to use it again.”

Democratic frontrunner Hillary Clinton has taken the opposite stance, saying she is in favor of expanding the number of H-1Bs made available annually. Clinton’s position allies her with a tech industry that claims there is a critical shortage of U.S.-born tech workers. Vermont Senator Bernie Sanders, whose calls for more protections for American workers helped him to a stunning upset over Clinton earlier this week in the Michigan primary, has called for higher wages for H-1B workers so that employers are not tempted to use them to replace Americans.

The range of positions isn’t surprising. The H-1B has been steeped in controversy ever since a Democrat-controlled Congress created the program in 1990 to give employers a means to hire foreign tech workers at a time when “startups” like Apple and Microsoft were creating the personal computing revolution. Most recently, Disney drew fire last year for replacing American information technology workers at its Walt Disney World resort in Orlando, Fla. with H-1B workers from India supplied by contractors HCL and Cognizant. Publicity around the case has put a program that for many voters remains obscure in the national spotlight. “With the Disney story, more and more people are understanding that something is wrong,” said Ron Hira, a political scientist at Howard University who has testified before Congress on the H-1B issue.

The H-1B is valid for what U.S. immigration authorities define as “specialty occupations.” While it’s mainly been used to import tech workers, companies have used the visa to hire a range of foreign professionals, including healthcare workers, journalists and even, in the case of Trump himself, runway models.

The visa is good for three years, and can be renewed for one, additional three-year period. Under current rules, U.S. Citizenship and Immigration Services can approve up to 65,000 H-1B visas per year, plus an additional 20,000 for foreign-born graduates of U.S. colleges. Various bills before Congress would either raise or lower the cap, and a bill introduced last year by Cruz and Alabama Republican Senator Jeff Sessions would raise the minimum salary for H-1B workers.

At issue is whether the H-1B helps U.S. employers meet genuine labor shortages, or merely provides them with a means to import low-cost talent. The tech industry and its lobbyists claim it’s the former. In 2008, Bill Gates, co-founder of Microsoft and still the company’s second-largest shareholder, asked Congress to raise the H-1B numerical cap. “Congress’ failure to pass high-skilled immigration reform has exacerbated an already grave situation,” Gates said. Last year, Facebook CEO Mark Zuckerberg has also urged Congress to raise the cap.

Pro-business lobby group Partnership for A New American Economy, whose backers include former New York City Mayor Michael Bloomberg, claims that by 2018 the U.S. will face a shortfall of 200,000 workers with advanced science, math and tech degrees. “The current immigration system is woefully unprepared to attract and retain top global talent,” the group maintains.

On the other side are those who insist that there is no tech worker shortage, and that companies are exploiting the visa program to import cheap labor. Under the program’s rules, employers must pay H-1B workers at parity with their U.S. counterparts, but Howard University’s Hira said that’s not happening. Typical salaries for H-1B workers in Silicon Valley “are well below market rate,” he said. Hira maintains that H-1B visa holders are typically 25 percent cheaper to hire than Americans.

Bureau of labor statistics show that, at 3.7 percent as of February, the unemployment rate for workers in information-related professions, including computing, is well below the national average of 5.2 percent. But H-1B critics, including Trump, say the program has a disproportionate impact on older tech workers, who often find it difficult to find employment after a lay off or other career interruption. Trump also maintains that the on-demand availability of thousands of H-1B tech workers through Indian contractors like Wipro, TCS and Infosys dissuades U.S. tech companies from doing the legwork needed to fill positions with women and minorities, who are underrepresented in Silicon Valley.

Beyond salary considerations, some observers maintain that employers prefer H-1B workers over Americans, or foreigners on green cards, because they can’t bolt for the competition. The program’s rules make it difficult for H-1B visa holders to job hop. That’s an issue that could trump even salary concerns in the tight market for tech labor in Silicon Valley, where organizations are constantly trying to poach their rivals’ top talent.

Given the stakes, it’s a sure bet the H-1B program will remain a hot political issue beyond the primary season. Donald Trump and Hillary Clinton are their parties’ most likely nominees, and their positions on the topic could not be more opposed. Expect Trump to cite Clinton’s support for the H-1B program as proof of his contention that she’ll side with big business over workers. Clinton will no doubt point out that Trump, by his own admission, employs many H-1B visa holders. As the Donald said during Thursday’s debate, “I shouldn’t be allowed to use it.”


TOPICS: Business/Economy; Culture/Society; Government; Mexico; News/Current Events; US: Alabama; US: New York
KEYWORDS: 2016election; alabama; election2016; h1b; jeffsessions; mexico; newyork; obamatrade; trump; visa
Navigation: use the links below to view more comments.
first 1-2021-4041-6061-79 next last

1 posted on 03/11/2016 1:18:18 PM PST by SeekAndFind
[ Post Reply | Private Reply | View Replies]

To: SeekAndFind

Former Microsoft CEO and chairman Bill Gates is among the tech titans calling for an increase in the number of H-1B visas allotted each year.
2 posted on 03/11/2016 1:19:00 PM PST by SeekAndFind
[ Post Reply | Private Reply | To 1 | View Replies]

To: SeekAndFind

The H1-B Visa is a small puppy


3 posted on 03/11/2016 1:19:04 PM PST by Eddie01
[ Post Reply | Private Reply | To 1 | View Replies]

To: SeekAndFind

H1B visas should all be cancelled.
There is no need for foreign talent, we have a plenty right here in the USA...............


4 posted on 03/11/2016 1:20:27 PM PST by Red Badger (The Left doesn't like him and the Right doesn't like him, so he must be the right guy for the job...)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Eddie01

But HAS been abused to import not so specialty workers .... like clowns in a Mickey Mouse suit, f’rinstance


5 posted on 03/11/2016 1:20:54 PM PST by knarf
[ Post Reply | Private Reply | To 3 | View Replies]

To: SeekAndFind

Did Trump say he would end the program? I missed that.


6 posted on 03/11/2016 1:21:42 PM PST by skeeter
[ Post Reply | Private Reply | To 1 | View Replies]

To: SeekAndFind

I’d also like to hear his thoughts on the H2-B, L1, and DV visas.


7 posted on 03/11/2016 1:25:28 PM PST by posterchild
[ Post Reply | Private Reply | To 1 | View Replies]

To: SeekAndFind

Where did these high skilled workers get their education? Then they apply to take jobs in America. Does that not speak of two things. One, Our precious schools are turning out crap. Two, We lost a job that an American should have gotten and we put that American worker on unemployment or welfare.

WTF. Think. This does not mention that the H-1B person is paid less than the American would. Is that right?

Trump is right and America is so far behind the curve that we may never catch up.

Trump for President. It would be a start to recover.


8 posted on 03/11/2016 1:25:48 PM PST by Logical me
[ Post Reply | Private Reply | To 1 | View Replies]

To: SeekAndFind
Expect Trump to cite Clinton’s support for the H-1B program as proof of his contention that she’ll side with big business over workers.

If Trump hammers her on this, he could win in a landslide.

9 posted on 03/11/2016 1:26:21 PM PST by qam1 (There's been a huge party. All plates and the bottles are empty, all that's left is the bill to pay)
[ Post Reply | Private Reply | To 1 | View Replies]

To: SeekAndFind; Red Badger

There are entire neighborhoods of H1Bs in my little Colorado burg who have driven out the (formerly high-paid) native IT workers in nearly every high tech outfit in the area, big or little. They’re filled with East Indians, Pakistanis and Asian foreigners.


10 posted on 03/11/2016 1:26:23 PM PST by catnipman (Cat Nipman: Vote Republican in 2012 and only be called racist one more time!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: SeekAndFind

Indentured servants.


11 posted on 03/11/2016 1:27:10 PM PST by Hugin (Conservatism without Nationalism is a fraud.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: skeeter

“Did Trump say he would end the program? I missed that.”

Here, this should help you catch up:

https://www.google.com/search?q=trump+h1b&ie=utf-8&oe=utf-8


12 posted on 03/11/2016 1:27:20 PM PST by catnipman (Cat Nipman: Vote Republican in 2012 and only be called racist one more time!)
[ Post Reply | Private Reply | To 6 | View Replies]

To: Eddie01
Cruz's proposal in the Gang of 8 bill alone would take H-1B visas up to a number equal to 1 out of every 8 STEM jobs in America. Currently, yes the number is small. If Silicon Valley and the hundreds of users of the H1-B visa have their way (with a Hillary or Cruz or other establishment candidate) every "good" job in America that can't be shipped offshore, or which is waiting to be shipped offshore, will go to an Indian.

Future trade deals, specifically TPP, will do away with work visas among the treaty's signatories, removing borders and allowing workers to freely move from country to country for jobs.

Incidentally, the North American Union, created by Heidi Cruz working for the CFR, would erase borders and visas, allowing unfettered movement of workers between the North American countries.

13 posted on 03/11/2016 1:27:51 PM PST by gg188 (Ted Cruz, R - Goldman Sachs)
[ Post Reply | Private Reply | To 3 | View Replies]

To: catnipman

IOW, MUSLIMS......................


14 posted on 03/11/2016 1:27:52 PM PST by Red Badger (The Left doesn't like him and the Right doesn't like him, so he must be the right guy for the job...)
[ Post Reply | Private Reply | To 10 | View Replies]

To: qam1

“If Trump hammers her on this, he could win in a landslide. “

Indeed. It won’t just be a land-slide of blue collar workers, but also a land-slide of white collar workers who’ve already been pushed out by H1Bs and those who see the handwriting on the wall.


15 posted on 03/11/2016 1:29:06 PM PST by catnipman (Cat Nipman: Vote Republican in 2012 and only be called racist one more time!)
[ Post Reply | Private Reply | To 9 | View Replies]

To: skeeter

That isn’t what I’ve heard from him lately either, frighteningly suggesting that he’s been “gotten to” by the crony capitalists and Globalists. If so, we are totally screwed. He’s our last chance.


16 posted on 03/11/2016 1:29:29 PM PST by gg188 (Ted Cruz, R - Goldman Sachs)
[ Post Reply | Private Reply | To 6 | View Replies]

To: SeekAndFind

So is he for it, or against it, or for it? I can’t keep up with what he is anymore.


17 posted on 03/11/2016 1:30:41 PM PST by Durbin
[ Post Reply | Private Reply | To 1 | View Replies]

To: posterchild

The H2 visa is for artists and performers. Doing away with it would blow some awfully big holes in MLB and NHL rosters.


18 posted on 03/11/2016 1:31:36 PM PST by Buckeye McFrog
[ Post Reply | Private Reply | To 7 | View Replies]

To: Hugin

RE: Indentured servants.

In theory, the original intent of the H1-B prevent firms from simply bringing in foreign help on the cheap to avoid paying prevailing U.S. wages.

The idea is that when companies that need specialized, highly skilled workers, or those with unusual endowments, they should be able to bring them in relatively easily from abroad when they cannot locate the workers they need at home.

One of the safeguards is the requirement that firms disclose the wages of their foreign workers, so that these can be compared with typical domestic wages in the field.

With this (if they follow the intent of the law), indentured servitude should be avoided.


19 posted on 03/11/2016 1:31:49 PM PST by SeekAndFind
[ Post Reply | Private Reply | To 11 | View Replies]

To: Durbin

https://www.google.com/search?q=trump+h1b&ie=utf-8&oe=utf-8


20 posted on 03/11/2016 1:32:07 PM PST by catnipman (Cat Nipman: Vote Republican in 2012 and only be called racist one more time!)
[ Post Reply | Private Reply | To 17 | View Replies]


Navigation: use the links below to view more comments.
first 1-2021-4041-6061-79 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson