Study: Many tech firms launched by immigrants

The Boston Globe ^ | November 15, 2006 | Robert Weisman

[A. Pole]

[...]

The study [by the National Venture Capital Association trade group], which is set to be hand-delivered to members of Congress this morning , marks the group's first attempt to quantify the contribution of immigrant executives and engineers. It comes at a time when start-ups are clamoring to hire more talented employees from overseas and to boost the cap on the H-1B visas used by companies to hire foreign-born professionals, often from US college campuses.

[...]

Mark Heesen , president of the venture group, said it launched the study last winter to gain ammunition in its lobbying for immigration reform. While much of the debate this year has focused on illegal immigration, venture capitalists believe restrictions on legal immigration may put the United States at a competitive disadvantage in incubating the next generation of start-ups.

The cap on H-1B visas granted to US employers has dropped to 65,000 a year, from 195,000 in 2000 and 2001. Under a so-called "skill bill" backed by the venture group, part of immigration reform legislation before Congress, the cap would be lifted to 115,000 a year, plus exchange students working on graduate degrees at US colleges.

[...]

But an opponent of the H-1B program said the venture group's study, by focusing on immigrant entrepreneurs and chief executives, masks the fact that most of those hired on the visas are lower-paid programmers and software engineers who are displacing American workers. "It's a misguided and counterproductive program," said Alan Tonelson , research fellow at the United States Business & Industry Council, a group representing small manufacturers. "There's no shortage of native-born technology workers. They just want cheap labor."

Venture capitalists, however, said the issue is important because, in addition to the leaders of technology start-ups, a large share of their key technical staffs are foreign-born,

[...]

[A. Pole]

"There's no shortage of native-born technology workers. They just want cheap labor."

Venture capitalists, however, said the issue is important because, in addition to the leaders of technology start-ups, a large share of their key technical staffs are foreign-born,

H-1B visa bump

[ClearCase_guy]

"There's no shortage of native-born technology workers. They just want cheap labor."

Bingo.

[A. Pole]

"There's no shortage of native-born technology workers. They just want cheap labor." Bingo.

Or bring their relatives? :)

[PghBaldy]

yep.

[McGavin999]

The reason they won't increase immigration is because they're getting ready to give amnesty to 20 million illegals who can't speak english.

[GAB-1955]

However, most people who start tech firms and are immigrants didn't cross the Rio Grande or the Sonoran desert. They have an education and are willing to learn. We get too many people with limited education and a peasant's outlook on life instead of entrepreneurs.

[glorgau]

The San Francisco Dems are in and immediately trying to screw American workers in Silicon Valley. What a surprise. Not.

[McGavin999]

I agree totally. There are enough people in this world who would love to breathe free that we can pick and choose. Yes, there should always be a certain amount of people who are allowed to immigrate who do not have all that much, but they should come in legally and be immediately assimilated into the US culture.

[EagleUSA]

It is all about CHEAP. And as long as the US government continues to not manage our borders, immigration, illegal immigration, etc. we will continue to be overrun with anything and everything.

A tragedy upon America, brought to you by Washington, DC.

[Defiant]

Many tech firms launched by immigrants

How many were illegal aliens? Zero? That's what I thought.

[Fee]

Unfortunately the 20M illegals represent the wrong skills needed for the future. By 2010 most of the baby boomers would retire, leaving a smaller population of successors to take over. Jobs that require years of experience along with technical expertise will be in short supply of US workers. Jobs such as finance, banking, medicine, .senior technical managers and etc. Short gaps can be filled by H-1B workers provided that the salaries have been increased but few applicants because the US colleges are not graduated enough or demographics (H-1B should not be used as a tool to depress tech worker salaries in a glut market of tech workers). Manufacturing jobs face the same type of block aging retirees, but the number of jobs in this area are shrinking faster than the retirement ages, thus the younger generation of successors still outnumber the jobs openned by retiring baby boomers. We are not helping these nontech US workers by flooding the country with illegal immigrants who will compete with the displaced manufacturing workers in nontech jobs such as construction, services and etc.

[Fee]

Many workers will be surprised that the Dems support H-1B because many of their corporate backers are software and computer companies. They have appealed and successfully convinced blue collar GOP districts to vote Democratic over free trade (by promising to review the treaties), but they will not stop illegal immigrants and H-1B visa abuses. This is an openning for the GOP, but will the free traders in the GOP (who also benefits) prevent it from being an issue?

[sten]

well, when 'minorities' are able to get 8a status, there is no wonder there are more minorities/immigrant startups. (after all, that was the intention...)

[snowsislander]

"It's a misguided and counterproductive program," said Alan Tonelson , research fellow at the United States Business & Industry Council, a group representing small manufacturers. "There's no shortage of native-born technology workers. They just want cheap labor."

Yes, that's exactly the case. It's natural that businesses want to keep their costs down; it is also natural for their fellow Americans who work in the field and who see their job market flooded with cheap workers to be less receptive to the idea.

I would guess that the Democrats will be happy enough to remove all caps on H1-B visas.

[banjo joe]

"There's no shortage of native-born technology workers. They just want cheap labor."

Huntsville, AL is a boom-town with BRAC bringing 4300+ jobs to Redstone Arsnel.

A building contractor interviewed by a local TV news babe stated he had to hire illegals or he couldn't get the work done.

So, we don't have enough American tech workers, and we don't have enough Americans in construction trades?

I suppose we're all in management now, or at McD's. Or on the disability dole.

[TET1968]

Were they all leagal?
If so, what's the point?

[banjo joe]

Redstone Arsnel Arsenel.

[MarkL]

Well of course they are. Immigrants integrating into society have been one of the greatest strenghs of this country, ever since its founding.

The problem is that "immigration" isn't the problem... Illegal aliens are the problem. "Immigrants" come here legally, attemping to build a life for themselves and their families, becoming American citizens. They WANT to be a part of America. And they're willing to do it legally.

Illegal aliens come here illegally, in order to get higher paying jobs than they might find in their home countries, sending their wages home to their families, and have no interest in contributing to America. Or, if they do hope to stay here, they refuse to integrate into American society, bringing their homeland with them, turning parts of America into the sort of place that they tried to escape from in the first place.

Mark

[gubamyster]

ping