A disagreement has arisen among supporters of Donald Trump concerning a long-standing US visa program known as teh H-1B. This program allows US companies to hire skilled foreign workers in specific industries. While some who favor stricter immigration policies believe the program harms American workers, others argue that it enables the US to attract top global talent.
Although Trump had previously criticized the program, he has recently stated his support for it. Tech billionaire Elon Musk has also voiced his approval, describing it as a means of attracting “the top ~0.1% of engineering talent.” Data analysis sheds light on the demographics of those entering the US through these visas.
How Many People Receive H-1B Visas?
The annual quota for H-1B visas is set at 85,000. This number is divided into two categories: 65,000 for those with a bachelor’s degree or equivalent and 20,000 exclusively for individuals holding a US master’s degree or higher.
However, demand often exceeds the supply, leading to a lottery system for allocating visas. This rigorous selection process highlights the highly competitive nature of securing an H-1B visa.
H1-B Visas: A Look at Recent Trends
The H-1B visa program, established in 1990, allows US companies and institutions to employ foreign workers in specialized occupations. These visas are typically granted for a period of three years, with the possibility of extension for up to six years. Since 2004, the annual cap on new H-1B visas has been set at 85,000, with 20,000 reserved for individuals who hold master’s degrees or higher from US universities. It’s critically important to note that this cap doesn’t apply to certain organizations, such as universities, think tanks, and non-profit research groups, frequently enough resulting in a higher number of visas issued. To qualify for an H-1B visa, an individual must have a confirmed job offer from a US-based sponsor. The US government also approves extensions for those already working in the contry under an H-1B visa. According to data from the US citizenship and Immigration Services (USCIS), over 386,000 H-1B applications were approved in the 2023 fiscal year. This includes almost 119,000 new visas and approximately 267,000 extensions. This figure represents a decrease from the more than 474,000 approvals in 2022. The H-1B program has faced scrutiny and proposed restrictions in recent years. In 2017, then-President Trump signed an executive order aimed at increasing scrutiny of H-1B applications and enhancing fraud detection. This resulted in a surge in rejection rates during the early years of the Trump governance, reaching a record high of 24% in the 2018 fiscal year. In contrast, rejection rates under the Obama administration ranged from 5-8%, while the Biden administration has seen rates between 2-4%. Despite these fluctuations in rejection rates, the total number of approved H-1B applicants under the Biden administration has remained comparable to numbers seen during the first three years of the Trump administration. Between 2018-2020, approximately 1.1 million applications were approved, with about 343,000 being new applicants. In the first three years of the Biden administration (2021-2023), roughly 1.2 million applications were approved, including almost 375,000 new applicants.The H-1B Visa: A Lottery for Talent?
The H-1B visa program, designed to bring skilled workers to the United States, has long been a subject of debate. While intended to attract the “best and brightest” from around the globe, a persistent problem plagues the system: demand frequently enough outstrips supply.
In years when applications exceed the allotted visas, the United States Citizenship and Immigration Services (USCIS) effectively conducts a lottery to determine who receives approval. This practice draws criticism from those who argue that it undermines the program’s intended purpose.
Finding the Best and Brightest?
“Ultimately, if you’re going to have a skilled worker program for ‘skilled’ workers, you don’t award these visas via a lottery,” says Eric Ruark, the director of research at NumbersUSA, an institution advocating for stricter immigration controls. “Obviously, that’s not how you find the best and the brightest.” Preliminary data suggests applications for the 2024 fiscal year have surged, hinting at an increasingly competitive landscape for aspiring H-1B visa holders.H-1B Visa Applications Soar as Debate Over Immigration Reform Intensifies
Applications for H-1B visas, which allow US companies to employ foreign workers in specialized occupations, surged significantly in 2024, according to data released by the US Citizenship and Immigration Services (USCIS). The agency received 758,994 applications, a ample increase from the 474,421 applications received in 2023. This surge in applications comes as the debate over immigration reform heats up, notably in light of the upcoming US presidential election. With former President Donald Trump poised to return to the White House in January, observers are closely watching how his administration will address the H-1B visa program.“Is that second term going to be pro-American worker, or revert to the old establishment Republican position that immigration is designed to help employers – at the expense of American workers?”
Where are H-1B Visa Holders Working?
The vast majority of approved H-1B visa holders work in the fields of science, technology, engineering, and mathematics (STEM). Architecture, engineering, and surveying also represent a significant portion of H-1B employment. Looking at specific companies, Amazon emerged as the top employer of H-1B visa holders in 2024, hiring over 13,000 individuals. Other major tech companies like Google, Meta, and Apple also rank highly on the list of H-1B employers. Notably, Tesla, owned by Elon musk, a vocal supporter of the H-1B program, employed over 1,700 individuals on H-1B visas. California and Texas, recognized hubs for technological innovation, have emerged as the states with the highest concentration of H-1B visa holders. MTB
The Earning Power of H-1B Visa Holders
The H-1B visa program, designed to attract skilled foreign workers to the United States, has often been subject to debate, particularly regarding the impact on American wages. However, data reveals that H-1B holders generally earn salaries that are competitive with, and often exceed, those of their American counterparts. According to data from the 2023 fiscal year, the median annual salary for individuals working in the U.S. on an H-1B visa is $118,000. This figure surpasses the median annual income for all computer and mathematical occupations in the U.S., which stands at approximately $113,000. The median household income in the U.S. is significantly lower, at around $60,000 per year. While some critics argue that H-1B visa holders depress wages for American workers, immigration experts and lawyers offer a different outlook. They point out that the vast majority of H-1B visa holders earn more than the ”prevailing wage” for their specific occupation. The prevailing wage,determined by the Department of Labor,represents the average wage paid to workers in a particular occupation within a given geographic area. ” “Let’s say you’re a software engineer in Washington DC. you look at the going rate for software engineers in DC, and you have to certify that you’re paying at least that amount.” Shev Dalal-Dheini, senior director of government relations at the American Immigration Lawyers Association, acknowledges that prevailing wages may not be a comprehensive measure of the labor market. However, she argues that they do suggest that H-1B visa holders are not negatively impacting wages for American workers.The US H-1B Visa: Debunking Common Misconceptions
The H-1B visa program allows US companies to employ foreign workers in specialized occupations.Despite its importance in attracting skilled talent, the program is often surrounded by misconceptions. This article aims to shed light on some of these common misunderstandings and provide a clearer understanding of how the H-1B visa system actually works.Does the H-1B Visa Undercut American Workers?
A frequent criticism of the H-1B visa program is that it depresses wages for American workers by allowing companies to hire cheaper foreign labor. But experts argue that this perception is often inaccurate. “You’re not really undercutting wages that way,” says immigration lawyer Sarah Dalal-Dheini. She emphasizes the substantial costs associated with sponsoring H-1B visa holders. “Companies that end up sponsoring H-1B [recipients] are looking at costs of up to $5,000 to $10,000 in addition to what you would have to pay an American worker,” Dalal-Dheini explains. “The bottom line is that if they could find an american worker that was qualified, most companies would probably choose to hire that American worker, because it would be a cost savings.”Where Do H-1B Visa Holders Come From?
The majority of H-1B visas are granted to individuals from India. According to the latest US Citizenship and Immigration services (USCIS) data,approximately 72% of visas issued in fiscal year 2023 went to Indian nationals. Chinese citizens followed at 12%, while the Philippines, Canada, and South Korea each accounted for about 1% of recipients.
Exploring H-1B Visa Demographics
The H-1B visa is a popular route for skilled workers seeking opportunities in the United States. Recent data reveals captivating insights into the demographics of individuals entering the country on this visa.
