Studies show that almost 2 million H-1B visas have been distributed between 2000 and 2019.
The H-1B visa program allows employers to hire foreigners to work in jobs that require highly specialized knowledge and a bachelor's degree or higher. The current annual cap, as set by Congress, is 85,000. Though it's a temporary non-immigrant visa (valid up to 6 years), tens of thousands have been allowed to adjust to permanent status with green cards.
How to Reduce Dependence on H-1B – A 5-Point Solution...
1. Provide corporations significant Tax Benefits to hire local STEM graduates. Instead of incentivizing US corporations to hire more H-1B workers, the federal government should allow them considerable tax incentives to engage the local STEM (Science, Technology, Engineering, and Math) graduates at the prevailing rate. This particular tax incentive should last, say, up to five years (or the employee's longevity, whichever comes first), thus vastly negating the incentive to hire foreign workers at a reduced rate. This tax incentive will also encourage future STEM students, foreseeing a fast-leveling playing field. Without this assurance, it would be challenging to entice local students to venture into the STEM field. Today, the qualified American workers are training their far-less skilled foreign counterparts to take their jobs.
2. Introduce higher educational qualifications for H-1B applicants. According to the Congressional mandate, 65,000 H-1B applicants need only bachelor's degrees while another 20,000 require master's or higher. Unfortunately, a bachelor's degree in SE Asia (which accounts for 80%+ applicants) is not equivalent to a US bachelor's. To effectively meet the US standard, Congress should consider transposing the degree requirements, meaning 65,000 applicants with master's + and 20,000 with bachelors. It makes no sense to displace a truly qualified American degree-holder with a much less capable foreign degree-holder. That is why the replacement wages tend to be much lesser for foreign workers. Since H-1B is meant for the highly skilled foreign workers, Congress should gradually move to an all master's + requirement, at least leveling the playing field.
3. Until Higher Educational Requirements are established, Congress must insist on degree evaluation by the ETS (and other entities). While Congress debates on upping the ante on degree requirements, it must require that the foreign degrees are adequately vetted and evaluated. The well-known education evaluation organizations like the Educational Testing Service (ETS) should perform the necessary vetting, forcing the sponsoring organizations to prove that their candidates satisfy the US educational requirements. This independent yet straightforward step will surgically (identify and) disqualify many applicants from the export-oriented private schools as they will not meet the US degree requirements. Ideally, Congress must additionally require all applicants to pass a US-administered standardized test (good for three years), along the lines of Foreign Medical Graduates Exam (FMGE).
4. The Sponsoring Companies must be incentivized to recruit Foreign Students Graduating from major US Universities first. International students graduating from the major US Colleges and Universities are more valuable candidates for these unfilled jobs than their all-foreign counterparts. There are other advantages to this hiring approach too:
(a) No need for the equivalency assessment;
(b) Since the vast majority of them undergo internship or practical training in the US, they are already used to the requirements of the American workplace and work ethics;
(c) Graduates from the major US schools are at least as good as the best and brightest from foreign nations;
(d) They will command the prevailing wages, negating the arbitrage described above that many sponsors have been trading on;
(g) Better English proficiency (both verbal and written) and so forth.
5. Let the Annual H-1B Quotas steadily decline as we promote STEM Education. If we switch to merit-based immigration, H-1B will be a thing of the past. Whether that comes to pass or not, the rapid and aggressive promotion of STEM education will steadily lower the quotas. Hopefully, the current 85,000 level would decline by 20,000 annually, leading to a total phase-out in 5 years. If we can promote STEM education in keeping with the labor force's needs, this phase-out could take place even sooner. Of course, the promotion (of the positives) of STEM education must start early in high school so that students are always in the know of the unrestricted domain of opportunity the STEM universe offers.
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