Article 43

 

Friday, January 20, 2006

H1-B Abuse Report

The temporary visa program known as H-1B enables U.S. employers to hire professional-level foreign workers for a period of up to six years. According to the law (8 U.S.C.  1182(n)), employers must pay H-1B workers either the same rate as other employees with similar skills and qualifications or the “prevailing wage” for that occupation and location, whichever is higher. This is to prevent the hiring of foreign workers from depressing U.S. wages and to protect foreign workers from exploitation.

THIS REPORT examines the wage data in Labor Department records for Fiscal Year 2004. It compares wages in approved Labor Condition Applications (LCAs) for H-1B workers in computer programming occupations to wage levels of U.S. workers in the same occupation and location. The analysis demonstrates that, despite the H-1B prevailing-wage requirement, actual pay rates reported by employers of H-1B workers were significantly lower than those of American workers. These findings show that the implementation of the prevailing-wage requirement in the H-1B program does not ensure that H-1B workers are paid comparably to U.S. workers. Moreover, the data suggest that, rather than helping employers meet labor shortages or bring in workers with needed skills, as is often claimed by program users, the H-1B program is instead more often used by employers to import cheaper labor.

Key Findings

· In spite of the requirement that H-1B workers be paid the prevailing wage, H-1B workers earn significantly less than their American counterparts. On average, applications for H-1B workers in computer occupations were for wages $13,000 less than Americans in the same occupation and state.

· Wages for H-1B workers in computer programming occupations are overwhelmingly concentrated at the bottom of the U.S. pay scale. Wages on LCAs for 85 percent of H-1B workers were for less than the median U.S. wage in the same occupations and state.

· Applications for 47 percent of H-1B computer programming workers were for wages below even the prevailing wage claimed by their employers.

· Very few H-1B workers earned high wages by U.S. standards. Applications for only 4 percent of H-1B workers were among the top 25 percent of wages for U.S. workers in the same state and occupation.

· Many employers use their own salary surveys and wage surveys for entry-level workers, rather than more relevant and objective data sources, to make prevailing-wage claims when hiring H-1B workers.

· Employers of large numbers of H-1B workers tend to pay those workers less than those who hire a few. Employers making applications for more than 100 H-1B workers had wages averaging $9,000 less than employers of one to 10 H-1B workers.

· The problem of low wages for H-1B workers could be addressed with a few relatively simple changes to the law.

READ MORE...
Posted by Elvis on 01/20/06 •
Section General Reading
View (0) comment(s) or add a new one
Printable viewLink to this article
Home
Page 1 of 1 pages

Statistics

Total page hits 9493079
Page rendered in 0.9078 seconds
41 queries executed
Debug mode is off
Total Entries: 3205
Total Comments: 337
Most Recent Entry: 11/15/2019 11:48 am
Most Recent Comment on: 01/02/2016 09:13 pm
Total Logged in members: 0
Total guests: 10
Total anonymous users: 0
The most visitors ever was 114 on 10/26/2017 04:23 am


Email Us

Home

Members:
Login | Register
Resumes | Members

In memory of the layed off workers of AT&T

Today's Diversion

The hardest thing of all to see is what is really there. - J A Baker

Search


Advanced Search

Sections

Calendar

November 2019
S M T W T F S
         1 2
3 4 5 6 7 8 9
10 11 12 13 14 15 16
17 18 19 20 21 22 23
24 25 26 27 28 29 30

Must Read

Most recent entries

RSS Feeds

Today's News

ARS Technica

External Links

Elvis Picks

BLS Pages

Favorites

All Posts

Archives

RSS


Creative Commons License


Support Bloggers' Rights