On November 25 2014, President Obama announced his use of executive actions for immigration reform. One major change is the increase of Optional Practice Training time from seventeen months to twenty-nine months. Optional Practice Training or OPT is the time allowed for foreign students who have completed their studies in the U.S to stay and work. Many corporations hire these students to work in the fields of Science, Technology, Engineer or Mathematic or STEM. In “Senator Session Is Right: No STEM Worker Shortage”, Camarota argued the supply of STEM workers is abundant. His assumption is wrong base on salary trend and unemployment rate, the number of college graduates that supply STEM field, and political benefits due to President Obama’s …show more content…
It takes years to become an engineer, chemists, or a mathematician. More than two-third of STEM workers hold, at least, an undergraduate degree (Langdon et al, 4). But many degree holders find employment elsewhere that is not specific to their degrees. STEM degrees open many employment opportunities. For example, a computer science major can be employed as manager for a software company. In math, one-fifth of graduates is working in education. By not working in STEM related jobs, graduates are leaving STEM positions vacant. To study in the U.S, foreign students will apply for F-1 visas. Visas for skilled foreign workers are called H-1B visa. The current system, capped the number of H-1B visa issue at 85,000 per year for private employers. Only twenty percent of H-1B visas are issued to former F-1 visa holders (Ruiz, 1). This means only about 19,000 workers are eligible to stay. How can this consider competing to native workers when STEM workers is needed by the millions? Since the time to finish a STEM degree is long and due to competing non-STEM job opportunities available, the shortage of STEM workers is …show more content…
Corporations have more bargaining power when hiring foreign workers. Foreigners are getting paid less than native workers (Catamora, 1). This is true, but companies often have to offer these workers more benefits to attract them. The benefits can range from moving and living expenses to jobs for their spouses. The total cost of hiring and employ a foreign worker is more expensive than hiring Americans. The process of visa application is lengthy and expensive. Mazel, an immigration attorney, said “Straightforward cases that should have sailed thru the system are now taking months, if you’re a startup and money is tight. You may think of alternatives than hiring abroad.” (Sugarman, 1). In addition, STEM workers are specifically trained for the job. Every employee is a long-term investment, corporations prefer their investment to stay more than the twenty-nine months that allow. The cost to employ immigrants is too high to be motivated by greed and not by
By the year 2020, the Hispanic population in Texas will outnumber the non-Hispanic White population (Petter and Hoque, 2013). However, Hispanics do not play a significant role in the STEM workforce (Robinson, 2007). The drastically low number of Hispanic students with a STEM degree only represent 5% of the total STEM workforce (Clewell, 2006; Malcolm, 2010; Arcidiacono, Aucejo, & Hotz, 2013). To further amplify the situation, 25% of jobs created over the next six years will require a bachelor’s degree (Strong American Schools, 2008).
Meanwhile, entrepreneurship is booming in countries that compete with us. And more than half a million doctors, scientists, researchers, and engineers in the U.S. are stuck in immigration limbo. They are on temporary work visas and are waiting for permanent-resident visas, which are in extremely short supply. These workers can't start companies, justify buying houses, or grow deep roots in their communities. Once they get in line for a visa, they can't even accept a promotion or change jobs. They could be required to leave the U.S. immediately - without notice - if their employer lays them off. Rather than live in constant fear and stagnate in their careers, many are returning home.
In recent headlines, the H-1B visa has come become a debatable topic. The number of visas distributed to skilled workers (H-1B) and who receives them, and whether the United States should increase or decrease the amount. Currently, the H-1B visa system is structure to administer 65,000 H-1B visas (Services, H-1B Fiscal Years (FY) 2014 Cap Season). According to the United States Citizenship and Immigration, 124,000 petitions were received during the 2013 fiscal year. (Services, H-1B Fiscal Years (FY) 2014 Cap Season). Some are suggesting that we need more skilled immigrant labor within our country for innovative and entrepreneurial exploration, while others are opposed to such a change and would prefer a decrease in the number of
“BUY AMERICAN, HIRE AMERICAN” Romney Scanlan ALASKA CAREER COLLEGE OSD140 Thesis and Introduction The "Buy American, Hire American" order ordered federal agencies to reform the H-1B visa program, which is to bring high-skilled workers to the United States. According to the White House, 80 percent of approved H-1B visa applications were for "the two lowest wage levels allowed. " White House officials said that meant replacing American workers with lower-paid foreign workers. My thoughts is as followed through in my research for the recruiting process.
The question of whether there is a shortage of skilled labor supply cannot be accurately determined given the current visa system and the agendas of firms. Since applications of the visas are not accepted once the cap is reached, there is no exact information on the demand. Furthermore, firms could be incentivized to hire skilled immigrants to minimize costs rather than the claimed performance benefits, biasing any data collected. Whether aggregate benefits outweigh the potential losses from the crowding out of native workers and their lower wages depend on the methodologies
Moreover, we depend on quite a few key hypotheses in understanding the need for immigration reform and boosting the labor force. Thus with proper inferences and evaluation on this matter, it is highly anticipated that high‐skilled immigration reform (alongside a similar discourse that is taking place about deferred action for certain low‐priority and high skilled undocumented workers who are already here in the US) would make it easier to grant provisional relief for millions of persons in these
In 2005, the three reports entitled Innovative America, Tapping America’s Potential, and Rising Above the Gathering Storm, argue that if the U.S. does not improve its science technology, engineering, and mathematics (STEM) education the standard of living in the U.S. may decrease and threaten the economy and national security. The reasoning that the proponents use is that with more innovation and technological advancements, exports will increase and benefit the economy, but if there is no innovation this will harm the economy. The three reports, according to the Congressional Research Service, argue that in order to prevent these issues, we must close the academic achievement gaps in STEM, improve the quality of teachers, increase STEM labor supply, improve on international ranking assessments, produce more STEM degrees, and increase the number of H-1B visas issued. One of the most controversial subjects of the STEM movement is that companies are using H1-B visas to employ foreigners at cheaper rates rather than U.S. citizens. However, critics of the STEM movement argue that this is a strategic idea called “Brain Drain” where the U.S. is “draining” the most talented and skilled workers from other countries in order to gain an advantage on a global stage. In order for the U.S. to remain a leader in innovation and STEM education, the issue of H1-B visas needs to be addressed.
“According to the Small Business Administration, Foreign born are thirty percent more likely to start a business in the United States than native born, and eighteen percent of small business is immigrants.” If one day America would decide to kick these immigrants out than where would the native born working for them go. Sometimes all these people have are their jobs, especially when it’s to provide for their family. The small businesses owned by foreign born employed almost five million people in 2007. According to that these businesses make $776 billion annually. Twenty-five percent of companies backed up by Venture Capital Investors were started by immigrants (e.g. Google, eBay, Yahoo, Sun Microsystems, and Intel). Between the years of 1990-2005, one quarter of companies that went public were either founded or help founded by U.S immigrants. Later on between the years of 2006 and 2012 this amount increase to one third, and every company had at least one foreign born founder. Around eleven percent of foreign born owned a business, unlike Americans who were nine percent according to Small Business
The increase in immigration between 1990 and 2006 has proven to have increased participation in the workforce by about 12.5 million. Consequently, this increased the earnings of United States’ workers from about 0.6% to 0.7% (Kugler and Oakford). As a result, multiplying these percentage gains would have an annual gain between thirty and eighty billion dollars. Fully 90% of American workers are estimated to have received some of these gains (Bonello and Lobo 203).
The H-1B visa, originally created to streamline admissions of temporary foreign workers to the United States, has become a topic of much debate between the foes of immigration and the information technology (IT) industry. The debate is focused on whether to increase the visa cap in order to alleviate what the industry describes as a shortage of IT labor. This argument, however, obscures the fundamental flaw of the H-1B program that deserves a more prudent examination. The current H-1B visa program is plagued with inefficiencies that privilege the IT industry at the expense of both visa holders and domestic IT workers alike. The H-1B program needs a complete overhaul, and should include a mechanism to ensure that both employers and employees abide by free market forces. Increasing the current visa cap will only amplify current inefficiencies of the H-1B visa program. Alternatively, allowing visa holders the ability to access a greater range of employment opportunities increases the holder’s incentive to make economic contributions. The industry’s ability to hire globally must be balance by workers’ rights to seek out more competitive opportunities. Current mobility restrictions of the H-1B program are preventing valuable workers from seeking the most valuable opportunities, ultimately leading to a misallocation of foreign labor. H-1B visa reform that includes a role for labor mobility will not only introduce market forces into the bigoted program, but will also help ensure
Abstract: Until the bill passed, much of the debate surrounding the Development, Relief, and Education for Alien Minors, or DREAM Act, brought about legal, ethical, and logistical concerns. Illegal immigration and the population unauthorized alien in the United States were key issues in the ongoing debate on immigration reform. However, the benefits of this bill outweighed its disadvantages. Immigration policies in the United States concerning undocumented workers are strict and direct. Employers are not allowed to employ illegal or undocumented immigrants. The DREAM Act which was enacted by the Obama administration’s announcement of deferred action for deportation of undocumented youths provides alternates. Under the provision of this law, a person is eligible for citizenship if they came to the United states at age 15 or younger, are currently 35 or younger, have been resent in the country for at least five years, completed high school, and completed at least two years of higher education or honorably served in the armed forces for at least two years (Guzman & Jara, 2012). The advantages of Dream Act as well as its disadvantages on the US economy would be analyzed. Future analysis and other immigrant working situations would also be evaluated.
"Countries use a variety of policies and practices related to foreign worker programs, including actions to limit illegal immigration and to reduce employment of unauthorized foreign workers" (GAO Reports , 1). The future of young American citizens are at stake, if the low-skilled jobs available now are already occupied by those who have no legal right to work. Jobs are created every day, but it's only corresponding to the number of registered citizens, if people who are not registered in accordance to the law are allowed to work, then there will be negative effects on graduates and other low skilled US citizens who are yet to start or seek for their first job. The illegal immigrants will always win in jobs competition with U.S. citizens, simply because the companies that hire them believe they won't have to pay them higher wages, since the illegal immigrants don’t have much of a choice to work anywhere they please. The population however is increasing rapidly, which is not just reducing the job opportunities, but also leading to conflict, misunderstanding and most likely, wars. Conflicts over resources are becoming a source of tension amongst citizens and non-citizens, which could result in a public riot. Misunderstanding, due to the difference of cultures and traditions could also lead to a skirmish amongst citizens and
Another set of focus on how high-skilled foreign students that are currently in the United States helps to shape the economic connections with their home countries is by working with optional practical training (OPT). This program allows nonimmigrants not to pay taxes on their earning depending if their countries is a tax exempt partner to the US . This dialogue is fairly brief. It is also obvious that high-skilled foreign student with advanced undergraduate and graduate degrees to direct their investments to their home countries, because they cannot stay in the US which in a sense weakens the US economy and it is somewhat ambiguous whether this advantage fully set a balance for the impending negative cost to the US for not able to integrate
Many American companies use H-1B visas to bring in small numbers of foreigners for openings demanding specialized skills, according to official reports. But for years, most top recipients of the visas have been outsourcing or consulting firms based in India, or their American subsidiaries, which import workers for large contracts to take over entire in-house technology units — and to cut costs. The immigrants are employees of the outsourcing
Over the past few decades, the American workforce has been on the decline. As many of the previous generations start to retire and leave the workforce so does their skills, something American companies are having problems replacing. Up till the 1970’s the American workforce saw the number of unskilled workers decline with the number of skilled workers increasing. In the 1970’s however, this trend stagnated and has held constant. With individuals aged 55-59 years getting ready to retire the American workforce is about to lose a large portion of its skilled workers. This puts American companies in a very precarious position, how do these companies replace these workers? Some companies are moving their operations to places where the number of skilled workers is steadily increasing. Most companies, however, take advantage of temporary visa programs like H-1B. This visa program allows these companies to bring in skilled workers as non-immigrants to work in the United States for three years, up to six with a renewal. Currently, the H-1B program allows for 65,000 foreign workers with an additional 20,000 visas set aside for individuals pursuing doctorate degrees. Additionally, universities are allowed an unlimited number of visas for individuals pursuing bachelor’s degrees. In order to apply for this visa, a foreign worker must have already been offered a position and actually it is their employer who applies for the visa. Due to the number of applicants in recent years the State