H-1B pay and its impact on U.S. workers is aired by Congress

[Newsjock]

Source: Computerworld

Brendan Kavanagh, an unemployed IT consultant with expertise in J.D. Edwards ERP systems, used his frequent flier miles and hotel points to travel from his Miami home to Capitol Hill to attend today's U.S. House Judiciary Committee hearing on the H-1B visa.

... U.S. Rep. Zoe Lofgren, a Democrat whose Congressional district includes Silicon Valley, framed the wage issue at the hearing, sharing the response to her request for some wage numbers from the U.S. Department of Labor.

Lofgren said that the average wage for computer systems analysts in her district is $92,000, but the U.S. government prevailing wage rate for H-1B workers in the same job currently stands at $52,000, or $40,000 less.

... Ron Hira, an assistant professor of public policy at the Rochester Institute of Technology and author, ... cited a recent Government Accountability Office (GAO) report that found more than half of H-1B workers were paid entry level wages. One large offshore firm hired 100 visa holding computer programmers at $12.25 an hour, said Hira, citing government data. "That's hardly the best and the brightest," he said.

Read more: http://www.computerworld.com/s/article/9215405/H_1B_pay_and_its_impact_on_U.S._workers_is_aired_by_Congress

[ixion]

1. As an engineer, I could charge more in 2001 than I can today

and it's because of off-shoring and H1-B.

The good news is that the last several contracts I've picked up have been because people were frustrated with their attempts to contract the project to India.

[housewolf]

2. As a QA tester, my experience is the same

I made around $50 per hr in 2002, today I'm lucky to find a contract that pays in the range of $35 per hr, and $28 is more likely.

My brother has been a mainframe programmmer/analyst since the late 1970's and made a good living for his family. He's spent almost the last 2 years unemployed, couldn't find a job, and just finally landed something in Portland, 1000 miles from his home in Southern Calif. His rate - $28 per hr.

My sister, also a QA analyst, was making $70 per hr 2-3 years ago, today if she can find something for $35-$45, she's doing well.

It's a tragedy, what's happened to IT rates.

[bhikkhu]

3. Perhaps its a tragedy...

and it is certainly something that I don't know how to do, but perhaps the lower pay scales will make for a less volatile marketplace and more stable employment situations?

In any case, I sympathize. As an automotive mechanic I was making $14 an hour in 1987, $12 in 93, $16 in 2000, $14 in 2008. Some of it is from moving to a smaller market, but it does seem that the price of goods has gone up very steadily while wages have stagnated, over my whole working life.

[davidwparker]

5. +1

I hold no animosity to any Indian himself. They are trying to better themselves like anybody would want to.

But, I am so tired of IT organization who use outsourcing and H1-B. Things take longer now. Things are more disorganized. Then, when the work is done offshore, the Indians sit on their as*es and you are stuck on your project and held hostage. In my group, they are now giving estimates which take longer than it should do accomplish and my organization has no other choice that to have projects drag on.

Indians. I have no beef (poor choice of words) with you personally. But, I'm tired of working with you.

[ixion]

6. Most of the people from India that I've worked with here in the states have been great

some really excellent programmers. I think it's the way the corporations are set up that causes much of the trouble. They get green programmers in there working on projects that are out of their league. The code is never stable, so they end up sitting on it. I've seen that happen several times with hotshops in both India and China.

[johnroshan]

8. Let me ensure you that a majority of the H1B

workers are nowhere near the best and the brightest. H1B is all about cheap and the low expectations crowd.

US needs to tighten up its H1B program to ensure that real talent is being brought onto its shores. The massive influx of unskilled workers also blocks truly talented people from coming in.

[sarcasmo]

18. Bingo, all about cheap wages.

[The Hitman]

4. Employers need to pay the "prevailing wage"

Which is set by the DOL. You cannot disfavor H1B employees. They cannot be paid less or receive less benefits that their coworkers.

Blame government statistics, not the visa, nonimmigrant workers, or employers. Therein lies any problem!

[ChromeFoundry]

9. Blame the corporations

that lobby for increases in the H-1B cap and demand that the prevailing wage remain low to maximize their profits.

Also, blame the US citizens for sitting back idly and not burning these building to the ground in protest.

[The Hitman]

10. Uhh

Prevailing wage should be set by the market, thus the h1b holder makes no less (but possibly more) than his/her american counterpart.

[ChromeFoundry]

11. Not gonna happen...

there is too much money to be made in it's current format.

[The Hitman]

12. Gonna Happen??????

That IS the "current format".

http://www.doleta.gov/regions/reg05/Documents/eta-9035.pdf

[ChromeFoundry]

13. Meaningless...

Item 7(e). Prevailing Wage Rate and its Source. Enter the prevailing wage rate in terms of the amount per hour, week, year, etc. If the employer is replying on a wage determination obtained from a State Employment Security Agency, check the box marked "SESA." If the employer is using another source, check the "Other" box and specify such other source: i.e., published wage survey, or other source utilized by the employer to determine the prevailing wage for the occupational classification in which H-1B nonimmigrants will be employed, e.g., "collective bargaining agreement," or "Bureau of Labor Statistics Occupational Compensation Survey, Denver, Colorado, Metropolitan Area." (Only 1 box can be checked per line item).

Employers set the wage because they will choose a job title not on the DOL list. If they choose to use a DOL listed title it will be of a lesser level from that of the US counterpart. When was the last time you actually saw a tech job title actually describe the position accurately?

[The Hitman]

14. Prove it

Show me where and how this practice is done. Show me the unscrupulous immigration lawyers who engage in this practice. Let's see the evidence.

[ChromeFoundry]

17. Get a job in the tech field

You will see it everyday. I do! I have been asked to "craft" job requirements that match an individual's qualifications exactly, so that no one else could fit the qualifications for the job and they could keep the person already here on H-1B visa.

"Prove it" - Pffft, wtf. Open your eyes. As for showing you "unscrupulous immigration lawyers"... take your pick! There are three on this board that beat the same drum as you. You seem to be drinking the same Kool-Aid, or have the same vision impairment.

Want proof that the H-1B and L-1 programs are not needed? Fine. Get rid of the programs and you will see that there are people to fill the positions... companies will just have to pay more than the going rate of imported laborers. Why is it that you feel companies do not have to play by the same supply and demand rules as the workers of this country?

If there is a shortage of nurses... Pay them better. Once the pay increases, more people will go into that field and the shortage will decline. Period. There is no shortage of qualified workers in ANY field. The only shortage is what the companies WANT to pay.

[OhioChick]

16. Looking for this?

"H-1B visa holders paid less in US"

http://www.hindustantimes.com/H-1B-visa-holders-paid-less-in-US/Article1-147259.aspx

From '06, but I still see it daily.

[treestar]

19. Exactly

http://www.dol.gov/opa/media/press/whd/WHD20110357.htm

And that shows that these laws are enforced. (It's a DUism that they never are).

[OhioChick]

7. Meanwhile...

H-1B cap change sought by key U.S. Congressman

March 31, 2011 05:29 PM ET

Computerworld - WASHINGTON - A top Republican lawmaker, U.S. Rep. Lamar Smith (R-Texas), who chairs the House Judiciary Committee, today said the H-1B visa plays a "vital role" in the economy and thus its cap should be increased.

But Smith, perhaps recognizing the difficulties of raising the contentious visa cap, offered an alternative that would make more H-1B visas available to tech firms while cutting the number of professions that could apply for the visas.

About half of all H-1B visas are used by technology companies, but there's a long list of other industries that use it as well, to hire fashion models, pastry chefs, dancers, social workers and photographers, Smith said.

Smith said he's "not sure" whether some of those non-tech occupations "are as crucial to our success in the global economy as are computer scientists."

More: http://www.computerworld.com/s/article/9215409/H_1B_cap_change_sought_by_key_U.S._Congressman?source=toc

Republicans are all for bringing in the cheapest labor.

[justabob]

15. h1b's for chefs? photographers?

What the hell? The tech stuff is more obvious, but geez why do we need to import PHOTOGRAPHERS? Social workers? Chefs? I really can't take it anymore. Every day is more bizarre than the last.