A May 2020 report from the National Foundation for American Policy finds that the H-1B program, which is under threat of curtailment by the administration, does not adversely affect U.S. workers, and instead has a positive impact.
In April, a Presidential Proclamation suspended entry of new immigrants into the U.S. for 60 days (with extensions likely), and promised to examine nonimmigrant (temporary) visas for possible later suspension.
Signals from the administration indicate that it is considering expanding the entry suspension to the nonimmigrant visa categories most important to the economy, including H-1B visa specialized knowledge professionals, on the rationale that these workers compete with and lower the wages of U.S. workers.
The new report finds the following:
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- H-1B workers account for only about 2% of highly educated workers in the U.S;
- increases in the share of H-1B workers in an occupation results in a slight decrease in unemployment, and a slight boost in earnings of U.S. workers in that occupation;
- H-1B visa holders do not adversely affect U.S. born recent college graduates;
- A reduction in H-1B visas would likely result in companies moving those positions abroad, which could slow, rather than enhance the economic recovery following the effects of COVID-19.
Overall, the report notes that
The presence of H-1B visa holders increases innovation, productivity and profits at H-1B employers and boosts total productivity and innovation in the United States.
You can find the report here.