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H1B Reaches Cap Limit for the 16th Time in a Row

H1B Reaches Cap Limit for the 16th Time in a Row

The US government put a yearly cap on H1B visas in 1990, prior to which it accepted as many highly skilled foreign workers as the demand was. The cap of 65,000 + 20,000 did seem a lot back in the day, but by keeping the current demand in mind, the numbers look impractical and outdated. For the past consecutive 16 years, the USCIS has been getting more applications than the cap limit.

The United States has a workforce of 160 million, and the yearly H1B visas issued only account for 0.05 percent of the total. Now the question is, how does it replace American workers if they account for such a small part of the population? The answer is – Trump just wants immigrants out of his country and would do anything it takes to make that happen. Instead, H1B visa limit has hindered employment of the highest ability foreign-born workers. According to leading economists including Anna Maria Mayda, Kevin Shih, Chad Sparber, Giovanni Peri, and Francesc Ortega, the reduced pool of H1B workers available to firms didn’t lead their business to hire more American workers.

According to the recent research conducted by National Foundation, most numbers of H1B visas are used by US technology firms reflecting a strong demand for high-skilled talent in the American economy, whereas, fewer H1B visas are issued in the name of Indian IT firms. The study also revealed that top H1B employers spend the most on research and development, therefore, always being the leader in technology.

Overburdening with requirements won’t help

With all developed countries easing rules leading to permanent residency, Donald Trump overloading the H1B visa system with requirements won’t help the country and local American workers. Reforms like a direct path to permanent residency after three years or increased labor mobility will encourage immigrants to open businesses in the US, which would benefit local Americans.

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