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Comment by savorypiano

14 hours ago

This is the wrong logic. Immigrants can make exactly the same as natives and still suppress wages.

Fundamentally how prices are set is someone sets a price, and if there are no takers they change the price. If a company offers a salary, and they bring in an H1-B to fill the role, they don't have to raise the salary. Over time it suppresses the wage.

Something else worth mentioning is that the companies are conferring a valuable benefit that they generally don't have to pay for: The promise of US citizenship for the employee and (eventually) their family.

  • FWIW the large companies usually do pay for much of it, including dedicated immigration lawyers.

If that was the case, why would they have to hide the job offer? If no American citizen is going to take the job at the lower pay, there is no need to hide the offer from them. If they are going to take the lower pay, there is no advantage to hire an H1-B.

  • Presuming we're talking about the job offers from the article, it's for PERM, part of the process for green cards, not for H1B. As far as I know, you don't need to post a job offer to consider local candidates for someone to apply for an H1B, only for them to get permanent residence.

    Employee works for a company under an H1B, company likes their work, wants them to stay longer (H1B has a max of 6 years unless you sponsor the employee for permanent residence). Employee doesn't want to be in this weird temporary worker status forever (and again, after 6 years they'll need to), so the company has two choices: either hire a new employee, hope they've as good as the one you already have under the H1B, train them up to be as familiar with the job and its work as the H1B, and then forget about getting the existing employee permanent residence, OR, just sponsor them for the PERM process, put out a job ad with a really low likelihood of anyone applying, and move on with their lives.

    The way the PERM process is set up, there's really no reason not to do the hidden job ad, it's not really regulated against, there's not much financial harm in doing it, and they already have an employee they like and who wants to stay, so for those two parties (and presumably anyone who likes working with this person, and any friends they have in America and so on), there's no reason not to just put out the hidden job ad.

  • As far as I understand it, it's not just that they need for no American citizen to take the job. They need for no American citizen to apply for it.

  • Well that's precisely what they say on the visa sponsorship "we can't find the talent", no you can't find the talent at that price.

This assumes that the number of jobs in the US is magically fixed.

The thing is that all these mega-corporations have offices across the world, but currently want to hire in the US. You and I want our personal jobs to be expensive, but we don't want the prospect of hiring us where we live to be too expensive. And even aside from cost, you also don't want them to say "there's not enough employees there, it's not worth hiring."[0]

[0] I'm technically no longer living in the US, but I was until recently.