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Foreign IT professionals in U.S. get paid greater than American professionals
Published 14 Might 2010
Foreign IT experts -- holders of H-1B visas -- operating inside the United states of america don't push down the spend of U.S.-born IT pros; the explanation: foreign-born pros get compensated more, not significantly less,
Office 2007 Professional Key, than their American counterparts; the damage too-low caps on H1-B professional visas result in American-born IT experts arrives through the reality that U.S. firms favor to relocate offshore exactly where they are able to hire the foreigners they need without having paying out the H-1B induced premium
Foreign IT specialists operating from the United states on H-1B visas usually do not result in a reduction in purchase Americans,
Office Enterprise 2007, in accordance with a new examine — because they actually get compensated a lot more than U.S. citizens with similar qualifications, not a lot less.
According to a survey of “over 50,000 IT professionals inside the United states,” analyzed by Sunil Mithas and Henry Lucas of the University of Maryland,
Office 2007 Pro Plus, H-1B workers “earn a salary premium” compared to Americans with similar “human capital attributes” — for example, qualifications and experience. The study covered the period 2000-5.
Lewis Page writes that the two business professors say that the cap on numbers of H-1B visas causes “supply shocks” within the U.S. IT employment market, with lower,
Office Ultimate 2007 Key, fully utilized caps pushing up the premium compensated by employers for foreign workers.
They argue for larger numbers of visas to be issued, saying that too-low caps motivate companies to relocate offshore exactly where they can employ the foreigners they want without having paying the H-1B induced premium.
The two professors contend that perceived harm to Americans’ career and earnings prospects from your numbers of foreigners allowed so far cannot be real. They say that their research “provides indirect evidence that visa and immigration policies so far have not had any adverse impact on the wages of American IT professionals due to any relatively lower compensation of foreign IT pros.”
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-Read more in Sunil Mithas and Henry C. Lucas Jr., “Are Foreign IT Workers Cheaper? U.S. Visa Policies and Compensation of Information Technology Specialists,
Office 2010 Home And Student Key,” Management Science 56, no. 5 (May possibly 2010): 745-65 (DOI: 10.1287/mnsc.1100.1149) (sub. req.)