Bengaluru: Contrary to popular belief that H-1B Employees American think tank Cato Institute has found that the median wage for H‑1B workers in 2021 was around $108,000 – more than the 90th percentile and more than double the median wage for all US workers. Baer, research fellow at the Cato Institute, wrote on the US think tank’s blog, “H‑1B workers are not low-paid or “cheap” workers in any honest assessment of the meaning of those words.”
Being in the 90th percentile of all wages means these workers have wages in the top 10% of American wage earners.
The report used data from the Department of Homeland Security (DHS) for its analysis.
Data from the Bureau of Labor Statistics showed that the median wage for all US workers in 2021 was $45,760, and the 90th percentile for all US wages was $102,810. “H1B workers make up the majority of all but about 8% of American workers,” Beers wrote.
Indian IT companies have been the largest recipients of H-1B visas, and have come under intense scrutiny by lawmakers for several years for allegedly snatching jobs from US lawmakers. The H-1B visa system exists due to a persistent shortage of skilled IT talent, especially in the US. The H-1B limit is 85,000 per annum.
Cato said that from 2003 to 2021, nominal median H‑1B wages increased by 52%, while the nominal average for all US workers grew only 39%. “If H‑1B employers could pay whatever they wanted – as opponents claim – these would not be increasing,” it said.
Bir said that while reforming the green card process, Congress should not overlook the massive economic benefits from the H‑1B program — the initial on-ramp for the vast majority of skilled green card applicants. “The latest wage data only confirms the urgency of raising the H‑1B cap and easing the hiring of foreign workers,” he said.
For the 2022 fiscal year, USCIS received 308,613 H-1B registrations for the 85,000 visas available.
Being in the 90th percentile of all wages means these workers have wages in the top 10% of American wage earners.
The report used data from the Department of Homeland Security (DHS) for its analysis.
Data from the Bureau of Labor Statistics showed that the median wage for all US workers in 2021 was $45,760, and the 90th percentile for all US wages was $102,810. “H1B workers make up the majority of all but about 8% of American workers,” Beers wrote.
Indian IT companies have been the largest recipients of H-1B visas, and have come under intense scrutiny by lawmakers for several years for allegedly snatching jobs from US lawmakers. The H-1B visa system exists due to a persistent shortage of skilled IT talent, especially in the US. The H-1B limit is 85,000 per annum.
Cato said that from 2003 to 2021, nominal median H‑1B wages increased by 52%, while the nominal average for all US workers grew only 39%. “If H‑1B employers could pay whatever they wanted – as opponents claim – these would not be increasing,” it said.
Bir said that while reforming the green card process, Congress should not overlook the massive economic benefits from the H‑1B program — the initial on-ramp for the vast majority of skilled green card applicants. “The latest wage data only confirms the urgency of raising the H‑1B cap and easing the hiring of foreign workers,” he said.
For the 2022 fiscal year, USCIS received 308,613 H-1B registrations for the 85,000 visas available.