The title does not match the headline on the website. The headline should better reflect the headline: "H-1B visa-reliant Cisco ‘secured visas for foreign workers instead of hiring U.S. citizens’: report"
Otherwise, it seems obvious that US citizens would not need visas.
That's a good point. Make the process hard enough and they will do just that. Now, not only you have (potentially) lost a US position, but now the workers are not even there to pay taxes and consume local goods and services.
I've always found working with your team in one location is far easier than when it is split across time zones (or even physical locations in the same time zone). That said, Amazon does hire overseas, a lot: https://www.amazon.jobs/locations/?&continent=all&cache.
Securing visas for (and hiring) foreign workers instead of citizens, in itself, is not criminal or wrong -- and absolutely the thing to do when the foreign employees bring skills not available locally.
The problem is when this process is used to save on salaries, favoring foreigners over locals on the basis of being able to pay foreigners less only. The article alleges (without evidence!†) that this is what happened.
Better headline: Cisco pays visa-holding employees less.
This proposed headline, IMO, is more likely to evoke the rational response (Cisco must pay its visa-holding employees a higher salary), rather than the irrational one (dey turk ur jerbs). Perhaps that's why it was not used.
† An average salary of $130K cited in the article matches the average salary of a good software engineer in the area. More needs to be said for the statement against Cisco to have any merit, in my opinion.
How is not wanting competition from aliens in the labor market irrational for native workers? Restricting the labor supply in the market always and everywhere improves labor’s share of societal wealth.
>How is not wanting competition from aliens in the labor market irrational for native workers?
Extreme example: Elon Musk was not born in the US. He was an immigrant. Even ignoring the whole nation-of-immigrants ideology, surely you agree that the country and its workers may benefit from immigration?
The title makes it seem like hiring any foreign workers is bad a-priori.
Committing securities violations on Twitter is a job that Americans just won’t do. Tweets are rotting on the internets!
Seriously though, Elon Musk has undoubtedly benefitted from immigrating to the United States, as most immigrants do. Presumably the native born employees of Tesla and his other ventures have directly benefitted as well. Of course it’s impossible to show one way or the other that a native born entrepreneur wouldn’t have filled the same niche.
Also nobody likes to talk about the massive deleterious effects on the immigrants home countries of having their best and brightest leave.
To answer your direct question I absolutely agree that Americans can benefit from some level of immigration. I don’t believe Americans benefit from a level of migration that makes them a political minority in their own homeland though. Although I admit to anticipating schadenfreude when the foreign majority votes themselves the baby boomer’s assets around 2040.
Well it's current legislative policy. The posterity of the founders, which is to say the American people, will be a minority in 2045 according to the US census[1]. In fact they actually already are, since the largest "white" ethnic group in the USA is actually Germans. Germans however showed a strong inclination to assimilate, whereas the most recent migrants prefer to keep their language, culture, religion, and political views.
Do you really fear that native born citizens are being overwhelmed by immigration ? I believe US admits 0.3% of the population as immigrants every year. A fraction of that is employment based. Your fear seems to be a little bit irrational and nativist.
> I don’t believe Americans benefit from a level of migration that makes them a political minority in their own homeland though.
“Americans” can't be made a political minority through immigration, because naturalized immigrants and, a fortiori, their descendants are Americans (and are as much Americans as descendants of 18th C and earlier British and other European migrants.)
White Americans might become a political minority, but I don't see any reason anyone but racists would think that, in and of itself, is a bad (or good, for a different stripe of racist) thing.
> Although I admit to anticipating schadenfreude when the foreign majority votes themselves the baby boomer’s assets around 2040.
I'm not sure what you mean by “foreign majority”, but whatever you mean by it:
(1) it obviously includes a significant share of the Baby Boomers, and
(2) in 2040, there will be precious few Baby Boomers for any group to appropriate assets from, and
(3) I don't see any non-paranoid reason to believe this would happen, no matter what group you identify as the “foreign majority”.
> favoring foreigners over locals on the basis of being able to pay foreigners less only
Hypothetically, if you were a Machiavellian hiring manager:
You would also prefer a foreigner on a visa because they would have less freedom to leave the company than an equally paid employee who wasn't worried that quitting a job would risk being forced out of the country.
Also this would make the foreigner more worried about the consequences of being terminated for unsatisfactory performance.
Quite unfortunately, your Machiavellian hiring manager is simply the hiring manager, from what I heard about companies like Infosys.
It's hard to imagine this not being abused. Even in academia, where the H1B - green card process is pretty much a railroad. I've seen a department drag out the green card process over the span of years - out of fears that the professor in question might just jump ship and ditch the rat nest as soon as they get the green card (that was my best understanding of the situation).
Good point, and too nuanced for the article, alas.
His words after joining Intel: "That was the first time I found out all these managers in US blatantly use h1b situation to make people work more than others".
> Even in academia, where the H1B - green card process is pretty much a railroad.
Academic H1Bs are not transferable to commercial employers, so you're even more trapped than you'd otherwise be. The department I worked for at Stanford had a blanket policy not to sponsor green cards for staff. Ironically this policy made me leave earlier than I would have otherwise as I did not want to be left in limbo as I approached the 5 year H1B limit.
You are right but this sort of news reporting is usually cover fire for the current administration and arbitrary functioning of USCICS. Even paying less is not a problem for visa holders as long as it is higher than the wage floors set by Labour department. I believe for H1b it is like 80K or so.
All companies I know pay less to visa holders for following reasons and even lesser if you are Indian or Chinese national.
- They have to spend resources worth $10K for visa transfer. It is higher for visa petition.
- they have to spend addtional $3k per year for renewals.
- Processing an EB2/EB3 petition costs around $30k for the company in resources.
I think it is unfair to even expect that Cisco must match penny to penny the salary.
$30k sounds significantly higher than my experience, do you have any background on that? Even for a small company, we paid $5-10k to process applications and sponsor a green card IIRC.
Cisco would also have the scale to significantly cut attorney costs.
What software skills are "not available locally" in Silicon Valley that need to be imported from places like India? No, these are available locally, just not at the rate Cisco wanted to pay.
I've worked at many tech cos and this is very common. Companies will post jobs and even sometimes send email blasts to "help find us an Android developer!" but it's all for show in case they get audited -- they have to prove they 'tried' to hire locally before importing labor.
EDIT: Just saw your comment about $130k being a 'good salary.' HA! Not in Bay Area, not for a senior hire. That's a good salary for an engineer that's a few years out of college. Hardly competitive for anything beyond that.
>HA! Not in Bay Area, not for a senior hire. That's a good salary for an engineer that's a few years out of college. Hardly competitive for anything beyond that.
I agree; but 1)it's an average figure, and 2)we don't know how many visa-holding employees are senior; perhaps many of them are a few years out of college.
As I said, we would need more data to argue either way -- unless you say that people a few years out of college may never possess unique skills. In which case I disagree; I've known US citizens with a PhD get this much.
>What software skills are "not available locally" in Silicon Valley that need to be imported from places like India?
I should also add that many (if not the majority) of the people who get a PhD in the US are not US citizens and need a visa.
> Securing visas for (and hiring) foreign workers instead of citizens, in itself, is not criminal or wrong -- and absolutely the thing to do when the foreign employees bring skills not available locally.
"The intent of the H-1B provisions is to help employers who cannot otherwise obtain needed business skills and abilities from the U.S. workforce by authorizing the temporary employment of qualified individuals who are not otherwise authorized to work in the United States."
Allowing the exploitation of foreign workers like that is bad for your country too. I'm Canadian, but some of our big companies use a similar strategy. Imagine being the foreign worker. You know you're being taken advantage of, many locals dislike you, the benefit is temporary, and it's endorsed by the government. It's a smart deal in terms of personal gain, but you're not stupid so you know you're being taken advantage of. That kind of treatment sows resentment and that's not good for the way people perceive your country.
Consider an alternative where companies hire foreigners for their superior skills. Those people will be respected because of their talent. People value being respected and, combined with an option to immigrate (if they want it), it's possible to build good will around the world. Instead of people teaching their children "America took advantage of me, but I benefited enough to make it worth it for our family", it can be be "America gave me a great opportunity."
People know when they're being cheated and if kids grow up watching their parents get cheated by a form of government endorsed exploitation they'll respect your country less and be more susceptible to propaganda and radicalization. IMO, exploiting foreign workers is bad foreign policy and has a negative effect on the long term reputation of a country.
Shame on all the companies that do this. It's bad for the foreigners, it's bad for the locals, and, worst of all, it's bad for future generations that grow up resenting each other based on nationality.
Every time you see an article like this, make sure people understand that foreigners aren't taking our jobs. We're all being mistreated and exploited by the same greedy companies.
>Every time you see an article like this, make sure people understand that foreigners aren't taking our jobs. We're all being mistreated and exploited by the same greedy companies.
That's exactly what I was trying to do with the comment. I agree with what you wrote fully.
The saddest part is that they largely suck. Various degrees of suck but it’s mind blowing what people some firms are willing to inflict on their clients and who some companies are willing to employ. People that are a net-drain on the company with no end in sight, You can’t help feeling bad for the situation they’re in. Totally lost and no one signed on to mentor someone who’s greener than a fresh intern but ostensibly was supposed to “hit the ground running”.
The other part of this insanity that I have much less sympathy for is cheating. When I heard about Amazon’s remote interview process that involved taking over your computer and requiring specific camera angles I thought it was outrageous however I started to see why they did that after a few interviews where the person that showed up wasn’t the person we interviewed. They were of course the same people but upon arrival they had a completely different mind and (much less) knowledge. It was eerie. The only theory I can come up is that they had others listening in and either typing or speaking answers to them. While I don’t approve of that the reality is that exploitive companies put up with it, something they’d never do with market rate employees.
There are some that know their shit but in my experience the ones that do don’t usually take a lower salary because they don’t need to. They’re not really part of this terrible equation.
Isn't it changing in Canada now. Express entry is reeling in talents from US and around the world with its merit based system. LMIA based Temporary skilled foreign worker visa applications are going downhill. The exception there is Quebec which has no clear immigration policy based on skills and companies in Québec are struggling to run business there because of Québec's lack of clear immigration.
As someone who immigrated to Canada from an H1B, I feel the difference in treatment and perception. I can demand fair salary, take promotions, even take vacations without fear. I respect Canada in giving me the opportunity.
Had a friend born in India stuck in US green card queue for almost 12 years now. Out of patience, they applied for Express entry in Canada and got a residency in 6 months.
Their sentiment is “Canada is a great country, excellent healthcare, however housing is unaffordable (Vancouver outskirts) and it still makes sense to drive down to Seattle and work in US, tech salaries are so much better here in US”
This sniffling condescension toward those in our society who have and continue to lose out to corporate interests who have sold out the American worker is vile. When employment and income prospects of citizens are reduced and dimmed at all levels, be it farm workers or IT gods, because corporations are importing foreigners to replace them (whether directly or indirectly) and the government is either complicit in or utterly passive toward the situation, it is entirely reasonable to be angry and feel betrayed. Early labor organizers would have long ago (hell, as recently as the mid-90s) risen up in arms over this. That organized labor utters not a peep tells us very clearly that such movements are dead.
The sniffling condescension is towards the sentiment, not the people or the general idea of protecting the job market.
Unionizing and making sure visa workers don't get paid less and exploited? Hell yes. Making the process of obtaining visa and immigrating here a living hell for the people that, by all logic, deserve to be and are needed here? "dey turk ur jerbs".
Also, "imported workers" should not be conflated with "people who don't hold a US green card". The latter category includes people who gave 5-7 years to this country while getting a PhD here, for example.
Its not the immigrants you should be mad at, its the corporate interests. Like this article shows, the immigrants have an advantage over citizens precisely because companies get away with paying them less.
The US government has been bought & sold to the highest bidder for a long time now, in many, many areas - repealing net neutrality, healthcare no one can afford, skyrocketing CEO salaries while companies claim raising minimum-wage would bankrupt them, the list just goes on and on. Pharmaceutical companies hide results/push bad drugs and get a slap on the wrist. Google/Apple/Facebook got caught colluding in wage-fixing to keep salaries low and got a slap on the wrist.
Prisons are run for-profit and the few companies that control how prisoners send messages/make calls to the outside charge rates like $20 for a 20-minute call. A money order to send money outside costs $11.95. The prison facilities sometimes share in the revenue made by these companies, which gives them further incentive to gouge prisoners. No doubt the prisons kickback some money to police officers who get them more arrests too.
Like at what point is the government going to fucking step in and protect the people over the companies?
As long as that keeps happening the middle-class will continue to get f*ed. But immigrants are just a convenient scapegoat to blame, and screwing them will not really solve the problem. When you sell crucial nation-level functions to companies, set up a stock market that incentivizes revenue above all else, and the government is asleep at the wheel to correct the worst tendencies of revenue-maximizing, this is what happens.
They should have to pay more than the average salary. Assuming they have equal abilities, a local worker should be preferred over a foreign worker. That kind of social contract encourages locals to invest in education because they know they won't have to compete against a global workforce. IMO it's not a good idea to increase dependence on foreign workers and, in turn, foreign education systems.
> (Cisco must pay its visa-holding employees a higher salary)
Why? They weren't hired because they were more qualified than local candidates. The workers should be sent home. Cisco should be sued for defrauding the government. They should pay a fine that compensates all of the foreign workers and be suspended from using work visas for 5-10 years. An example needs to be made.
>and absolutely the thing to do when the foreign employees bring skills not available locally
... AT THAT PRICEPOiNT.
You are arguing that those software engineers should be available at the average price. Cisco has a net revenue of 12.8 billion and is dependent on software engineers
Allow the salaries to rise for godsake and then lets complain about “not finding good software engineers”
>Allow the salaries to rise for godsake and then lets complain about “not finding good software engineers”
That's what I'm really saying, too. Both "there aren't enough engineers" and "the foreigners are taking our jobs" sentiments will be addressed by this.
It's a well known fact that abiogenesis works if you raise salaries. Raise them enough and poof, one wild network engineer appears. All companies are able to fill their positions and there will be no shortage.
I think your argument is that the workers aren't available at any salary, and that you're communicating this sarcastically through the clearly false claim that if you raise salaries, the population of network engineers will magically increase overnight.
Right, no.
It does take a while. You can't make a network engineer right away. But putting aside "abiogenesis", it is as close to a well known fact as anything in labor markets that supply will rise in response to higher prices, and demand will fall, and that the market will eventually settle onto an equilibrium point. Certain events, like a new technical breakthrough or market shift that suddenly increases demand can lead to temporary "shortages", and it can take a while to get back to that equilibrium. In that case, it's tempting to interfere with a "short term" visa program.
But this is how short-term fixes can make the long term problem even worse. Because we suppressed the rapid wage growth that tends to happen in a "shortage" in order to get back to equilibrium (in this case through employer controlled visas bestowed on workers who aren't allowed to participate in free labor markets) we more or less made assured a chronic shortage. Now, instead of gradual wage increases that occur along with an increase in demand, we have a gap. We'd need to raise salaries considerably, and then wait a while, in order to get back to the kind of labor market you'd see in the absence of highly coercive programs (where tech employees decide who is allowed to live in the US and what jobs they're allowed to work if they want to stay here).
It's interesting, how the attempt to control labor markets often results in coercion at a human level (in this case, laws that severely curtail a large portion of the labor force's basic right to pursue a career in response to their own interests and abilities).
This is where you're wrong. You are using a straw man, but you agree that network engineers will appear. if there is a market signal that network engineers are getting higher salaries, people who train up to be network engineers. Not much more complicated than that.
Huh. I think this is a pretty good illustration of why sarcasm is often not constructive in complex and nuanced discussions.
My use of the phrase "magically increase overnight" was in direct response to a sarcastic use of "abiogenesis". So while I agree it's a straw man, it's not a straw man I was using, it was a straw man in the statement I as refuting, resulting from the kind of hyperbole you often find in sarcasm.
I do find it just a little odd you think this the statement I was making when it was in fact the statement I was refuting. But that may not have been clear, A this is a pretty good illustration of why sarcasm (not in your statement, in the one I responded to) and hyperbole often aren't useful in advancing an argument.
Sarcasm has its place, but it can also be a place where poorly considered arguments find a place to hide.
Or, you know, people who are already alive will train up as engineers in hopes of getting the higher wages. They aren't a fixed resource. They are people who choose to pursue a career based on incentives.
If the presumed implication of not denying favoritism as quoted in the article:
"Cisco, the website [Bloomberg] reported, denied the allegation about pay but didn’t address the issue of favoring foreign workers." If they declined comment on both, you could have a point --but they chose to comment on one allegation but not the other.
I would say the headline is more accurate than your revision.
Ex employee of 5 years here. It was open secret that the system was being abused.
What they would do is post a notice of intent to hire an H1B by posting the job listing in break rooms along with requirements that were clearly senior level and included a salary range for the job drastically below market average. No self respecting local would even bother applying. That's how they got away with claiming they couldn't find good local talent. They have no interest in competing in the local market.
Almost every company uses tactics like these. And for good reason. Most factors that actually matters in hiring (GPA, college you got the degree from, caliber of your prior companies and work experience, interview performance, general intellectual & problem solving skills) are all banned from consideration when explaining why you didn't hire a local. And once you water down the job-requirements to exclude all of the above, if even one "qualified" person applies to that job, you're hosed. Dysfunctional laws invite creative workarounds.
Obviously, they already do. The company is willing to pay this amount and there are enough people willing and able to work for this amount, hence the amount is correct.
>Most factors that actually matters in hiring (... college you got the degree from,
Is this a factor that actually matters? IME, which college you get your degree from is mostly a function of the class and system-manipulating skill (i.e. class) of your parents.
Ex H1B who immigrated to Canada here. American Express does the same thing too in Phoenix,Arizona. Salary is posted as a range in a low traffic break room. The range is 65K to 110K. That's a broad range. So the actual salary given is plausible.
Phoenix location is like a sweat shop because it has a lot of H1B workers, while the non H1b New York location has good facilities. This shows that even the facilities provided are different. Although I don't agree with Trump in most of his policies, I do agree on his H1B policies and OPT changes.
The fashion industry has high-turnover and does the same thing with various roles. Companies that are located outside of NYC and LA and don't want to pay competitively can't really hold on to talent, so they post classified ads in local newspapers and get an H1B.
Does Cisco have a responsability to the American public to hire American first and not when it's merely convenient, by whatever metric they decide, for them to do so?
The plain-as-day answer is, the business model of externalizing the costs of nationalism (protection, discounted infrastructure) and technological progress (disruption) only works if the net-benefit of that progress results in a measurable improvement in the standard of living for the majority of society whom have paid the externalization costs.
Otherwise, innovation quite clearly works as an asset-stripping mechanism; a mechanism of enslavement and subjugation.
The correct question to ask: Is Cisco's action, and what the majority of silicon valley is doing, foundationally counterproductive?
A Teacher does not teach the material, they teach the student; their job is to learn how students learn, format the material for them, and provide them with guidance, ultimately teaching them to teach themselves. They must change themselves to change the world around them.
Time and time again, I see clearly highly intelligent people like you, and they make the mistake of agrating people into numbers because they they have not learned stewardship over those less gifted, logic and reason has clouded their ability to see social systems of sacrifice.
And because of that, their designs fail. Over and Over. And they don't know why, or they become superstitious about it.
Hiring H1B's in large numbers, instead of having a scalable internal training program, is a fundamental sign of a failed system at play.
5 out of the 6 people who interviewed me at Amazon had foreign accents. Do Americans just not go into tech anymore? Are there not enough? Do they ask for too much money? Are they too lazy? Are they not smart enough? I don't understand it. I heard they'd been hiring like crazy - I'm a pretty good software engineer but I didn't get the job. Maybe I told them I want too much money.
No kids, no land, half of my wages go to a foreign landlord who I've never met. America.
There are not enough Young Americans anymore. That sound weird but true. Also a college grad fresh out of college can not compete with the huge supply of experienced and better Indian/Chinese/Korean engineers.
I’ve worked with multiple American and Canadian interns who were far more technically proficient and productive than senior level foreign labor.
Everyone knows that people subconsciously prefer to hire people who look like them. This affects Asians too. It’s self evident that organizations with Asian hiring managers prefer to hire their own people. I know this won’t sit well with some people here, but it’s observably true nonetheless.
The previous explanation of declining fertility rates is a real effect which should not be ignored. Since the 1970s, increases to payroll taxes and decreases to taxes on property and capital gains have increased the tax burden on younger working families relative to older families and inflated the cost of housing. This has prevented American families to afford having as many children as early in life, and caused native fertility rates to decline below the population replacement rate.
An expanding economy which is increasing in specialization requires additional workers to fill these specialized niches. If native fertility rates are declining, then immigrants are likely to fill these roles.
Maybe that’s true. Or maybe the arrow of causality runs the other way and increased labor supply and housing demand due to mass immigration of foreign labor drives down wages and drives up housing costs, thereby reducing native fertility rates.
Edit: I wonder to what extent the US current account deficit is funding west coast real estate valuations. I know Chinese cash buyers were a big part of the Vancouver price increases.
The United States is not currently experiencing mass immigration. Its total annual population growth rate including immigration is lower than 1% and has not been this low since the Great Depression. The United States is a relatively lightly populated country per unit of total land area, and many cities in the interior of the country are declining in population despite immigration.
Housing prices are inversely correlated with the property tax rate on real estate and the income tax rate on capital gains. A decline in either real estate property taxes or capital gain income taxes increases housing prices, by making land more attractive as an investment. This effect is independent of the population of the country. If it becomes more attractive to put money into land rather than in businesses which employ workers, and changes to the tax code cause an increase in land banking, then the price of land increases faster than wages and salaries used to buy it regardless of the level of population of the country.
Taxing earned income of younger families via payroll taxes at a much higher rate than unearned increment of land via property taxes and capital gains taxes is basically a very slow moving form of national suicide.
The US will be minority American in 25 years as virtually every news source will gleefully tell you. The foreign migration into the USA is massive and unprecedented in history, except for the original colonization.
What you say about housing costs is not wrong, but it’s also very incomplete. Many other factors drive housing inflation, just one example is that mortgages expand the total money supply, resulting in textbook inflation. Rent seeking behavior is definitely unfortunate for the non rentier classes though.
I’m generally inclined to agree about taxing income vs assets. However it’s just as important to not punish savers as it is to not punish labor.
American is a nationality that has roots going back centuries. They are one of the youngest ethnic groups on the planet, having just recently branched off from the English, but they have their own dialects, cuisine, music, and all the other cultural traits.
I have worked with multiple American senior engineers who are not as technically proficient and productive as junior foreign labor. What you are saying is anecdotal.
This is true for your second point, specifically pointing out that asians hire other asians. This is true for white Americans as well. So, how is that any different?
The reason is fairly simple. America has a workforce of roughly 120 million people. A fraction of those are white collar workers. A fraction of those are software engineers. A fraction of those are willing to live in coastal cities. But America has the 5 largest tech companies in the world, and significant presence of foreign companies with development centers. These companies hire millions of workers every year and would prefer to maintain most of their workers near their HQs. Thus they need a huge supply of foreign talent to complement their American workforce. After all the world has 7 billion people. If let's say visas were extremely difficult to acquire, these companies would open massive development operations where it is easier to hire global talent
American kids drop out of school at a very high rate. The percentage who make it higher education is so less, the institutions have to look at foreign kids for their income. The kids from India and China who come here for higher education stay back and try to get a job (So that they can pay off their loans)
If they get lucky, they get a H1B and stay back to earn a living.
So yes, Americans don't go to tech as much as other nationalities do. Yes, there are not enough of non asian/Indian Americans who make it to the level demanded by these jobs. Lazy, yes, usually the immigrants are more driven than the resident population.
Also, if foreign accents bother you, maybe they caught on the fact that you weren't a cultural fit for that team. Or maybe you are not a pretty good software engineer. Maybe both.
I had an interview at Amazon in Berlin and there were no Germans among interviewers. Half of receptionists were non-German origin. This is how it is in a developed world.
I think this statement is false by nature. If one have secured visa, assuming following law, is something like saying that Cisco have engineers on H1b. Taha, whole world knows that, it's in public domain. This is like saying Google or some other firm is using H1B employee.
The usual critique is that these visa programs were designed to allow companies to hire a person from another country in cases where no US citizen was available (usually because of some particular skill or unusual knowledge required for the job). But companies have learned how to game the system and "prove" that there are apparently zero US citizens qualified for software development jobs, which then absolutely requires importing people who will work for a far lower salary and be tied to that specific job as a condition of being allowed in the US.
My feeling is that these jobs should be given to US college grads first. Let them grow into the roles. Why are we letting foreigners get hired into these roles instead? Let the college grad learn on the job, instead of the external candidate.
I have noticed that they pay less for h1b workers, and this is not only at Cisco, basically everywhere I have worked.
I’ve also seen the companies write job descriptions that only fit the h1b worker so they can help them get a green card. It’s sad.
Finally, I believe that companies have too much power over a h1b worker. If they fire them, they only have a month to find a new job and then they have to fly home. It’s bad on all sides.
As an employer, if you had to choose between two candidates, one of whom was harder working, much more likely to stay long term, had more experience, and was cheaper, which one would you choose?
Some of those points you can’t do much about, but others are fundamentally caused by the H-1B restrictions on employees. If they were relaxed it would make the playing field a lot more even, and stop companies from abusing the program to get cheap labor.
> My feeling is that these jobs should be given to US college grads first. Let them grow into the roles. Why are we letting foreigners get hired into these roles instead?
In the case of senior roles: Because letting a college grad grow into a job that requires many years of experience, unsurprisingly, takes many years to grow in to.
As to entry-level positions I'd assume that a shortage of American candidates would be the reason. Or perhaps some employers have experienced foreign workers that seem more motivated/harder working (for instance they might have more to loose from being fired)?
> I have noticed that they pay less for h1b workers, and this is not only at Cisco, basically everywhere I have worked.
That would be a violation of H-1B requirements and seems to be why the Department of Labor is taking action against Cisco here.
> I’ve also seen the companies write job descriptions that only fit the h1b worker so they can help them get a green card.
I'm curious if you can provide an example of a job description that only fit one H-1B worker?
Also, H-1B is a non-immigrant visa, i.e. not a green card. It's a "dual intent" visa, which just means that an employer can legally file for a green card for an employee in H-1B status - it doesn't grant any immigrant benefits or a direct path to permanent residence.
> It’s sad.
If an employer is abusing the immigration system by somehow designing job descriptions for a specific person (and I'm interested in examples of that as noted above) I agree.
However, and I suspect this represents the vast majority of EB visa petitions for temporary workers, I don't find it sad if an employer sponsor a green card after someone has worked in the U.S. for many years. The H-1B visa is limited to 6 years max, after which the worker will have to leave the U.S. In most cases I'd find it quite nice if an employer makes the effort of securing a green card for an someone who has created a life for themselves in the US. It's also ususlly in the best interest of the employer, which is why they spend the time and resources to do it :)
> Finally, I believe that companies have too much power over a h1b worker. If they fire them, they only have a month to find a new job and then they have to fly home. It’s bad on all sides.
I agree fully with that sentiment, but it's unfortunately worse than you think: Technically an H-1B worker whose employment is terminated have to leave the country immediately. There's a vaguely defined policy granting some degree of lenience/grace period, but it's not a right at all.
In reality, a person in H-1B status should see every day in the US as potentially their last - at least in legal status (although very short lapses are often tolerated/accepted).
I'm curious how this is possible considering a certified Labor Condition Application is a requirement of, and must be submitted with, an H-1B petition. An employer essentially attests to various posting requirements, and that the wage (ranges) at least matches the average for the same job title and seniority in a specific area, among other things. The wages listed in the LCA have to be backed by wage data from for instance http://www.flcdatacenter.com.
Seems like the company would have to either misrepresent the job requirements/responsibilities/wage level (seniority).. Or perhaps they'd fake a survey of local wages rather than using the "official" statistics?
Otherwise I don't think the Department of Labor would/should certify an LCA with a wage way below market for the position. If they do, though, perhaps that's where the issue can and should be fixed?
In practice this also means that employers need to file an amended H-1B petition with a newly certified LCA when an H-1B employee moves to a new area code. For instance, if you move a H-1B software engineer from Denver to San Francisco you'll likely have to pay the employee more.
The article does point out that the issue was discovered by the Labor Department (rather than for instance the USCIS, who's responsible for processing the H-1B petition itself), so perhaps that indicates a failure to comply with LCA requirements?
Yes that seems to be pretty close to the mean wage in San Jose for a likely "Software Engineer" job code: http://www.flcdatacenter.com/OesQuickResults.aspx?area=41940...
Cisco's (posted) wages span the different levels of that job description pretty well as far as I can tell.
However it's probably important to note that LCA data (e.g. the data on h1bdata.info) doesn't actually say anything about how much Cisco's paying. Those are just the wages Cisco has submitted in LCAs, but I don't think there's any way to verify that an LCA is connected to and used for an approved H-1B petition and actual employment of a foreign worker.
> Because Cisco is "underpaying" H1 workers is a myth that a lot of HN posters like to believe
Not sure about HN reader bias (*see edit below), but in this case the Labor Department clearly found some wrongdoing on Cisco's part. Would be interesting to know what that is? Perhaps Cisco is filing all these LCAs to signal that's they're employing workers in all wage levels, but only use the certified LCAs with the lower wages when submitting H-1B petitions?
Edit: OK, I'll admit that I do actually know about HN bias a few years back. That was abundantly clear from the shitshow that was the HN discussion about pg's "Let the Other 95% of Great Programmers In": https://news.ycombinator.com/item?id=8799572
You could potentially argue that if Cisco and others didn't hire H1 workers, maybe the median wage in San Jose would be $200k. But that sounds like a little bit of a stretch. I also think about roles like HR and Marketing that do not have much competition from immigrants, but are still very low paying. I bet the median wage of HR role in San Jose will be much lower
> You could potentially argue that if Cisco and others didn't hire H1 workers, maybe the median wage in San Jose would be $200k. But that sounds like a little bit of a stretch.
I agree that would be a stretch especially because the yearly H-1B visa cap is 65,000 across all industries.
In any case, even if wages would be a bit higher without foreign labor, Cisco would probably only be responsible for paying at least the market wage for a position at the time the H-1B petition was filed.
> I also think about roles like HR and Marketing that do not have much competition from immigrants
Just a small nit (because I'm reminded of this every time I enter the US): H-1B is a non-immigrant visa type for temporary workers ;)
Many companies do this. I used to work at Apple, where they exploited the hell out of H1-B workers "instead of hiring US citizens". This happens in Sunnyvale, Cupertino, Santa Clara, and San Francisco (and probably many other parts of the country). Much of this takes place in their IT org: "IS&T" as well as the org that contains iTunes: "Apple Media Products" aka "AMP". They prefer to have foreign workers who can be removed and replaced on a whim. It helps create an environment where people are constantly doing "extra" work to show that they should be converted from contractor to employee (which is many contractors dream, bc if they become and H1-B directly at Apple, they'll be free from the tax that the consulting agencies take from their salary, and it also provides mobility if they aren't as beholden to the consulting agency). It also helps keep salaries low.
The IS&T org alone is above 10,000 employees, and there are more contractors than employees by roughly 2.5:1. I would estimate the number of H1B workers in the IS&T org alone would be greater than the total number of H1B workers at Cisco.
Apple uses shell contracting agencies, like Tata, Wipro, Infosys, Accenture, etc, so that they don't have to report the number of H1-B's that they have.
Also, many of these engineers skill level is an insult to the engineering industry. If you couple that with severe communication/ESL problems, it's a wonder why any American engineer would work for Apple in these orgs. It's not that there isn't local talent available. It's that the companies are just too cheap. Nobody working there speaks up to hold them accountable, because they believe they're just lucky to have a job at Apple in the first place.
1. The Intentionally Bad: A symptom of Ultra-capitalism, working towards short term financial gains to make the next quarter look good for shareholders.
2. The Situationally Bad: Employee salaries at current levels are unsustainable and there isn't the interest from locals to work for lower, more sustainable rates.
3. An Actual Skills Shortage: Can't find suitable people locally, gotta look at the international market.
Secondary Point, a gross paraphrasing:
First they came for manufacturing, and I didn't speak up because I was a software engineer. Then they came for the software engineers...
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[ 976 ms ] story [ 1024 ms ] threadOtherwise, it seems obvious that US citizens would not need visas.
Submitted title was "H-1B visa-reliant Cisco secured visas for foreign workers instead of US citizens"
https://www.mercurynews.com/2018/08/13/h-1b-use-skyrocketed-...
Meanwhile there are a bunch of northeast restaurants and crab houses who can't get H-2B seasonal workers at all, and very much need them - they're not getting Americans to do that work. http://www.wboc.com/story/38923157/empty-crab-houses-look-to...
Seems like a disproportionate increase on the one hand, and disproportionate decrease on the other hand.
The problem is when this process is used to save on salaries, favoring foreigners over locals on the basis of being able to pay foreigners less only. The article alleges (without evidence!†) that this is what happened.
Better headline: Cisco pays visa-holding employees less.
This proposed headline, IMO, is more likely to evoke the rational response (Cisco must pay its visa-holding employees a higher salary), rather than the irrational one (dey turk ur jerbs). Perhaps that's why it was not used.
† An average salary of $130K cited in the article matches the average salary of a good software engineer in the area. More needs to be said for the statement against Cisco to have any merit, in my opinion.
Extreme example: Elon Musk was not born in the US. He was an immigrant. Even ignoring the whole nation-of-immigrants ideology, surely you agree that the country and its workers may benefit from immigration?
The title makes it seem like hiring any foreign workers is bad a-priori.
Seriously though, Elon Musk has undoubtedly benefitted from immigrating to the United States, as most immigrants do. Presumably the native born employees of Tesla and his other ventures have directly benefitted as well. Of course it’s impossible to show one way or the other that a native born entrepreneur wouldn’t have filled the same niche.
Also nobody likes to talk about the massive deleterious effects on the immigrants home countries of having their best and brightest leave.
To answer your direct question I absolutely agree that Americans can benefit from some level of immigration. I don’t believe Americans benefit from a level of migration that makes them a political minority in their own homeland though. Although I admit to anticipating schadenfreude when the foreign majority votes themselves the baby boomer’s assets around 2040.
Non sequitur. Is anyone even arguing that this should be the case?
[1]https://www.brookings.edu/blog/the-avenue/2018/03/14/the-us-...
https://news.ycombinator.com/newsguidelines.html
“Americans” can't be made a political minority through immigration, because naturalized immigrants and, a fortiori, their descendants are Americans (and are as much Americans as descendants of 18th C and earlier British and other European migrants.)
White Americans might become a political minority, but I don't see any reason anyone but racists would think that, in and of itself, is a bad (or good, for a different stripe of racist) thing.
> Although I admit to anticipating schadenfreude when the foreign majority votes themselves the baby boomer’s assets around 2040.
I'm not sure what you mean by “foreign majority”, but whatever you mean by it:
(1) it obviously includes a significant share of the Baby Boomers, and
(2) in 2040, there will be precious few Baby Boomers for any group to appropriate assets from, and
(3) I don't see any non-paranoid reason to believe this would happen, no matter what group you identify as the “foreign majority”.
Hypothetically, if you were a Machiavellian hiring manager:
You would also prefer a foreigner on a visa because they would have less freedom to leave the company than an equally paid employee who wasn't worried that quitting a job would risk being forced out of the country.
Also this would make the foreigner more worried about the consequences of being terminated for unsatisfactory performance.
It's hard to imagine this not being abused. Even in academia, where the H1B - green card process is pretty much a railroad. I've seen a department drag out the green card process over the span of years - out of fears that the professor in question might just jump ship and ditch the rat nest as soon as they get the green card (that was my best understanding of the situation).
Good point, and too nuanced for the article, alas.
His words after joining Intel: "That was the first time I found out all these managers in US blatantly use h1b situation to make people work more than others".
Academic H1Bs are not transferable to commercial employers, so you're even more trapped than you'd otherwise be. The department I worked for at Stanford had a blanket policy not to sponsor green cards for staff. Ironically this policy made me leave earlier than I would have otherwise as I did not want to be left in limbo as I approached the 5 year H1B limit.
All companies I know pay less to visa holders for following reasons and even lesser if you are Indian or Chinese national.
- They have to spend resources worth $10K for visa transfer. It is higher for visa petition. - they have to spend addtional $3k per year for renewals. - Processing an EB2/EB3 petition costs around $30k for the company in resources.
I think it is unfair to even expect that Cisco must match penny to penny the salary.
Cisco would also have the scale to significantly cut attorney costs.
I've worked at many tech cos and this is very common. Companies will post jobs and even sometimes send email blasts to "help find us an Android developer!" but it's all for show in case they get audited -- they have to prove they 'tried' to hire locally before importing labor.
EDIT: Just saw your comment about $130k being a 'good salary.' HA! Not in Bay Area, not for a senior hire. That's a good salary for an engineer that's a few years out of college. Hardly competitive for anything beyond that.
I agree; but 1)it's an average figure, and 2)we don't know how many visa-holding employees are senior; perhaps many of them are a few years out of college.
As I said, we would need more data to argue either way -- unless you say that people a few years out of college may never possess unique skills. In which case I disagree; I've known US citizens with a PhD get this much.
>What software skills are "not available locally" in Silicon Valley that need to be imported from places like India?
I should also add that many (if not the majority) of the people who get a PhD in the US are not US citizens and need a visa.
It is criminal if you use and H1B and claim the talent is not available in the US. http://www.dol.gov/whd/immigration/h1b.htm
"The intent of the H-1B provisions is to help employers who cannot otherwise obtain needed business skills and abilities from the U.S. workforce by authorizing the temporary employment of qualified individuals who are not otherwise authorized to work in the United States."
Consider an alternative where companies hire foreigners for their superior skills. Those people will be respected because of their talent. People value being respected and, combined with an option to immigrate (if they want it), it's possible to build good will around the world. Instead of people teaching their children "America took advantage of me, but I benefited enough to make it worth it for our family", it can be be "America gave me a great opportunity."
People know when they're being cheated and if kids grow up watching their parents get cheated by a form of government endorsed exploitation they'll respect your country less and be more susceptible to propaganda and radicalization. IMO, exploiting foreign workers is bad foreign policy and has a negative effect on the long term reputation of a country.
Shame on all the companies that do this. It's bad for the foreigners, it's bad for the locals, and, worst of all, it's bad for future generations that grow up resenting each other based on nationality.
Every time you see an article like this, make sure people understand that foreigners aren't taking our jobs. We're all being mistreated and exploited by the same greedy companies.
That's exactly what I was trying to do with the comment. I agree with what you wrote fully.
The other part of this insanity that I have much less sympathy for is cheating. When I heard about Amazon’s remote interview process that involved taking over your computer and requiring specific camera angles I thought it was outrageous however I started to see why they did that after a few interviews where the person that showed up wasn’t the person we interviewed. They were of course the same people but upon arrival they had a completely different mind and (much less) knowledge. It was eerie. The only theory I can come up is that they had others listening in and either typing or speaking answers to them. While I don’t approve of that the reality is that exploitive companies put up with it, something they’d never do with market rate employees.
There are some that know their shit but in my experience the ones that do don’t usually take a lower salary because they don’t need to. They’re not really part of this terrible equation.
As someone who immigrated to Canada from an H1B, I feel the difference in treatment and perception. I can demand fair salary, take promotions, even take vacations without fear. I respect Canada in giving me the opportunity.
Their sentiment is “Canada is a great country, excellent healthcare, however housing is unaffordable (Vancouver outskirts) and it still makes sense to drive down to Seattle and work in US, tech salaries are so much better here in US”
This sniffling condescension toward those in our society who have and continue to lose out to corporate interests who have sold out the American worker is vile. When employment and income prospects of citizens are reduced and dimmed at all levels, be it farm workers or IT gods, because corporations are importing foreigners to replace them (whether directly or indirectly) and the government is either complicit in or utterly passive toward the situation, it is entirely reasonable to be angry and feel betrayed. Early labor organizers would have long ago (hell, as recently as the mid-90s) risen up in arms over this. That organized labor utters not a peep tells us very clearly that such movements are dead.
Unionizing and making sure visa workers don't get paid less and exploited? Hell yes. Making the process of obtaining visa and immigrating here a living hell for the people that, by all logic, deserve to be and are needed here? "dey turk ur jerbs".
Also, "imported workers" should not be conflated with "people who don't hold a US green card". The latter category includes people who gave 5-7 years to this country while getting a PhD here, for example.
https://news.ycombinator.com/newsguidelines.html
The US government has been bought & sold to the highest bidder for a long time now, in many, many areas - repealing net neutrality, healthcare no one can afford, skyrocketing CEO salaries while companies claim raising minimum-wage would bankrupt them, the list just goes on and on. Pharmaceutical companies hide results/push bad drugs and get a slap on the wrist. Google/Apple/Facebook got caught colluding in wage-fixing to keep salaries low and got a slap on the wrist.
Prisons are run for-profit and the few companies that control how prisoners send messages/make calls to the outside charge rates like $20 for a 20-minute call. A money order to send money outside costs $11.95. The prison facilities sometimes share in the revenue made by these companies, which gives them further incentive to gouge prisoners. No doubt the prisons kickback some money to police officers who get them more arrests too.
Like at what point is the government going to fucking step in and protect the people over the companies?
As long as that keeps happening the middle-class will continue to get f*ed. But immigrants are just a convenient scapegoat to blame, and screwing them will not really solve the problem. When you sell crucial nation-level functions to companies, set up a stock market that incentivizes revenue above all else, and the government is asleep at the wheel to correct the worst tendencies of revenue-maximizing, this is what happens.
Why? They weren't hired because they were more qualified than local candidates. The workers should be sent home. Cisco should be sued for defrauding the government. They should pay a fine that compensates all of the foreign workers and be suspended from using work visas for 5-10 years. An example needs to be made.
... AT THAT PRICEPOiNT.
You are arguing that those software engineers should be available at the average price. Cisco has a net revenue of 12.8 billion and is dependent on software engineers
Allow the salaries to rise for godsake and then lets complain about “not finding good software engineers”
That's what I'm really saying, too. Both "there aren't enough engineers" and "the foreigners are taking our jobs" sentiments will be addressed by this.
Right, no.
It does take a while. You can't make a network engineer right away. But putting aside "abiogenesis", it is as close to a well known fact as anything in labor markets that supply will rise in response to higher prices, and demand will fall, and that the market will eventually settle onto an equilibrium point. Certain events, like a new technical breakthrough or market shift that suddenly increases demand can lead to temporary "shortages", and it can take a while to get back to that equilibrium. In that case, it's tempting to interfere with a "short term" visa program.
But this is how short-term fixes can make the long term problem even worse. Because we suppressed the rapid wage growth that tends to happen in a "shortage" in order to get back to equilibrium (in this case through employer controlled visas bestowed on workers who aren't allowed to participate in free labor markets) we more or less made assured a chronic shortage. Now, instead of gradual wage increases that occur along with an increase in demand, we have a gap. We'd need to raise salaries considerably, and then wait a while, in order to get back to the kind of labor market you'd see in the absence of highly coercive programs (where tech employees decide who is allowed to live in the US and what jobs they're allowed to work if they want to stay here).
It's interesting, how the attempt to control labor markets often results in coercion at a human level (in this case, laws that severely curtail a large portion of the labor force's basic right to pursue a career in response to their own interests and abilities).
This is where you're wrong. You are using a straw man, but you agree that network engineers will appear. if there is a market signal that network engineers are getting higher salaries, people who train up to be network engineers. Not much more complicated than that.
Huh. I think this is a pretty good illustration of why sarcasm is often not constructive in complex and nuanced discussions.
My use of the phrase "magically increase overnight" was in direct response to a sarcastic use of "abiogenesis". So while I agree it's a straw man, it's not a straw man I was using, it was a straw man in the statement I as refuting, resulting from the kind of hyperbole you often find in sarcasm.
I do find it just a little odd you think this the statement I was making when it was in fact the statement I was refuting. But that may not have been clear, A this is a pretty good illustration of why sarcasm (not in your statement, in the one I responded to) and hyperbole often aren't useful in advancing an argument.
Sarcasm has its place, but it can also be a place where poorly considered arguments find a place to hide.
I would say the headline is more accurate than your revision.
What they would do is post a notice of intent to hire an H1B by posting the job listing in break rooms along with requirements that were clearly senior level and included a salary range for the job drastically below market average. No self respecting local would even bother applying. That's how they got away with claiming they couldn't find good local talent. They have no interest in competing in the local market.
Is this a factor that actually matters? IME, which college you get your degree from is mostly a function of the class and system-manipulating skill (i.e. class) of your parents.
Phoenix location is like a sweat shop because it has a lot of H1B workers, while the non H1b New York location has good facilities. This shows that even the facilities provided are different. Although I don't agree with Trump in most of his policies, I do agree on his H1B policies and OPT changes.
The plain-as-day answer is, the business model of externalizing the costs of nationalism (protection, discounted infrastructure) and technological progress (disruption) only works if the net-benefit of that progress results in a measurable improvement in the standard of living for the majority of society whom have paid the externalization costs.
Otherwise, innovation quite clearly works as an asset-stripping mechanism; a mechanism of enslavement and subjugation.
The correct question to ask: Is Cisco's action, and what the majority of silicon valley is doing, foundationally counterproductive?
A Teacher does not teach the material, they teach the student; their job is to learn how students learn, format the material for them, and provide them with guidance, ultimately teaching them to teach themselves. They must change themselves to change the world around them.
Time and time again, I see clearly highly intelligent people like you, and they make the mistake of agrating people into numbers because they they have not learned stewardship over those less gifted, logic and reason has clouded their ability to see social systems of sacrifice.
And because of that, their designs fail. Over and Over. And they don't know why, or they become superstitious about it.
Hiring H1B's in large numbers, instead of having a scalable internal training program, is a fundamental sign of a failed system at play.
No kids, no land, half of my wages go to a foreign landlord who I've never met. America.
Everyone knows that people subconsciously prefer to hire people who look like them. This affects Asians too. It’s self evident that organizations with Asian hiring managers prefer to hire their own people. I know this won’t sit well with some people here, but it’s observably true nonetheless.
An expanding economy which is increasing in specialization requires additional workers to fill these specialized niches. If native fertility rates are declining, then immigrants are likely to fill these roles.
Edit: I wonder to what extent the US current account deficit is funding west coast real estate valuations. I know Chinese cash buyers were a big part of the Vancouver price increases.
Housing prices are inversely correlated with the property tax rate on real estate and the income tax rate on capital gains. A decline in either real estate property taxes or capital gain income taxes increases housing prices, by making land more attractive as an investment. This effect is independent of the population of the country. If it becomes more attractive to put money into land rather than in businesses which employ workers, and changes to the tax code cause an increase in land banking, then the price of land increases faster than wages and salaries used to buy it regardless of the level of population of the country.
Taxing earned income of younger families via payroll taxes at a much higher rate than unearned increment of land via property taxes and capital gains taxes is basically a very slow moving form of national suicide.
What you say about housing costs is not wrong, but it’s also very incomplete. Many other factors drive housing inflation, just one example is that mortgages expand the total money supply, resulting in textbook inflation. Rent seeking behavior is definitely unfortunate for the non rentier classes though.
I’m generally inclined to agree about taxing income vs assets. However it’s just as important to not punish savers as it is to not punish labor.
This is true for your second point, specifically pointing out that asians hire other asians. This is true for white Americans as well. So, how is that any different?
Yes, my skills are diluted when competing against billions of people, rather than millions.
Flow of immigrants is critical to ensure USA maintains its edge in tech.
https://news.ycombinator.com/item?id=17804755
I have noticed that they pay less for h1b workers, and this is not only at Cisco, basically everywhere I have worked.
I’ve also seen the companies write job descriptions that only fit the h1b worker so they can help them get a green card. It’s sad.
Finally, I believe that companies have too much power over a h1b worker. If they fire them, they only have a month to find a new job and then they have to fly home. It’s bad on all sides.
Some of those points you can’t do much about, but others are fundamentally caused by the H-1B restrictions on employees. If they were relaxed it would make the playing field a lot more even, and stop companies from abusing the program to get cheap labor.
In the case of senior roles: Because letting a college grad grow into a job that requires many years of experience, unsurprisingly, takes many years to grow in to.
As to entry-level positions I'd assume that a shortage of American candidates would be the reason. Or perhaps some employers have experienced foreign workers that seem more motivated/harder working (for instance they might have more to loose from being fired)?
> I have noticed that they pay less for h1b workers, and this is not only at Cisco, basically everywhere I have worked.
That would be a violation of H-1B requirements and seems to be why the Department of Labor is taking action against Cisco here.
> I’ve also seen the companies write job descriptions that only fit the h1b worker so they can help them get a green card.
I'm curious if you can provide an example of a job description that only fit one H-1B worker?
Also, H-1B is a non-immigrant visa, i.e. not a green card. It's a "dual intent" visa, which just means that an employer can legally file for a green card for an employee in H-1B status - it doesn't grant any immigrant benefits or a direct path to permanent residence.
> It’s sad.
If an employer is abusing the immigration system by somehow designing job descriptions for a specific person (and I'm interested in examples of that as noted above) I agree.
However, and I suspect this represents the vast majority of EB visa petitions for temporary workers, I don't find it sad if an employer sponsor a green card after someone has worked in the U.S. for many years. The H-1B visa is limited to 6 years max, after which the worker will have to leave the U.S. In most cases I'd find it quite nice if an employer makes the effort of securing a green card for an someone who has created a life for themselves in the US. It's also ususlly in the best interest of the employer, which is why they spend the time and resources to do it :)
> Finally, I believe that companies have too much power over a h1b worker. If they fire them, they only have a month to find a new job and then they have to fly home. It’s bad on all sides.
I agree fully with that sentiment, but it's unfortunately worse than you think: Technically an H-1B worker whose employment is terminated have to leave the country immediately. There's a vaguely defined policy granting some degree of lenience/grace period, but it's not a right at all.
In reality, a person in H-1B status should see every day in the US as potentially their last - at least in legal status (although very short lapses are often tolerated/accepted).
Seems like the company would have to either misrepresent the job requirements/responsibilities/wage level (seniority).. Or perhaps they'd fake a survey of local wages rather than using the "official" statistics?
Otherwise I don't think the Department of Labor would/should certify an LCA with a wage way below market for the position. If they do, though, perhaps that's where the issue can and should be fixed?
In practice this also means that employers need to file an amended H-1B petition with a newly certified LCA when an H-1B employee moves to a new area code. For instance, if you move a H-1B software engineer from Denver to San Francisco you'll likely have to pay the employee more.
The article does point out that the issue was discovered by the Labor Department (rather than for instance the USCIS, who's responsible for processing the H-1B petition itself), so perhaps that indicates a failure to comply with LCA requirements?
https://h1bdata.info/index.php?em=Cisco+Systems+Inc&job=Soft...
Cisco median pay in San Jose is $122k. This is before bonus and RSU as DOL doesn't accept those as salary. So basically median pay is around $150K
Yes that seems to be pretty close to the mean wage in San Jose for a likely "Software Engineer" job code: http://www.flcdatacenter.com/OesQuickResults.aspx?area=41940... Cisco's (posted) wages span the different levels of that job description pretty well as far as I can tell.
However it's probably important to note that LCA data (e.g. the data on h1bdata.info) doesn't actually say anything about how much Cisco's paying. Those are just the wages Cisco has submitted in LCAs, but I don't think there's any way to verify that an LCA is connected to and used for an approved H-1B petition and actual employment of a foreign worker.
> Because Cisco is "underpaying" H1 workers is a myth that a lot of HN posters like to believe
Not sure about HN reader bias (*see edit below), but in this case the Labor Department clearly found some wrongdoing on Cisco's part. Would be interesting to know what that is? Perhaps Cisco is filing all these LCAs to signal that's they're employing workers in all wage levels, but only use the certified LCAs with the lower wages when submitting H-1B petitions?
Edit: OK, I'll admit that I do actually know about HN bias a few years back. That was abundantly clear from the shitshow that was the HN discussion about pg's "Let the Other 95% of Great Programmers In": https://news.ycombinator.com/item?id=8799572
I agree that would be a stretch especially because the yearly H-1B visa cap is 65,000 across all industries.
In any case, even if wages would be a bit higher without foreign labor, Cisco would probably only be responsible for paying at least the market wage for a position at the time the H-1B petition was filed.
> I also think about roles like HR and Marketing that do not have much competition from immigrants
Just a small nit (because I'm reminded of this every time I enter the US): H-1B is a non-immigrant visa type for temporary workers ;)
The IS&T org alone is above 10,000 employees, and there are more contractors than employees by roughly 2.5:1. I would estimate the number of H1B workers in the IS&T org alone would be greater than the total number of H1B workers at Cisco.
Apple uses shell contracting agencies, like Tata, Wipro, Infosys, Accenture, etc, so that they don't have to report the number of H1-B's that they have.
Also, many of these engineers skill level is an insult to the engineering industry. If you couple that with severe communication/ESL problems, it's a wonder why any American engineer would work for Apple in these orgs. It's not that there isn't local talent available. It's that the companies are just too cheap. Nobody working there speaks up to hold them accountable, because they believe they're just lucky to have a job at Apple in the first place.
This feels like a 'race to the bottom' strategy that will work against the company in the long term.
1. The Intentionally Bad: A symptom of Ultra-capitalism, working towards short term financial gains to make the next quarter look good for shareholders.
2. The Situationally Bad: Employee salaries at current levels are unsustainable and there isn't the interest from locals to work for lower, more sustainable rates.
3. An Actual Skills Shortage: Can't find suitable people locally, gotta look at the international market.
Secondary Point, a gross paraphrasing:
First they came for manufacturing, and I didn't speak up because I was a software engineer. Then they came for the software engineers...