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The article concludes that it pays H-1B employees fairly, but the data shows that the median H-1B engineer at IBM makes below the median salary for Software Engineers in the US. Clearly if IBM can't find enough US talent, it's because they aren't willing to pay the market rate.

H-1B is supposed to be for highly skilled employees. You don't pay highly skilled employees less than average.

It's more interesting to sort the source data by salary, ascending. IBM has quite a few more "developer" titles than Software Engineer and Software Developer, and many of them pay quite poorly.

The median for "Application Developer" is $77K with a low of $48.5K.

https://h1bdata.info/index.php?em=IBM&job=&city=&year=2019

I can tell you exactly where that low is, because that's what they offered my Canadian cousin in Baton Rouge with an American CS degree before he told them to pound sand and went back to Canada to get his MSCS in Alberta. He has a much better job with Warner Music in Toronto now.
I realize this is not exactly a community that is friendly to being called out, but I have to simply say that it is inherently immoral to not only pay H1-B holders the same, tax them the same, let alone not make corporations that want to hire H1-Bs to sabotage indigenous populations in order to profit more, not pay massive penalties that only increase over time for the privilege of hiring a foreign national they poach away from another society, in order to compensate for systemic and fundamental mismanagement and failure at national governance at every single level.
>tax them the same

What? They are taxed the same. In fact, they are taxed more. They pay for Social Security and Medicare even if they never get to use them. They also have to pay state unemployment insurance but they cannot claim the benefits from it. Not to mention the food stamp program etc.

I am confused with your wording and the use of double negatives, are you saying they shouldn't be charged for things they won't use?

Correct. Majority of the social security is never used by h1b. Also need your own insurance, cannot claim any benefits, have to leave the country in 24 hours if h1b lose the job, cannot claim business expenses...
just saying, h1b usually have about 2 months of unemployment since being fired. Not great, but not a single day either.

your statement about social welfare is reality for Indian h1bs. They will never be able to get a green card, and yet pay all the taxes for them. 8% of your salary is pretty steep for something you can't touch, ever.

It's 16%. Employers have to match it, so it's an additional 8% on top of the 8% that the employee pays.
It probably changed with the Obama administration but when I was on H1b it was said that we had to leave as soon as possible. Maybe you are right because we could never find a legal source of truth for this info. The point is, we have to leave everything. If you have kids, car, school for kids, house everything goes out.
Social security is not a tax, my friend. It is essentially an involuntary benefits payment to others. It's why they hide it and obscure the language about it. And if you had to, e.g,. write two checks every month; one to a government bureaucrat and another to some social security recipient, then you would get it … which is exactly why they don't want that.

SS you pay today is used to pay for the SS check someone else gets today. It's literally a passthrough while a whole stable of bureaucrats takes a massive portion off the top. It's one of the many reasons why SS meets the criteria of a Ponzi scheme. There is no SS that you put aside that will be available to you in the future, what you paid today is gone, paid, poof, zero, null, it does not exist and is not available to you once you pay it.

If you want to call it something more accurate than a tax, call it proportional enslavement. And that in an even more direct manner than general taxation that involuntary serves individual interests instead of common ones, let alone only pays for core functions of government. When you have taxes taken from you under threat of violence (jail) to support others' lives and lifestyles that benefits them and only them, that is nothing but slavery, regardless of whether it is only 30% slavery while having to pay for your own wellbeing and upkeep, instead of 80% slavery while living on a socialist paradise of a plantation where everything is "free".

You misread. They should be taxed at far higher rates, just like how you have to pay higher prices for stocks once a company is successful than you pay when the company is still wildly risky. But people are essentially being robbed and defrauded by "immigration" in what is the biggest crime against humanity on record yet (even if partially due to increased population sizes). The USA and non-ruling class psychopath indigenous Americans in particular are being utterly drained and gutted and sucked dry of all their wealth while they have have had unfettered chemical warfare waged against them for at least 50 years now in the form of drugs, which is killing ~80,000 people every single year, alone just from overdoses, not counting related murders/manslaughter, suicides, intentional accidents, or the utter misery and suicides it causes as second order consequences to family and friends.

But I know this group of people here does not care one bit about it parasitic ethos.

It is really useful to compare a company to itself. If the company as a whole pays less than others and they are self consistent that says two notable things.
Depends on your definition of highly-skilled. Compared to an au pair? Very highly skilled.

An H-1B requires application of specialized knowledge and a bachelor's degree or the equivalent of work experience. So it's all a matter of perspective, but the highly skilled formulation talks about the skills required to do the job, not the competency within that specialization. Beyond that, I agree though, that visa status is a despicable reason to pay people less than what they're worth

The simplest and effective way to solve the immigration problem is to give H-1B full job mobility and rights. This would benefit them and very quickly would bring the correct market value for everybody’s work. On the top side there will more genuine visa applications for real talent.
That will still put immense downward pressure on American wages.

The simplest way to solve the H1B problem is to scrap it and allow open immigration for skilled professionals from the top 20 most developed countries. The reality is that someone from India will accept much lower wages and poorer conditions than someone born in Australia, Sweden or Switzerland.

And watch as IT companies move entire offices offshore, to Canada and India, resulting in mass layoffs in the US.
> The reality is that someone from India will accept much lower wages and poorer conditions than someone born in Australia, Sweden or Switzerland.

People on H1-B live in the US and maintain a good standard of living as per the city they are in and hence end up demanding for the same market salary as locals. This has been proven every-time people brought up cheap labor issue.

The likely issue (for American jobs) here is when whole IT/Software teams shift to India or China through outsourcing companies and American workers are laid off as cost measures. This happens a lot in non-tech companies very easily where they want to stay ahead in tech but not take the ownership of it.

>top 20 most developed countries

Which 20 "developed" countries? Why would they come to US? If they could they already would as US pays much more than even "developed" countries. Australia has 23 million people (almost half of California) and almost zero IT. Sweden, Switzerland: Really?

Not everyone's ideal destination is US. It's funny how most Americans think the world is falling over their head to move to a country where gun nuts have the right to mow down people but you don't have the right to get medical for it.

The last section is eye opening for me. This is what the total compensation looks like for entry-level software engineers:

Apple: $160,548

Microsoft: $155,775

Google: $188,086

IBM: $95,857

The IBM total compensation does not even have 6 digits! No wonder they have a hard time attracting talent.

It would have been interesting to see the numbers for Amazon, Facebook and Netflix too.

That’s a pretty big difference, but it would also be interesting to know where these positions are located. The cost of living differences between SV and outside of the Bay Area is pretty substantial, making these absolute number comparisons a bit harder to interpret.
Quickly putting Apple's (assuming Bay Area) $161K into a cost of living calculator says that's equivalent to $82K in Cincinnati, OH. (You'd need to make $82K in Cincinnati to maintain your standard of living.)

So yeah, I'd say that adding locations is required. I'm not sure where the majority of the IBM software engineer jobs are?

IBM is all over the US (much much more locations than others mentioned here) and it's also split into two: product and consulting. Consulting get paid less and bring down the average but people choose it for location and project variety
Yeah, a significant chunk of IBM's workforce works remotely. So they don't have to pay cost of living for Seattle or SF. Much of their American workforce that does report to an office is in much lower COL areas like North Carolina or upstate New York.
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Link is blocked from my work. Google: $188,086? For a entry level software engineer? What the hell
They pay interns $6,000 a month don't they?

That $188k is total comp as well.

Presumably Google's "entry level software engineer" at least on paper is a more advanced position than equivalent titles at other companies. We all probably know "experienced" programmers who wouldn't even make the cut.
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That's definitely not accurate, unless you include stock and bonuses. As a base salary you'd need a senior title to make that much.
IBM is just fill seats with bodies, they aren't actually creating anything like Apple, Microsoft, and Google
That's true. They need certain percentage of people on the bench to bid on consulting projects.
Without reference to cost of living where that salary is applied is rather meaningless. 160 in the South Bay is not very good. 95 in Minnesota might be a lot more.
160 in the South Bay is significantly better than 95 in Minneapolis, at least. Unless you want to buy a house. I lived in Minneapolis not long ago and the major cost differences were really only housing, gas, and electricity.
IBM has a legacy of a more diverse approach to developing technology. They also employ more folks who are applying software solutions vs. developing technology. When I worked with IBM stuff alot, the onshore developers were in Austin, Minnesota, Florida, Toronto, New York (including ex-NYC NY) and other places.

When I had IBM folks working for me in ye olden days (not subcontractors), they weren't working in the valley, and were perfectly good at what they did. They made about 30% more than the full time employees did, in exchange for living in Hilton.

Big tech is the way it is because right now they have access to unlimited money. The good times will roll until they don't! As things mature, the era of $160k college grads and $500k+bonus staff engineers will end.

IBM's comp isn't very good at any level, but they also don't hire much in super-high cost-of-living areas. Here in the Boston area I've only started making more than any of those entry-level salaries in the last few years (I'm 32) but don't live somewhere where buying a house is a pipe dream.

The real reason IBM has trouble attracting talent is that they have no idea what they want to actually be doing, from a technical perspective. They are a sales organization, and that's all that they are to anyone in a position to make decisions about anything. I took a bit of a pay cut to go to IBM--I needed to get out of consulting because it was impossible to get a bank to verify income for a mortgage--but it wasn't drastic. Even setting that aside, though, IBM was the worst mistake of my career. I left in five months because the job was so stressfully do-nothing (if that makes sense?) that I could literally feel myself becoming a worse person, not in a "technologist" sense but that of a human being, by being ground down by that culture.

Microsoft Seattle is around 100k
Throwaway account. I’ve been with Amazon as an engineer for about 7 years now. We call ourselves diverse but really all we have are Asian (Indian and Chinese) devs... in some engineering orgs, white people outside of management are a minority (although it’s not just white managers, there’s tons of Indian managers too).

We have very few black people in engineering roles. I don’t know a single black engineer at this company to be honest and I’ve been here 7 years and interface with lots of other teams.

I don’t think the Indian or Chinese devs get paid less. The one data point I do have (anecdotal) is that every Indian dev I’ve met is generally on a spectrum between unhappy to extremely unhappy, and they’re only in their role because it’s very difficult to find another company that will sponsor you. So you either keep your mouth shut or risk getting let go and have to leave the country:

Amazons work culture is pretty shitty in many orgs - very cut throat. I’ve never seen the more horrific examples from the NYTimes article years ago about people crying at their desks, but I’ve been in enough contentious meetings and have seen people purposely set up to fail by their managers so they could be managed out because politics.

Yes, Indian and Chinese devs are unhappy because the H1B system unfairly exploits them and makes them wait for > 10yrs to be allowed to permanently stay. Of course, American companies are getting richer on their labor and their citizen co-workers get away with doing less while making more money. However, anytime there is a discussion on wages, blame them for everything. Learn to respect the guys on whose work Silicon Valley is what it is today.
US immigration is racist and broken.

But can we stop kidding ourselves that H-1B holders seeking permanent status are innocent victims? They're exploiting a loophole (dual-intent) to immigrate where they otherwise would have a difficult time qualifying for an immigration visa. They've willingly accepted the trade-offs.

> But can we stop kidding ourselves that H-1B holders seeking permanent status are innocent victims? They're exploiting a loophole (dual-intent) to immigrate where they otherwise would have a difficult time qualifying for an immigration visa. They've willingly accepted the trade-offs.

It's a loophole? That's news to me. Outside of family and extraordinary abilities (think Nobel prize winners), what other way is there for someone to immigrate?

If there are any immigrants to be attracted, it is this pool of people. Well educated, speak english, no crime and not moochers. What other alternative people do you want to support your social security system?

> It's a loophole?

Well, call it what you want. Originally the H-1 program was for temporary non-immigrant workers. Intent matters when someone enters any country -- if someone is determined by the immigration authorities to have intent to immigrate, but only holds a non-immigrant visa or waiver, they'll be denied entry.

In the 90s the H-1 program was made dual-intent, as in, intent to immigrate would not disqualify someone from entry, setting the stage for the present mass exploitation of H-1B workers.

> what other way is there for someone to immigrate?

Like I said, US immigration is racist and broken. I don't know how we solve it, aside from obvious of creating other paths to legal immigration and phasing out H-1B's dual-intent status so that immigration doesn't turn into exploitation.

From the immigrants' perspective the obvious thing to do is vote with your feet -- go somewhere else or stay in their home country -- but so many people want to come to America that it's hard to imagine reaching a critical mass to effect policy change.

> In the 90s the H-1 program was made dual-intent, as in, intent to immigrate would not disqualify someone from entry, setting the stage for the present mass exploitation of H-1B workers.

Do you know why this was done? Because the bureaucracy went out of whack and caused massive delays in the real immigration steps aka green cards.

If anything, H-1 is the only way right now because US govt can't function like a developed country. The H-1s are not to blame. They are just like you and I. And they are the kind of immigrants I want to sustain our population and economy.

How is dual intent exploiting a loophole? Congress clearly intended it to be used as a pathway to a greencard.
> .. in some engineering orgs, white people outside of management are a minority (although it’s not just white managers, there’s tons of Indian managers too).

White managers from which country? Plenty of my managers in silicon valley were from UK, some from Germany and Switzerland.

But it probably doesn't matter to you, doesn't it?

I’m specifically speaking to Amazon. Why did you turn this into a personal attack?
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Does it matter what brand of mayonnaise? The parent is talking about H1Bs as a whole and is an anecdote.
This has been discussed many time in HN. Indian and Chineese H1Bs can keep complaining or they can immigrate to Canada with Express Entry system which levels the playing field. Business will soon follow. I made the switch and it has improved my life and career in many wonderful ways.

One sad thing I see though is they consider Canada as Plan B. They will get their permanent residency visa but will still stay in US.

I had seriously considered moving to Vancouver (from SF) earlier this year, and had job opportunities lined up, but seeing the salary numbers was shocking. Vancouver is an expensive city, about on par with the bay area, but moving there meant taking a 40-50% pay cut. Toronto isn't much better either.

I would love to live there one day, but they really need more competitive salaries if they want to lure talent from the US tech hubs.

Not sure why the downvotes. Canadian companies are not into paying people very well, instead we get news stories about massive outsourcing to India followed by security breaches a few years later (eg, see the news over the last year or two about almost every single one of our major banks)
8 years ago, Canada was not even in the radar. Today, it is plan B for Indian tech professionals in the US and quickly becoming plan A for Indian students applying to study abroad. As the ecosystem improves, future inflow of talent will tilt towards Canada. Change takes time.
What I've heard is that Canada pays significantly less for Software Engineering talent than the US does. True?

https://www.payscale.com/research/CA/Job=Software_Developer/...

Not significantly, but less. I get the double of that avg salary mentioned in that link. (I am a 10 years exp dev)

But I think the salaries will go up as more US companies setup shops here as the talent pool rises because of economic immigration.

I consider the pay ok because I get healthcare for free, do not have to worry about my visa, childcare is cheaper, spouses can work, my Canadian equivalent of 401k will not be lost like when I was in US on H1B. If I ever want to work in US, I can work on TN visa too.

It also depends on what you want. I opted for certainty and a good family life over the money.

In my experience, it's a reflection of the organization. Shitty workplaces treat people with a little less leverage shitty.

I have also observed in some places that in some ways, diverse management structure is worse for some workers. White managers tend to be ignorant of subdivisions of asian society and treat all contractors or sponsored employees with aloof and impersonal management styles.

Could you give examples of subdivisions of Asian society that a manager should take into consideration?
One glaring example that comes to mind from many years ago was a borderline abusive boss, who was an older chinese national, that treated younger ethnic chinese staff born in the US or other places very poorly. His mindset was that they were coddled, soft and lazy. The company HR people addressed the situation inappropriately as an interpersonal conflict because it didn't fit their notion of discrimination, which is what it was.

End of the day, it was a situation that was demeaning and awful for my colleagues who dealt with it, and they all left the company. The company no longer exists, but it was an example of an organization that focuses on the letter of the law and fostered a culture that ultimately hurt it.

Thanks for that perspective and honesty. There is really something rather immoral and quite clearly evil going on in the tech sector. Regardless of where one is from, I don't think it is all that difficult to understand that, it is utterly immoral and depraved to replace the indigenous population with foreign national "talent" out of a sheer profit greed and to compensate for utter failure of leadership and governance with the extraction of human resources from foreign societies, which, btw are thereby also sabotaged.

Just think about that; would anyone here, even the most tech sector Kool-Aid drinking fan, support the ethnic replacement at the highest and most well paid levels of society, e.g., in Japanese by Chinese, in India by Nigerians, in Peru by Indians, etc. and yet so many here are ardent supporters of that very genocidal ethnic replacement going on in the USA in particular.

I know a very bright Indian guy who was frustrated with the American system, so he immigrated to Canada instead. Come on up, we’ll take you!
I’ve always believed that if you want to see a person’s true colors, look at how they treat people poorer or otherwise socially weaker than them. In other words, if your date is charming to you and nasty to the waiter, run like hell.

The same applies to companies: there’s no better way to cut through the recruiter nonsense like checking out how treatment of H1-Bs compares to treatment of citizens and green card holders.

A personal anecdote: a friend of mine who is on an H1-B works for a bank. This bank talks a great game about culture and working conditions and liberal social programs and opportunity and whatnot. How do they treat my friend? She makes forty percent below market rate for our area, and their policy is she has to work for them for five years before they even start the green card process for her. Meanwhile complained like Google and friends typically start the green card process immediately upon hire.

Anyone who looks at their promotional material (who isn’t already disinclined to trust a bank) would come away with the impression that this institution is some sort of paradise of opportunity and career advancement. Meanwhile anyone who’s worked for them for any appreciable length of time knows that isn’t true.

Companies like Google, Microsoft, Facebook etc. pay H-1B workers extremely well. I'd expect IBM to be somewhere in the middle of the pack (and it seems like they are).

If you want to find actual abuse, look up all the "consulting" companies that file tens of thousands of applications every year at the tech equivalent of minimum wage - TCS, Cognizant, Wipro, Infosys, Deloitte, HCL, Accenture, Mahindra.

> If you want to find actual abuse, look up all the "consulting" companies that file tens of thousands of applications every year at the tech equivalent of minimum wage

I've seen it first hand while working in Telco's who hire those types of companies.

Looking at Google's lowest-paid H-1Bs, I gotta wonder, why are they importing Data Center Technicians?

How does that even qualify for H-1B?

Wowzers...I should have majored in H-1B Software Engineering. Any good tutorials out there?