Mithras Law Group Immigration Blog

Global Immigration and Business Solutions

Impact of Issuance of H-1B Visas on US Labor Force

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United States Citizenship and Immigration Service (USCIS) will start accepting applications for new H-1B petitions tomorrow April 1, 2009 and the race to file the applications is now over for FY 2010. We are glad we got all our applications completed and in on time. Despite the economic downturn and likely reduction in visa petitions this year, we still believe that the H-1B quota will be exhausted within days.

In the meantime for those that are interested in statistics, National Foundation for American Policy, in its March 2009 report found that US Economy is large and diverse and that job losses cannot not be blamed on the issuance of the temporary H-1b work visa. The report primarily found that:

  1. New H-1B visa-holders each year represent a small portion of the U.S. Labor Force – only 0.07 percent of the U.S. civilian labor force comprising of 154.6 million in 2008.
  2. USCIS data revealed that India-based companies utilized 11.9 percent of the 2008 new H-1B petitions issued and that the 12,180 new H-1B visa holders hired by Indian companies in 2008 represented 0.0083 percent of the U.S. labor force, less than 1/100th of 1 percent.
  3. More than 24,000 employers hired one or more individuals on an H-1B visa in FY 2008.
  4. A large variety of employers, besides Indian IT companies use the H-1B visas, including public school systems (see table below)
  5. H-1b holders are important to innovation and entrepreneuship in America. Harvard Economist William Kerr and University of Michigan Economist William Lincoln in their recent paper found higher invention and patent rates with increased H-1B admissions.

Top 20 Employers for New H-1B Petitions in FY 2008

EMPLOYER NEW H-1B PETITIONS
Infosys Technologies Ltd. 4,559
Wipro Ltd. 2,678
Satyam Computer Services Ltd. 1,917
Tata Consultancy Services Ltd. 1,539
Microsoft Corp. 1,037
Accenture LLP 731
Cognizant Tech Solutions Corp. 467
Cisco Systems Inc. 422
Larsen & Toubro Infotech Ltd. 403
IBM India Private Ltd. 381
Intel Corp. 351
Ernst & Young LLP 321
Patni Americas Inc. 296
Terra Infotech Inc. 281
Qualcomm Inc. 255
Mphasis Corp. 251
KPMG LLP 245
Prince Georges Cty Public Schools 239
Baltimore City Public School System 229
Deloitte Consulting LLP 218
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Written by MithrasLaw

March 31, 2009 at 4:54 pm

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