The debate about highly skilled labor migrants is flaring up.
A controversial discussion about immigration that started over Christmas between conservative activist Laura Loomer and Elon Musk has spilled over from X, now with a prominent Democrat weighing in. However, the focus has turned away from undocumented workers, a central issue in Donald Trump’s presidential campaign. campaign last year, for those who are here legally on an H-1B visa.
Critics of the immigration program worry that these workers are displacing Americans by providing cheaper labor, especially in the technology industry, which is the largest sponsor of these visas. Advocates say there are simply not enough American workers to meet demand in these growing industries and that the program’s rules prevent wage suppression.
“This program should not and was not intended to replace American talent. It was designed to complement it and overall it has worked,” Jeanne Batalova, a senior policy analyst at the Migration Policy Institute, told Yahoo Finance.
But she noted that some companies have used the program in a way that is “not in the spirit of the law,” which is part of what is fueling the current debate. Here’s what you need to know.
Created in 1990 by the Immigration Act, the H-1B is a temporary non-immigrant visa program that allows companies to apply for permission to hire highly skilled foreign workers with at least a bachelor’s degree or equivalent. (Fashion models “of exceptional merit and ability” also fall under this visa category, but without the education requirements, according to the US Department of Labor.)
If a foreign worker gets the visa, they can initially stay in the US for three years under the H-1B, with a possible extension to six years. But some workers stay longer on an H-1B visa if they have an approved green card application.
“We limit the number of people from a given country who can get a green card in a given year, so you can remain in H-1B status while you wait to fill the country’s quota,” said Mark Regets, a senior fellow at So Says the National Foundation for American Policy.
Since H-1B status was created, Congress has limited the number of new H-1B visas available each year. Currently, the annual limit is 65,000 new H-1B visas and another 20,000 for foreign professionals graduating with a master’s degree or higher from a U.S. university. That has not changed since 2006.
The largest sector by far using H1-B visas is the sector categorized as professional, scientific and technical services, which made up almost half of all initial visas approved in fiscal year 2024. This was followed by educational services with 11.9% of all approvals, manufacturing at 9.3%, and health and social assistance at 6.5%.