alt Hacker NewsWe have hit the cap for H1B's every year and we will always do so until we get rid of the program. Cheap labor will always be in demand.
A 100k one-time fee is nothing for big employers. That's 25k/year for 4 years, and if you realize that H1B's can't easily leave their job it's obviously worth it.
Compare hiring an H1B that is stuck at their job, to an American who can leave at any time. You can pay the H1B a lower wage to compensate for the fee you paid to get them into the role. 25k/year for 4 years is worth it for not only the reduced churn that comes with training a new person, but also you don't have to pay any of the incentives that come with getting a new employee into the role like sign-on bonuses, wage bumps, benefits etc.
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> Cheap labor will always be in demand.
H1Bs are not cheap labor. They’re almost always pricier than the alternative to the company. This is a myth that is ultimately rooted in racism more than facts. Most of the top H1B filers - big tech companies in particular - pay literally identically for the same job. They have fixed pay structures internally, in part because if you don’t, you could face discrimination lawsuits - but mostly to just not lose the competition for talent.
But the cost to the company isn’t the cost of the pay anyways. It’s also the cost in lost time of the H1B process, the fees you pay as part of the process, the costs of law firms you have to hire, the cost of time delays, the risk of the immigration process not working out. Those work out to a lot more value than 25K/year.
An H1B is also not stuck in their job - you can transfer H1Bs.
There's an X account which just posts universities hiring H1B's for ~half of what it would normally cost to hire people. An 80k/yr senior software developer will always be in demand, especially if the team is already predominantly non-american
People applying for H1B visas are getting partially compensated in the right to legally reside in the US rather than in money. The right to legally reside in the US is something that a lot of foreigners want badly, and are willing to accept otherwise-poor compensation for; and by definition it is not something you can pay an American citizen with.