{"id":719,"date":"2021-04-07T14:36:09","date_gmt":"2021-04-07T14:36:09","guid":{"rendered":"https:\/\/www.h1btransfersusa.com\/blog\/?p=719"},"modified":"2021-04-07T14:36:12","modified_gmt":"2021-04-07T14:36:12","slug":"foreign-students-not-a-source-of-cheap-labor-in-the-us-finds-study","status":"publish","type":"post","link":"https:\/\/www.h1btransfersusa.com\/blog\/foreign-students-not-a-source-of-cheap-labor-in-the-us-finds-study\/","title":{"rendered":"Foreign graduates not a source of cheap labor in the US finds study"},"content":{"rendered":"\n<p>US organizations recruit <strong>foreign students<\/strong> not because they are a cheap source of labor yet because of a <strong>skills shortage<\/strong>. According to a new <strong>working paper <\/strong>by the Center for Growth and Opportunity &#8211; a university-based academic research center.<\/p>\n\n\n\n<p>The paper, by Omid Bagheri, <strong>Assistant Professor <\/strong>of Economics at the Kent State University at Salem (Oregon). Depends on information on college graduates<\/p>\n\n\n\n<p>&#8220;Our results show that foreign workers are not a <strong>cheap source of labor<\/strong>. After controlling for <strong>socio-economic<\/strong> and demographic characteristics, by utilizing the pooled information. We find that highly educated <strong>immigrants<\/strong> who hold <strong>temporary work visas<\/strong> have had about <strong>29.5% <\/strong>wage premium over US-born natives,\u201d Bagheri wrote.<\/p>\n\n\n\n<p>One of the likely reasons for the difference in wages is that highly educated professionals who have migrated to the <strong>United States <\/strong>are being paid a premium. Because the <strong>US labor market<\/strong> demands more of these workers than there is a supply for, pointing to a lack of skilled talent locally.<\/p>\n\n\n\n<p>The <strong>H-1B visa program<\/strong>, among the greatest temporary work visa programs in the nation. Is the most commonly used route to bridge this skills gap by US organizations as well as<strong> Indian services companies<\/strong>.<\/p>\n\n\n\n<h2>Foreign students are not a source of cheap labor<\/h2>\n\n\n\n<p>Indian nationals represent more than 66% of the <strong>85,000 new H1-B visas <\/strong>issued yearly. The program has frequently been criticized because it permits US organizations. To hire cheap foreign labor while <strong>US nationals<\/strong> don\u2019t get enough jobs.<\/p>\n\n\n\n<p>The number of <strong>H-1B visas<\/strong> gave every year has been rising, pointing to a demand-supply mismatch in the market. According to the United States Citizenship and Immigration Services (USCIS), on average, about <strong>240,000 H-1B visas <\/strong>each year, were given between 2007 and <strong>2017<\/strong>, including renewals.<\/p>\n\n\n\n<p>Generally, the study suggests that the <strong>US economy<\/strong> needs a greater number of skilled workers than is currently available. This is a common finding in research on <strong>skilled immigration<\/strong>. US organizations are not only willing but already pay significant premiums to hire<strong> foreign workers<\/strong> with the skills that they need,\u201d Bagheri said.<\/p>\n\n\n\n<h4 class=\"has-text-align-right\">[<a href=\"https:\/\/www.h1btransfersusa.com\/blog\/us-labour-department-seeks-public-input-on-determining-h-1b-wage-levels\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span class=\"has-inline-color has-vivid-red-color\">US seeks public comments to determine wage levels under H-1B visas<\/span><\/a>]<\/h4>\n\n\n\n<p>The study further found that the wage premium was lower for <strong>immigrants <\/strong>from certain nations like <strong>India <\/strong>and Iran. However, didn&#8217;t differ significantly by gender.<\/p>\n\n\n\n<p>Bagheri proposes that <strong>US policymakers <\/strong>consider extending the current visa programs. And creating new ones to make it simpler for organizations to recruit <strong>foreign workers<\/strong>.<\/p>\n\n\n\n<p>The nation could adopt from the <strong>merit-based programs<\/strong> in nations like Australia and Canada, he recommends.<\/p>\n\n\n\n<p>&#8220;Second, we should encourage more <strong>native workers <\/strong>to pursue training and education in fields with a <strong>high wage premium<\/strong>. These changes would make US organizations more serious. By giving them access to top talent across the nation and increasing the pool of homegrown talent,\u201d said <strong>Bagheri<\/strong> in the paper.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>US organizations recruit foreign students not because they are a cheap source of labor yet&#8230;<\/p>\n","protected":false},"author":1,"featured_media":106,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[57],"tags":[496,495,92,271,469,28,42,23,498,379,67,100,133,497,11,264],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v15.0 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Foreign Students Not A Source Of Cheap Labor In The US Finds Study<\/title>\n<meta name=\"description\" content=\"Most of the US companies hire foreign students not because they are a cheap source of labor but due to a skills shortage.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, 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