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The Positive Side of Immigration Green Cards, Not Guest Workers Ed Perkins, Chair IEEE-USA Career and Workforce Policy Committee Vin.

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Presentation on theme: "The Positive Side of Immigration Green Cards, Not Guest Workers Ed Perkins, Chair IEEE-USA Career and Workforce Policy Committee Vin."— Presentation transcript:

1 The Positive Side of Immigration Green Cards, Not Guest Workers Ed Perkins, Chair IEEE-USA Career and Workforce Policy Committee Vin ONeill, IEEE-USA Senior Legislative Representative 2007 Annual Meeting Capitalizing on Global Opportunities 31 August – 3 September Scottsdale, AZ

2 2 Presentation Outline l Importance of Highly Skilled Immigrants l Foreign Participation in STEM Workforce l Visa Programs for STEM Professionals l IEEE-USA Position l Pending Federal Legislation l Conflicting Interests

3 3 The Positive Side of Immigration

4 4 Foreign Born Scientists and Engineers l Alex Graham Bell l Albert Einstein l Enrico Fermi l Edward Teller l Nikola Tesla l Werner Von Braun l Anousheh Ansari l Sergey Brin l Andy Grove l Vinod Khosla l Linus Torvalds l Jerry Yang

5 5 Recent Contributions by Immigrants l 25% of new tech companies founded between 1995 and 2005 l l 26%of international patent applications in 2006 l 50% of international patents filed in 2006 by multi-nationals, including: l Qualcomm (72 percent) l Merck & Co. (65 percent) l General Electric (64 percent) l Siemens (63 percent) l Cisco (60 percent) l 41% of patents filed by the U.S. government Source: Kaufmann Foundation

6 6 Foreign Born STEM* Professionals Participation in US Workforce STEM ProfessionalsNumbers% Native% Foreign Math & Computer Scientists3,010,54682%18% Engineers1,704,86284%16% Physical Scientists361,48675%25% Life Scientists217,30877%23% Social Scientists341,98390%10% All STEM Professionals7,030,86783%17% All professional specialties21,368,00090%10% All employed workers136,891,00088%12% Source: US Census, 2000 * STEM = Science, Technology, Engineering, and Mathematics

7 7 Foreign Born STEM Professionals Educational Attainment STEM Professionals Bachelors MastersPhDs Math & Computer Scientists19% 37%45% Engineers15% 29%51% Physical Scientists15% 25%45% Life Scientists 8% 19%45% Social Scientists10% 11%13% All Foreign Professionals17% 29%38% Source: National Science Foundation, Science and Engineering Indicators 2004

8 8 Foreign Born STEM Professionals Major Countries of Origin STEM ProfessionalsIndia China FSS Phil Mex Other Math & Computer Scientists 24% 17% 5% 7% 4% 43% Engineers 12% 16% 7% 4% 3% 58% Physical Scientists 12% 25% 3% 6% 1% 53% Life Scientists 11% 29% 5% 2% 2% 51% Social Scientists 7% 8% 3% 4% 3% 75% All STEM Professionals 17% 16% 5% 5% 4% 53% Source: US Census, 2000 FSS = Former Soviet States

9 9 Immigration to the United States – Principal Paths to Entry l Permanent (Immigrant) Admissions l ~ 1 million per year l Family-sponsored, employer-based, refugees, diversity l Temporary (Non-Immigrant) Admissions l ~ 30 million per year l Business, employment, study, travel l Illegal (Undocumented) Admissions l ~.5 – 1 million per year l 40% Visa overstays, 60% Illegal entrants Source: Numbers USA Education and Research Foundation

10 10 Administration and Enforcement Responsibilities are Fragmented l Department of Labor l Office of Foreign Labor Certification l Wage & Hour Division l Department of Homeland Security l US Customs and Immigration Service l Immigration and Customs Enforcement l Department of State l US Embassies l Bureau of Consular Affairs l Department of Justice l Executive Office for Immigration Review l Special Counsel for Unfair Immigration-related Employment Practices


12 12 Permanent (Immigrant) Admissions By Visa Categories Immigrant Visa CategoriesLimits Admits Percent Immediate relatives of citizens 418,522 44% Family-based preferences480, ,355 22% Employment-based preferences140, ,330 16% Refugees and asylees 119,592 13% Diversity immigrants 55,000 50,084 5% Totals675, , % Source: US DHS, Office of Immigration Statistics, 2004

13 13 Employment-Based (EB) Admissions by Visa Preferences Admissions PreferencesLimitsAdmits* Percent Priority workers (extraordinary) 40,000 31,291 20% Advanced degree professionals 40,000 32,534 21% Bachelors degree professionals 40,000 85,969 55% Special immigrants 10,000 5,407 3% Employment creating investors 10, Totals140, , % * Principals 72,550 47% Dependents 82,780 53% Source: US DHS, Office of Immigration Statistics (2004)

14 14 Employment-Based (EB) Admissions by Occupation Occupations of EB PrincipalsAdmitsPercent Managers and Professionals52,621 73% Math & computer scientists12,377 17% Engineers10,900 15% Executives and administrators 9,725 13% Nurses 6,625 9% Physical and life scientists 3,136 4% Other 9,858 19% All other professions and occupations19,929 27% Totals72,550100% Source: DHS, Office of Immigration Statistics (2004)

15 15 Employment-Based (EB) Admissions By Country of Origin Leading Countries of OriginAdmissionsPercent Top Five39,743 55% India18,539 26% China 7,435 10% Philippines 7,398 10% Korea 3,269 5% Mexico 3,102 4% All others32,807 45% Totals72,550100% Source: DHS, Office of Immigration Statistics (2004)

16 16 Immigrant Admissions - Issues and Concerns (Pros and Cons) l Pros: l Provides a clear path to citizenship – unlimited mobility and opportunity l Immigrants and citizens compete on a level economic playing field l Green card holders (LPRs) have the same basic rights as citizens (except the right to vote) l Cons l Numbers are restricted – inflexible admissions ceilings and per country limits l Administrative complexity, backlogs and delays - uncertain results (EB backlog 1,181,505 in 2006) l Increasing dependence on temporary (non-immigrant) admissions

17 17 Temporary (Non-Immigrant) Admissions Visa Categories AdmitsPercent Short Term Temporary Visitors 27,395,921 88% (for Business and Travel) Students and Exchange Visitors 935,196 3% Temporary Workers 831,715 3% Treaty Traders and Investors 182,934 1% Other temporary admissions 1,435,564 5% Total temporary admissions 30,781, % Source: DHS, Office of Immigration Statistics (2004)

18 18 Temporary Work Visa Programs Admissions Work Visa ProgramsAdmits Percent Specialty Occupations (H-1B)*386,821 47% Intra-company transfers (L-1)314,484 38% Extra-ordinary ability (O-1) 27,127 3% NAFTA professionals (TN) 66,219 8% Other temporary workers 37,064 4% All temporary workers831, % Source: DHS, Office of Immigration Statistics (2004)

19 19 H1-B Fact Sheet Term l 3-years, renewable for 3 more years (for a total of 6 years) l Visas issued to employers, not workers Visa Cap l 65,000 per year ( ) l 115,000 per year ( ) l 195,000 per year ( ) l 65,000 per year (since 2003)* Exempt l H-1B workers employed by higher educational institutions, non- profit research organizations and government laboratories are not subject to the cap Note* - 20,000 H-1B visas per year are reserved for use by foreign professionals with graduate degrees from US schools

20 20 H-1B Temporary Work Visa Petition Approvals Petition categories ApprovalsPercent New Employment130,497 45% Subject to cap (65,000) 71,740 25% Exempt from cap 58,737 20% Continuing Employment 156,921 55% (Renewals) Total H-1B petitions approved287,418100% Source: DHS, Office of Immigration Statistics (2004)

21 21 H-1B Worker Education

22 22 Distribution of H-1B Skills Based on Employer OCS* Petitions, for Computer Related Fields 5% Skill levels are OES skills, as defined on H-1B applications. Level 1 is entry level. John Miano, Low Salaries for Low Skills. (Washington, D.C.: Center for Immigration Studies, 2007) *OCS – Occupational Classification System, U.S. Department of Labor (Entry Level) (Expert Level)

23 23 H1B Top Countries of Origin (2004)

24 24 New H-1B Workers by Occupation: 2004

25 25 Numbers of New H-1B Visas USCIS Office of Immigration Statistics

26 26 Unemployment Trends for Electrical Engineers and Computer Scientists

27 27 Median Compensation for New H-1B Workers, by Occupation (not adjusted for inflation) Source: USCIS, Office of Immigration Statistics

28 28 Distribution of H-1B Wage Claims For Computer-Related Professions Source: Miano, John. Low Salaries for Low Skills. Washington, DC, Center for Immigration Studies. April 2007

29 29 Major Employers of H-1B Workers: 2000 and 2006 RankTop 10 Users Top 10 Users MotorolaInfosys 2OracleWipro 3CiscoCognizant 4MastechPatni 5IntelMPHASIS 6MicrosoftHCL America 7RapidigmDeloitte & Touche 8 SyntelTata 9WiproAccenture 10TataSatyam Source: DOL, Office of Foreign Labor Certification

30 30 Employer Sponsorship: H-1B Visas and Green Cards in 2006 CompanyH-1BGCYield: GC / H-1B1 INFOSYS Technologies Ltd.22, % WIPRO Ltd19, % Cognizant Technology Solutions11, % Patni Computer Systems, Inc.9, % MPHASIS Co.9, % HCL America, Inc9, % Deloitte & Touche LLP8, % TATA Consultancy Services Ltd.7, % Accenture LLP7, % Satyam Computer Services Ltd.7, % Microsoft Corp.4,4711, % IBM Corp.3, %

31 31 H-1B Visas - Key Issues and Concerns (Pros and Cons) l Advantages (for employers) l Access to a global pool of skilled professionals l Serves as a transitional visa (path to citizenship) l Facilitates onshore and offshore outsourcing l Disadvantages (for US and foreign professionals) l Nominal safeguards – recruitment, wages, displacement l Limited oversight and enforcement l Facilitates onshore and offshore outsourcing

32 32 Temporary Student Visa Programs (FY ) Educational Visas* Visas IssuedPercent Academic Students (F-1)255,993 45% Exchange Visitors (J-1)303,822 54% Vocational Students (M-1) 5,975 1% Totals565,790100% Note*: 8% of all Temporary Visas issued Source: DOS, Bureau of Consular Affairs

33 33 Foreign Student Degree Levels

34 34 Student Demographics l Fields of Study l Business20% l Engineering18% l Computer Sci10% l Health Care 5% l Education 3% l Other 54% l Regions of Origin l Europe41% l Asia40% l South America 8% l North America 5% l Other 6%

35 35 Student Visas - Key Issues and Concerns (Pros and Cons) l Pros l Substantial contributions to STEM education, teaching and research, especially at the graduate and post-doctoral levels l Cons l Admissions ceilings, per country limits and return home requirements often deter foreign students from adjusting to immigrant status

36 36 IEEE-USA Policy Recommendations Ensuring a Strong High Tech Workforce Through Educational and Employment-Based Immigration Reforms l Increase the availability of employment-based (EB) visas and streamline the immigrant admissions (Green Card) process l Allow foreign students with advanced degrees in STEM fields from US schools to adjust directly from student visas to Green Cards l Reform the H-1B temporary work visa program – Require all employers to try to recruit US workers; to use the program to supplement, not replace, American workers; and pay H-1B workers, market-based wages. l Expedite visa processing for short term visitors Adopted by IEEE-USA Board of Directors on 15 June 2007.

37 37 Major Legislative Proposals and Outlook: 110th Congress ( ) l Comprehensive Immigration Reform Bills l Include border security, interior enforcement, workplace verification, new temporary work visa programs, legal admissions reforms and earned legalization provisions l HR 1645 (STRIVE Act) – Gutierrez/Flake l S 1348 (Bipartisan Compromise) – Kennedy/Cornyn l High Skills Admissions Expansion Bills l Include EB, H-1B and F visa provisions l S 1083 (SKIL Act) - Cornyn l HR 1930(SKIL Act) - Shadegg l Temporary H-1B and L-1 Visa Reform Bills l S Durbin/Grassley l HR 2538 (Defend the American Dream Act) - Pascrell

38 38 Conflicting Interests and Perspectives EmployersWorkers Others Business andProfessionalAdvocacy IndustrySocietiesGroups EducatorsImmigrants Individuals Immigration Organized Think LawyersLaborTanks

39 39 Sources of Information l Congressional Budget Office l Congressional Research Service l Government Accountability Office l Compete America l Immigration Voice l Economic Policy Institute

40 40 The Positive Side of Immigration Green Cards, Not Guest Workers

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