Congressional Christmas Gift - More H-1Bs

Congressional Christmas Gift - More H-1Bs


Date: Monday, December 19, 2005 3:46 PM





JOB DESTRUCTION NEWSLETTER


December 19, 2005 No. 1387



The Border Enforcement and Immigration Security Bill passed the House on
Friday, and it didn't include an increase in H-1B or employment based Green
Cards. It's a good bill that addresses some major flaws in our immigration
enforcement. So does that mean we don't have to worry about an increase in
H-1B until next year? The answer depends on who you listen to.

The Immigration Lawyers (ILW) newsletter explains how the increase could
still be slipped into the spending bill at the last moment. Here is the
scenario that could lead to an increase in H-1B visas and employment based
Green Cards: As you know, the Senate passed a large increase in employment
based visas, but that was rejected in the House version of the Omnibus
Spending bill. That's not the end of the story though. The Omnibus spending
bill will now go into a conference committee where it's believed that some
form of the Senate increase will prevail.

I have included two excerpts from the ILW newsletter that explains how the
increase could still occur. There is also a Dallas News article that
praises an increase in visas as a Christmas gift for employers.

The second article "Plan to add visas for high-tech and skilled workers
dropped" is appearing in newspapers all over the U.S. It says that an H-1B
increase cannot happen since the House didn't agree with the Senate.
Apparently somebody did a press release and it's being picked up by every
major newspaper. Somebody is orchestrating a major media blitz in order to
lull the public into complacency; while the real wheeling-and-dealing
continues in Washington DC.

According to the immigration lawyers the battle to raise H-1B is far from
over. Believe them!




Material used for this newsletter



Excerpt 1 from ILW Newsletter: Conference Committee

Excerpt 2 from ILW Newsletter: Latest From The Hill

http://www.dallasnews.com/sharedcontent/dws/bus/stories/DN-t1H1B_18emp.ART.State.Edition1.3de4442.html
More H-1B visas could be OK'd

http://www.kansascity.com/mld/kansascity/news/politics/13443395.htm
Plan to add visas for high-tech and skilled workers dropped

http://economictimes.indiatimes.com/articleshow/1336495.cms
No hike in H-1Bs, green cards now

+++++++++++++++++++++++++++++++++++++++++++++++++++

Excerpt 1 from ILW Newsletter: Conference Committee

Sections 8001 and 8002 of S. 1932, the Deficit Reduction Omnibus
Reconciliation Act of 2005, will soon be set for conference committee. Well
informed projections suggest that some form of the Senate bill will prevail
in conference over the unwelcome House version. The Senate bill, when
enacted, would increase the availability of employment-based immigrant visa
numbers, allow submission of I-485 adjustment of status applications even
if a
visa number is not yet available, recapture a limited number of H-1B visas,
and impose new $750 fees (which only the employer may pay) on L-1 initial
petitions, blanket L-1 visa applications and the initial extension of
status. S. 1932 tasks USCIS with developing procedures to deal with the
added torrent of new filings, and to allocate scarce H-1B visa numbers and
track filing fees for the newly recaptured visas. The new law would also
expand the authority of the DOL to investigate employer compliance with the
new restrictions on source of payment for L-1 filing fees. By December 20,
the conference committee work, with approved amendments, is expected to be
done. Passage of the conference version of S. 1932 by the full Congress
would then be a virtual certainty (the exact vehicle may be another bill
such as H.R. 4241, the house counterpart of S. 1932, but the substantive
points above would still stand).

+++++++++++++++++++++++++++++++++++++++++++++++++++

Excerpt 2 from ILW Newsletter: Latest From The Hill

Here is the latest we are hearing on Section 8001 of S. 1932 (providing for
retrogression relief, and recapture of significant quantities of H numbers
and permanent EB numbers) in particular and the Budget Reconciliation
package in general:

According to RollCall, a capitol hill newspaper, the House and Senate
leadership has decided that they cannot adjourn for the year over the
weekend, and that both chambers will need to remain in session at least
through Tuesday. Immigration Daily has separately learned that it is likely
that Congress will stay until the 11th hour, i.e. Friday before members can
return home to their families for Christmas. Regardless of when they
adjourn, the House of Representatives will not convene again all the way
through January 31st - more than a month later (this is to give Rep. Delay
time to clear up his legal troubles and prevent a leadership fight within
the House Republicans). And a month is a looong time in politics, so ...

There is considerable pressure on Congress to wrap up the difficult
appropriations process now, lest it become even more difficult with the
passage of time. Congress will likely work on a massive Omnibus
Reconciliation package containing the following elements: the Labor-HHS
Appropriations bill (which has failed to get the required votes in the
Senate as of this writing), the Defense Appropriations Bill, the Katrina
tax relief measure, the ANWR (Arctic drilling) provision, the budget
reconciliation bill (S. 1932 - currently in conference), and perhaps other
odds and
ends. The only major things that may remain on the table for next year are
extension of the Patriot Act and the tax reconciliation bill. Negotiations
on money matters (the mother's milk of politics) are always contentious and
stressful, to illustrate: on Thursday evening, House Energy and Commerce
Chairman Joe Barton suffered a heart attack during budget reconciliation
conference negotiations and he remains hospitalized.

Immigration Daily has learned that Section 8001 of S. 1932, sorely needed
by the immigration community, was included in initial drafts of the budget
reconciliation conference report, and was later pulled, ostensibly under
pressure from a handful of Republican House members who threatened to vote
against the reconciliation conference report if it included immigration
benefits relief provisions. Given the number of controversial provisions in
the large bills currently being crafted, it is reasonable to believe that
there must exist many provisions for which a group of 20 Republicans would
threaten withholding of their votes unless their desires were capitulated
to. It is
unlikely that the House or Senate leadership would be fazed by such
blackmail. Unfortunately, several key business immigration lobbyists gave
up the issue as lost, and some have reportedly left the Beltway to be with
their families for an early holiday season.

The fact is that this is a new battle for pro-immigrationists - the
arguments are not about human rights or humanitarian considerations, nor
about the competitiveness of American employers - instead the arguments
this time revolve around money - not money for campaign contributions, but
money for Uncle Sam's treasury - a not- insignificant half-billion dollars
plus (CBO estimates) is at stake in exchange for the immigration benefits
in Section 8001 of S. 1932. With money scarcer than hen's teeth right now
inside the beltway, and with intense pressure to finish appropriations,
pro-immigrationists have a strong hand, if they have the ability to play it
right (one example is to try to secure the immigration benefits for a
higher L fee than S. 1932 mandated if necessary). In addition, Immigration
Daily has learned that hundreds of calls and faxes are flooding Congress
supporting the inclusion of Section 8001 in the final reconciliation
conference report.

Currently, one of three things appear to be possible: (A) the final Act
will include Section 8001 of S. 1932 (providing for retrogression relief,
and recapture of significant quantities of H numbers and permanent EB
numbers) in exchange for a lot of money for the US Treasury, (B) the US
Treasury will sock it to L visa users in exchange for nothing at all
(except for establishing the appalling precedent that monies for visa
processing can be diverted to the general treasury, and not be applied
toward benefits processing or some other designated immigration-related
purpose), and (C) nothing will happen, the status quo will prevail.

+++++++++++++++++++++++++++++++++++++++++++++++++++

http://www.dallasnews.com/sharedcontent/dws/bus/stories/DN-t1H1B_18emp.ART.State.Edition1.3de4442.html


More H-1B visas could be OK'd

Proposal to raise the cap on guest workers draws arguments from all sides

12:00 AM CST on Sunday, December 18, 2005
By MARY JACOBS / Special Contributor to The Dallas Morning News


Congress may give technology employers a gift this Christmas: an additional
30,000 H-1B visas, which allow U.S. companies to hire skilled foreign
nationals as guest workers.


IRWIN THOMPSON/DMN
Diane Collier says the IT job market is tough already: 'It's hard for me to
imagine that we can't find people here.' The proposal, part of the Senate
Judiciary Committee's submission for budget reconciliation, would raise the
current cap of 65,000 visas to 95,000 in fiscal 2006.

Advocates say the measure boosts American companies' ability to compete.
Opponents say it gives away jobs that should go to U.S. workers and
ultimately sends experienced talent back to competing businesses in other
countries.

Meanwhile, some detractors say H-1Bs are being abused -- that companies
aren't paying prevailing wages to foreign workers, as the law requires.

Technology trade groups including the Information Technology Association of
America and Information Technology Council Inc. had pushed for an even
higher cap.

Many companies argue that they're vital.

"To remain globally competitive and to continue to create jobs, Texas
Instruments needs to have access to hire these individuals graduating from
U.S. programs," TI government relations official Amy Burke said in a
statement. She added that TI is "very small user" of the program, with
H-1Bs representing fewer than 3.5 percent of its U.S. workforce.

Proponents point out that about 50 percent of post-graduate degrees --
particularly in math, science and engineering -- are awarded to foreign
nationals. The figure is 67 percent for those earning doctorates from Texas
engineering programs, according to a 2004 American Association of
Engineering Societies study.

Compete America, a Washington association whose mission is to ensure a
competitive U.S. workforce, supports the immigration of highly trained
professionals.

"It is counterproductive for the U.S. to train foreign scientists and
engineers and then send them home to compete against American businesses,"
the association said in a news release.

But that's exactly why H-1Bs are a bad idea, according to the Institute for
Electrical and Electronics Engineers (IEEE-USA).

For job openings that truly can't be filled with U.S. employees, IEEE-USA
advocates "green cards, not guest workers."

Spokesman Chris McManes points out that temporary employees get inside
knowledge of U.S. firms, then take it back to competitors in their home
countries when the H-1B visa expires, usually after six years.

He cited Department of Labor statistics showing a decline of 221,000
employed U.S. tech workers in six major computer and engineering job
classifications from 2000 to 2004.

"When you look at the fact that there are fewer jobs in engineering every
year, and yet we're bringing in almost 100,000 guest workers -- those
numbers don't add up," said Jean Eason, a Fort Worth electrical engineer
who chairs IEEE-USA's Employment and Career Services Committee.

Diane Collier of Arlington, who has been looking for an IT project manager
job for several months, says the job market is already difficult enough.

"The competition is pretty tough right now," she said. "It's hard for me to
imagine that we can't find people here."

About 20,000 foreign workers aren't counted against that cap, thanks to a
bill passed last year and spearheaded by U.S. Rep. Lamar Smith, R-San
Antonio.

That bill exempts foreign workers with master's or doctorate degrees earned
in U.S. colleges and universities.

Detractors say that firms are looking for cheap labor -- pointing to a
recent InfoWorld study that accuses companies of paying less than what the
law requires to H-1B holders.

The story, "The H-1B Swindle," reported that wages on applications for H-1B
workers in computer occupations averaged about $13,000 less than for
Americans in the same occupation and state.

Supporters of the increase in H-1B visas counter with a study by Dr. Paul
Harrington at Northeastern University, which found parity in pay between
H-1B and U.S.-born workers.

They add that H-1B visas will generate fees that benefit U.S. workers --
some $1,500 of each visa application fee will be used for a U.S.
worker-training program.

The proposal, if passed, "will give U.S. businesses more ability to compete
... and provide new revenue for training U.S. workers," Jack Krumholtz,
Microsoft Corp.'s managing director for federal government affairs, said in
a statement.

The proposed cap would apply to fiscal 2006, which began Oct. 1. The
provision is part of the budget bill because it also proposes raising fees
on H-1B visas, which are paid by employers. The fees, which currently run
$3,185, would increase by $500.

E-mail businessnews@dallasnews.com


+++++++++++++++++++++++++++++++++++++++++++++++++++

http://www.kansascity.com/mld/kansascity/news/politics/13443395.htm

and a few other links (there are many more)
http://abcnews.go.com/Politics/wireStory?id=1421711
http://news.tmcnet.com/news/-high-tech-visa-plan-dropped-from-bill-/2005/dec/1227948.htm
http://www.montereyherald.com/mld/montereyherald/news/politics/13443337.htm
http://www.newsday.com/news/politics/wire/sns-ap-congress-high-tech-visas,0,7648669.story?coll=sns-ap-politics-headlines
http://www.sfgate.com/cgi-bin/article.cgi?f=/n/a/2005/12/19/national/w121925S94.DTL
http://www.latimes.com/news/nationworld/politics/wire/sns-ap-congress-high-tech-visas,1,3778429.story?coll=sns-ap-politics-headlines
http://www.washingtonpost.com/wp-dyn/content/article/2005/12/19/AR2005121900759.html
http://www.azcentral.com/news/articles/1219CongressTechVisas19-ON.html


Posted on Mon, Dec. 19, 2005


Plan to add visas for high-tech and skilled workers dropped

ERICA WERNER
Associated Press

WASHINGTON - A Senate-passed measure to add more visas for foreign workers
in high-tech and specialty fields was dropped from a budget bill that
passed the House early Monday, disappointing high-tech and manufacturing
firms in search of skilled workers.

The Senate plan would have allowed 30,000 more of the popular H1-B visas
each year, and increased fees for those visas to help trim the budget
deficit. Congress capped the six-year H-1B visas at 65,000 per year in
2004, and that cap has already been reached for the 2006 fiscal year that
began Oct. 1.

The Senate language also would have allowed 90,000 more employment-based
green cards that offer permanent residency to skilled workers, and added
fees for those.

Critics contend the visas give foreigners high-level jobs that should go to
American workers, and the plan was opposed by some House Republicans as a
backdoor way to boost immigration. House and Senate negotiators left it out
of the final version of a $39.7 billion federal budget bill that passed the
House 212-206 and was expected to get a Senate vote later in the day.

"This is very, very disappointing," said Sandy Boyd, a vice president at
the National Association of Manufacturers. "What's distressing about this,
and what the Senate clearly understood, is there is a real global
competition for this work and for these employees, and the question is not
whether the work is going to get done, it's where is the work going to get
done. We've missed a real opportunity by not ensuring the work would be
done here."

House and Senate negotiators also dropped a plan to increase fees on
another kind of visa, the L-1, which companies use to transfer workers they
already employ in foreign countries to the United States.

The boost to visa availability and fees was meant to achieve budget savings
in programs under jurisdiction of the congressional judiciary committees.
Instead of using visas, the final version of the bill saves money in
judiciary programs by increasing fees for filing lawsuits and filing for
bankruptcy.



+++++++++++++++++++++++++++++++++++++++++++++++++++

http://economictimes.indiatimes.com/articleshow/1336495.cms

No hike in H-1Bs, green cards now

URMI A GOSWAMI

TIMES NEWS NETWORK[ MONDAY, DECEMBER 19, 2005 12:56:49 AM]
NRI Special Offer!
NEW DELHI: It may be curtains for many an American dream. The provision for
increasing the number of non-immigrant temporary-skilled worker (H-1B)
visas and recapturing the unused employment-based immigration visas (green
cards) is no longer part of the Deficit Reduction Act of 2005. This means
chances of an increase in the number of H-1B visas and green cards, issued
every year, are slim. But, lobbyists are still hopeful that the
immigration-related provisions will make it to the discussion document.

The Deficit Reduction Act of 2005, as passed by the Senate , (S 1932) had
provisions that increased the number of H-1B visas, issued every year, from
65,000 a year to 95,000 annually. It also called for the recapturing of the
unused employment-based immigration visas from 1991 onwards. Hence, each
year, a maximum of 90,000 employment-based immigration visas could be
issued.

However, the version of the Senate bill S 1932, that has been agreed to by
the US House of Representatives, does not include any of these provisions.
It does not also include the immigration provisions of the US House of
Representatives version of the Bill, which had been passed by the House
in early November. The House version of the Bill called for hike in the L-1
visa fee from the present rate of $750 to $1,500.

The US Senate and House of Representatives are expected to begin their
conference for reconciling the two views on the Deficit Reduction Act of
2005 from tomorrow. Given the importance of the Deficit Reduction Act, the
US Congress is expected to take it up before adjourning for the holiday
season.

Observers say that there is a considerable pressure on the US Congress to
wrap up the difficult appropriations process before the year ends, as it
could become even more difficult with time.

Immigration provisions of S 1932 were said to have been included in initial
drafts of the budget reconciliation conference report and were later taken
out, ostensibly under pressure from some Republican House members. These
members threatened to vote against the report if it included relief
provisions for the benefit of immigration.

Pro-immigration experts hope, given the number of controversial provisions
that are still part of the Bill, some kind of a negotiated settlement may
be possible. They are also hopeful that the US House and Senate leadership
will not give in to such a threat, as the argument for increasing the
number of visas on offer is not on humanitarian grounds.




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