That is a financial motive. Companies don't want to pay the kind of compensation which would induce employees to be loyal to the company, and so they use H1B quasi-indentured servitude as a cheaper alternative.
As an H1B I May have made marginally less than my peers who were not immigrationally challenged. But as promotions picked up I think that wasn’t an issue anymore.
The one thing I still have though is I’m never the squeaky wheel. Getting laid off on an H1B is brutal. So your tolerance for corporate bs and workplace toxicity is quite high.
I've seen more than one shop that would use contract houses as a way to 'paper over' their internal turnover issues.
After all, even if the internal resource at the body shop asks for and gets a transfer, they've got another body in to finish the contract.
Plus the fringe benefits. That h1b is a sword of damocles, contractor will work 6/10+ even if the main shop is doing 45 on average for engineers.
Which, doesn't get you better code typically, but it let's suits say people are working long hours to get the task done.
people here on HN (without any merit) make H1B program sound like farming jobs in Texas… too funny
In the past decade or so, I have personally worked with an H-1B in the SF Bay Area who was working a full-time software position advertised as requiring a Master's degree, but was making something like $120k/year.
"Must be making above the median pay for the position" might be the way it's SUPPOSED to work, but it's clear that it doesn't ALWAYS work that way.
If its the prior then if an H-1B employee stays at a company for more than a few years it actually would come out to being cheaper overall, on top of them being more incentivized to just go with the flow and deal with any BS since their stay in the country depends on it. They have significantly less leverage than a US citizen to stay through grueling work conditions or toxic work environments.
But as I understand it, this is checked during the visa application process. The visa expires after a few years and requires another application for an extension then. So at least every few years, the salary would have to be adjusted upwards to meet the visa requirements.
Also H1Bs can't also start their own businesses (at least before this rule). So that was another restriction.
Nope. They don't need it to work for every worker, they can't get every worker as a H1B either. It working for some workers makes it worth doing for businesses.