In the midst of heated debates within the US tech industry and among MAGA (Make America Great Again) supporters regarding the H-1B visa program, President-elect Trump (Trump) has stated his support for issuing visas to high-skilled immigrants.
“I’ve always liked these visas,” Trump said in an interview with The New York Post on Saturday, December 28. “I have always supported these visas. That’s why we have them,” he said, calling the visa program “fantastic.”
“My real estate company also has many H-1B visas,” Trump said. “I have always believed in H-1B, I have used it many times. It’s a very good program.”
The debate between the tech industry and MAGA supporters started on Thursday.
Tech companies argue that the H-1B visas for technical workers, such as software engineers, are crucial for filling positions that are difficult to fill.
However, critics argue that H-1B visas diminish opportunities for American citizens to take on these jobs. Some on the right have called for the program to be canceled rather than expanded.
Vivek Ramaswamy, nominated head of the Department of Government Efficiency (DOGE) by Trump and a tech entrepreneur, posted on social media X on Thursday, stating that top US tech companies often hire foreign-born or first-generation immigrant engineers instead of “native” Americans, mainly because US education culture promotes mediocrity rather than excellence.
The discussion on how to cultivate and attract top tech talents in a fiercely competitive globalized world has intensified.
On Friday night, Elon Musk, the billionaire who co-leads the Department of Government Efficiency with Ramaswamy, posted on X: “Many key figures who helped build SpaceX, Tesla, and hundreds of other companies that make America strong came to the US because of the merit of H-1B visas.”
Musk expressed his firm determination to defend H-1B visas. “I will fight for this issue beyond your imagination,” he wrote.
Musk himself is a successful case of transitioning from a J-1 visa (non-immigrant exchange visitor visa) to an H-1B visa.
Among Trump supporters, another side of the debate is led by former Trump strategist Steve Bannon and others in his circle. They argue that many foreign workers who come to the US through H-1B visas are not necessarily superior to similarly educated Americans but are hired mainly because the cost of hiring these foreign workers is much lower.
The H-1B visa program was established at the dawn of the internet age to help US employers fill high-skilled positions in industries facing talent shortages, especially in the tech industry.
Labor unions are concerned that the visa program may lead to American workers being replaced or paid lower wages. Therefore, Congress set a minimum H-1B salary and capped the number of visas at 65,000 per year, allocated on a first-come, first-served basis. Technical workers granted H-1B visas mainly come from India and China, mostly educated engineers and software developers proficient in English.
Later, the H-1B visa cap was increased to 85,000, including 20,000 slots for applicants with a master’s degree and 65,000 for bachelor’s degree holders, including an additional 6,800 slots reserved for citizens of Chile and Singapore.
By the mid-2000s, the demand for high-tech workers in the IT industry was so high that the annual H-1B quota would be filled within a day or two after opening. As a result, the US immigration department decided to use a lottery system to select which applicants would receive the visas.
The H-1B lottery takes place in March or April each year. Graduates with STEM (science, technology, engineering, and mathematics) degrees are eligible for three years of Optional Practical Training (OPT) after graduation, allowing their employers to apply for one lottery entry each year. Other graduates only get one year of OPT and one lottery entry chance.
Over time, the number of applicants has increased dramatically each year, making the chance of winning the H-1B lottery smaller, with a selection rate of only 14.6% in 2024.
For many foreign students hoping to stay in the US, the H-1B lottery process is often a challenging hurdle they must navigate.
According to the latest data from the US immigration department, over 70% of H-1B visa recipients are from India, followed by China (accounting for over 10%).