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That addresses one aspect, but fails to address the issue that the supply of workers has increased, placing downward pressure on wages.
by dougabug 11y ago
That addresses one aspect, but fails to address the issue that the supply of workers has increased, placing downward pressure on wages.
- yummyfajitas 11y agoWell, it puts downward pressure on wages at the top and upward pressure on wages at the bottom. I.e., it reduces inequality. Isn't this a good thing?
- dougabug 11y agoIncreasing the supply of labor puts downward pressure on labor costs in general, most specifically at the tier of labor where the labor pool is expanded. The article states that most of the labor imported is at the entry/journeyman level. Driving down the wages of less senior tech workers allows companies to target more dollars to elite talent and executives, so I don't see how inequality is reduced in this instance. Arguably importing more O-1 workers might have the effect you describe.
- yummyfajitas 11y agoInequality between the US and India is vastly larger than inequality within the US. This inequality is reduced by immigration.