3 ms·

Summary: 1. Spouses of certain H1-B holders were allowed to work, without restrictions 2. The restriction part is worth talking about. H1-B ties you to an emp

Summary: 1. Spouses of certain H1-B holders were allowed to work, without restrictions 2. The restriction part is worth talking about. H1-B ties you to an employer, the H4-EAD doesn't. Along with that comes portability, and freedom - things that should not affect wage depreciation. So - the proposal is to take away work privileges from honest, legal, tax paying individuals that (in theory) do not contribute to wage depreciation. At a time when social services are stretched, and with record low-unemployment, this seems like a bad idea for America, and lost tax wages for the government

moonka 8y ago
I suspect the real motive is to make an H1-B less attractive to the holder. If your spouse wants to work but can't, it's a hard sell to get them to move with you.
dragonwriter 8y ago
> Spouses of certain H1-B holders were allowed to work, without restrictions Specifically, those with approved petitions for permanent residency but who have not yet become permanent residents (because they are from a country where the per-country per-year visa limits in their immigration category have created a backlog.) > So - the proposal is to take away work privileges from honest, legal, tax paying individuals that (in theory) do not contribute to wage depreciation. Why would you think that they are exceptions to the rule that added supply reduces market clearing cost? > At a time when social services are stretched, and with record low-unemployment, this seems like a bad idea for America, and lost tax wages for the government The idea is to make the conversion to permanent residence (and H-1B status itself) less attractive and get immigrants to voluntarily self-deport. It's a great idea if you are a xenophobic nativist, and it might have some small short-term benefits in terms of wages in some fields, until the jobs move overseas to follow the workers chased out.
- mankash666 8y ago
  "Why would you think that they are exceptions to the rule that added supply reduces market clearing cost?" Wage deprecation (allegations) from H1-B isn't from an increased supply. It's from the lack of portability once employed. Optimally, every 3-5 years, a jump would result in higher wage growth than working for the same employer. The H4-EAD allows for free movement, alleviating this one sub category of wage deprecation.
  - dragonwriter 8y ago
    > Wage deprecation (allegations) from H1-B isn't from an increased supply. So, you think H-1B as well as H-4 EAD are exceptions to the basic dynamics of supply and demand? Even if you assume the immigrants involved have the same distribution of salary demands as the general American workforce, adding them to the domestic labor supply decreases market clearing costs for labor of the type they are available to do, all else being equal. (Of course, if they have lower salary demands, this is even more pronounced without a prevailing wage rule, which H-1B has but H-4 EAD does not.)
    - mankash666 8y ago
      So you think the H1-B is a scheme to suppress wages with oversupply? The H1-B's aim is to fill a shortage of skilled labor. Annual caps exist explicitly to control supply and prevent wage depreciation. The thing that wasn't accounted for was captivity of H1-B holders from certain countries who'd applied for their greencard. Given the long wait times, they are effectively enslaved to their employer. With reduced portability comes reduced wage increase

moonka 8y ago

I suspect the real motive is to make an H1-B less attractive to the holder. If your spouse wants to work but can't, it's a hard sell to get them to move with you.

dragonwriter 8y ago

> Spouses of certain H1-B holders were allowed to work, without restrictions Specifically, those with approved petitions for permanent residency but who have not yet become permanent residents (because they are from a country where the per-country per-year visa limits in their immigration category have created a backlog.) > So - the proposal is to take away work privileges from honest, legal, tax paying individuals that (in theory) do not contribute to wage depreciation. Why would you think that they are exceptions to the rule that added supply reduces market clearing cost? > At a time when social services are stretched, and with record low-unemployment, this seems like a bad idea for America, and lost tax wages for the government The idea is to make the conversion to permanent residence (and H-1B status itself) less attractive and get immigrants to voluntarily self-deport. It's a great idea if you are a xenophobic nativist, and it might have some small short-term benefits in terms of wages in some fields, until the jobs move overseas to follow the workers chased out.

mankash666 8y ago
"Why would you think that they are exceptions to the rule that added supply reduces market clearing cost?" Wage deprecation (allegations) from H1-B isn't from an increased supply. It's from the lack of portability once employed. Optimally, every 3-5 years, a jump would result in higher wage growth than working for the same employer. The H4-EAD allows for free movement, alleviating this one sub category of wage deprecation.
- dragonwriter 8y ago
  > Wage deprecation (allegations) from H1-B isn't from an increased supply. So, you think H-1B as well as H-4 EAD are exceptions to the basic dynamics of supply and demand? Even if you assume the immigrants involved have the same distribution of salary demands as the general American workforce, adding them to the domestic labor supply decreases market clearing costs for labor of the type they are available to do, all else being equal. (Of course, if they have lower salary demands, this is even more pronounced without a prevailing wage rule, which H-1B has but H-4 EAD does not.)
  - mankash666 8y ago
    So you think the H1-B is a scheme to suppress wages with oversupply? The H1-B's aim is to fill a shortage of skilled labor. Annual caps exist explicitly to control supply and prevent wage depreciation. The thing that wasn't accounted for was captivity of H1-B holders from certain countries who'd applied for their greencard. Given the long wait times, they are effectively enslaved to their employer. With reduced portability comes reduced wage increase