WASHINGTON – Reiterating the need for reforms to the H-1B visa program, Senator Chuck Grassley today asked Bill Gates his thoughts about the thousands of high tech visas going to foreign based companies while U.S. companies like Microsoft are left scrambling for qualified workers.
Following Gates’ testimony to the House Committee on Science and Technology, Grassley sent a letter to the former Microsoft CEO posing questions that he hopes will create a dialogue so that immigration laws can be reformed for the benefit of U.S. companies, workers, and taxpayers.
“Reforms are needed so that U.S. businesses – both large and small -- can find, recruit and hire the workers they need,” Grassley wrote to Gates.
Grassley has been working to overhaul the H-1B visa program and to close loopholes that employers have been exploiting. He introduced a comprehensive H-1B and L visa reform bill last year with Senator Dick Durbin that would give priority to American workers and crack down on unscrupulous employers who deprive qualified Americans of high-skill jobs.
Here’s a copy of the text of Grassley’s letter.
March 12, 2008
Mr. Bill Gates
Microsoft Corporation
One Microsoft Way
Redmond, WA 98052-6399
Dear Mr. Gates:
I am writing to follow up on the testimony you provided to the House Committee on Science and Technology today with regard to the importance of innovation in the and the need to keep pace with the global competition for talent.
I am particularly interested in your statements and Microsoft’s position on our immigration policies, specifically on the H-1B visa program. You stated that our immigration rules need to be revamped “so that companies can attract and retain the world’s best scientific talent.” You expressed opposition to the arbitrary cap on H-1B visas and implied that an unlimited number of foreign workers would be beneficial to the economy. You also advocated for doing away with the per-country visa limits and significantly increasing the number of permanent residency green cards available every year.
While I commend you and your foundation for contributing to organizations around the world, I’m concerned that some companies are more concerned about their bottom line than about the dire need to better educate and train American students and workers. The solution is not, in my opinion, importing more foreign workers. Rather, we must strengthen educational opportunities for ’s students and workers, as you noted. Such an investment will help reduce the trend in which 60% of students in U.S. STEM doctoral programs are foreign born.
Compete , the association representing Microsoft and other high tech companies, advocates for an unlimited supply of foreign workers. I should note that Compete America includes many of the foreign based companies that use the visa program. During the hearing, however, you stated that a limit may be necessary, contradicting your written testimony. Do you differ from the association in this regard? Should there be a limit to the number of foreign workers we import each year?
While Congress may set an arbitrary number on the visas allocated annually, I’m afraid that taking away this cap will simply benefit foreign based companies. According to an article in last week’s BusinessWeek, foreign outsourcers top the list of companies bringing foreign workers to the on the H-1B program. As noted in the piece, six of the top 10 visa recipients in 2007 are based in .
Senator Durbin and I made the same point about visa approvals in 2006. We found that the top nine foreign-based companies* in 2006 used nearly 20,000 of the available H-1B visas.
The top 20 users in 2006 were:
*Infosys Technologies 4,908
*Wipro 4,002
Microsoft 3,117
*Tata Consulting Services 3,046
*Satyam Computer Services 2,880
Cognizant Tech Solutions 2,226
*Patni Computer Systems 1,391
IBM 1,130
Oracle 1,022
*Larsen and Toubro Infotech Ltd 947
HCL American Inc. 910
Deloitte & Touche LLP 890
Cisco Systems Inc. 828
Intel 828
*I-Flex Solutions Inc. 817
Ernst & Young LLP 774
*Tech Mahindra 770
Motorola Inc. 760
*Mphasis Corporation 751
Deloitte Consulting 665
As you will see, Microsoft dropped in visa approvals in 2007 from 2006. In 2006, Microsoft was approved for 3,117 H-1B visas; in 2007, it dropped from third to fifth place and was only approved for 959 visas.
In your testimony, you stated that Microsoft was “unable to obtain H-1B visas for one-third of the highly qualified foreign-born job candidates that you wanted to hire.” Why did visa approvals decrease dramatically for Microsoft?
The statistics are clear. Thousands of visas are going to foreign based companies, leaving companies like Microsoft scrambling for qualified workers. How do you explain the fact that most H-1B visas are going to companies based outside the ? Do you think that increasing the cap, under current law, would actually benefit Microsoft and other companies? Wouldn’t companies benefit more if the program was restructured?
Answering these questions should lead you to the conclusion that the H-1B visa program is not working as originally intended. We need reform – not just the so called “reform” of increasing the visa supply as proposed by Compete . Reforms are needed so that businesses – both large and small -- can find, recruit and hire the workers they need. In addition to the questions I have already posed to you, I would like your insight on the following points:
· Do you believe that American workers both deserve and, under the law should have, the first chance at high skilled, high paying jobs in the ?
· Do you oppose increased enforcement of the program, including random audits of those that use the H-1B visas?
· Do you see bad apples using the program? Do you acknowledge that there are companies who undermine the system and pay lower salaries and/or benefits to foreign workers?
· Do you support efforts to make it more transparent for the taxpayers to view job openings and job vacancies that are filled by H-1B visa workers?
· Do you oppose efforts to require employers to better advertise job openings so that American workers can have a chance at the jobs before they are taken by foreign workers?
If we do not make changes to the H-1B program, foreign outsourcers will continue to import thousands of foreign workers to the detriment of businesses and workers. I urge you to look at the reforms in the Durbin/Grassley bill, S. 1035. For example, we would require all H-1B employers to make a good-faith effort to recruit American workers before hiring an H-1B visa holder. Raising the H-1B cap without this and other reforms will only hurt American companies and workers.
Reforms, increased enforcement, and better transparency will help put integrity back into the program. I hope you will consider these views and share your thoughts with me so that our immigration laws can be reformed for the benefit of companies, workers, and taxpayers.
Sincerely,
Charles E. Grassley
United States Senator