Dem
47
GOP
53
Once in a blue moon, Donald Trump does something that is actually good for workers, even if it isn't for the workers that happen to support him. He has suddenly imposed a $100,000 annual fee on H-1B visas—despite the fact that only Congress can change visa programs, so the courts will probably nix his plan.
While this is a bit weedy, it is important. Here's the deal. H-1B visas are only for highly skilled foreign workers that can't be found in large enough quantities in the U.S. Companies that want to hire a foreigner use H-1Bs to fast track immigrant approval. Applicants must have at least a bachelor's degree and special expertise in engineering, mathematics, medicine, finance, education, law, or some other field. In other words, they must be highly educated professionals. The company sponsoring the application must also claim it can't find Americans with the requisite skills. Companies can't get H-1Bs for bus drivers.
That, at least, is the theory. The reality is different. Computer programmers from India are willing to work for much less than American computer programmers, etc. Consequently, companies use the H-1B to avoid having to pay the market rate for personnel. Over 70% of last year's crop of H1-B visa holders were from India. After the news hit and there was a storm of protest, Trump relented a bit and said the fee will not apply to current H-1B visa holders.
It is true that the $100K annual fee will greatly discourage companies from using this trick and will probably result in skilled Americans being able to negotiate better salaries for themselves if there is no competition from foreign workers from India and China. This new rule will definitely help American workers—but only those with a college degree looking for highly skilled jobs paying well into the six figures. Very few of Trump's supporters will get much help here. Some young Democrats might get a salary boost, though, as a result of Trump's move.
Secretary of Commerce Howard Lutnick said: "Stop bringing in people to take our jobs, that's our policy. All of the big companies are on board. We've spoken to them about the gold card and this." Wrong on three counts. First, the implication that the jobs being taken by H-1B workers will now go to Trump's supporters is largely wrong. They will go to highly educated people, most of whom are now Democrats. Second, big companies make great use of H-1Bs to suppress wages. They are going to be furious about suddenly having to pay an American $150,000 to do some job instead of paying an Indian $75,000 (who will now cost the company an additional $100,000 to the government). Third, the "gold card" has nothing to do with hiring workers at all. It is a program in which rich foreigners who are worried about their local political situation can buy a green card for $1 million. This program will raise some money from wealthy Chinese businessmen in Taiwan who are worried about a Chinese takeover and want to come to the U.S. It is a much worse scheme than Canada has. There, rich foreigners who have at least $300,000 cash and a business plan that will hopefully result in creating three jobs can get a temporary visa and work permit for a few years. You want to open the first Chinese restaurant in some town out in the boonies of Saskatchewan? OK, you can try. If the business succeeds, the immigrant can get permanent residency. Trump's golden visa program simply allows a foreigner to buy a green card for $1 million. The immigrant need not start a business or create jobs. It's always about the money, not about the country, or even Trump's supporters.
To top it off, Trump is working on a "platinum" card. For a mere $5 million, an immigrant will get a green card and not be taxed on foreign income. Lutnick said the gold card program will raise $100 billion annually and the platinum card will raise $1 trillion. Let's do some math. To raise $100 billion at $1 million a pop, there would have to be 100,000 rich foreigners so desperate to leave their country that they will pay $1 million to do so. The platinum card idea is even nuttier. To raise $1 trillion at $5 million per person, there would have to be 200,000 people who want one and can afford it. Lutnick apparently thinks there are more Russian oligarchs, Saudi sheikhs, and Hong Kong billionaires than we think there are. Or he is assuming that among Trump's base, all numbers larger than 100 are lumped together in the category "big" and they won't be able to do the math.
These programs will be extremely divisive within Trump's base. Steve Bannon and Laura Loomer DO. NOT. WANT. MORE. IMMIGRANTS. Not even Russian oligarchs paying $5 million for an admission ticket. They do not like them, Sam-I-am. (V)