Want to Create Jobs, Let Them In!

“Don, I’d really like to hire this guy, but he needs his H1B and it will be pain in the neck, take too long and be expensive to get it all together in time for this project.”
That was a statement from my CIO, Dan Raju, about a developer he interviewed. I thought to myself, why is it so difficult to hire someone we want? I’ve written about this before but after seeing this article on Bloomberg.com, I had to bring it up again. Is it me or is it completely insane that we have some of the world’s best and brightest come here to the U.S. to study, but then we kick them out after they graduate? Why wouldn’t we want to keep that talent here in our workforce? Aren’t these likely good earners and taxpayers who would contribute to innovation in our economy? Don’t we need more taxpayers – a LOT more, to keep Social Security’s currently inverted pyramid from toppling over?
Now, there are some who think that jobs are scarce enough, why let more people in to compete for those jobs? The editors stated that a “survey by the McKinsey Global Institute found almost two-thirds of companies say they have ‘positions for which they often cannot find qualified applicants’, with management, scientists and computer engineers topping the list.” A Kauffman Foundation report found that in 2011 immigrants were more than twice as likely to start businesses as native-born Americans. A Duke University study found that immigrants helped start more than a quarter of the technology and engineering companies established in the U.S. from 1995 to 2005.” We have thousands and thousands of people who want to come to America to start businesses that can hire people here! The same urge to start fresh in a country with a level playing field – the urge that brought my great-grandparents here at the start of the 20th century, is alive around the world today. Should all these entrepreneurs-to-be move to Canada instead?
Immigration is always a wedge issue with our politicians. They spend too much time arguing over illegal immigrants for political points when they can actually be doing something to bring in some of the best and brightest to the US. The column also alerted me to legislation that I hadn’t even heard of: The Startup Act 2.0. “The Startup Act 2.0 would create a new visa for immigrants who graduate from U.S. universities with a master’s degree or doctorate in science, technology, engineering or math fields. It would also create an entrepreneur’s visa to enable immigrants with capital to start businesses and create jobs in the U.S.” This is definitely something that I think could help turn things around in our economy and our standing in the world. Let’s hope congress doesn’t fumble this opportunity.
Be good,
Don Montanaro
TradeKing Bigdog, Chairman and CEO
www.tradeking.com
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Comments
Follow commentsGreekFury posted June 06, 2012 (11:33AM)
I vehemently disagree with your H1b promotion and have already contacted my Congressional Representatives about Startup Act 2.0. We have a current unemployment and underemployment rate of between 14% and 25% depending on the source. Why would we be clamoring to bring in more foreigners, exactly? Isn't it enough we educate them thinking they'll return to their own country and fix the problems there so we don't have to offer more foreign aid? That is exactly how these education subsidies and policies were sold to the American people during the 60s.
What about the projected explosion in population growth over the next 30-40 years? Currently the estimate is 450 million people in the U.S. which will negatively impact our environment, and cause increased pressure on resources like fresh water (already a problem in California) and result in decreased standards of living for all.
Third, I'm more than a little frustrated with the cheap labor business lobby shoving their cost burdens on taxpayers. And yes, that includes legal immigrants who use social services at only slightly lower rates that illegal immigrants do. I am highly suspicious of these "studies" as they are often done to support this or that company's desire to bring in more cheap labor. Recall, if you will the scandal a few years ago about the immigration law firm which offered seminars to companies on how to skirt employment law to ensure H1b suitability.
I have worked with hundreds of immigrants in my career. One of them in my office is an accountant. I have never thought of accountants as something we don't have enough of or even in the "brainiac" category. Which is one issue: H1b is not "brainiac". It even includes a category for fashion models (H1b3) which certainly doesn't require a brain. In addition to those accountants and IT workers people like you are so fond of importing in times of high unemployment while simultaneously denying your fellow citizens like returning veterans opportunities, H1b's only requirement is a bachelors. Don't we have plenty of them here? And isn't this REALLY about supply and demand? Don't we have plenty of workers willing to work, but not at the rates offered? Surely, you understand the impact of price on a supply-demand curve? Many college grads here cannot compete because they have debt accumulated whereas those foreigners do not. I'd say that gives them an unfair advantage.
On top of that, in my experience immigrants have two strikes against them: 1) no language skills which is tough to fix because we consider it racist to make anyone actually learn English; 2) culturally-inbred chauvinism having originated in countries like India which have an ingrained caste system and condone sexism as part of their national identity. How do you propose to overcome these deeply anti-American cultural negatives? As a woman, I find this influx of imported chauvinism disturbing and offensive to American values like fair treatment. I don't want more of those attitudes here in the U.S. so American employers can get cheap labor.
Finally, the worst reason we could use to encourage more immigration is funding a doomed Ponzi scheme of government entitlements. I cannot believe you would suggest that. We need real reform, in our education system as well as government entitlements. THAT is what a brave and creative person would suggest, not some band-aid solution like Startup Act 2.0.
A healthy dose of skepticism about immigration myths is necessary if we're going to fulfill our obligations to American and be honest with ourselves about our current dire fiscal situation. Stop parroting the party line and start analyzing the data. Americans first, Americans last, Americans always!
LoanWolf posted June 06, 2012 (04:08PM)
My husband is an IT professional working over in Singapore because he can't find decent work here. In his field, firms find it cheaper to hire an H1-B contractor and in most cases, the contractor is getting additional pay from the host country or private sponsor. H1-B's are an excellent way to keep professional resources at an above the line cost without having to actually provide a complete employment package. These people come in from all over the world with a stack of degrees and credentials from various "institutions" but you get what you pay for. Many do not have a good command of the English language, our culture, and not a whole lot of experience. You get what you pay for.
My husband landed the job overseas because they needed some with a experience that also had excellent communication skills.
Sadly, our entire circle of friends have become "expats" because America needs to make it attractive for businesses to hire Americans.
My husband would love to have a good position here in the States, and I would love to have him here. We keep hoping that the business climate will change here and have been following Senator Grassley (R-Ia) position on the H1-B Visa program. He gets an earful from the thousands of highly skilled professionals in the science and technology fields that can't find jobs in this country because they are given to cheap foreign labor with H-1B credentials.
Haymore posted June 07, 2012 (12:37PM)
The McKinsey survey found almost two-thirds of companies say they have "positions for which they often cannot find qualified applicants . . .with scientists and computer engineers topping the list.”
One of the problems is the hiring process not the lack of qualified people. The kind of companies that McKinsey would survey almost always have a Human Relations Department that does the first cut. The disheveled dresser with a borrowed plaid sports coat wearing his only dress shirt (with stripes) who is a school dropout just will not survive the first interview no matter how good of programmer he may be.Starting with IBM in 1959 and a number of companies since that time I have worked with and trained hundreds of programmers and observed the work of thousands more.
From this experience the following deductions:
1. Good programmers can be made but Great Programmers born!
2. All, repeat all, great programmers are weird! The exception rule does not apply.
What is the chance that the following individual would be approved by HR?
High school dropout at age 16, worked number of odd jobs until age 18.
Then worked 12 years as a hard rock underground miner until the mine closed.
Graduated from a 6 month programming course offered by a private vocational school.
Had poor conversational skills and dress habits honed by years in a small mining town.
The HR answer of course is no chance at all.
I hired Louis based on personal interaction as the teacher for the vocational school. When the project that he was hired for was complete I made a personal recommendation to a manager of a county highway department who agreed to try him out as the sixth man in a programming department that was always late on projects. Within two years Louis was head of the department, four of the other programmers had been transferred or let go and Louis was given free rein to attend whatever classes he wished in order to keep busy and interested. Oh yes, projects were on time, and ran correctly.
The manager that hired him was thought to be a miracle worker since his department was run so well and slightly under budget. Even though Louis was now making as much money as his nominal boss and spending significant dollar amounts flitting about the country attending classes.
Louis was one of the top 5 programmers I have ever known.
incubus posted June 10, 2012 (08:16PM)
That DOES NOT mean Don is doing this, I still believe many of these people have great work ethic, they bring a lot to the table here.
I know more than my share of Indian professionals, here as H-1B sub-contractors who go home to India when they need substantial healthcare at a fraction what we pay here for surgeries and other more advanced procedures.
They skip buying health insurance here and this is often incorporated into their wage requirements.
I can't blame them for capitalizing the system, but fair is fair.
Instead, we should ease immigration, open the floodgates of talent while keeping it fair for everyone.
Once a citizen, they play by the same set of rules and standards, ultimately merit wins the job, not cost cutting loopholes or unfair advantages.
incubus posted June 17, 2012 (09:58PM)
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