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Wage discrimination based on visa status is illegal, though. Before a company petitions for an H1-B on behalf of a foreign worker, they first have to apply for a labor certification showing that the worker's wage is close to the mean wage for that job title in that region.

What is most likely happening is that once the foreign workers get their H1-B visas, they are denied raises and bonuses. And since their staying in the US is contingent upon their employment, they don't have much negotiating power.

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Wage discrimination based on visa status is illegal? No it's not. Theoretically employer must pay "prevailing wage" ( legal types conveniently ignore the fact that increasing the supply of labor lowers the price of labor - Econ. 101, supply and demand, check it out ...). There's nothing preventing an employer from saying, "well I'm paying what I think is the 'prevailing wage'. I have two "equally qualified" employees: one a U.S. citizen and the other a guest worker visa. I'm giving a bonus to the citizen but not the guest worker".

Welcome to global labor arbitrage, specially targeted at your profession. Big software wins. You lose!

<< There's nothing preventing an employer from saying, "well I'm paying what I think is the 'prevailing wage'.>>

The employer does not determine what the prevailing wage is. The US Department of Labor does. Prevailing wage = the mean wage for that position in that region.

That is correct. The prevailing wage amount was clearly listed on my h1B application form and there is no way legally they can pay you less than that.

But there are a 100 ways around it. In fees, expenses, supplying you housing and a car as part of the deal, or simply not paying you what it says on the W4.

You don't like it? You're fired - now you have 12hours to get out and to the airport before we call the INS

You realize that the INS hasn't existed for 9 years? If you're going to run on old stereotypes, keeping the lingo up to date might help.

Like KGB->FSB? New name, same friendly service!

Want a job you are qualified for? Too bad, born in wrong country.

Welcome to global labor protectionism. American guy wins, you lose.

There's nothing preventing Microsoft or Oracle from doing the work else where.

There are just about zero limits on capital mobility.

Here's the list of biggest H1B employers ...

http://www.businessweek.com/table/08/0305_h1b.htm

Read'n'weep.

Infosys, Wipro, Satyam, Cognizant, Microsoft,Patni ....

Overwhelmingly outsourcing firms and one owned by the richest convicted monopolist in the world.

There's no evidence that H1-B is necessary and it's a ripoff of American labor.

Sure, but why would an american advocate that Microsoft spends its dollars in another country? Wouldn't it be better for american economy if that person could migrate to US, earn big bucks, pay taxes on those bucks and spend the rest of the income buying goods and services from other US residents, propping the whole economy up?

As an aside:

Bill Gates doesn't own Microsoft.

Bill Gates is not Microsoft therefore he isn't a monopolist.

You cannot be "convincted" of being a monopoly. Monopoly is a state of being, not a criminal act. Microsoft was found to violate Sherman Antitrust Act of 1890. Which, of course, has no more bearing on the discussion of H1B visas than the fact that it provides gainful employment to 92 thousand of people, most americans (i.e. a good thing).

"propping the whole economy up" ?

But that isn't what big migrations of guest labor has brought us ....

Median income is stagnant. It clearly lags GDP growth. http://economistsview.typepad.com/economistsview/2008/09/gdp...

The rich are getting richer on this deal and that includes Bill Gates (who may or may not be the multi-billionaire chariman of Microsoft and largest stockholder).

Regardless, if this hypothetical "person who could migrate" is so good, he'll earn big bucks and pay taxes and spend his income on services and goods ... some of which will come from America. If we need tax money so bad in order to "prop up the whole economy" then maybe we can have some modest import taxes like we did for the first 160 years of this country.

This "trickle down" theory using Guest Workers doesn't seem to be working for dedicated American Moms and Dads.

To put it in perspective: Grow the damn tomatoes in Mexico, no need to subsidize California agriculture. Pay the local pickers the market rate.

"I'm giving a bonus to the citizen " But that has nothing to do with visa status. Many employers choose not to give bonus to US citizens as well. Bonuses these days are something that you should feel lucky if you actually get any.

Before a company petitions for an H1-B on behalf of a foreign worker, they first have to apply for a labor certification showing that the worker's wage is close to the mean wage for that job title in that region.

Those mean wages are way, way off base though. When I first arrived in New York three years ago the mean wage provided by the certification was $45,000. I do not know a single developer on a salary that low.

We've got a few where I work - Washington DC, with top secret clearance. 45K is about right.