Musk, Trump, and H-1B Debate: Elon Musk’s assertion that there is a serious lack of highly qualified engineers in the US rekindled the discussion about immigration policy. In a post on X, formerly Twitter, the billionaire suggested immigration as the solution, drawing a comparison between hiring internet companies and hiring professional athletes. Musk cautioned, “America will lose if you force the best talent in the world to play for the other side.”
Musk’s remarks raised awareness of a contentious issue that divides lawmakers and business leaders. According to a CBS News report, despite Musk and other tech CEO’s support for attracting foreign talent, critics claim that the H-1B visa program reduces salaries and displaces American workers.
Data on the US Tech Workforce Disproves Claims of a Shortage
Facts about the labor market do not fully support Musk’s claims of a skills shortage. The National Center for Education Statistics reports that the number of computer science and engineering graduates in 2020–22 hit all-time highs. Furthermore, according to Department of Labor data cited by CBS News, the Bureau of Labor Statistics projects a 7% increase in employment in the tech and engineering sectors by 2033, but earnings in these sectors are essentially unchanged.
Median salaries for computer and math-related jobs grew by a meagre 0.27% between 2019 and 2023 after taking inflation into consideration. The same period saw a 3.53% decline in engineering and architecture salaries. According to experts, a real labor shortage would have resulted in higher wages.
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H-1B hiring is dominated by tech companies
According to CBS, IT companies stand to gain the most from the H-1B program. Amazon was the company that received the most H-1B visas in 2024, according to data from the Department of Labor. The top employers of foreign-born workers were listed as Tesla, Google, Microsoft, and Meta. Software development positions are the most common among H-1B grantees and are typically filled through the program.
Critics counter that many of these jobs don’t call for specialized skills. Routine tasks like product testing are part of some of the jobs that H-1B workers perform, according to RonilHira, a political science professor at Howard University. Consulting firms like Cognizant, Tata, and Infosys also use the program to provide a steady stream of contract workers to big IT companies.
Hira claims that these businesses are driven to hire workers who are willing to accept lower pay because their business models depend on reselling labor, as reported by CBS.
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Uncertainty in Policy during the Trump Administration
The future of the H-1B program is still unclear under Donald Trump. Despite having previously placed restrictions on the program, Trump has praised its ability to attract talent from around the world.
According to Trump’s recent interview with The New York Post, H-1Bs are a “great program.” Musk, a close adviser to Trump, pledged to back increased immigration. Whether the Trump administration would tighten visa requirements or expand access is uncertain.
