In a little less than six months, the Immigration and Naturalization Service (INS) has run out of its annual allotment of 115,000 H-1B visas which have been utilized by many high-tech firms—including visual effects and computer animation studios—to help offset what they contend is a shortage of qualified American workers. The allocation was supposed to last a full year, from Oct. 1, ’99 through this September.
At press time, the INS had granted some 74,300 H-1B visas during this current fiscal year, with another 45,000 applications pending. The INS stopped accepting new petitions for visas last week (3/21).
This is the second consecutive year since the visa quota was raised that the cap has been met ahead of schedule. In ’99, the limit of 115,000 was reached in mid-June, nine months into that fiscal year (SHOOT, 6/25/99, p. 1).
Enacted in ’98 (SHOOT, 10/23/98, p. 1), the original legislation—which had widespread visual effects/CG industry support—increased the annual number of available H-1B visas from 65,000 to 115,000 in each of the two following fiscal years: Oct. ’98-Sept. ’99, and Oct. ’99-Sept. ’00. The law will then reduce the number of H-1Bs to 107,500 in fiscal year Oct. ’00-Sept. ’01, before returning to the original 65,000 limit in fiscal year Oct. ’01-Sept. 02.
The rationale behind temporarily raising the cap was to provide a short-term fix so that high-tech companies in the U.S. could maintain a full complement of skilled staffers until more homegrown talent is developed. Assorted effects/CG houses have sought foreign talent to fill positions for which, they claimed, skilled American workers couldn’t be found.
Both supporters and opponents of the increased visa allotment seem to agree that the long-term solution is to commit more resources to the U.S. educational system so that it can turn out a workforce with the necessary technological and artistic skills called for in the new millennium job market. But the question remains: How long is temporary? Progressive reform in public and higher education may not immediately translate into a significant enough increase in qualified homegrown artisans.
On Capitol Hill, several measures have been introduced that would increase the cap for H-1B visas. For example, Rep. David Dreier (R-CA) is sponsoring a bill, H.R. 3983, that would raise the annual allotment to 200,000 visas for each of the next three years. The measure was introduced to the U.S. House of Representatives and referred to a House committee on March 15. A SHOOT phone call to Dreier’s office in Washington, D.C., had not been returned at press time.
H.R. 3983—dubbed the Helping Improve Technology Education and Competitiveness (HITEC) Act—also addresses long-term issues by calling for the Secretary of Commerce, through the National Institute of Standards and Technology, to offer grants to eligible business entities (which may include government and education representatives) to assist public schools in improving mathematics, science and technology education. Such grants would be used to fund teacher training, technology support and resources, and the hiring of specialized teaching personnel.
Through this partnering with public schools, businesses that demonstrate the strongest commitment to upgrading math, science and technology curricula would receive recognition via a HITEC awards program.
Furthermore, the HITEC measure would launch a pilot program whereby certain aliens who are completing a post-secondary degree in mathematics, science, engineering or computer science in the U.S. may have their non-immigrant status adjusted to permit stateside employment for up to five years in such fields.
Critics of the H-1 B program have contended that employers are seeking ways to gain lower cost labor. However, under the ’98 law which increased the visa cap, companies are required to pay foreign workers the prevailing U.S. wage as well as fringe benefits.
"We need to make the public aware of the importance of well trained immigrants to the economy and national security of the U.S.," said John Hughes, president/CEO of visual effects/CG/ live-action house Rhythm & Hues Studios, Los Angeles. "A recent study showed, for example, that of all the IPOs [initial public offerings] in Silicon Valley, 20 percent were started by Chinese immigrants and 10 percent by Indian immigrants. That means the overall total for immigrants [who have initiated Silicon Valley IPOs] could run as high as 40 or 50 percent.
"Skilled immigrant talent is an extremely important factor for any high-tech company, including high-tech entertainment companies—not only in terms of obtaining H-1B visas but also green cards," continued Hughes. "After six years [in the U.S. on an H-1B visa and then a visa renewal], workers need to apply for a permanent residency green card which is more difficult to obtain than the H-1B. I think we need to look seriously at ending limitations on H-1Bs and greatly simplifying the procedure for gaining permanent residency."
Hughes believes this is imperative, particularly with a U.S. public school system sorely in need of reform. Hughes has been a long-time advocate of committing greater resources to education in the arts and technology, which, he said, will ultimately help create a deeper talent pool of qualified American workers.
