The Great Debate
03:59 November 27th, 2008

Fix immigration by next Thanksgiving

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diana-furchtgott-roth1– Diana Furchtgott-Roth, former chief economist at the U.S. Department of Labor, is a senior fellow at the Hudson Institute. The opinions expressed are her own. —

The first Thanksgiving festival was celebrated in 1621 in Massachusetts by the Pilgrims, immigrants to America, out of gratitude for a plentiful harvest.

As we sit around our Thanksgiving tables this Thursday, almost all of us immigrants or their descendants, we’re reminded that one of President-elect Obama’s most important challenges will be to mend our broken immigration policy.

Instead of a rational immigration system, we have occasional raids by immigration officers on plants suspected of employing illegals. Then come deportations that may separate an undocumented parent and children whose birth in the United States made them citizens.

The most controversial facet of the immigration challenge is what to do about the estimated 12 million undocumented immigrants. Most are unlikely to return to their native lands, even in today’s tough economic climate.

Nor would we want them to do so. They work at jobs that few Americans choose to do, both in high-skill area—scientific and medical research, for instance—and in mundane yet essential low-skill jobs, such as gardening, washing cars, and cleaning.

In 2007, Congress did not pass President Bush’s comprehensive immigration proposals, supported by the Democratic leadership and many Republicans. Will Obama succeed where Bush failed?

Obama’s proposal mirrors the bill that failed: increased border protection; more visas for new immigrants; penalties for employers who hire undocumented workers; and eventual citizenship for undocumented workers already here, after payment of a fine. It would be a major improvement.

But with unemployment rising, if Congress won’t pass immigration reform, it could still improve the functioning of American labor markets with narrower action. It could authorize the Department of Labor to decide on its own the number of work permits and temporary visas to be issued each calendar quarter.

Every year, the U.S. Citizenship and Immigration Services (USCIS), as instructed by law, issues 65,000 H-1b temporary visas for skilled workers. These lucky workers are certified by the Labor Department out of approximately 630,000 approved applications from employers. Immigrants who hold H-1b visas must return to their home countries when their jobs end.

Yet, as the numbers show, most applicants do not get a visa. Many skilled foreign college graduates who have been studying in America, often at American taxpayer expense, are denied access to American jobs. They must leave, taking their intellectual achievements and valuable skills with them.

Foreign workers benefit the American economy. They pay taxes. They keep laboratories and motels, high-tech shows and construction sites, running. They cannot if they are sent away.

For 2009, the H-1b visa cap of 65,000 was reached one week after the start of the application process on April 1, 2008. That represents a tiny part of the U.S. labor force of 154 million. Even if the quota were raised to 150,000, that would be less than one tenth of 1% of the labor force. Such a quota would still deny admission to the vast majority of prospective applicants who don’t apply due to the small likelihood of success.

Whereas Congress is ill-suited to change laws each time the economy goes up or down, the Labor Department has both the expertise to evaluate changing labor markets and the flexibility to adjust visa quotas. Congress should consider letting the Labor Department make quarterly decisions about how many visas to issue.

When unemployment rises, the Department would issue fewer visas; when it goes down, visas could be increased. The Department could manage visas without causing undue burden on U.S. workers or community facilities, such as schools and hospitals.

Allowing the Labor Department to adjust legal immigration every quarter would help America. President-elect Obama could leave behind the rancor and division over immigration that have plagued the Bush administration, and set a new tone for a new year. That would be something to be thankful for next Thanksgiving.

Diana Furchtgott-Roth can be reached at dfr@hudson.org.

Best Comment

November 27th, 2008
12:36 pm EST
I question if Americans really don't want to do the jobs that these immigrants perform. But really that is a side issue. The main concern is whether or not we should be support illegal immigration. Nobody would question the importance of immigrants to the workforce - particularly if there is a lack of labor in certain key areas. I am just not certain why we turn a blind eye to illegal immigration. Apart from being fair to those who work legally, I am also concerned by the mistreatment of employees who might have poor communication skills and a low level of education.
-Posted by Don

122 comments so far

November 27th, 2008 3:57 pm GMT - Posted by steve

the biggest problem with immigration is it does increase the us population faster then the economy. if they employers need labor the welfare and unimployment systems need to be exhousted before imigrant labor. also wages must support “cost of living”. massive profits wont be possible in a workable system.

November 27th, 2008 3:27 pm GMT - Posted by Numen

There are no high skilled jobs that American workers choose not to do and the claim there is is a cruel joke made by someone who never got laid off their high tech job so they could be replaced by a guestworker, as nearly a million Americans have already.

The purported excess of H1B applications is the result of using a lottery to determine who gets approved, and would disappear if they used an auction instead of a lottery so people could no longer game the system by submitting multiple applications.

The author is incorrect that H1Bs must return home. The H1B is a dual intent visa and most apply for green cards, which is one reason so many want to come. If she gets such an obvious fact wrong, the rest of her claims are rendered suspect. Those who stay just add to the growing numbers of workers chasing fewer and fewer good jobs and lower wages for all (except the corporate execs who get huge bonuses for replacing Americans with cheaper foreign labor).

Why is the author trying to bring more cheap labor into this country at a time when huge numbers of Americans are newly unemployed, adding to those of us who already got displaced by guestworkers earlier?

November 27th, 2008 2:58 pm GMT - Posted by Beth

MYTH: America has “uncontrolled” and “unprecedented” immigration.

While the immigrant population is the highest it’s ever been in absolute numbers, it isn’t so when compared to the equally increasing total U.S. population. Since the beginning of the 20th century, the percentage of immigrants has fluctuated within 5-15% of the U.S. population. As of 2006, immigrants are 12% of the U.S. population. (U.S. Census Bureau, “Historical Census Statistics on the Foreign-born Population of the United States: 1850-1990.” February 1999, and Pew Hispanic Center, “A Statistical Portrait of the Foreign-Born Population at Mid-Decade.” October 2006)

I have to laugh when I see people defend our poor teenagers without jobs. The reality is, we have raised a generation without work ethics that thinks service with a smile should come with a 401K and a company car.

We need immigration reform. As a conservative, I was proud to see most conservatives voted with me in nominating John McCain and rejecting other hostile candidates. Sadly, once red states turned blue - coincidentally where the immigration rhetoric and raids have been most bitter: Virginia and Iowa, to name a couple.

November 27th, 2008 2:41 pm GMT - Posted by Roger

Its time for us as a nation to get real about immigration:
1) Under the present rules, Big Business is the primary beneficiary. The american taxpayer, as usual, foots the bill.
2 The people that qualify under the H1-B visa can’t realistically be compared to the total workforce of 154 million. The H-1b applicants are competing for jobs from the much smaller skilled worker pool.
3. Perhaps its also time to rethink the foreign student program. Most universities regard them as a source of revenue. How about giving more US students a chance? There is a much better chance they will remain in the US.

November 27th, 2008 2:34 pm GMT - Posted by Reader

Consider the world as a whole. Voluntary and involuntary slavery co-exist as long as human exist. Mercy is the hope to ease the pain. There is no cure but applying the pain-killer.

November 27th, 2008 2:13 pm GMT - Posted by HaroldB

The U.S. has over 300 million people. The cities and roads are packed. Housing is still so expensive that I can’t own one where I grew up in California. Unemployment is far greater than the government admits to.
The REAL reason certain elements clamor for more foreign workers is to suppress wages and enhance corporate profits.
Unless one is part of the wealthy 2%, I can’t see this strategy as beneficial.

November 27th, 2008 2:07 pm GMT - Posted by Kim Berry - Programmers Guild

The problem with Diana Furchtgott-Roth’s proposal is that, as a “former chief economist at the U.S. Department of Labor,” the DOL would be based their decision from the “globalist ivory tower’ that utterly disregards the impact of H-1b on U.S. workers.

First Diana slimes the stats to make it appear that the H-1b impact is statistically insignificant. The “tech sector” impacted by H-1b is comprised of only about 3,600,000 workers. Over the past 6 years over 600,000 H-1b workers have flooded into this sector, displacing hundreds of thousands qualified American tech workers out of their professions. The largest users of H-1b are Indian consulting firms that, by bringing in H-1b labor at 25% below market wages, are able under-big U.S. consulting firms for public and private sector contracts.

Why does Diana not address this? By reforming the H-1b program to only be used in cases when “no qualified Americans are available,” the 65,000 cap would never be reached, and her arguments would be moot.

The testimonials at http://www.HireAmericansFirst.org support this harm by H-1b.

Given the massive tech and financial (that employ IT workers) over this year, the only quota that makes any sense in SUSPEND THE H-1B PROGRAM until the economy and job market recover.

As president of the Programmers Guild I challenge Diana to a debate on this issue. Meanwhile get the facts at our website.

November 27th, 2008 1:57 pm GMT - Posted by Bluz

Fix immigration means “reward the criminals”

Maria Hernandez lives in Mexico City and has petitioned the U.S. for legal immigration. She has a degree in chemistry and has advanced science as well as saved a considerable amount of peso’s. Her application has been declined over and over.

Ester Martinez lives in Santa Ana, CA. She has entered the U.S. illegally and has had a baby here although she could not pay the hospital. Her employer pays her cash and she pays no income tax. She did not finish high school and has had no academic achievements.

“Fixing immigration” means Ester gets to stay and Maria can just try again.

What is wrong with this picture?

November 27th, 2008 1:55 pm GMT - Posted by jeremy

immigrant workers, especially mexican ones, lower the bar, they work longer and harder for less, they are akin to wal-mart for small business’s. why hire an American when you can hire 5 Mexicans who will work twice as hard because their economy is worse. I am a reasonable accepting person who holds no prejudice, this is simply how it is.

in the case of Mexico, they are one of the poorest countries in the world. right next door to the richest. if you have ever crossed the border you know that it goes from rosy American houses and well paved streets to complete desolation and poverty, within 100ft.

if we only give them the incentive to come here and solve their problems, Mexico will not only remain poverty stricken, but will loose more and more of it’s population and flood our country with desperate and uneducated people, some of whom can’t or even refuse to learn english.

i say bolster the borders.
this is not 1880, we are full and our cities are rife with gangs and poverty. there aren’t enough jobs right now, and to change immigrant law according to unemployment rates is quite frankly absurd, it would be like a sick game of red light green light.

so for now, keep the red light on.

as a side note, the “jobs nobody wants to do” comment is insulting to people who do these jobs, some people don’t want the crazy go go lifestyle and only want to work out a modest living and be free.

November 27th, 2008 1:55 pm GMT - Posted by Bullfighter

Correction for story: The American Outrage

I was shocked to learn how much help our own religious organizations give these infiltrators. A 2008 Annual Report of the Catholic Campaign for Human Development showed ((hundreds)) of thousands of dollars being funneled to organizations that help only Latino immigrants. I checked further on the earlier years of this report to discover that this practice has been going on for years. As if no American poor existed.

November 27th, 2008 1:41 pm GMT - Posted by Bullfighter

THE AMERICAN OUTRAGE!

If you want to see how far the “immigrants” have reached into our society, just look at all the organization that have been invented to help the poor “immigrant” while ignoring America’s resident poor. Even the veterans have been betrayed by these collaborators who look after their own.

Since when has the majority of the poor become Hispanic/Latino/Mexican or any of the other phrases designed with the sole purpose of creating another catagory to feed.

Let the fact show that Mexico has a population that is less than 2% of the population of the World, that if you took all of what is considered Latin America, it still wouldn’t amount to more than 8% of the World population. These are UN statistics.

Yet , the longer we allow these people to cross our borders, the more corrupt and evil our own society becomes. Mexico has admitted that they can no longer control the drug gangs in their country and these people use our borders as a revolving door.

Our economy is in serious trouble due to all the resources that leave our country undercover of “money sent home” by “poor hard working immigrants”. Billions and billions of dollars that could have proped up this sagging economy are missing. Gone south of the border.

The only solution is to cut off all aid to the countries where these “immigrants” are from and hold those countries responsible for their own people’s action when on this side of the border.

Next, remove all funding of “immigrant” groups and their collaborators on this side of the border.

I was shocked to learn how much help our own religious organizations give these infiltrators. A 2008 Annual Report of the Catholic Campaign for Human Development showed tens of thousands of dollars being funneled to organizations that help only Latino immigrants. I checked further on the earlier years of this report to discover that this practice has been going on for years. As if no American poor existed.

One of those organization boasted on how they managed to raise the $7/ hour rate for day labor to $13/ hour. This is no longer cheap labor as immigrant groups always wave under the nose of businesses.

Charity begins at home! I propose that our US government start showing loyalty to those families who fought for this country. That American families of veterans come first. That “FEED AMERICANS FIRST” be a pledge that the US show it’s citizens before one dollar is spent on foreigners.

November 27th, 2008 1:35 pm GMT - Posted by Jason

“Immigration reform will only better our Economic woes, Think about this, if only 50 % of the undocumented buy houses, cars, appliances, open bank accounts, pay Taxes, How many TRILLIONS that will bring into the economy?”

I agree with this comment 100%, the boost to the economy will be enormous. You are forgetting the $1000 or more they will have to pay as a fine for being here illegally.
Give them the driver\’s license and think how many will purchase cars. This is better that a bailout for the auto makers.

November 27th, 2008 1:34 pm GMT - Posted by Louise

I thought the first Thanksgiving was because the native indians saved the early settlers from famine and starvation, not because of a plentiful harvest.

November 27th, 2008 1:32 pm GMT - Posted by jeremy

Thank you Mr.Bush! Immigration what a joke no more student visa for one. and with a cost more then a Us passport and a 12 week wait just to walk in the US Embassy office and ask for one to be told no is what happend to my friend and I a US Citizen went with him to the US Embassy to ask to sponsor his visitors visa and we both where treated like dirt! It made me ashamed to be a american!

November 27th, 2008 1:25 pm GMT - Posted by Jane

The argument presented here argues that immigration has only 1 goal: to benefit employers by keeping labor costs down, and therefore by induction, benefitting the economy as a corollary.

No other country in the world practices an immigration policy like this.

This is why we need change. It’s absolutely immoral to purely benefit employers at the expense of workers and labor.

November 27th, 2008 1:24 pm GMT - Posted by UsedToPostHere

Cheap Labor is never good for an economy, unless you like an economy without upward mobility and a whole lot of poor people in it.

This looks more like the Dark Age that falls between two Empires. Got Serfs?

November 27th, 2008 12:52 pm GMT - Posted by louba

Adam is right on the money. The ability of businesses to employ illegals for cash has to somehow be stopped. Those workers are completely off the radar, provide no direct benefit to the US tax base, and - along with any dependents present - are a financial strain to our health care facilities and public school systems. Except for subsistence, most of their money will go back to relatives in their home country.
While it is unfortunate that a majority of illegals are only trying to make a living - they have knowingly violated the law and should NOT BE GIVEN CONSIDERATION for permanent residence or citizenship simply because there is a LONG LINE of people who are already waiting for adjudication. Those people have followed the letter of the law, filled out the forms, in some cases - paid for professional assistance to handle their requests…..so you are going to look at them and say “well, we have a huge illegal immigrant problem and we’ll fix it by granting status/citizenship to that group while you folks will just have to wait longer until your paperwork clears”. That is clearly rewarding bad behavior!!

November 27th, 2008 12:50 pm GMT - Posted by Alfred Reaud

IMHO, the immigration issue can only be fixed by resolving the home country issues that lead to immigration. The idea that the US can resolve this by legislative or judicial fiat is ridiculous.

A good analogy is osmosis across a permeable barrier. One can pass whatever law one wants, but as long as there is pressure on one side, migration across the barrier occurs. Following through on the analogy, to stop the migration, one must decrease the pressure on one side, or decrease the size of the pore.

From experience with our southern border, we know that no matter what we do, the size of the pore remains the same, and may have gotten larger for all of our efforts. So that only leaves decreasing the pressure difference.

To me this indicates that the proper avenue to address this problem is to increase the living standard of the prospective immigrant in his/her home country so that the impetus to immigrate isn’t there. That, folks, may be a problem that the US can do little about as it relates to the political and socio-economic systems and realities there, helped or hindered by US foreign policy doctrine.

November 27th, 2008 12:50 pm GMT - Posted by Don

Look at the economies in your border states, they are overloaded with both illigals and the drain they cause on our system. California where I live in ready to file bankrupty. The hospitals and schools and jails are full of illegals at the taxpayers expense. The TERMINATOR is trying to raise Californians taxes to cover these expenses while citizens in construction and other simililar fields are losing their jobs to cheap illegal labor. You cant tell me that a man or woman watching their family go hungry and homeless will not do these more MENIAL, UNWANTED JOBS to keep his or her family in their home. Bleeding hearts like the one who wrote this article should stop pushing their FALSE bleeding heart agendas and think about taking care of their own. There is no reason those south of the border should come up here for work, a lot of our business is now in their homeland. What they should do is stay in their own country and fight for reform to push out the corrupt officials and make THEIR HOMELAND a better place.

November 27th, 2008 12:47 pm GMT - Posted by Steven Johnson

The fact that someone like this was the chief economist at the DoL is truly scare.

First of all Ms. F-G undercounts the number of visas. Each year the government gives over 100,000 H-1B visas.

Next, the visas do not go to worker in the general employment pool (the 1% F-G claims) but rather the much smaller pool of specialty occupations. About half the H-1B visas go to the even smaller pool of compute occupations.

Already the U.S. gives more H-1B visas for engineers than it creates engineering jobs.

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