A new proposal by Senator Jim Banks aims to restructure the H-1B visa system, drastically raising wage requirements and limiting alternatives companies use to hire foreign workers.
The legislation, titled the American Tech Workforce Act, was introduced this week.
Why It Matters
The bill targets what Banks, an Indiana Republican, and other critics call corporate exploitation of immigration loopholes, particularly in the tech industry. An H-1B visa is a temporary, employment-based visa that allows U.S. companies to hire highly skilled foreign workers in specialty fields such as technology, engineering and medicine.
Republicans remain split over the H-1B visa program. While some argue that it displaces American workers and is open to abuse, others view it as a tool to fill labor gaps in sectors such as technology. Opponents frequently emphasize the program’s potential effects on U.S. employment.
What To Know
The proposal would increase the wage floor for H-1B visa recipients from $60,000 to $150,000, eliminate the Optional Practical Training (OPT) program, and replace the current lottery-based selection process with a highest-bidder system.
Banks argued that the current framework enables large tech corporations to undercut U.S. wages by importing foreign workers en masse.
“Corporations rigged the system to flood the country with cheap foreign labor and drive down wages,” Banks said in a statement to Breitbart News. “This bill puts American workers first.”
The American Tech Workforce Act includes three main reforms. First, it increases the minimum required salary for H-1B visa holders from $60,000 to $150,000, which may disincentivize companies to look abroad for talent.
The bill would also eliminate the OPT program, which allows foreign graduates to work in the U.S. for up to three years post-graduation.
Thirdly, the bill replaces the current lottery system with a model awarding visas to the highest-bidding employers, adding a cost-based filter to discourage misuse.
Banks hopes that the changes are essential to address what he calls “domestic outsourcing.
What People Are Saying
Senator Jim Banks, while serving in the House, in 2022: “Big Tech is setting aside some of the most lucrative and valuable career opportunities in America and giving them exclusively to foreign guest workers.
“They’re cutting out Americans to save a few bucks. It’s domestic outsourcing. This shocking disregard for American workers and their role in our nation’s future is unpatriotic. We must fix Big Tech’s incentives, so they begin putting Americans first.”
What Happens Next
The legislation will now enter committee review in the Senate, where it is expected to face significant scrutiny from business advocacy groups and immigration reform opponents.