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Looking for the “Best and Brightest": Hiring difficulties and high-skilled foreign workers

Morgan Raux

DEM Discussion Paper Series from Department of Economics at the University of Luxembourg

Abstract: This paper studies the complementarity between domestic and foreign skilled workers. It develops a simple model where employers seek to recruit a foreign worker when finding domestic workers takes more time. This paper confirms the predictions of the model. I rely on a within-firm within-occupation identification strategy to compare recruitment decisions made by a given employer for similar positions that differ in job posting duration. To identify this relationship, I have collected and assembled a new and original dataset at the job level. I match online job postings to administrative data on labor condition applications (LCAs) submitted as the first step in applying for H-1B temporary skilled worker visas. I find that employers are 28 percent more likely to submit an LCA when the job posting duration is one standard deviation longer. I provide evidence suggesting that this phenomenon is due to insufficient domestic labor supply in these occupations.

Keywords: H-1B Work Permit; Hiring difficulties; Web Scraping. (search for similar items in EconPapers)
JEL-codes: C26 J2 J61 (search for similar items in EconPapers)
Date: 2021
New Economics Papers: this item is included in nep-eur and nep-mig
References: View references in EconPapers View complete reference list from CitEc
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Downloads: (external link)
http://hdl.handle.net/10993/46235 (application/pdf)

Related works:
Working Paper: Looking for the "Best and Brightest": Hiring difficulties and high-skilled foreign workers (2019) Downloads
Working Paper: Looking for the "Best and Brightest": Hiring difficulties and high-skilled foreign workers (2019) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:luc:wpaper:21-05

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