Coping with H-1B Shortages: Firm Performance and Mitigation Strategies

Anna Maria Mayda, Francesc Ortega, Giovanni Peri, Kevin Y. Shih and Chad Sparber

No 27730, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: The United States' H-1B visa program, which allows private firms to hire highly skilled foreign workers, was so severely over-subscribed in the years since 2014 that H-1B status was distributed by lotteries to a subset of applicants. Using data on H-1B applications and on a range of outcomes for publicly traded companies, we find that employers using the H-1B program experienced reduced employment, sales and profits, compared to non-users in the years since 2014. We also find that some employers anticipated the rationing of H-1Bs and retained a larger share of H-1B workers, mitigating the damaging effects of H-1B rationing on their performance.

JEL-codes: F22 J61 (search for similar items in EconPapers)
Date: 2020-08
New Economics Papers: this item is included in nep-lab, nep-mig and nep-ore
Note: ITI LS PR
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Citations: View citations in EconPapers (13)

Published as Anna Maria Mayda & Francesc Ortega & Giovanni Peri & Kevin Shih & Chad Sparber, 2023. "Coping with H-1B Shortages: Firm Performance and Mitigation Strategies," ILR Review, vol 76(5), pages 919-943.

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Journal Article: Coping with H-1B Shortages: Firm Performance and Mitigation Strategies (2023)
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