A comprehensive new report, developed by immigration attorney Jonathan Wasden in partnership with The Wall Street Journal, has analyzed millions of H-1B visa applications to detail salary distribution for foreign talent across the United States. Published recently, the report constructs a detailed "H-1B map," highlighting a significant disparity in wages paid to H-1B workers, particularly between major U.S. tech hubs and less prominent geographic locations. The analysis underscores instances where H-1B salaries in certain areas fall notably below local median wages for comparable roles.

The study examines data from H-1B visa applications, which are processed annually for skilled foreign workers in specialized occupations. Federal regulations require employers to pay H-1B workers at least the prevailing wage for the occupation in the area of intended employment, or the actual wage paid to other employees with similar experience and qualifications, whichever is higher. The new report, however, indicates that these requirements may not always translate into equitable compensation across all regions. It suggests a pattern where H-1B visa holders in non-coastal states and lesser-known locations often receive salaries considerably lower than their counterparts in established technology centers.

The report identifies key geographical trends in H-1B compensation. Areas such as Seattle, the San Francisco Bay Area, and New York City demonstrate higher average salaries for H-1B professionals, aligning with the elevated cost of living and competitive tech markets in these regions. In contrast, the analysis points to states like North Carolina, Georgia, and Florida where, for similar roles, H-1B workers are reported to earn tens of thousands of dollars less than the local median wage. For example, in North Carolina, where the median salary for certain tech positions can exceed $120,000, H-1B visa holders were found earning between $70,000 and $80,000 for equivalent work.

Further details from the report include:

  • Approximately 25% of all H-1B applications list salaries below the Level 1 Wage, which is the entry-level wage for a given occupation.
  • The analysis identified a practice where some companies utilize "ghost addresses" or "virtual offices" in regions with lower prevailing wages, potentially enabling them to pay H-1B workers less.
  • Major H-1B visa sponsors, including companies like TCS, Cognizant, Wipro, and Infosys, are among those whose submitted applications were part of the data analyzed.

The findings of this report raise questions regarding wage fairness and compliance within the H-1B program. The potential for wage disparities could impact both foreign visa holders and the broader U.S. labor market by potentially depressing wages for certain occupations. The report aims to bring greater transparency to H-1B compensation practices, providing data that could inform future discussions on visa regulations, labor market economics, and enforcement of prevailing wage standards to ensure equitable compensation for all skilled workers in the United States.