The US government announced dramatic changes to the H1B visa which is used by over 85K individuals each year to work in the US. By some estimates there are over 500K workers using the H1B visa in the US.
Now, the estimate is to cut these by a third with new rules that change how much employers pay H1B employees.
Below is the list of the top 20 H1B employers in 2020 (to date) and the average salaries they have paid H1B employees.
|Rank||H1B Visa Sponsor||Number of LCA *||Average Salary|
|1||Cognizant Technology Solutions||28,526||$86,456|
|3||Tata Consultancy Services||11,868||$86,453|
|5||Ernst & Young||8,893||$122,887|
|7||Deloitte & Touche||8,258||$91,413|
|14||Tech Mahindra (Americas)||4,175||$85,711|
|15||Larsen & Toubro Infotech||3,625||$93,122|
|18||L&T Technology Services||2,117||$83,366|
While the Indian outsourcing companies pay about $85K, the US multinationals pay about $115K on average.
Under the new rule, which is due to be published later this week and which will take effect immediately, H1B applicants will need to be earning a salary equivalent to the 45th percentile of their profession’s salary if they’re an entry-level worker, rising to 95th percentile for higher-skilled workers.
In the past, the boundaries were set at the 17th and 67th percentiles respectively.
So what will these employers have to pay?
Depending on where they are hired (city in the US) and their role, the average increase in salary to get an H1B approval for a outsourcing company goes to $115K and for a multinational to $130K.
While it is an increase, it won’t be that dramatic in terms of the pay.
This is the major change. If you look at the filings of H1B visas at MyVisaJobs, then you will see that over 80% of the H1B visas awarded were for software developers who did not have educational background in computer science.