This is the first time I have seen anyone identify a root issue in the overall h1b regime. This post is mostly correct, but a deeper problem is that even absent fraud, the structure and statistics at play, result in the h1b system selecting for new grads. (short thread)
https://twitter.com/MarmotRespecter/status/1872585801399505398
About two decades ago, the h1b program worked somewhat as intended. A generally accomplished professional in Poland would apply for a job in the US and an American employer would sponsor them, dealing with the hurdle of paperwork and the risk of a foreign hire.
Whether intended or not - this burden on employers generally resulted in them selecting for higher qualified people.
What has changed since then (about a decade ago) is that h1b program became severely oversubscribed (to the tune of 10 applicants to 1 visa, recently) which is resolved by a lottery.
No employer wants to go through the process of hiring someone in a foreign country, filing paperwork and waiting ~6mo, if they stand <10% chance of getting that person. This is silly.
At the same time there is the avenue @MarmotRespecter identified, whereby new grads can start jobs after graduating, at zero cost or burden to the employer. The employer gets to apply for an h1b once they have an employee start. In case of rejection they get to apply next year
This path is clearly preferable to employers and honestly the only way one would go about hiring a new h1b employee in 2024. Even in the worst case, if your employee misses 3 h1b lotteries, you still get ~3 years of work from them which is more than many new grads.
All of this is why you're seeing rampant new grad salaries in h1b applications. They are disproportionately new grad apps.
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