Table 8A. H-1B Petitions Approved by Major Occupation Group of Beneficiary and
Type of Petition (Number): Fiscal Years 2005 and 2006

All Beneficiaries Initial Employment Continuing
Employment

FY 2005 FY 2006 | FY 2005 FY 2006 | FY 2005 FY 2006

Occupational Division Number Number | Number Number | Number Number

Total 267,131 270,981 116,927 109,614 150,204 161,367
Occupation known 264,892 269,898} + 115,662 109,408} 149,230 160,490
Computer-related occupations 113,867 130,556 52,352 56,393 61,515 74,163
Occupations in architecture, engineering, and surveying 32,030 29,883 12,831 10,490 19,199 19,393
Occupations in education 29,061 25,610 12,978 11,220 16,083 14,390
Occupations in administrative specializations 25,928 24,636 11,041 9,047 14,887 15,589
Occupations in medicine and health 17,360 15,703 7.218 6,104 10,142 9,599
Managers and officials, n.e.c. 10,652 10,061 3,619 2,895 7,033 7,166
Occupations in life sciences 8,840 7,731 3,859 3,216 4,981 4,515
Miscellaneous professional, technical, and managerial 5,542 5,964 2,265 2,282 3,277 3,682
Occupations in mathematics and physical sciences 6,600 5,949 2,695 2,442 3,905 3,507
Occupations in social sciences 6,072 5,862 2,700 2,251 3,372 3,611
Occupations in art 3,790 3,400 1,631 1,122 2,159 2,278
Occupations in law and jurisprudence 1,767 1,666 810 723 957 943
Occupations in writing 1,482 1,302 631 422 851 880
Occupations in entertainment and recreation 693 606 293 438 400 168
Fashion models 655 573 467 199 188 374
Occupations in museum, library, and archival sciences 376 286 161 112 215 174
Occupations in religion and theology 177 110 lll 52 66 58
Occupation unknown 2,239 1,083 1,265 206 974 877

Notes: Occupations ranked based on 2006 data.
n.e.c. indicates not elsewhere classified.


Table 2 shows the number of petitions filed by quarter in Fiscal Years 2003 to 2006. The general

trend was an increase in filings each quarter with filing peaking in the third quarter of Fiscal Year 2006 at

132,655.
Table 2. H-1B Petitions Filed by Quarter: Fiscal Years 2003 to 2006

FY FY FY FY Initial Percent | Continuing |Percent
Quarter 2003 2004 2005 2006 |Employment} of Total | Employment lof Total

Total 231,030 | 312,200] 266,474] 295,915 121,724 100 174,191 100
|October-December 50,633 69,835 41,020] 48,678 10,678 8.8 38,000] 21.8
January-March 52,722 64,022 41,847 50,445 6,431 5.3 44,014 25.3
April-June 61,302 74,823 98,831} 132,655 91,187 TA9 41,468] 23.8
July-September 66,373 | 103,520 84,776 64,137 13,428 11.0 50,709 29.1

Table 3 provides a breakdown of approved petitions in Fiscal Years 2003 to 2006 by type of
petition. 109,614 H-1B beneficiaries were approved for initial employment and 161,367 for continuing
employment in Fiscal Year 2006.

The number of aliens outside the United States approved for initial employment increased from
54,635 to 57,264 in Fiscal Year 2006. The corresponding numbers for aliens in the United States changing
to H-1B status fell from 62,292 in 2005 to 52,350 in 2006.

Table 3. H-1B Petitions Approved by Type: Fiscal Years 2003 to 2006

Type of Petition

Petitions Approved

FY 2003 Percent | FY 2004 Percent | FY 2005 Percent | FY 2006 Percent
Total 217,340 100 287,418 100 267,131 100 270,981 100
Anitial employment 105,314 48 130,497 45 116,927 44 109,614 40
Aliens outside U.S. 41,895 19 60,271 21 54,635 20 57,264 21
Aliens in U.S. 63,419 29 70,226 24 62,292 23 52,350 19
Continuing employment 112,026 52 156,921 55 150,204 56 161,367 60



Annual Compe! n

Tables 10, 11, and 12 show compensation by occupation for beneficiaries of all, initial, and
continuing employment, respectively. Each table shows occupations arranged by the total number of
beneficiaries approved in Fiscal Year 2006. As shown in Table 10, the median annual compensation
reported by employers of H-1B workers approved for employment during Fiscal Year 2006 was
$60,000. This number compares with $55,000 in 2005. One-half were expected to earn between.
$47,000 and $78,000. Median compensation ranged from a low of $33,000 for occupations in religion
and theology to a high of $105,000 for occupations in law and jurisprudence.

Table 10. Annual Compensation of All H-1B Beneficiaries by Major Occupation
Group: Fiscal Year 2006

Total 25" Median 75"*

Occupation Reported | Percentile Percentile
Total 268,033 47,000 60,000 78,000
Occupations with annual compensation known 267,003 47,000 60,000 78,000
Computer-related occupations 129,883 51,000 60,000 77,000
Occupations in architecture, engineering, and surveying 29,589 51,000 64,000 80,000
Occupations in education 25,291 36,000 43,000 56,000
Occupations in administrative specializations 24,230 40,000 52,000 73,000
Occupations in medicine and health 15,128 43,000 56,000 117,000
Managers and officials, n.e.c. 9,948 50,000 75,000 105,000
Occupations in life sciences 7,689 37,000 43,000 58,000
Miscellaneous professional, technical, and managerial occupations 5,923 47,000 65,000 95,000
Occupations in mathematics and physical sciences 5,918 47,000 62,000 81,000
Occupations in social sciences $,782 42,000 60,000 87,000
Occupations in art 3,339 36,000 45,000 65,000
Occupations in law and jurisprudence 1,637 51,000 105,000 145,000
Occupations in writing 1,273 31,000 40,000 54,000
Occupations in entertainment and recreation 538 30,000 36,000 49,000
Fashion models 445] 100,000 100,000 104,000
Occupations in museum, library, and archival sciences 283 36,000 43,000 55,000
Occupations in religion and theology 107] 26,000 33,000 ~—-46,000
Occupation unknown 1,030 38,000 50,000 70,000

Notes: Occupations ranked by number of beneficiaries.
n.e.c. indicates not elsewhere classified.
Definitions: Median is the middle ranking value (50" percentile) of all values. 25" percentile and 75

percentile are the lower quarter and upper quarter ranking values, respectively.

7 Annual compensation refers to what the employer agreed to pay the beneficiary at the time the application was filed. The
amount excludes non-cash compensation and benefits such as health insurance and transportation. Further, compensation is
based on full-time employment for 12 months, even if the beneficiary actually worked fewer than 12 months.


ifities

wion, DC 20528,

Homeland
Security

MAR 7 2008

The Honorable John J. Conyers, Jr.
Chairman

Committee on the Judiciary

U.S. House of Representatives
Washington, DC 20515

Dear Mr. Chairman:

Enclosed please find the Characteristics of Specialty Occupation Workers (H-1B) Fiscal
Year 2006 Annual Report. This report is mandated under section 416(c)(2) of the
American Competitive and Workforce Improvement Act of 1998 (AC WIA) which states:
“...(T)he Attorney General shall submit on an annual basis, to the Committees on the
Judiciary of the United States House of Representatives and the Senate, information on
the countries of origin and occupations of, educational levels attained by, and
compensation paid to, aliens who were issued visas or otherwise provided nonimmigrant

status under section 101(a)(15)(H)(i)(b) of the Immigration and Nationality Act during
the previous fiscal year.”

I appreciate your interest in the Department of Homeland Security, and I look forward to
working with you on future homeland security issues. If I may be of further assistance,
please contact the Office of Legislative Affairs at (202) 447-5890.

Sincerely,

‘
}

Bay an
$eiala . Kent, Jr.
Assistant Secretary
Office of Legislative Affairs

Enclosure

wows. gov


Table 8B. H-1B Petitions Approved by Major Occupation Group of Beneficiary and
Type of Petition (Percent): Fiscal Years 2005 and 2006

All Beneficiaries Initia! Employment Continuing
Employment
FY 2005 FY 2006 | FY 2005 FY 2006 | FY 2005 FY 2006
Occupational Division Percent Percent | Percent Percent | Percent Percent
Tote eee weep nee SS
Occupation known 100 100 100 100 100 100
Computer-related occupations 43.0 48.4 45.3 51.5 41.2 46.2
Occupations in architecture, engineering, and surveying 12.1 Wl Id 9.6 12.9 12.1
Occupations in education 11.0 9.5 11,2 10.3 10.8 9.0
Occupations in administrative specializations 9.8 9.1 9.5 83 10.0 97
Occupations in medicine and health 6.6 5.8 6.2 5.6 6.8 6.0
Managers and officials, n.e.c, 40 3.7 3.1 2.6 47 4.5
Occupations in life sciences 3.3 29 3.3 29 3.3 2.8
Miscellaneous professional, technical, and managerial 2.1 22 2.0 21 2.2 2.3
Occupations in mathematics and physical sciences 2.5 22 2.3 22 2.6 2.2
Occupations in social sciences 2.3 22 2.3 21 2.3 2.2
Occupations in art 14 1.3 14 1.0 14 14
Occupations in law and jurisprudence 0.7 0.6 0.7 0.7 0.6 0.6
Occupations in writing 0.6 0.5 0.5 0.4 0.6 0.5
Occupations in entertainment and recreation 0.3 0.2 0.3 0.4 0.3 0.1
Fashion models 0.2 0.2 0.4 02 0.1 0.2
Occupations in museum, library, and archival sciences 0.1 0.1 0.1 0.1 0.1 0.1
Occupations in religion and theology 0.1 0.0 0.1 0.0 0.0 0.0

Occupation unknown

Notes: Occupations ranked based on 2006 data.

Sum of the percents may not add to 100.0 due to rounding.
Percents shown in the table are based on the total number of petitions approved with known occupations.

n.e.c, indicates not elsewhere classified.

12


Industry

Tables 13A and 13B show the industries that employed the most H-1B workers in Fiscal Year
2006. The number of workers approved for all known industries increased two and one-half percent from
247,155 in Fiscal Year 2005 to 253,212 in Fiscal Year 2006. Among the top ten industries, five
experienced an increase ranging from 3.5 percent (semiconductor & other electronic component
manufacturing) to 24.7 percent (securities & commodity contracts intermediation & brokerage). The
remaining five industries experienced a decrease ranging from 6.1 percent (accounting, tax preparation,
bookkeeping, & payroll services) to 10.7 percent (colleges, universities & professional schools).

Industry data are collected using the North American Industry Classification System (NAICS).
Unlike country of birth, age, education, and occupation, USCIS does not verify the NAICS code because
the sponsor does not provide supporting documentation.


Table 9B. H-1B Petitions Approved by Detailed Occupation of Beneficiary and Type
of Petition (Percent): Fiscal Years 2005 and 2006

Continuing
All Beneficiaries |Initial Employment Employment
FY 2005 FY 2006 | FY 2005 FY 2006] FY 2005 FY 2006
Occupational Group Percent Percent | Percent Percent | Percent Percent
Total oe 4 we nee
Occupation known 100 100 100 100 100 100
Occupations in systems analysis and programming 37.8 42.9 40.9 474 35.3 39.8
Occupations in college and university education 8.1 7.0 8.7 8.1 76 6.3
Accountants, auditors and related occupations 4.6 4.1 AS 3.7 4.6 44
Computer-related occupations, n.e.c 3.6 3.9 3.0 3.0 4.0 4.5
Electrical/electronics engineering occupations 3.8 3.5 3.4 3.1 42 3.8
Physicians and surgeons 2.7 2.7 2.6 26 2.9 2.8
Occupations in economics 21 2.0 24 1.8 2.1 2.1
Miscellaneous professional, technical and managerial occupations,
n.e.c, 18 2.0 17 1.8 19 21
Occupations in biological sciences 2.4 2.0 2.3 2.0 2.4 19
Miscellaneous managers and officials, n.e.c. 2.0 1.8 1.5 13 2.3 2.2
Mechanical engineering occupations 17 1.7 L7 Ls 18 1.8
Occupations in architecture, engineering, and surveying, n.e.c. L8 1.6 1.6 13 19 18
Budget and management systems analysis occupations 1.5 16 1.6 1.6 1.5 1.6
Occupations in administrative specializations, n.e.c. 1.6 1.5 1.6 15 1.6 1.6
Civil engineering occupations L4 1.3 13 1d 1.5 14
Occupations in medicine and health, n.e.c. 1.5 1.2 1.6 13 1S 1.2
Occupations in preschool, primary school, and kindergarten education 13 ld 1d 1.0 14 11
Architectural occupations 12 Ll 1 0.8 14 1.2
Occupations in data communications and networks 0.9 0.9 0.8 0.7 1.0 Ll
Industrial engineering occupations 1.0 0.9 0.9 0.8 1.0 1.0
Other occupations 17.3 15.1 16.1 13.5 18.2 16.2
Occupation unknown — eed eee Ms —

Notes: Occupations ranked on 2006 data
Sum of the percents may not add to 100.0 due to rounding,

Percents shown in the table are based on the total number of petitions approved with known occupations.

n.e.c, indicates not elsewhere classified.


The breakdown of the highest level of education achieved by H-1B beneficiaries remained about
the same between Fiscal Years 2005 and 2006. As shown in Table 6, forty-five percent of all H-1B
petitions approved for workers in 2006 reported that the beneficiary had earned the equivalent of a
bachelor’s degree; thirty-nine percent a master’s degree; eleven percent a doctorate, and five percent a
professional degree. Altogether, ninety-eight percent earned at least a bachelor’s degree and fifty-four

percent earned at least a master’s degree.

Table 6. H-1B Petitions Approved by Level of Education:
Fiscal Years 2003-2006

Percent of beneficiaries

Level of Education FY 2003 | FY 2004 | FY 2005 | FY 2006
Education known 100 100 100 100
Less than a bachelor's degree 2 1 1 1
Bachelor's degree 50 49 45 45
Master's degree 31 34 37 39
Doctorate degree 12 I 12 ll
Professional degree 6 5 5 5

Note: Sum of percent may not add up to 100 due to rounding.

Table 7. H-1B Petitions Approved by Level of Education of Beneficiary and Type of
Petition: Fiscal Year 2006

Level of Education Total Percent Initial Percent | Continuing Percent
Employment Employment
Total 270,981 109,614 161,367
Education known 270,867 100 109,587 100 161,280 100
No high school diploma 196 0.1 96 0.1 100 0.1
High school graduate 720 0.3 392 0.4 328 0.2
Less than 1 year of college credit 144 0.1 54 0.0 90 0.1
1 or more years of college credit, no diploma 743 0.3 195 0.2 548 0.3
Associate's degree 642 0.2 U7 0.2 465 0.3
Bachelor's degree 121,825 45.0 46,501 42.4 75,324 46.7
Master's degree 104,673 38.6 44,474 40.6 60,199 37.3
Doctorate degree 28,593 10.6 12,543 1L.4 16,050 10.0
Professional degree 13,331 49 5,155 AT 8,176 5.1
Education unknown 114 --—---- 27 wwnnnnne 87 --------

Notes: Sum of the percents may not add to 100.0 due to rounding.
Percents shown in the table are based on the number of approved petitions with known levels of education.


Characteristics of Specialty Occupation Workers (H-1B):
October 2005 to September 2006

This report is mandated under section 416(c)(2) of the American Competitive and Workforce

Improvement Act of 1998 (ACWIA) which states: “...(T)he Attorney General shall submit on an annual
basis, to the Committees on the Judiciary of the United States House of Representatives and the Senate,
information on the countries of origin and occupations of, educational levels attained by, and compensation
paid to, aliens who were issued visas or otherwise provided nonimmigrant status under section

101 (a)(15)(H)()(b) of the Immigration and Nationality Act during the previous fiscal year.”

Highlights

The number of H-1B petitions filed increased 11 percent from 266,474 in Fiscal Year 2005 to
295,915 in Fiscal Year 2006.

The number of H-1B petitions approved increased approximately one and one-half percent from
267,131 in Fiscal Year 2005 to 270,981 in Fiscal Year 2006.

Approximately fifty percent of all H-1B petitions approved in Fiscal Year 2006 were for workers
born in India.

Sixty-six percent of H-1B petitions approved in Fiscal Year 2006 were for workers between the
ages of 25 and 34.

Forty-five percent of H-1B petitions approved in Fiscal Year 2006 were for workers with a
bachelor’s degree. Thirty-nine percent of the petitions were for workers who had a master’s degree,

eleven percent had a doctorate, and five percent had a professional degree.

Forty-eight percent of H-1B petitions approved in Fiscal Year 2006 were for workers in computer-
related occupations.

The median salary increased from $55,000 in Fiscal Year 2005 to $60,000 in Fiscal Year 2006.


Appendix: H-1B Petition Processing and Data Limitations

Petition Processing

Petitions for obtaining H-1B nonimmigrant status for alien workers are submitted by their
prospective employers on USCIS Form I-129, Petition for a Nonimmigrant Worker, and the addendum
Data Collection and Filing Fee Exemption Supplement. The petitions are mailed to either the Vermont or
California Service Centers, depending on the geographic location of the employment.

Upon receipt, each petition is stamped with its date of arrival at the Service Center. File assembly
clerks create a paper file that contains the original petition as well as all supporting documentation. This
file becomes the official file of record for all activities connected with the petition.

Biographic data such as name, date of birth, and country of birth are entered from the petition by
data entry clerks into the case tracking system, Computer-Linked Application Information Management
System (CLAIMS3). The computer system generates a unique number for the file, known as a receipt
number. The files are distributed to adjudicators after being sorted into potential cap and non-cap cases.

After being received, the files are reviewed by adjudicators, who determine whether they have
adequate information in the file to approve or deny the petition. If sufficient evidence is available, a
decision is made by the adjudicator and then corresponding information is entered into the tracking system.
Otherwise, additional information is sought from the sponsoring employer by the adjudicator. A response
from the employer must be made within a set period of time or else the petition will be denied.

After petitions are adjudicated, the associated paper files are forwarded either to the USCIS records
center in Harrisonburg, Virginia, for storage or to the Kentucky Consular Center in Williamsburg,
Kentucky, for consular processing.

Data Limitations

The tables in this report have been tabulated from an electronic data file created at Headquarters
from USCIS service center electronic data files. Errors in this extract file may have occurred in several
ways. For example, petition data might have been inaccurate on petitions, or keying errors may have
occurred during data entry at the service centers or as a result of being improperly transferred electronically
between the service centers and Headquarters. Minimum editing has been done to the data in this file,
Impossible or highly improbable values have been defined as unknown; for example, beneficiaries younger
than 16 (except for fashion models) or those beneficiaries working without compensation.

Lastly, information in electronic format is not available regarding the city or state where H-1B
workers are employed.

21


d Security
Washington, DC 20

Homeland
Security

The Honorable Zoe Lofgren

Chairman

Committee on the Judiciary

Subcommittee on Immigration, Citizenship,
Border Security, and International Law

U.S. House of Representatives

Washington, DC 20515

Dear Chairman Lofgren:

Enclosed please find the Characteristics of Specialty Occupation Workers (H-1B) Fiscal
Year 2006 Annual Report. This report is mandated under section 416(c)(2) of the
American Competitive and Workforce Improvement Act of 1998 (ACWIA) which states:
“,..(T)he Attorney General shall submit on an annual basis, to the Committees on the
Judiciary of the United States House of Representatives and the Senate, information on
the countries of origin and occupations of, educational levels attained by, and
compensation paid to, aliens who were issued visas or otherwise provided nonimmigrant
status under section 101(a)(15)(H)(i)(b) of the Immigration and Nationality Act during
the previous fiscal year.”

I appreciate your interest in the Department of Homeland Security, and I look forward to
working with you on future homeland security issues. If may be of further assistance,
please contact the Office of Legislative Affairs at (202) 447-5890.

Sincerely,

coated”

p ad)

Borata H. Kent, Jr.

Assistant Secretary
Office of Legislative Affairs

Enclosure

wwwdhs.cov


caf Legisiative Affairs

partment of Homeland Secueity
ston, DC! 20528

» Homeland
Security

The Honorable Lamar Smith
Ranking Member

Committee on the Judiciary
U.S. House of Representatives
Washington, DC 20515

Dear Representative Smith:

Enclosed please find the Characteristics of Specialty Occupation Workers (H-1B) Fiscal
Year 2006 Annual Report. This report is mandated under section 416(c)(2) of the
American Competitive and Workforce Improvement Act of 1998 (ACWIA) which states:
“...(T)he Attorney General shall submit on an annual basis, to the Committees on the
Judiciary of the United States House of Representatives and the Senate, information on
the countries of origin and occupations of, educational levels attained by, and
compensation paid to, aliens who were issued visas or otherwise provided nonimmigrant
status under section 101(a)(15)(H)(i)(b) of the Immigration and Nationality Act during
the previous fiscal year.”

l appreciate your interest in the Department of Homeland Security, and I look forward to
working with you on future homeland security issues. If I may be of further assistance,
please contact the Office of Legislative Affairs at (202) 447-5890.

Sincerely,

Assistant Secretary
Office of Legislative Affairs

Enclosure

www.dhs.gov


Occupation
- Occupation Category

Tables 8A and 8B show the distribution of beneficiaries by occupation category for Fiscal Year
2006. The petitioning employer supplies the occupation code on the Labor Condition Application (LCA).
Computer-related occupations were the most numerous occupation categories in 2006; their share of total
petitions approved increased from 43 percent in 2005 to 48 percent in Fiscal Year 2006. The
corresponding shares for initial employment and continuing employment in computer-related occupations
were 51 and 46 percent, respectively. Sixteen of the seventeen occupation categories had more continuing
than initial H-1B beneficiaries.

The number of H-1B petitions approved for workers in computer-related occupations increased
fifteen percent from 113,867 in 2005 to 130,556 in 2006. The majority of the remaining occupation groups
decreased between 2005 and 2006. The only exception was miscellaneous professional, technical and
managerial occupations, which increased seven percent.


U.S. Department of Homeland Security
U.S. Citizenship and Immigration Services

Characteristics of Specialty Occupation Workers (H-1B)

Fiscal Year 2006, Annual Report
October 1, 2005 — September 30, 2006

March 2008
Sew, US. Citizenship Report Mandated by Public tay
2, -277, Division

Ey
X fe and Immigr: ation American Competitiveness and Workforce Improvement
ae — SETVICES Act of 1998


As revealed in Tables 11 and 12, beneficiaries for continuing employment reported
higher annual compensation than did beneficiaries for initial employment. Median annual
compensation was $65,000 for the former and $52,000 for the latter. In Fiscal Year 2005
workers approved for continuing employment and initial employment reported median annual
compensation of $60,000 and $50,000, respectively.

Table 11. Annual Compensation of H-1B Beneficiaries for Initial
Employment by Major Occupation Group: Fiscal Year 2006

Total 25th Median 75th

Occupation Reported | Percentile Percentile
Total 108,218} 44,000 52,000 61,000
Occupations with annual compensation known 108,025 44,000 52,000 61,000
Computer-related occupations 56,064 48,000 55,000 60,000
Occupations in education 11,048 35,000 41,000 53,000
Occupations in architecture, engineering, and surveying 10,373 48,000 58,000 72,000
Occupations in administrative specializations 8,852 38,000 48,000 60,000
Occupations in medicine and health 5,874 42,000 47,000 83,000
Occupations in life sciences 3,196 36,000 40,000 50,000
Managers and officials, n.e.c. 2,853 45,000 63,000 95,000
Occupations in mathematics and physical sciences 2,430 44,000 55,000 74,000
Miscellaneous professional, technical, and managerial occupations 2,256 41,000 57,000 85,000
Occupations in social sciences 2,211 40,000 55,000 75,000
Occupations in art 1,098 31,000 38,000 48,000
Occupations in law and jurisprudence 710 48,000 110,000 145,000
Occupations in writing 406] 29,000 35,000 45,000
Fashion models 309] 100,000 100,000 104,000
Occupations in entertainment and recreation 184 28,000 33,000 42,000
Occupations in museum, library, and archival sciences 110 34,000 39,000 47,000
Occupations in religion and theology 51 25,000 33,000 49,000
Occupation unknown 193 36,000 46,000 59,000

Notes: Occupations ranked by the number of beneficiaries.
n.e.c. indicates not elsewhere classified.

Definitions: Median is the middle ranking value (50" percentile) of all values.
25" percentile and 75" percentile are the lower quarter and upper quarter ranking values,
respectively.


Homeland
Security

MAR 47 2008

The Honorable Patrick Leahy
Chairman

Committee on the Judiciary
United States Senate
Washington, DC 20510

Dear Mr. Chairman:

Enclosed please find the Characteristics of Specialty Occupation Workers (H-1B) Fiscal
Year 2006 Annual Report. This report is mandated under section 416(c)(2) of the
American Competitive and Workforce Improvement Act of 1998 (ACWIA) which states:
“...(T)he Attorney General shail submit on an annual basis, to the Committees on the
Judiciary of the United States House of Representatives and the Senate, information on
the countries of origin and occupations of, educational levels attained by, and
compensation paid to, aliens who were issued visas or otherwise provided nonimmigrant
status under section 101(a)(15)(H)(i)(b) of the Immigration and Nationality Act during
the previous fiscal year.”

I appreciate your interest in the Department of Homeland Security, and I look forward to
working with you on future homeland security issues. If I may be of further assistance,
please contact the Office of Legislative Affairs at (202) 447-5890.

Sincerely,
aol P-
onald H. Kent, Jr.

Assistant Secretary
Office of Legislative Affairs

Enclosure

www.dbs.2ov


beneficiary will be employed or a material change in the beneficiary’s job duties. Therefore, the total
number of approved petitions in any given fiscal year exceeds the actual number of aliens who are
provided nonimmigrant status as H-1B. At the end of the six-year period, the alien must either change to a
different status (if eligible) or depart the United States”. See 8 CFR 214.2(h) (13)Gii(A). USCIS
regulations provide that an alien who has been outside the United States for at least one year may be
eligible for a new six-year period of admission in H-1B status. See id.

When the H-1B category was enacted in 1990, Congress established that a maximum of 65,000
H-1B visas may be issued to aliens during each fiscal year. This limitation, commonly referred to as the
“H-1B cap,” does not apply to H-1B petitions filed on behalf of aliens who have been counted against the
cap in the previous six years and who have not been outside of the United States for one year or longer.
Thus, generally, petitions to extend an H-1B nonimmigrant’s period of stay, change the conditions of the
H-1B nonimmigrant’s current employment, or request new H-1B employment filed on behalf of H-1B
workers already in the United States will not count against the H-1B fiscal year cap.

The INA, as amended by the Immigration Act of 1990, the American Competitiveness and
Workforce Improvement Act of 1998 (ACWIA) and the American Competitiveness in the Twenty-first
Century Act (AC21), made significant changes to policy and procedures governing the H-1B category,
including providing temporary increases in H-1B cap and certain exemptions to the cap. Under ACWIA,
the annual ceiling of H-1B petitions valid for new employment was increased from 65,000 to 115,000 in
Fiscal Years 1999 and 2000 and to 107,500 in Fiscal Year 2001. AC21 raised the limit on petitions in
Fiscal Year 2001 from 107,500 to 195,000 and in Fiscal Year 2002 from 65,000 to 195,000. The limit in
Fiscal Year 2003 was 195,000. Starting in Fiscal Year 2004, the H-1B cap reverted back to 65,000 per
fiscal year and presently remains at that level. These statutory provisions also provided for certain
exemptions from the fiscal year H-1B cap; petitions for new H-1B employment are exempt if the aliens
will be employed at institutions of higher education or related or affiliated nonprofit entities, or at nonprofit
research organizations or governmental research organizations. In addition, the H-1B Visa Reform Act of
2004 mandates that the first 20,000 H-1B petitions filed on behalf of aliens with U.S.-earned master’s or
higher degrees will be exempt from any fiscal year cap on available H-1B visas.

> Certain aliens are exempt from the six-year maximum period of admission under the provisions of the American
Competitiveness in the Twenty-First Century Act of 2000 (AC21) (Public Law 106-313).


Background

An H-1B temporary worker is an alien admitted to the United States to perform services in a
“specialty occupation.”

The H-1B nonimmigrant classification is a vehicle through which qualified aliens may seek
admission to the United States on a temporary basis to work in their fields of expertise. Prior to
employing an H-1B temporary worker, a U.S. employer must first file an H-1B petition with U.S.
Citizenship and Immigration Services (USCIS). However, while USCIS is responsible for evaluating an
alien’s qualifications for the H-1B classification, approval of an H-1B petition does not equate to
admission of the alien to the U.S, in H-1B status. The Department of State (DOS) plays a vital role in the
H-1B admission process.

Prior to filing the H-1B petition with USCIS, the U.S. employer must first file a Labor Condition
Application (LCA) with the Department of Labor (DOL) specifying the job, salary, length and geographic
location of employment. In addition, the employer must agree to pay the alien the greater of the actual or
prevailing wage for the position in the area of intended employment. Once DOL approves the LCA, the
U.S. employer may file the H-1B petition with USCIS.

To qualify as a specialty occupation, the position must meet one of the following requirements: (1)
a bachelor’s or higher degree or its equivalent is normally the minimum entry requirement for the position;
(2) the degree requirement is common to the industry, or in the alternative, the position is so complex or
unique that it can be performed only by an individual with a degree; (3) the employer normally requires a
degree or its equivalent for the position; or (4) the nature of the specific duties is so specialized and
complex that the knowledge required to perform the duties is usually associated with attainment of a
bachelor’s or higher degree. See 8 C.F.R. § 214.2(h)(4)(iii)(A). In order to perform services in a specialty
occupation, an alien must meet one of the following criteria: (1) hold a United States baccalaureate or
higher degree as required by the specialty occupation from an accredited college or university; (2) possess
a foreign degree determined to be equivalent to a United States baccalaureate or higher degree as required
by the specialty occupation from an accredited college or university; (3) have any required license or other
official permission to fully practice the occupation (for example, architect, surveyor, physical therapist) in
the state in which employment is sought; or (4) have, as determined by USCIS, the equivalent of the degree
required by the specialty occupation acquired through a combination of education, specialized training,
and/or progressively responsible experience. Specialty occupations may include, but are not limited to,
computer systems analysts and programmers, physicians, professors, engineers, and accountants.

An alien may be admitted to the United States in H-1B status for a maximum period of six years;
however, the H-1B petition may only be approved for a maximum period of three years. See INA
§ 214(g)(4). Thus, the H-1B petition may be used to sponsor an alien for an initial period of H-1B
employment or to extend or change the authorized stay of an alien previously admitted to the United States
in H-1B status or another nonimmigrant status. Additionally, an employer may file the petition to sponsor
an alien who currently has status as an H-1B nonimmigrant working for another employer or to seek an
amendment of a previously approved petition. In the case of a petition to amend a previously approved
petition, no corresponding request need be made to extend the authorized stay of the beneficiary. For
example, an employer may file an amended petition notifying USCIS of a different location where the

’ Section 214(i)(1) of the Immigration and Nationality Act defines a specialty occupation as “an occupation that requires (A) the
theoretical and practical application of a body of highly specialized knowledge, and (B) attainment of a bachelor’s or higher
degree in the specific specialty (or its equivalent) as a minimum for entry into the occupation in the United States.” 8 U.S.C.

§ 1184(i).

i)


melund Security

Washington, DC 20528

Homeland
Security

MAR 4 7 2008

The Honorable Steve King

Ranking Member

Committee on the Judiciary

Subcommittee on Immigration, Citizenship,
Border Security, and International Law

U.S. House of Representatives

Washington, DC 20515

Dear Representative King:

Enclosed please find the Characteristics of Specialty Occupation Workers (H-1B) Fiscal
Year 2006 Annual Report. This report is mandated under section 416(c)(2) of the
American Competitive and Workforce Improvement Act of 1998 (ACWIA) which states:
“...(T)he Attorney General shall submit on an annual basis, to the Committees on the
Judiciary of the United States House of Representatives and the Senate, information on
the countries of origin and occupations of, educational levels attained by, and
compensation paid to, aliens who were issued visas or otherwise provided nonimmigrant
status under section 101(a)(15)(H)(i)(b) of the Immigration and Nationality Act during
the previous fiscal year.”

I appreciate your interest in the Department of Homeland Security, and I look forward to
working with you on future homeland security issues, If 1 may be of further assistance,
please contact the Office of Legislative Affairs at (202) 447-5890.

Sincerely,

CL. —$ oS

fe (be
Diotald H. Kent, Jr
Assistant Secretary
Office of Legislative Affairs

Enclosure

www.dhs.goy


- Detailed Occupation

Tables 9A and 9B indicate the distribution of beneficiaries by detailed major occupation
group in descending order in Fiscal Year 2006. The relative distributions in 2005 and 2006 were

similar. The list is limited to the top 21 categories. More than one-third of the approved petitions
in 2006 were for aliens working as systems analysts or programmers. The second largest category

was occupations in colleges and university education.

Table 9A. H-1B Petitions Approved by Detailed Occupation of Beneficiary and Type

of Petition (Number): Fiscal Years 2005 and 2006

Continuing
All Beneficiaries [Initial Employment] Employment
FY 2005 FY 2006 | FY 2005 FY 2006] FY 2005 FY 2006
Occupational Group Number Number | Number_Number | Number Number
Total 267,131 270,981 | 116,927 109,614 | 150,204 161,367
Occupation known 264,766 269,876 | 115,581 109,400 | 149,185 160,476
Occupations in systems analysis and programming 99,976 115,782] 47,282 51,838] 52,694 63,944
Occupations in college and university education 21,418 18,925 10,063 8,826] 11,355 10,099
Accountants, auditors and related occupations 12,104 11,149 5,230 4,027 6,874 7,122
Computer-related occupations, n.e.c 9,487 10,420 3,524 3,235 5,963 7185
Electrical/electronics engineering occupations 10,067 9,549 3,872 3,392 6,195 6,157
Physicians and surgeons 7,218 7,355 2,963 2,806 4,255 4,549
Occupations in economics 5,529 5,346 2,393 1,994 3,136 3,352
Miscellaneous professional, technical and managerial occupations,
n.e.c. 4,865 5,322 1,960 2,013 2,905 3,309
Occupations in biological sciences 6,308 5,293 2,676 2,169 3,632 3,124
Miscellaneous managers and officials, n.e.c. 5,255 4,991 1,762 1,461 3,493 3,530
Mechanical engineering occupations 4,619 4,569 1,942 1,635 2,677 2,934
Occupations in architecture, engineering, and surveying, n.e.c. 4,695 4,331 1,806 1,414 2,889 2,917
Budget and management systems analysis occupations 4,071 4,300 1,884 1,788 2,187 2,512
Occupations in administrative specializations, n.e.c. 4,212 4,173 1,857 1,658 2,355 2,515
Civil engineering occupations 3,704 3,491 1450 1,220] 2,254 2,271
Occupations in medicine and health, n.e.c. 4,075 3,327 1,901 1,452 2,174 1,875
Occupations in preschool, primary school, and kindergarten
education 3,408 2,933 1,249 1,123 2,159 1,810
Architectural occupations 3,261 2,901 1,230 917 2,031 1,984
Occupations in data communications and networks 2,292 2,469 870 784 1,422 1,685
Industrial engineering occupations 2,528 2,421 1,074 879 1,454 1,542
Other occupations 45,674 40,829 18,593 14,769 | 27,081 26,060
Occupation Unknown 2,365 1,105 1,346 214 1,019 891

Notes: Occupations ranked on 2006 data.
n.e.c, indicates not elsewhere classified.


Table 13A. H-1B Petitions Approved by Detailed Industry and Type of Petition
(Number): Fiscal Years 2005 and 2006

Continuing

All Beneficiaries Initial Employment Employment
FY 2005 FY 2006 | FY 2005 FY 2006 | FY 2005 FY 2006
Industry Number Number | Number__Number | Number Number
Total 267,131 270,981} 116,927 109,614] 150,204 161,367
Industry known 247,155 253,212 | 108,674 103,794] 138,481 149,418
[ser systems design & related services 85,552 99,990 43,831 48,073 41,721 51,917
Colleges, universities, & professional schools 27,683 24,718 12,995 11,279 14,688 13,439
Management, scientific, & technical consulting services 9,493 11,031 4,822 5,383 4,671 5,648
‘Architectural, engineering, & related services 11,413 10,618 4,738 3,746 6,675 6,872
Scientific research and development services 8,052 7,322 3,203 2,906 4,849 4,416
Securities & commodity contracts intermediation & brokerage 4,756 5,930 1,750 1,869 3,006 4,061
eneral medical and surgical hospitals 5,055 5,594 2,243 2,501 2,812 3,093
Elementary and secondary schools 5,582 5,163 2,078 1,875 3,504 3,288
Accounting, tax preparation, bookkeeping, & payroll services 5,104 4,795 2,501 2,217 2,603 2,578
Semiconductor & other electronic component manufacturing 4,510 4,668 1,639 1,801 2,871 2,867
Offices of physicians 3,206 2,925 1,202 888 2,004 2,037
(Computer and peripheral equipment manufacturing 2,453 2,602 601 451 1,852 2,151
ther financial investment activities 2,088 2,212 794 651 1,294 1,561
jTelecommunications 3,218 2,057 652 392 2,566 1,665
Communications equipment manufacturing 1,665 1,865 490 326 1,175 1,539
Pharmaceutical and medicine manufacturing 1,861 1,797 563 A485 1,298 1,312
Software publishers 1,356 1,719 356 606 1,000 1,113
Legal services 1,703 1,631 760 694 943 937
INon-depository credit intermediation 1,313 1,628 384 372 929 1,256
(Other professional, scientific, & technical services 1,846 1,597 713 524 1,133 1,073
Health and personal care stores 1,823 1,444 639 435 1,184 1,009
Specialized design services 1,618 1,377 709 496 909 881
Depository credit intermediation 1,165 1,362 362 401 803 961
Offices of other health practitioners 1,707 1,340 847 572 860 768
Advertising and related services 1,277 1,246 495 383 782 863
[Employment services 1,433 1,175 665 434 768 741
Insurance carriers 895 1,148 234 245 661 903
\Traveler accommodation 1,189 1,097 362 263 827 834
Manufacturing 906 1,022 335 331 571 691
Management of companies and enterprises 680 998 247 280 718
Other industries 46,553 41,141 17,464 12,915 29,089 28,226
industry unknown 19,976 17,769 8,253 5,820 11,723 11,949

Notes; Industries ranked by total beneficiaries in 2006

NAICS - North American Industry Classification System



itive Affairs

nt of Homeland Seeurity
> 30528

Homeland
Security

MAR 4 7 2008

The Honorable John Cornyn

Ranking Member

Committee on the Judiciary

Subcommittee on Immigration, Refugees
and Border Security

United States Senate

Washington, DC 20510

Dear Senator Cornyn:

Enclosed please find the Characteristics of Specialty Occupation Workers (H-1B) Fiscal
Year 2006 Annual Report. This report is mandated under section 416(c)(2) of the
American Competitive and Workforce Improvement Act of 1998 {ACWIA) which states:
“...(T)he Attorney General shall submit on an annual basis, to the Committees on the
Judiciary of the United States House of Representatives and the Senate, information on
the countries of origin and occupations of, educational levels attained by, and
compensation paid to, aliens who were issued visas or otherwise provided nonimmigrant
status under section 101(a)(15)(H)(i)(b) of the Immigration and Nationality Act during
the previous fiscal year.”

I appreciate your interest in the Department of Homeland Security, and I look forward to
working with you on future homeland security issues. If I may be of further assistance,
please contact the Office of Legislative Affairs at (202) 447-5890.

Sincerely,
worn
C. woof
Onald H. Kent, Jr.

Assistant Secretary
Office of Legislative Affairs

Enclosure

www.dhs.gov


Country of Birth

Tables 4A and 4B show the distribution of beneficiaries by country of birth.> Fifty percent of the
H-1B petitions approved in Fiscal Year 2006 were granted on behalf of individuals born in India, an
increase of six percent from 2005. The number of beneficiaries from India approved for initial
employment increased nearly four percent in 2006, while the number of beneficiaries approved for
continuing employment increased 24 percent.

Table 4A. H-1B Petitions Approved by Country of Birth of Beneficiary and Type of
Petition (Number): Fiscal Years 2005 and 2006

All Beneficiaries Initial Employment | Continuing Employment
Country of Birth FY 2005 FY 2006 FY 2005 FY 2006 FY 2005 FY 2006
Number Number Number Number Number Number

Total 267,131 270,981 116,927 109,614 150,204 161,367
India 118,520 135,329 37,349 59,612 61,171 75,717
China, People's Republic 24,561 23,638 10,643 9,859 13,918 13,779
Canada 11,780 10,996 4,246 3,587 7,534 7,409
Philippines 9,965 8,870 3,316 2,829 6,649 6,041
Korea 8,072 7,570 3,831 3,313 4,24] 4,257
United Kingdom 6,796 5,995 2,407 1,712 4,389 4,283
Japan 5,727 5,181 2,379 1,829 3,348 3,352
Taiwan 4,285 3,919 1,795 1,602 2,490 2,317
Pakistan 4,120 3,781 1,535 1,263 2,585 2,518
Mexico 3,605 3,435 1,206 1,169 2,399 2,266
Germany 3,449 3,082 1,475 1,186 1,974 1,896
France 3,116 2,851 1,228 977 1,888 1,874
Colombia 3,444 2,833 1,214 872 2,230 1,961
Russia 2,694 2,477 962 797 1,732 1,680
Turkey 2,665 2,367 1,188 908 1,477 1,459
Venezuela 2,930 2,351 1,122 726 1,808 1,625
Brazil 2,506 2,242 1,071 843 1,435 1,399
Argentina 2,299 1,743 793 521 1,506 1,222
Malaysia 1,791 1,624 775 458 1,016 1,166
Israel 1,804 1,622 594 516 1,210 1,106
Other countries 43,002 39,075 17,798 15,035 25,204 24,040

Notes; Countries of birth are ranked based on 2006 data.

* Data actually represent countries and territories of birth.


Age

Table 5 shows the age distribution of the H-1B beneficiaries in Fiscal Year 2006 by type of
petition. Sixty-six percent of workers granted H-1B status during 2006 were between 25 and 34 years of
age at the time their petitions were approved. Fifty-eight percent of initial beneficiaries were under 30,

compared with twenty-seven percent of continuing beneficiaries.

Table 5. H-1B Petitions Approved by Age of Beneficiary at Time of Approval and by
Type of Petition: Fiscal Year 2006

Age Total Percent Tnitial Percent Continuing Percent
Employment Employment
Total 270,981 109,614 161,367
Age known 270,793 100 109,538 100 161,255 100
Under 20 161 0.1 135 0.1 26 0.0
20-24 18,809 6.9 16,477 15.0 2,332 14
25-29 89,214 32.9 47,446 43.3 41,768 25.9
30-34 89,905 33.2 28,090 25.6 61,815 38.3
35-39 41,329 15.3 10,249 9.4 31,080 19.3
40-44 18,271 6.7 4,141 3.8 14,130 8.8
45-49 7A9S 2.8 1,673 LS 5,822 3.6
50-54 3,366 1.2 786 07 2,580 1.6
55-59 1,497 0.6 352 0.3 1,145 0.7
60-64 544 0.2 140 0.1 404 0.3
65 and over 202 0.1 49 0.0 153 0.1
Age unknown 188 =~" — a — W120 ------- —

Notes: Age of beneficiary is calculated based on the date the petition was approved.
Sum of the percents may not add to 100.0 due to rounding.
Percentages shown in the table are based on the total number of approved petitions with known ages.

Education

Tables 6 and 7 show the highest level of education achieved by the beneficiaries at the time of their
application. Employers are asked to provide the highest degree (domestic or foreign) but not training or

experience deemed equivalent to a degree. The reporting of a domestic or foreign degree is not required in
a standard format on USCIS or Department of Labor forms. However, in nearly all cases, the petitioning
employer provides the information in supporting documentation. For degrees earned outside the United
States, the employer usually supplies a credential evaluation stating that the foreign degree is “equivalent
to” a particular U.S. degree. USCIS does not maintain separate data regarding whether the degree was
earned in the United States or abroad. (Data on beneficiaries with U.S. advanced degrees has been
available since May 2005.)


if Legistative Alfairs

U.S. De nt of Hometand Security
Wa be 8

Homeland
Security

The Honorable Edward M. Kennedy

Chairman

Committee on the Judiciary

Subcommittee on Immigration, Refugees
and Border Security

United States Senate

Washington, DC 20510

Dear Mr. Chairman:

Enclosed please find the Characteristics of Specialty Occupation Workers (H- 1B) Fiscal
Year 2006 Annual Report. This report is mandated under section 416(c)(2) of the
American Competitive and Workforce Improvement Act of 1998 (ACWIA) which states:
“...(T)he Attorney General shall submit on an annual basis, to the Committees on the
Judiciary of the United States House of Representatives and the Senate, information on
the countries of origin and occupations of, educational levels attained by, and
compensation paid to, aliens who were issued visas or otherwise provided nonimmigrant
status under section 101(a)(15)(H)(i)(b) of the Immigration and Nationality Act during
the previous fiscal year.”

I appreciate your interest in the Department of Homeland Security, and I look forward to
working with you on future homeland security issues. If I may be of further assistance,
please contact the Office of Legislative Affairs at (202) 447-5890.

Sincerely,

——

CN yy
Lp eed
Onald H. Kent, Jr.

Assistant Secretary
Office of Legislative Affairs

Enclosure

www.dhs.gov


Table 12. Annual Compensation of H-1B Beneficiaries for Continuing Employment by
Major Occupation Group: Fiscal Year 2006

Total 25th Median 75th
Occupation Reported | Percentile Percentile
Total 159,815} 50,000 65,000 85,000
Occupations with annual compensation known 158,978 50,000 65,000 85,000
Computer-related occupations 73,819 59,000 70,000 86,000
Occupations in architecture, engineering, and surveying 19,216 54,000 67,000 84,000
Occupations in administrative specializations 15,378 42,000 58,000 80,000
Occupations in education 14,243 37,000 44,000 58,000
Occupations in medicine and health 9,254 46,000 70,000 126,000
Managers and officials, n.e.c. 7,095 52,000 80,000 110,000
Occupations in life sciences 4,493 38,000 46,000 63,000
Miscellaneous professional, technical, and managerial occupations 3,667 50,000 74,000 101,000
Occupations in social sciences 3,571 44,000 65,000 95,000
Occupations in mathematics and physical sciences 3,488 50,000 67,000 85,000
Occupations in art 2,241 40,000 52,000 72,000
Occupations in law and jurisprudence 927 53,000 101,000 160,000
Occupations in writing 867 33,000 42,000 57,000
Occupations in entertainment and recreation 354 30,000 40,000 52,000
Occupations in museum, library, and archival sciences 173 36,000 47,000 62,000
Fashion models 136 100,000 100,000 169,000
Occupations in religion and theology 56 26,000 32,000 42,000
Occupation unknown 837 39,000 52,000 73,000
Notes: Occupations ranked by the number of beneficiaries,
n.e.c. indicates not elsewhere classified.
Definitions: Median is the middle ranking value (50" percentile) of all values.

25 percentile and 75" percentile are the lower quarter and upper quarter ranking values,

respectively.

17


Ife of Legistative Affair

partment of
2 528

Homeland
Security

gust

SZ

MAR 1 7 2008

The Honorable Arlen Specter
Ranking Member

Committee on the Judiciary
United States Senate
Washington, DC 20510

Dear Senator Specter:

Enclosed please find the Characteristics of Specialty Occupation Workers (H-1B) Fiscal
Year 2006 Annual Report. This report is mandated under section 4 16(c)(2) of the
American Competitive and Workforce Improvement Act of 1998 (ACWIA) which states:
“...(T)he Attorney General shall submit on an annual basis, to the Committees on the
Judiciary of the United States House of Representatives and the Senate, information on
the countries of origin and occupations of, educational levels attained by, and
compensation paid to, aliens who were issued visas or otherwise provided nonimmigrant
status under section 101 (a)(15)(H)(i)(b) of the Immigration and Nationality Act during
the previous fiscal year.”

I appreciate your interest in the Department of Homeland Security, and I look forward to
working with you on future homeland security issues. If I may be of further assistance,
please contact the Office of Legislative Affairs at (202) 447-5890,

Sincerely,

<

L ee ( Lop

Borald H. Kent, Jr
Assistant Secretary
Office of Legislative Affairs

Enclosure

www.dhs.gov


Table 13B. H-1B Petitions Approved by Detailed Industry and Type of Petition
(Percent): Fiscal Years 2005 and 2006

All Beneficiaries

Initial Employment

Continuing
Employment

FY 2005 FY 2006 | FY 2005 FY 2006 | FY 2005 FY 2006
Industry Percent Percent | Percent Percent | Percent Percent
Totter Seated Gd —
Industry known 100 100 100 100 100 100
Computer systems design & related services 34.6 39.5 40.3 46.3 30.1 34,7
Colleges, universities, & professional schools 11.2 9.8 12.0 10.9 10.6 9.0
Management, scientific, & technical consulting services 3.8 44 44 5.2 3.4 3.8
Architectural, engineering, & related services 4.6 42 44 3.6 48 4.6
Scientific research and development services 3.3 2.9 2.9 2.8 3.5 3.0
Securities & commodity contracts intermediation & brokerage 1.9 2.3 1.6 18 2.2 27
General medical and surgical hospitals 2.0 2.2 21 24 2.0 2.1
Elementary and secondary schools 2.3 2.0 1.9 1.8 2.5 2.2
Accounting, tax preparation, bookkeeping, & payroll services 2.1 19 2.3 2.1 19 17
Semiconductor & other electronic component manufacturing 18 18 LS 1.7 2.1 1.9
Offices of physicians 1.3 12 11 0.9 1.4 14
Computer and peripheral equipment manufacturing 1.0 1.0 0.6 0.4 13 14
Other financial investment activities 0.8 0.9 0.7 0.6 0.9 1.0
Telecommunications 1.3 0.8 0.6 0.4 19 ll
Communications equipment manufacturing 0.7 0.7 0.5 0.3 0.8 1.0
Pharmaceutical and medicine manufacturing 0.8 0.7 0.5 0.5 0.9 0.9
Software publishers 0.5 0.7 0.3 0.6 0.7 0.7
Legal services 0.7 0.6 0.7 0.7 0.7 0.6
Non-depository credit intermediation 0.5 0.6 04 0.4 0.7 0.8
Other professional, scientific, & technical services 0.7 0.6 0.7 0.5 0.8 0.7
Health and personal care stores 0.7 0.6 0.6 04 0.9 0.7
Specialized design services 0.7 0.5 0.7 0.5 0.7 0.6
Depository credit intermediation 0.5 0.5 0.3 0.4 0.6 0.6
Offices of other health practitioners 0.7 0.5 0.8 0.6 0.6 0.5
Advertising and related services 0.5 0.5 0.5 0.4 0.6 0.6
Employment services 0.6 0.5 0.6 0.4 0.6 0.5
Insurance carriers 0.4 0.5 0.2 0.2 0.5 0.6
Traveler accommodation 0.5 0.4 0.3 0.3 0.6 0.6
Manufacturing 0.4 0.4 0.3 0.3 0.4 0.5
Management of companies and enterprises 0.3 0.4 0.2 0.3 0.3 0.5
Other industries 18.8 16.2 16.1 12.4 21.0 18.9

Industry unknown

Notes: Industries ranked by total beneficiaries in 2006

Sum of the percents may not add to 100 due to rounding.
Percents shown are based on the total number of petitions approved with industry known.
NAICS: North American Industry Classification System

20


Petitions

During Fiscal Year 2006, USCIS approved 270,981 H-1B petitions submitted by employers in
behalf of alien workers. The total number of approved petitions (new and extensions) exceeds the number
of individual H-1B workers because more than one U.S. employer may file a petition in behalf of an
individual H-1B worker or an employer may file additional petitions for the same worker if there is a
change in the alien’s duties or worksite (amended petitions). The number of approved H-1B petitions for
initial employment exceeds the cap because of employer-based cap exemptions. For example, approved
petitions for initial employment are exempt from the cap if the sponsors are institutions of higher education
or nonprofit organizations affiliated with institutions of higher education; the sponsors are nonprofit
research organizations or governmental research organizations; or a beneficiary has a U.S. advanced
degree.

Table 1 shows for Fiscal Year 2006 the number of petitions filed and/or approved for initial and
continuing employment. Of the 270,981 petitions approved in 2006, a total of 109,614 petitions or 40
percent were for initial employment.’ The corresponding number of petitions for continuing employment
was 161,367. These workers may have had a second (or subsequent) petition filed on their behalf in order
to: 1) extend the period allowed to work with their current employer; 2) notify USCIS of changes in the
conditions of employment, including a change of employer; or 3) request concurrent H-1B status with
another employer.

The number of H-1B petitions filed increased 11 percent and petitions approved increased one and
one-half percent between Fiscal Years 2005 and 2006. For initial employment, petitions filed rose four
percent and petitions approved fell six percent. In contrast, petitions filed for continuing employment
increased 17 percent and petitions approved increased seven percent.

Table 1. H-1B Petitions Filed and/or Approved by Type of Petition:
Fiscal Years 2003 to 2006

FY 2003 FY 2004 FY 2005 FY 2006
Petitions filed 231,030 312,200 266,474 295,915
Initial employment 108,526 163,549 117,536 121,724
Continuing employment 122,504 148,651 148,938 174,191
Petitions approved ' 217,340 287,418 267,131 270,981
Initial employment 105,314 130,497 116,927 109,614
Continuing employment 112,026 156,921 150,204 161,367

‘Regardless of when filed.

5 The terms “ | employment” and “continuing employment” are used throughout this report to identify two types of
petitions. Petitions for initial employment are filed for first-time H-1B employment with employers, only some of which are
applied to the annual cap. Continuing employment petitions refer to extensions, sequential employment, and concurrent
employment, which are filed for aliens already in the United States. Extensions are filed for H- 1B workers intending to work
beyond the initial 3-year period up to 6 years, the maximum period permissible under law during fiscal year 2006. Sequential
employment refers to petitions for workers transferring between H-1B employers within the 6-year period. Finally, petitions for
concurrent employment are filed for H-1B workers intending to work simultaneously for more than one H-1B employer.

“Neither AC21 nor prior legislation established a cap on H-1B petitions for continuing employment.


Table 4B. H-1B Petitions Approved by Country of Birth of Beneficiary and Type of
Petition (Percent): Fiscal Years 2005 and 2006

All Beneficiaries

Initial Employment

Continuing Employment

Country of Birth FY 2005 FY 2006 FY 2005 FY 2006 FY 2005 FY 2006
Percent Percent Percent Percent Percent Percent
Total reef cee wf ee
Country of birth 100 100 100 100 100 100
India 44.4 49.9 49.1 54.4 40.8 46.9
China, People's Republic 9.2 8.7 91 9.0 9.3 8.5
Canada 44 41 3.6 3.3 5.0 4.6
Philippines 37 3.3 2.8 2. 44 3.7
Korea 3.0 2.8 3.3 3.0 2.8 2.6
United Kingdom 2.5 2.2 21 1.6 29 27
Japan 2.1 1.9 2.0 17 2.2 24
Taiwan 16 14 15 1.5 17 14
Pakistan 15 14 13 1,2 1.7 1.6
Mexico 13 1.3 1.0 LL 1.6 14
Germany 13 Ll 13 11 13 12
France 1.2 lA Vl 0.9 1.3 1.2
Colombia 1.3 1.0 1.0 0.8 1.5 12
Russia 1.0 0.9 0.8 0.7 1.2 1.0
Turkey 1.0 0.9 1.0 0.8 1.0 0.9
Venezuela 1d 0.9 1.0 0.7 1.2 1.0
Brazil 0.9 0.8 0.9 0.8 1.0 0.9
Argentina 0.9 0.6 0.7 0.5 1.0 0.8
Malaysia 0.7 0.6 0.7 0.4 0.7 0.7
Israel 0.7 0.6 0.5 0.5 0.8 0.7
Other countries 15.9 14.4 15.1 13.7 16.6 14.9

Notes:

Totals may not add due to rounding.

Countries of birth are ranked based on 2006 data.