Salaries are extremely high in SV, why would they bother hiring foreigners if they can find good candidates locally?
I work in a big US tech company, and I do interview lots of candidates. Most of them graduated outside of the US. I can't believe that leadership would go to such great lengths to avoid local candidate. I think there are just not enough qualified applicants.
It's really that simple. SV likes foreign workers BECAUSE SV salaries are high. Businesses will do literally anything to save a few cents, at any cost.
There are enough qualified domestic candidates. Your bosses don't want them because domestic workers demand wages that fit domestic cost of living. Foreign workers can be extorted into accepting much less than a domestic worker will.
This is all very simple and straightforward. Your big mistake here is in assuming that capitalism is fundamentally moral or logical. It is not. Literally only one thing matters and it's maximizing profit at any cost.
Do immigrants earn less than locals?
My impression is that the salary is similar. I am not in the US, but I rejected job offers from across the pond in the past and the salary seemed to be on the level with what I know is paid in the US for that position.
My guess is that what they like in H1B workers is that they are sort of stuck with that employer, as changing jobs under such a Visa can be tricky no?
I could afford to spend the next six months out of work looking for a replacement job. No one on an H1B can because they would be in violation of their visa. They will tolerate far more nonsense than I will.
H1B always sounded to me like a shitty deal for the immigrant, and it also does seem to be detrimental to native workers.
Fundamentally how prices are set is someone sets a price, and if there are no takers they change the price. If a company offers a salary, and they bring in an H1-B to fill the role, they don't have to raise the salary. Over time it suppresses the wage.
The thing is that all these mega-corporations have offices across the world, but currently want to hire in the US. You and I want our personal jobs to be expensive, but we don't want the prospect of hiring us where we live to be too expensive. And even aside from cost, you also don't want them to say "there's not enough employees there, it's not worth hiring."[0]
[0] I'm technically no longer living in the US, but I was until recently.
Employee works for a company under an H1B, company likes their work, wants them to stay longer (H1B has a max of 6 years unless you sponsor the employee for permanent residence). Employee doesn't want to be in this weird temporary worker status forever (and again, after 6 years they'll need to), so the company has two choices: either hire a new employee, hope they've as good as the one you already have under the H1B, train them up to be as familiar with the job and its work as the H1B, and then forget about getting the existing employee permanent residence, OR, just sponsor them for the PERM process, put out a job ad with a really low likelihood of anyone applying, and move on with their lives.
The way the PERM process is set up, there's really no reason not to do the hidden job ad, it's not really regulated against, there's not much financial harm in doing it, and they already have an employee they like and who wants to stay, so for those two parties (and presumably anyone who likes working with this person, and any friends they have in America and so on), there's no reason not to just put out the hidden job ad.
Wouldn't say it's necessarily easy to do so, but it's not an automatic deported from the country kind of deal.