Innovation and STEM Fields

Innovation and STEM Fields

For America to compete in the 21st century, we need a robust innovation economy—which requires a workforce skilled in the science, technology, engineering, and math (or STEM) fields. Yet American students are not entering those industries in sufficient numbers, and the United States is projected to face a shortage of one million STEM workers by 2022.1 Foreign-born students frequently gravitate towards STEM disciplines, making up roughly one out of every three individuals earning graduate-level STEM degrees each year. Our broken visa system, however, makes it difficult for many of them to stay after graduation—a reality that hurts the ability of our employers to expand and create more opportunity for American workers. 1 President’s Council of Advisors on Science and Technology, "Engage to Excel: Producing 1 million Additional College Graduates with Degrees in Science, Technology, Engineering, and Mathematics," February 2012. Available online.

Austin Mayor Touts the Value of Immigrants as City is Recognized in NAE Cities Index

Austin Mayor Touts the Value of Immigrants as City is Recognized in NAE Cities Index

Austin, Texas, is known for being one of the most creative, innovative cities in the United States. It’s why Steve Adler is so proud to be the city’s mayor—and he knows that to maintain the city’s vibrancy it needs to celebrate its immigrant residents. In Austin, more than 18… Read More

New American Economy Statement on Failed Immigration Legislation in the House of Representatives

New American Economy Statement on Failed Immigration Legislation in the House of Representatives

NEW YORK – “Today proves it’ll take votes from both sides of the aisle for this Congress to get to yes on an immigration deal,” said John Feinblatt, President of New American Economy. “The right step for the House now is a successful discharge petition that advances a bipartisan solution… Read More

The News-Gazette: University Y's new study shows immigrants have $1.4B impact here

The News-Gazette: University Y’s new study shows immigrants have $1.4B impact here

Immigrants living in Champaign County contribute $1.4 billion to its economy and $57.2 million to the local tax base, according to a new, first-of-its kind study. The Gateways for Growth Community Data Report — compiled by the University YMCA’s New American Welcome Center and data analysts from the New American… Read More

Pakistani Engineer Manages 700-Employee Facility, Oversees Life-Saving Drug Production

Pakistani Engineer Manages 700-Employee Facility, Oversees Life-Saving Drug Production

Usman Chaudhri dreamed of becoming an engineer, and by 23, he had more than achieved his goal. He had received bachelor’s and master’s degrees in mechanical engineering from Pakistan’s National University of Sciences and Technology and had his research on synthetic engine fuel published in journals around the world. Riding… Read More

U.S. Could Deport the STEM Grads it Desperately Needs

U.S. Could Deport the STEM Grads it Desperately Needs

American companies need young people like Cesar Guzman, a mechanical engineering student at the University of Texas at El Paso. U.S. employers are already struggling to find qualified workers in science, technology, engineering, and math (STEM) fields; in 2016, there were more than 12 STEM jobs posted… Read More

Dreamer Forced to Shelve Plan to Use IT Skills to ‘Protect Our Troops’

Dreamer Forced to Shelve Plan to Use IT Skills to ‘Protect Our Troops’

Axel did not know he was an undocumented immigrant until he started high school. His parents had brought him and his brother to the United States from Guatemala when he was 6 years old, and, as he got older, the Sioux Falls resident assumed he had the same rights as… Read More

DACA Engineer and Homeowner Seeks Protection for His Family

DACA Engineer and Homeowner Seeks Protection for His Family

Cesar Rodriguez is an accomplished 24-year-old. He holds a bachelor’s degree in mechanical engineering, works full time as a design engineer, owns two homes, in Nashville, Tennessee, and does volunteer work with young people. But next year, unless Congress takes action, Rodriguez could be forced to leave his job, his… Read More

Caught in Limbo, STEM-Educated Dreamer Ponders a Move to Canada

Caught in Limbo, STEM-Educated Dreamer Ponders a Move to Canada

Ecuadorian immigrant Edison Suasnavas is part of Silicon Slopes—a science, technology, engineering and math (STEM) hot spot that is propelling Utah’s economy. He holds a master’s degree in animal science from Utah State University and works as a molecular oncologist at Arup Laboratories, in Salt Lake City,… Read More

STEM Worker Worries He May No Longer Be Able To Contribute

STEM Worker Worries He May No Longer Be Able To Contribute

Brad Figueroa’s parents brought him to the United States from Mexico when he was 2 years old. Six years later, his father died, leaving Figueroa’s mother to raise him alone, working service jobs to make ends meet. When Figueroa, now in his mid 30s, came of age, he immediately began… Read More

Statement on Senator Orrin Hatch’s Immigration Innovation Bill

Statement on Senator Orrin Hatch’s Immigration Innovation Bill

Following the reintroduction of Senator Hatch’s Immigration Innovation Bill, New American Economy issued the following statement: “We need high-skilled immigration reform, especially as we face labor shortages in areas like engineering, medicine, and science,” said John Feinblatt, President of New American Economy. “But we also need a system that protects… Read More

Outsize Role in the Workforce

Immigrants punch above their weight class in the STEM fields, making up far larger portions of the STEM workforce than they do the U.S. population overall. This dynamic is particularly pronounced in several states. In New Jersey, for instance, immigrants make up almost two out of every five STEM workers, while accounting for only one in five of the state’s residents.

States with the Highest Share of Foreign-Born STEM Workers, 2014

Labor Shortages

In recent years, many U.S. employers have struggled to find enough STEM workers. This lack of manpower has real consequences for the economy—making it difficult for firms to expand and create jobs for American workers at all skill levels. In several specialized fields, like physical science and software development, the unemployment rates of U.S.-born STEM workers are particularly low, indicating there are simply not enough U.S.-born workers to meet the needs of employers.

Take a look at our latest research about the shortage of STEM workers.

U.S. Citizen Unemployment Rates in STEM Fields Most Heavily Reliant on Immigrant STEM Workers, 2014

Earning STEM Degrees

International students make up a large share of STEM graduate students. In 2014, more than a quarter of STEM master’s degrees and more than a third of STEM Ph.D. degrees went to students in the country on temporary visas. Meanwhile, the number of American citizen and permanent resident students pursuing graduate degrees in science and engineering fields actually fell by 6.3 percent between 2010 and 2013.2 Our broken immigration system means that many of these international students will struggle to remain in the country after graduation, despite employers needing them.

Sources:
2 National Science Foundation, Science and Engineering Indicators, 2016, Appendix Table 2-25. Available online.

Share of Ph.D.'s in Selected Fields Going to Students on Temporary Visas, 2014

States Graduating the Most STEM Students on Temporary Visas, 2014

States Needing STEM Workers

While every state was short STEM workers in 2015, the shortage was particularly acute in North Dakota and South Dakota, where employers listed 87 and 71 STEM positions, respectively, for each unemployed STEM worker. These are gaps that immigrants could help fill. In South Dakota, for instance, immigrants made up just three percent of all STEM workers in 2015, one of the lowest shares in the country.

States with Greatest Shortages of STEM Workers, 2014

Creating U.S. Jobs

Rather than reduce the number of jobs available to American workers, foreign-born STEM graduates often create additional jobs for U.S.-born workers. Research shows that when a state gains 100 foreign-born STEM workers with graduate-level training from a U.S. school, an average of 262 jobs are created for U.S.-born workers there in the seven years that follow.3 More specifically, the temporary visa (H-1B) program for high-skilled workers is also linked to job creation for American workers and economic growth. However, the current system fails not only to provide visas that companies need to grow, but also to protect against fraud and abuse.

Sources:
3 Madeline Zavodny, “Immigration and American Jobs,” The Partnership for a New American Economy and the American Enterprise Institute, 2011. Available online.

States that Stand to Gain the Most from Retaining More Foreign-Born STEM Graduates

The Impact of our Broken Immigration System

Since the recession, some of the most robust growth in high-wage, American jobs has occurred in cities. The high-tech companies fueling this growth cannot succeed and grow, however, without qualified STEM professionals—a group that can be difficult to find. An annual cap on the number of available green cards and H-1B visas hinders efforts to hire immigrant STEM professionals when no American workers are available. At right, we explore how the H-1B requests for computer-related workers that did not make it through the 2007 and 2008 H-1B visa lotteries impacted wages and the number of jobs available for U.S.-born tech workers in the two years that followed.4

Sources:
4 Partnership for a New American Economy, “Closing Economic Windows: How H-1B Visa Denials Cost U.S.-Born Tech Workers Jobs and Wages During the Great Recession," June 4, 2014. Available online.

Metropolitan Areas Hurt Most by 2007 and 2008 Denials in the H-1B Lottery

Driving Innovation

International STEM students and graduates are behind some of America’s most impressive innovations, from artificial skin to moldable metal. Studies show that immigrants with an advanced degree are three times more likely than U.S.-born graduate degree holders to file a patent. When universities increase their share of international students, they often receive more patents—boosting revenue and creating more opportunities for all students.

Share of Patents Awarded to Top Patent Producing Research Universities with at Least One Foreign-Born Inventor, 2011

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