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Trump cited my research to propose a terrible idea for work visas

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Trump cited my research to propose a terrible idea for work visas

Last week, President Donald Trump issued a proclamation declaring a requirement that employers pay a $100,000 fee for new H-1B visas. The announcement has created considerable outcry from employers, reflecting H-1B’s status as the country’s biggest work visa program and an important pathway for U.S. employers to hire skilled talent from abroad. To my surprise, Trump’s proclamation seemed to cite a study that I co-authored for the Economic Policy Institute, showing how some employers have taken advantage of the visa to underpay college-educated employees.

It’s true that the H-1B program is deeply flawed. But the $100,000 fee on employers won’t fix what’s wrong with the program and could have unintended consequences. Large firms and those that already pay lower wages will have less difficulty paying the fee, while startups and smaller firms that offer fair or above-market wages will struggle to pay it. Rather than the administration’s misguided and poorly implemented idea, there are much better ways to protect workers, whether they are H-1B employees or U.S.-born workers or green card holders already employed in the United States.

The good news is that the administration is implementing or considering two regulations that could go a long way in curbing employer abuses of the visa.

There are close to 600,000 total H-1B workers in the United States. Roughly two-thirds of H-1B workers fill jobs in computer-related and information technology occupations, with the rest working other professional jobs as accountants, doctors, university professors and many others. But the H-1B program has drifted far from its purpose of filling labor shortages with workers who possess rare skills. And weak labor safeguards are to blame.

First, U.S. employers are not required to advertise jobs to U.S. workers and recruit them before hiring H-1B workers. Employers claim there are labor shortages of skilled workers — often despite evidence to the contrary — but are ultimately not required to test the labor market to see if this is true. Instead, they can completely bypass the U.S. workforce.

Second, the rules for H-1B visas require that those workers be paid a fair wage according to U.S. standards. However, in practice, the rules allow the majority of H-1B workers to be vastly underpaidearning less than the true market wage for their occupation and location.

Third, the way visas are allocated is problematic: As Bloomberg reported last yearstaffing companies that pay the lowest wages allowed by law easily exploit the random lottery system that allocates H-1B visas and eat up a large chunk of the 85,000 visas that are subject to the annual cap. (Another 56,000 visas were issued last year to firms that are not subject to the cap.)

Fourth, lack of federal enforcement has allowed companies to underpay H-1B workers by tens of millions of dollars. While some H-1B workers do possess rare skills that benefit the U.S. economy, most who are admitted are classified as filling entry-level jobs that do not require advanced skills. Because of visa rules, H-1B workers are placed in working arrangements akin to indentured servitude. H-1B rules ultimately subsidize the outsourcing and offshoring of U.S. jobs and even incentivize firms to directly replace their U.S. workers with H-1B workerswho can be legally underpaid compared with the market rate for local workers. Just this week, two prominent senators — Republican Chuck Grassley of Iowa and Democrat Dick Durbin of Illinois — penned a letter calling out the biggest tech employers for laying off thousands of U.S. workers while simultaneously hiring thousands of H-1B workers.

There are several clear and simple steps that the Trump administration can take to fix H-1B, if this White House is serious about improving the program and protecting workers. None of these steps involve announcing a large fee that creates chaos and uncertainty: The fee is already in effect, for instance, even though there isn’t even a process or a form yet allowing employers to pay it.

Given the administration’s cuts at key agencies, there may not be many staffers left to enforce any new H-1B rules.

The good news is that the administration is implementing or considering two regulations that could go a long way in curbing employer abuses of the visa. One is mentioned at the end of Trump’s proclamation, which directs the Department of Labor to craft a regulation to raise wage rates for H-1B workers. If a rule is ultimately proposed and the final version requires that H-1B workers be paid at least the local median wage for their specific occupation, it would go a long way to fixing the program.

The other new rule that’s needed would require the Department of Homeland Security to prioritize H-1B visas for the most highly-skilled and -paid workers, rather than through the current lottery system. This week, DHS made public a proposed rule that purports to address this, by giving higher-wage H-1B jobs a better chance of being selected, though it’s too soon to tell if this would work.

While these two rules hold a lot of promise, the Trump administration’s disastrous record on worker rights means we should withhold judgment until the rules are finalized and enforced. At the end of the first Trump administration, DOL and DHS proposed rules to update the wage and lottery rules, but they were issued so haphazardly that it’s hard to tell if Trump actually wanted them to ever go into effect. And given the administration’s cuts at key agencies, there may not be many staffers left to enforce any new H-1B rules.

Other actions Trump could take include closing the loophole that incentivizes outsourcing — where H-1B workers are sent to third-party sites and often directly replace U.S. workers. The administration could also investigate rampant wage theft by employers, and screen employers so those with a track record of violating labor and employment laws are prohibited from hiring through H-1B.

Both progressive and conservative legislators have called for these fixes, as well as introduced them as legislation. Could the Trump administration actually improve H-1B and raise wages and labor standards, rather than just issue a poorly designed and targeted fee on H-1B employers? We’ll find out in the coming months.

Daniel Costa

Daniel Costa is the director of immigration law and policy research at the Economic Policy Institute.

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The Dictatorship

Labor Secretary Lori Chavez-DeRemer is leaving Trump’s Cabinet

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Labor Secretary Lori Chavez-DeRemer is leaving Trump’s Cabinet

WASHINGTON (AP) — Labor Secretary Lori Chavez-DeRemer is out of President Donald Trump’s Cabinet, the White House said Monday, after multiple allegations of abusing her position’s power, including having an affair with a subordinate and drinking alcohol on the job.

Chavez-DeRemer is the third Trump Cabinet member to leave her post after Trump fired his embattled Homeland Security Secretary Kristi Noem in March and ousted Attorney General Pam Bondi earlier this month.

In a statement posted on social media, Chavez-DeRemer praised Trump and wrote, “I am proud that we made significant progress in advancing President Trump’s mission to bridge the gap between business and labor and always put the American worker first.”

Unlike other recent Cabinet departures, Chavez-DeRemer’s exit was announced by a White House aide, not by the president on his social media account.

“Labor Secretary Lori Chavez-DeRemer will be leaving the Administration to take a position in the private sector,” White House communications director Steven Cheung said on the social media site X. “She has done a phenomenal job in her role by protecting American workers, enacting fair labor practices, and helping Americans gain additional skills to improve their lives.”

He said Keith Sonderling, the current deputy labor secretary, would become acting labor secretary in her place. The news outlet NOTUS was the first to report Chavez-DeRemer’s resignation.

Labor chief, family members faced multiple allegations

Chavez-DeRemer’s departure follows reports that began surfacing in January that she was under a series of investigations.

A New York Times report last Wednesday revealed that the Labor Department’s inspector general was reviewing material showing Chavez-DeRemer and her top aides and family members routinely sent personal messages and requests to young staff members.

Chavez-DeRemer’s husband and father exchanged text messages with young female staff members, according to the newspaper. Some of the staffers were instructed by the secretary and her former deputy chief of staff to “pay attention” to her family, people familiar with the investigation told the Times.

Those messages were uncovered as part of a broader investigation of Chavez-DeRemer’s leadership that began after the New York Post reported in January that a complaint filed with the Labor Department’s inspector general accused Chavez-DeRemer of a relationship with the subordinate.

She also faced allegations that she drank alcohol on the job and that she tasked aides to plan official trips for primarily personal reasons.

Late Monday, on her personal X account, Chavez-DeRemer posted, “The allegations against me, my family, and my team have been peddled by high-ranked deep state actors who have been coordinating with the one-sided news media and continue to undermine President Trump’s mission.”

Both the White House and the Labor Department initially said the reports of wrongdoing were baseless. But the official denials got less full-throated as more allegations emerged — and when Chavez-DeRemer might be out of a job became something of an open question in Washington.

At least four Labor Department officials have already been forced from their jobs as the investigation progressed, including Chavez-DeRemer’s former chief of staff and deputy chief of staff, as well as a member of her security detail, with whom she was accused of having the affair, The New York Times reported.

“I think the secretary demonstrated a lot of wisdom in resigning,” Sen. John Kennedy, R-La., said Monday after her departure was made public.

She enjoyed union support — rare for a Republican

Confirmed to Trump’s Cabinet on a 67-32 vote in March 2025, Chavez-DeRemer is a former House GOP lawmaker who had represented a swing district in Oregon. She enjoyed unusual support from unions as a Republican but lost reelection in November 2024.

In her single term in Congress, Chavez-DeRemer backed legislation that would make it easier to unionize on a federal level, as well as a separate bill aimed at protecting Social Security benefits for public-sector employees.

Some prominent labor unions, including the International Brotherhood of Teamsters, backed Chavez-DeRemer, who is a daughter of a Teamster, for Labor Secretary. Trump’s decision to pick her was viewed by some political observers as a way to appeal to voters who are members of or affiliated with labor organizations.

But other powerful labor leaders were skeptical when she was tapped for the job, unconvinced that Chavez-DeRemer would pursue a union-friendly agenda as a part of the incoming GOP administration. In her Senate confirmation hearing, some senators questioned whether she would be able to uphold that reputation in an administration that fired thousands of federal employees.

She was a key figure in Trump’s deregulatory push

Aside from reports of wrongdoing in recent months, Chavez-DeRemer had been one of Trump’s more lower-profile Cabinet picks, but took key steps to advance the administration’s deregulatory agenda during her tenure.

For instance, the Labor Department last year moved to rewrite or repeal more than 60 workplace regulations it saw as obsolete. The rollbacks included minimum wage requirements for home health care workers and people with disabilities, and rules governing exposure to harmful substances and safety procedures at mines. The effort drew condemnation from union leaders and workplace safety experts.

The proposed changes also included eliminating a requirement that employers provide adequate lighting for construction sites and seat belts for agriculture workers in most employer-provided transportation.

During Chavez-DeRemer’s tenure, the Trump administration canceled millions of dollars in international grants that a Labor Department division administered to combat child labor and slave labor around the worldending their work that had helped reduce the number of child laborers worldwide by 78 million over the last two decades.

In her statement Monday, Chavez-DeRemer said, “While my time serving in the Administration comes to a conclusion, it doesn’t mean I will stop fighting for American workers.”

The Labor Department has a broad mandate as it relates to the U.S. workforce, including reporting the U.S. unemployment rate, regulating workplace health and safety standards, investigating minimum wage, child labor and overtime pay disputes, and applying laws on union organizing and unlawful terminations.

___

Associated Press writers Steven Sloan and Will Weissert in Washington and Cathy Bussewitz in New York contributed to this report.

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The Latest: US Navy seizure of Iranian ship casts doubt on fresh talks in Pakistan

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The Latest: US Navy seizure of Iranian ship casts doubt on fresh talks in Pakistan

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GOP’s Mills faces expulsion effort launched by one of his Republican colleagues

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GOP’s Mills faces expulsion effort launched by one of his Republican colleagues

Republican Rep. Cory Mills of Florida was already dealing with multiple, overlapping scandals when a judge issued a restraining order against the congressman last fall after one of his ex-girlfriends accused him of threatening and harassing her. Soon after, Mills found that even some of his allies were keeping him at arm’s length.

In December, Rep. Byron Donalds, a fellow Florida Republican, conceded“The allegations against Cory, to me, are very troubling. I’m concerned about him. I hope he gets his stuff worked out and cleaned up, but it has to go through ethics [the Ethics Committee]. And he has to, you know, basically do that hard work to clear his name, if it can be cleared.”

Donalds, a leading gubernatorial candidate in Florida, had previously suggested he saw Mills as a possible running mate, making the comments that much more potent.

It didn’t do Mills any favors when The Washington Post published a new report a few days ago highlighting body camera footage that showed police officers in Washington, D.C., who were prepared to arrest the GOP congressman after a woman accused him of assault last year, before a lieutenant ultimately ordered them not to when she changed her account. (Mills refused to comment, except to say that the woman’s initial claim was “patently false.”)

Two days after the Post’s report reached the public, one of Mills’ Republican colleagues announced an effort to kick the congressman out of office. NBC News reported:

Rep. Nancy Mace, R-S.C., introduced a resolution Monday to expel Rep. Cory Mills, R-Fla., from Congress over accusations that include sexual misconduct.

Mills is being investigated by the House Ethics Committee in connection with allegations of ‘sexual misconduct and/or dating violence’ and campaign finance violations. He has denied any wrongdoing.

“The swamp has protected Cory Mills for far too long and we are done letting it slide,” Mace said in a statement. “We tried to censure him and strip him from his committee assignments. Both parties blocked it, but we are not backing down.”

By way of social media, the Floridian expressed confidence that he’d prevail if Mace’s resolution reached the floor, encouraging the South Carolinian to “call the vote forward.”

Time will tell whether the expulsion vote actually happens, but in the meantime, after NOTUS reported that Mills intends to respond with an expulsion resolution of his own targeting Mace, the congresswoman wrote online“Cory Mills lied about his military service, has been accused of beating women, has a restraining order against him, and has allegedly been stuffing his own pockets with federal contracts while sitting in Congress. As a survivor, I will always stand up and right the wrongs of others. He is only coming after me because he knows he’s next.”

It’s not often that Americans see members of Congress launch dueling efforts to kick each other out of office, but this is proving to be an unusually awful term.

Indeed, amid growing GOP anxieties about the upcoming midterm elections, there’s fresh evidence that the House Republican conference is both divided and unraveling.

Steve Benen is a producer for “The Rachel Maddow Show,” the editor of MaddowBlog and an MS NOW political contributor. He’s also the bestselling author of “Ministry of Truth: Democracy, Reality, and the Republicans’ War on the Recent Past.”

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