I’ve traveled the world because of science.
My undergraduate and doctoral studies were in Boston. I’ve done stem cell research in Singapore. I worked in Belgium to learn about camelid antibodies, studied chemistry in England, and given talks around the world.
This type of freedom to study and work across countries made it possible for me to learn from the best, expanded my scientific horizons, and instilled in me a deep passion to make the world a better place. These experiences also empowered me with the skills and conviction needed to enter the biopharma world and start Olaris, a precision medicine company that identifies biomarkers of response to optimize outcomes and improve health.
Proposals by the federal government to make it difficult for people of other countries to have these experiences here in the U.S. will, I believe, hurt the biopharmaceutical industry.
In June, Presidential Proclamation 10051 suspended immigration into the United States for anyone holding H-1B, J-1, and L visas, and suspended granting new ones. Most worrisome for the pharmaceutical industry is the ban on H-1B visas, because it will limit, and in some instances entirely prevent, biopharma companies from recruiting the specialized talent they need.
According to the proclamation, the suspension and limitation are aimed at ensuring “that the presence in the United States of H-1B nonimmigrants does not disadvantage United States workers.” The proclamation ends on Dec. 31, at which point the limitations will cease or the administration may extend them as it sees fit.
In August, the president issued an executive order that prevents federal agencies from hiring employees that would “displace American workers.” This would require federal employers to prove that a new employee requiring an H-1B visa would not be replacing an American worker. Federal agencies like the National Institute of Health, the National Science Foundation, the Department of Defense, and the Food and Drug Administration have multiple million- to billion-dollar research budgets and typically employ hundreds of talented scientists, including U.S. citizens and, at least until now, many through H-1B sponsorship. Federal funded research is an essential part of the science and innovation ecosystem and in many ways acts as a feeder to biopharma for ideas, tools, and people. So, while this may not seem to directly hurt biopharma immediately, it will cut off important pipelines.
And in September, the Department of Homeland Security submitted to the Office of Management and Budget a new H-1B regulation for final review that further restricts the definition of “specialty occupation” and makes it more difficult for visa holders who work primarily outside of the main office. For biopharma companies this could have dual repercussions. It could limit staff being sent out to the field, such as hospitals, manufacturing sites, and the like. It could also limit the staffing of many of service providers, such as IT, maintenance, sanitation, and health and safety specialists who are engaged to work in biopharma facilities. This new regulation is designated as an “interim final rule,” meaning it will go into effect immediately without public input.
The impact of H-1B visa limitations on U.S. biopharma
Science is global work, and the biopharma industry is a global business. Biopharma companies need to have the ability to hire the most qualified candidate for a particular job regardless of where that person was born and raised.
The biggest biopharma companies, such as Novartis, Sanofi, Pfizer, Amgen, and others, hire many talented workers via H-1B sponsorship to develop therapies. So do small companies like mine: Two of our 12 employees have H-1B visas.
A recent commentary on U.S. immigration policies in the journal Cell showed that immigrants were drivers to many breakthrough therapies such as Avastin, which helps individuals with molecular degeneration see better; Remicade, which makes it easier for rheumatoid arthritis patients to walk; CAR-T cell therapies that can bring long-term remission to many cancer patients; and more.
Even our hope for a Covid-19 vaccine can be tied to the work of immigrants: The founders of Moderna, one of the forerunners in vaccine development, include Derrick Rossi, a Canadian who originally came to Stanford for a postdoctoral fellowship on an H-1B visa, and Noubar Afeyan, who was an international Ph.D. student at the Massachusetts Institute of Technology. Even Stéphane Bancel, Moderna’s CEO, was once an international student at Minnesota and at Harvard Business School.
If we want more innovation — and we need it — we can’t limit the talent pool.
Covid-19 has killed more than 200,000 people in the U.S alone, put millions of Americans out of work, and is crushing local economies. I understand the desire to boost employment for Americans. Yet the logic that limiting H-1B visas will let more American citizens get jobs doesn’t make sense for biopharma companies because there aren’t enough Americans trained at the highest levels of science to fill the existing job openings.
American universities are training the best and the brightest in the sciences, and the majority of those trainees are foreigners. The National Foundation for American Policy reported in 2017 that 79% of students in computer science, 57% in chemical engineering, and 56% in pharmaceutical sciences at U.S. institutions were international students. If our federal government wants citizens to be more competitive for today’s biopharma jobs, it must do more to improve science, technology, engineering, and mathematics education and encourage more youths to pursue it.
Many international students who train in the U.S. want to stay here, rent or buy homes, dine at restaurants, shop at local stores, participate in our economy, become active members of the community, and even pay taxes, all while contributing to scientific discoveries with the potential to transform society — or at least they used to. If visas become limited and they can’t find jobs, they will seek biopharma jobs elsewhere.
If the U.S. continues on its current H-1B path, biopharma companies who cannot hire the workers they need will be faced with a few choices: Establish new hubs abroad or move main offices to other countries, outsource the work when possible to service providers in other countries, or decide against pursuing the work altogether. None of these choices seem nearly as good for the companies, or the U.S. economy, as bringing on additional full-time workers. Denying H-1B visas is bad economics and bad for science.
The biopharma industry is an essential part of the U.S economy and a key player in addressing the Covid-19 crisis. We need representatives who will craft legislation that will bolster, not hinder, biopharma’s efforts. More than ever we need the best science done by the best scientists, and that knows no boundaries.
Elizabeth O’Day is the founder and CEO of Massachusetts-based Olaris. This essay was adapted from a longer version that was originally published on the Olaris website.
I think is a great move for the USA to limit and eliminate the H1-B program. For too long this has been a sideways means of brain-draining poor countries with the prospects of dangling American citizenship to immigrants. Now, with H1-B gone, there’s little incentive for many foreign students who pay full tuition to come and school in the US except they’re going to the top tier schools. Many schools that rely on that foreign tuition will struggle to survive. Many cities and landlords wont rent out their apartments, many restaurants wont sell as much food and on the decline of the USA will continue. While countries will be forced to improve their education nd living conditions and deploy their local talent to help them rise out of poverty. Are there Americans that are innovative ?Absolutely. But the US will lose their unfair advantage as global competition rises . And businesses all over the world will profit.
There is a reason why this administration is acting. They listen to American citizens harmed by these corporate gifts. Bush,Clinton,Bush2,Obama, none of them cared for American workers. No American should ever have to Train their foreign replacements. Hated it!
Our ‘trainees/replacements’ where Tata India employees, holders of H-1b and L-1b visas. Once trained the extremely diverse dept of male/female, Black, White, Hispanic and Asian Americans were given a small severance and a pink slip while foreigners on visas lived and worked in our hometown, Lake Mary,FL.
Actually, I had 3 trainees, each learned a different facet of my job. None of my trainees had near the knowledge or experience as me. They were just cheaper; cheaper for the corporation lining the pockets of Congress.
Americans for Trump #MAGA #HireAmerican
one fair possibility could be to force companies to pay foreign workers significantly more than indigenous ones. Like 10-20% more than average salary for the role, which could be in form of a higher taxation toward social security, for example. In this way, companies would be free to hire foreign workers, but of course, they would do it only if they really need those foreign skills.
Anyway, Trump administration policies have certainly more to do with xenophobia rather than actually freeing jobs for Americans.
I am sure MAGA rallies are packed with PhD scientists and software engineers!
“It could also limit the staffing of many of service providers, such as IT, maintenance, sanitation, and health and safety specialists who are engaged to work in biopharma facilities”
Any implication of a shortage of domestic STEM talent in the U.S. is demonstrably false and it’s shameful that this “shortage” nonsense is perpetuated. The H-1B visa was created in 1990 with the pretext of a labor shortage, but the idea of a 30-year labor shortage doesn’t pass the laugh test. Anyone who believes in labor shortages is completely ignorant of how normally-functioning labor markets work in a free market society.
Data from the Census Bureau confirmed that a stunning 3 in 4 Americans with a STEM degree do not hold a job in a STEM field—that’s a pool of more than 11 million Americans with STEM qualifications who lack STEM employment. The US Census shows that of those college graduates who majored in Computers, Mathematics and Statistics (1,959,730), 50.81% did not hold a job in a STEM field (i.e., Computer Workers, Mathematicians and Statisticians, Engineers, Life scientists, Physical Scientists, and Social Scientists). Of those who majored in Engineering (3,340,430), 50.54% did not hold a job in a STEM field.
These are constantly growing numbers: Rutgers Professor Hal Salzman, a top national expert on STEM labor markets, estimates that “U.S. colleges produce twice the number of STEM graduates annually as find jobs in those fields.”
 US Census Bureau, “Census Bureau Reports Majority of STEM College Graduates Do Not Work in STEM Occupations, Release Number: CB14-130”, July 10, 2014
 Salzman, Hal, “STEM Grads Are at a Loss”, U.S. News, September 15, 2014
On the other hand, I applied unsuccessfully for PhD level jobs because of visa restrictions that stayed vacant for months, if not years. Once, a company dropped the conversation as soon as they realized I needed sponsorship. A year later, they bought a library of nanobodies (that I could have easily made as part of my daily job) from a UK company, surely paying big bucks, plus royalties, for it.
In reply to ugo – data trumps anecdotes masquerading as data.
I presented it pretty clearly as my personal experience. I don’t see any masquerading as general data in my accounting. Other than, positions vacant for long period of time, which is a fact! Then, you can argue whatever reason you like for why those $100k+ salary positions weren’t filled immediately by all those allegedly qualified American workers hanging around.
“American universities are training the best and the brightest in the sciences, and the majority of those trainees are foreigners.”
While lobbying Congress for more H-1B visas, industry claims H-1B workers are “the best and the brightest”. Come payday, however, they’re entry-level workers.
The wage rules for H-1B and green card sponsorship are broken down into wage Levels I, II, III and IV, with Level III being the median. The Government Accountability Office (GAO) put out a report on the H-1B visa that discusses at some length the fact that the vast majority of H-1B workers are hired at the entry-level wage level. In fact, most are at “Level I”, which is officially defined by the Dept. of Labor as those who have a “basic understanding of duties and perform routine tasks requiring limited judgment”. Moreover, the GAO found that a mere 6% of H-1B workers are at “Level IV”, which is officially defined by the Dept. of Labor as those who are “fully competent”.
This belies the industry lobbyists’ claims that H-1B workers are hired because they’re experts that can’t be found among the U.S. workforce.
 GAO (2011). H-1B VISA PROGRAM Reforms Are Needed to Minimize the Risks and
Costs of Current Program, GAO-11-26, January 2011.
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