Huffington Magazine Issue 22 | Page 57

BRAIN DRAIN “I could not even comprehend this would become a problem,” he said. “I’m creating a company. I’m creating jobs. There’s nothing bad in what I’m doing and there’s nothing I’m taking away from someone else. The only thing I’m doing is creating more!” “SERIOUS ALARM” Since 2005, the number of immigrant-founded startups in Silicon Valley has declined from 52 percent to 44 percent, according to Wadhwa, who argues this drop is cause for “serious alarm” because America needs to attract immigrant entrepreneurs for its economy to recover. “The United States risks losing a key growth engine right at the moment when it’s economy is stuck in a deep ditch, growing slowly and struggling to create jobs,” Wadhwa wrote in his new book, The Immigrant Exodus. Their recent decline could be linked to entrepreneurs finding better business prospects abroad, especially in countries with growing economies like India and China. But advocates say a major reason why immigrants are launching fewer startups in the United States is because they are HUFFINGTON 11.11.12 struggling to secure visas to remain in the country. The number of H-1B visas, or temporary worker visas for skilled immigrants, is capped at 65,000 a year, with an additional 20,000 available for immigrants with advanced degrees. Demand for those visas far outstrips supply. (This year, United States Citizenship and Immigration Services, or USCIS, received about 277,000 petitions for H-1B visas.) And each country is restricted to 7 percent of the 140,000 employment-based green cards that are issued annually, meaning immigrants from China and India often must wait more than a decade for permanent residency. These limits were not a problem before, but have now fallen far short of demand as millions of immigrants with high-tech skills have flocked to the United States. Foreign-born entrepreneurs can face additional obstacles. To qualify for an H-1B visa, applicants must prove that someone else controls their employment. For immigrant founders, that means creating a separate board of directors and relinquishing some ownership of their company. Darash and his lawyer say that his visa was denied because, according to immigration officials, he did not adequately prove that someone could fire him. Visa applicants