When policymakers change H-1B visa rules or fees, the impact is not uniform. It varies a lot depending on which industries employ most H-1B workers and how much those workers are paid. A policy might seem aimed at "high-skilled labor," but if many H-1B workers in certain industries make near median or modest wages, then fee hikes or wage requirements can disproportionately hurt those sectors.
Two recent charts (from Business Insider and related sources) tell a revealing story:
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Industry Breakdown Chart: showing which industries file the most H-1B petitions.
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Wage Distribution Chart: showing how many H-1B roles fall into pay ranges (e.g. ≤ $100,000, > $200,000, etc.), and how this differs by industry.
In what follows, I summarize what those charts show, incorporate other governmental data (USCIS, Department of Labor), highlight which industries and roles are especially vulnerable under fee increases or tighter wage norms, and discuss what the trends imply for employers and visa applicants.
Key Data: Industries That Employ the Most H-1B Workers
Based on recent reports, including “2 charts show which industries employ the most H-1B workers and how much those roles typically pay” (Business Insider) and USCIS/DO LCA disclosure data, these are the main industries and approximate shares:
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The largest share of H-1B petitions come from the Professional, Scientific, and Technical Services sector. Nearly 50% of current H-1B applications are filed by firms in this sector.
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Other major industry sectors hiring H-1B workers include Information Technology / Computer-Related Firms, Finance and Consulting, Health Care (especially specialized clinical or tech/IT roles within health care), and Manufacturing (though less so than tech/IT).
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Among occupation groups, computer-related occupations account for a very large share: in FY 2023, about 65% of approved H-1B petitions were for computer-related occupations.
So the concentration is heavy: tech/IT + professional/scientific/technical + consulting dominate.
Key Data: Wage Levels for H-1B Roles
Here’s what’s known about how those H-1B roles are paid, including median wages, percentile distributions, and variation by education or occupation.
From the same sources:
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The median compensation for H-1B beneficiaries (approved petitions) in FY 2023 was $118,000.
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Wage distribution: about 30% of H-1B workers earn $100,000 or less annually; only about 10% earn over $200,000.
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By education level:
* Those with doctorate degrees have the highest medians (~$120,000),
* Master’s degree holders: median around $114,000.
* Bachelor’s or professional degree holders: lower, but still substantially above many non-H-1B roles. -
By occupation: Roles in software, IT, computer systems analysis, etc., often cluster in higher wage levels but have wide spread (some low end, some high). Non-IT / non-tech roles tend to have lower medians among H-1B workers, all else being equal. (Less data is publicly summarized for all non-tech sectors, but the patterns are clear in the DOL/USCIS data.)
What the Charts Show: Two Key Visual Trends
Based on the recent BI article (“2 charts…”):
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Chart 1: Industry Share of H-1B Applications
The “professional, scientific & technical services” sector accounts for nearly half of the total H-1B filings. Other sectors, while significant, trail far behind. That sector includes computing, R&D, engineering consultants, etc. Smaller but meaningful chunks come from finance/consulting and health/medical sectors. -
Chart 2: Wage Bands among H-1B Workers
This chart shows that many H-1B roles fall under or slightly above $100,000, with relatively few above $200,000. This shows a skew: even though median compensation is over $100,000, there’s a long tail toward lower wages, especially in sectors or roles where employers file more petitions. Crucially, a policy that increases application cost (or mandates higher wages) will hit those lower- and middle-pay roles hardest.
Deep Dive: Why These Patterns Exist
Why do so many H-1B roles concentrate in certain industries, and why is there such variation in pay?
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Skill Intensity & Education Requirements
Many H-1B eligible roles require at least a bachelor’s degree in specialized fields (computer science, engineering, data science). These are naturally more abundant in tech / professional services sectors. -
Global Talent Shortages in Certain Fields
Tech companies often cite lack of U.S. graduates or difficulty hiring domestic workers with desired experience. This pushes more demand for foreign skilled labor in computing/IT. Health care has similar shortages in specialized positions. -
Employer Use Patterns
Some employers (especially outsourcing firms, consulting companies, tech giants) file many petitions for many roles, including roles with lower wages (relative to their peers) because wage level rules are complex and have many tiers. -
Prevailing Wage Rules & Lower Wage Levels
Data shows many H-1B positions are certified at the lower wage levels of the prevailing wage scale (Levels 1 and 2 in DOL’s wage-level system), which are below or near region/occupation medians. That means many H-1B workers are paid less than what might be expected for comparable roles, which reflects stratification based on experience / seniority / negotiation capacity. -
Variation by Type of Employer
Large tech companies often pay more; smaller firms, consulting outfits, outsourcing firms may pay less, especially for lower level roles or entry roles under H-1B. Also geographic cost of living plays a big role (e.g. wages in Silicon Valley or NYC vs smaller metro or rural regions).
Implications: Which Industries & Roles Are Most Vulnerable
Given the data above, here are the industries and types of H-1B roles that will likely feel the strongest impact from:
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increases in visa application / petition fees (like the recently announced $100,000 fee for some new H-1B petitions)
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stricter wage rules or higher prevailing wage requirements
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more scrutiny or regulatory enforcement
Highly Vulnerable Industries
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Small/Medium Tech & IT Outsourcing / Consulting Firms
Many of their H-1B roles are at lower wage levels; fee increase or wage floor increases will significantly affect cost-structures. -
Professional, Scientific & Technical Services (especially non-senior roles)
Because this sector has a large share of H-1B filings and many of them hover around or below $100,000, the margin for those roles is thin with increased cost burdens. -
Health Care – Non-Physician / Specialized Tech within Health
Roles like medical device software, clinical informatics, lab technology. Some are paid well, but many are in mid wage bands, so may be squeezed. -
Finance / Consulting
Some roles (quant, analytics) are well paid; others (support, junior consulting) may be less so. Firms that heavily use H-1B workers in mid-tier roles will face higher costs.
Less Vulnerable / More Resilient Sectors
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Highly technical senior roles in big tech where salary is well above prevailing wage floor; these can likely absorb cost increases more easily.
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Sectors where demand is extremely high or talent shortage very acute (e.g. some STEM research, AI roles, specialized engineering) — though even here, cost pressures matter.
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Employers in high cost areas (Silicon Valley, NYC) already paying premium wages; the incremental cost is lower relatively, though absolute costs rise.
Chart Examples (Hypothetical Derived from Available Data)
To help visualize, here are descriptions of two possible chart types based on the data:
Chart A: Industry vs Share of H-1B Petitions
| Industry Sector | Approx % of H-1B Filings |
|---|---|
| Professional, Scientific & Technical Services | ~50% |
| Information / Computer Technology | (within that or overlapping with above) — very large share, perhaps ~65% of applications are in computer-related occupations. |
| Finance / Consulting | Moderate share — lower than tech but still substantial. |
| Health Care / Medical Tech | Smaller but growing share. |
Chart B: Wage Distribution Among H-1B Roles
| Wage Range | Approx % of H-1B Roles |
|---|---|
| ≤ $100,000 | ~30% |
| $100,001 – $200,000 | Majority of remaining roles (say ~60–65%) |
| > $200,000 | ~10% |
Also, median for all H-1B in FY 2023 around $118,000 (across all occupations) ‒ which sits in the mid of that distribution.
Additional Data from Government Sources
To deepen the picture:
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USCIS report FY2023: ~65% of H-1B petitions approved are for computer-related occupations.
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The “Characteristics of H-1B Specialty Occupation Workers” report indicates median compensation for H-1B workers is $118,000.
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The report also shows that workers with professional degrees (law, medical, etc.) have a wide distribution; continuing employment petitions tend to pay significantly more than initial because of experience, role seniority.
Policy & Fee Changes: How They Interact with Industry & Wages
The recent announcement of a $100,000 fee for new H-1B applications (in certain cases) interacts with the industry-wage landscape in several important ways:
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Since many H-1B roles are paid ≤ $100,000, that fee is large relative to salary for those roles — cost margin will be squeezed heavily for employers hiring many such roles.
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Employers who rely heavily on lower wage (within H-1B-eligible) roles will likely reduce filings, raise offered salaries, or shift toward roles that pay well above the floor. That will shift burdens on applicants (higher requirements), possibly reduce availability of junior or mid-level foreign talent.
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Sectors with high proportions of high-wage roles (senior tech, specialized engineering) will feel the cost, but may be able to pass on or absorb more easily.
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Wage floor regulation changes may force more roles to be certified at higher wage levels (Level 3 or Level 4 in prevailing wage system). Employers currently using many Level 1 or 2 wage levels will see big increases in labor costs.
Real-World Examples & Comparisons
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Some tech/IT roles (software developers, computer systems analysts) have average salaries around $115,000-130,000 for many H-1B positions per the DOL / myVisaJobs data.
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Entry-to-mid level IT roles in smaller markets or lower cost of living may be closer to the lower end of $90,000-$110,000, particularly where employers use lower prevailing wage levels.
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Senior roles in tech (engineering leads, specialized AI/ML roles, senior data scientists) often are in top decile of H-1B wages, sometimes exceeding $200,000, though those roles are a smaller share of total H-1B filings.
Implications for Applicants, Employers & Policy
Given the industry + wage distribution data, here are how key stakeholders are affected:
For Applicants
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If you seek roles in industries or occupations with many lower-wage H-1B positions, you may face fewer opportunities or need to be more senior / specialized to qualify.
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Applicants may need to negotiate higher salaries, aim for roles in high cost-of-living or high-paying sectors to offset regulatory cost increases.
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Those in computer/IT fields still have best chances for volume, but increasing cost of entry (fees, wage floors) could shift competition.
For Employers
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Cost modeling must change. Filing many moderate-wage H-1B positions will become more expensive; they may shift hiring toward fewer, higher-paid positions.
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Might restructure job level tiers, pay more for junior roles to meet prevailing wage, reduce reliance on junior H-1B hires, or move more work overseas/offshore.
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Some industries (healthcare tech, medical informatics, etc.) may cut back on H-1B hiring where salaries don't justify the combined cost of wages + fees + administrative burden.
For Policy Makers
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Fee or wage floor policies will have uneven effects. They may successfully push up wages in lower paid H-1B roles, but also risk reducing entry opportunities for foreign talent.
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Should consider waiver or differential policies for roles in shortage occupations or high need industries, so that innovation or critical sectors are not unduly harmed.
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Transparent data and ongoing monitoring are essential to see which sectors reduce H-1B filings, how that affects supply of specialized workers, and downstream effects on economy.
Where the Pressure Will Fall
The data shows that H-1B filings are heavily concentrated in tech / professional / scientific sectors, and many H-1B roles — while well paid compared to average U.S. wages — cluster around median or moderately above median salaries rather than ultra-high pay.
Policy changes (fee hikes, stricter wage requirements) will hence hit hardest in those sectors that currently employ large numbers of H-1B workers with salaries in the lower to middle ranges ($80,000-150,000). For senior, high-wage roles, while there is impact, the relative burden is smaller.
For anyone impacted — applicants, employers, institutions — understanding the industry + wage distribution is crucial. Visualizing these two charts side by side helps show that “high-skilled work” is not monolithic: there are large swaths of roles with modest wages, many in tech/IT or consulting, that may be squeezed by policy changes.
If you like, I can pull the raw data and make updated charts for truthsider.blog to embed, along with projected effects of fee increases by industry.
