H-1B Approvals vs. Employee Layoffs
A side-by-side comparison of Amazon's H-1B petition approvals and workforce reductions:
H-1B Approvals by Fiscal Year
Source: USCIS H-1B Employer Data Hub[1]
Employee Layoffs by Period
Sources: Company announcements, SEC filings, WARN Act notices[2]
Year-by-Year Comparison
| Year | H-1B Approvals | Employees Laid Off |
|---|---|---|
| 2020 | 11,396 | - |
| 2021 | 12,950 | - |
| 2022 | 13,134 | * |
| 2023 | 11,322 | ~27,000 |
| 2024 | 10,590 | ~1,000 |
| 2025 | 13,266 | 14,000 |
| 2026 (Jan) | - | 16,000 |
| Total | 72,658 | ~58,000 |
Note: H-1B figures are by fiscal year (Oct-Sept). Layoff figures are by calendar year. H-1B approvals include new hires, renewals, and transfers. *The Nov 2022 layoffs (~10,000) are included in the 2023 total of ~27,000, per Amazon CEO Andy Jassy's statement that the 18,000 Jan 2023 figure included the November cuts.
What the Data Shows
The H-1B visa program was created to allow U.S. companies to hire foreign workers in "specialty occupations" when qualified American workers are unavailable. The program assumes a genuine shortage of domestic talent.
The data raises questions about this assumption. In fiscal year 2023, Amazon received approval for 11,322 H-1B petitions. That same year, the company laid off 27,000 employees - including thousands of corporate and technical workers in roles similar to those filled by H-1B holders.
If Amazon faced a genuine talent shortage requiring foreign workers, it would not simultaneously be eliminating tens of thousands of existing positions in similar job categories.
Who Is Being Laid Off?
A common counterargument holds that layoffs and H-1B hiring affect different job categories - that warehouse workers are laid off while software engineers are hired. The evidence does not support this distinction:
- •January 2023 (18,000 layoffs): Amazon CEO Andy Jassy explicitly stated cuts targeted "corporate roles," including technology teams, human resources, and retail divisions - not warehouse operations.
- •October 2025 (14,000 layoffs): The company announced these cuts focused on "managerial and professional roles" with a goal of increasing the ratio of individual contributors to managers.
- •January 2026 (16,000 layoffs): Announced cuts target AWS (Amazon Web Services), retail, Prime Video, and HR - divisions with heavy concentrations of corporate and technical roles.
- •H-1B job categories: According to Department of Labor data, 85%+ of Amazon's H-1B positions are for software development engineers, systems engineers, and related technical roles[4] - the same job families affected by corporate layoffs.
The overlap is substantial. Amazon is simultaneously laying off software engineers and related technical workers while sponsoring thousands of H-1B workers for the same job titles. This suggests the H-1B program is not filling genuine talent gaps but rather providing access to a labor pool with lower wage expectations and reduced job mobility.
The Wage Question
Research consistently finds that H-1B workers are paid below market rates:
- •The Economic Policy Institute found H-1B workers are paid 17-34% less than comparable American workers[5]
- •The Department of Labor sets H-1B "prevailing wages" using outdated methodology that allows below-market compensation
- •H-1B workers are tied to their sponsoring employer, reducing their bargaining power and mobility
This wage differential creates an economic incentive to hire H-1B workers even when domestic workers are available. The result: companies can maintain high hiring of foreign workers while simultaneously laying off American employees.
Industry Context
Amazon is not alone. The Economic Policy Institute found that in 2022, the top 30 H-1B employers collectively:[5]
- •Hired 34,000 new H-1B workers
- •Laid off at least 85,000 employees
The pattern extends across major technology companies: Google, Microsoft, Meta, and Salesforce all conducted mass layoffs while maintaining or increasing their H-1B hiring.
Policy Response
The Affordability and Immigration Act of 2026 proposes ending the current H-1B program and restoring the original H-1 visa requirements:
- •Direct employment only - no staffing agencies or body shops
- •Genuine specialty occupations - not routine IT positions
- •Demonstrated need - employers must prove they cannot find American workers at market wages
Transition rules for current H-1B holders: All current H-1B holders retain work authorization during transition. No one loses status immediately.
- •5+ years in the U.S.: Must convert to H-1 visa or Green Card within 5 years. Workers directly employed at market-rate wages are eligible immediately.
- •Under 5 years: Current H-1B honored through end of approved period. May apply for H-1 under new requirements.
- •Staffing firm employees: Must transition to direct employment within 2 years regardless of tenure.
The goal is not to eliminate pathways for exceptional foreign talent, but to ensure the program serves its intended purpose: filling genuine skills gaps rather than providing access to lower-cost labor.