In a significant pivot, Elon Musk, the billionaire CEO behind Tesla, SpaceX, and X, has acknowledged the need for reform in the H-1B visa program following an intense backlash from supporters of the MAGA (Make America Great Again) movement.
After initially defending the visas with strong language and vowing to “go to war” over the issue, Musk has now conceded that the program is “broken” and requires “major reform.”
The controversy erupted just before Christmas when venture capitalist Sriram Krishnan was named as the incoming Trump administration’s senior policy adviser for artificial intelligence. This appointment, coupled with Musk’s and Krishnan’s support for skilled immigration, led to a rift among MAGA supporters, particularly those advocating for stricter immigration policies like Laura Loomer.
Musk, who himself benefited from the H-1B visa program when he first came to the U.S., has been a vocal proponent of attracting top global talent to bolster American industries, especially in tech. However, after facing criticism, he proposed a solution to the perceived abuse of the visa system.
“Easily fixed by raising the minimum salary significantly and adding a yearly cost for maintaining the H1B, making it materially more expensive to hire from overseas than domestically,” Musk wrote on X late Saturday. This statement was in response to concerns that the visa was being used to hire lower-wage foreign workers at the expense of American employees.
