Media reports show that Elon Musk worked illegally in America early in his career, illustrating some of the challenges of the US immigration system. People considered this story ironic, given Elon Musk’s vehement arguments against illegal immigration. Still, the details underscore how difficult it can be for international students and entrepreneurs to obtain permission to work legally in the United States. Compared to his advocacy on other issues, Musk has spent little time advocating for improvements to America’s legal immigration system.

Background on Elon Musk’s Immigration Status

“Long before becoming one of Donald Trump’s biggest donors and campaign surrogates, South African-born Elon Musk worked illegally in the United States as he began his entrepreneurial career after abandoning a graduate program in California, according to former business associates, according to court records and company documents obtained by. The Washington Post“, reported Maria Sacchetti, Faiz Siddiqui and Nick Miroff.

Reporters discovered that Musk “did not have the legal right to work” when he founded and attracted investment with his brother Kimbal for a company later named Zip2. Kimbal Musk has long been open about his lack of legal status, even explaining in a video interview that he lied about crossing the Canada-US border so he could attend a business meeting in Silicon Valley. Immigration lawyer Ira Kurzban said: “This is entry fraud. » He pointed out that Elon Musk’s brother could have been permanently excluded from the United States. Instead, he became CEO of Musk’s first company.

“(Elon) Musk arrived in Palo Alto in 1995 to attend a graduate program at Stanford University, but never enrolled in classes, instead working on his startup,” according to the Washington Post. This means Musk has committed at least two immigration violations. First, by not taking classes, he violated his student status. Second, he did not have authorization to legally work in the United States.

Musk could not continue to operate a business accepting venture capital without being legally in the United States and having the right to work. According to the Washington PostMusk has been out of status for over a year: “A person who joined Zip2’s human resources department in 1997 recalls processing work visas for the Musks and other members of their family in a category available to Canadians under the North American Free Trade Agreement. »

International students are often blocked from staying in America

Elon Musk’s story tells us a lot about the American immigration system. First, it’s no surprise that Elon Musk discovered he couldn’t stop being an international student and just start working. Today, although international students can take optional hands-on training, this does not guarantee that they will be able to be employed in the United States after OPT ends.

Second, international students generally must obtain H-1B status to work long-term. In 1997, employers reached the annual limit on H-1B applications and have done so every year since 2004. As a result, U.S. Citizenship and Immigration Services uses an H-1B lottery. In recent years, USCIS has only selected about one in four applicants or registrants. The annual H-1B limit is 65,000, plus a 20,000 exemption for graduate degree holders from U.S. universities, which equates to only about 0.05% of the U.S. workforce.

Third, the annual limit for employment-based green cards is also low and, when combined with a per-country limit, can cause Indian individuals to wait potentially decades to obtain permanent residency.

There is no immigration visa for entrepreneurs

In a 2021 interview, Kimbal Musk said that he and Elon would have complied with the law if it were feasible. “I tried to get a visa, but there just isn’t a visa to start a startup,” Kimbal said. “I was definitely illegal.”

Kimbal Musk is correct that there is no such thing as an immigrant entrepreneur visa under U.S. law. Congress could have created one as part of the CHIPS and Science Act in 2022. The Democratic majority in the House passed a measure allowing individuals to obtain permanent residency if they meet specific startup criteria, including by attracting venture capital. However, Sen. Charles Grassley (R-IA) blocked the provision from becoming law in a conference committee. Grassley also blocked the bill from including an exemption from annual green card limits for foreign nationals with doctorates. in science and technology fields and those with a master’s degree “in a critical industry”.

According to a National Foundation for American Politics analysis55% of US billion-dollar startups have at least one immigrant founder. Another NFAP study found that immigrants founded or co-founded nearly two-thirds (65% or 28 of 43) of the largest AI companies in the United States. Seventy percent of full-time graduate students in artificial intelligence-related fields are international students.

Donald Trump is unlikely to liberalize business immigration

A analysis Trump administration policies concluded that while Donald Trump was president, his administration did not adopt or propose any measures to expand the entry of foreign nationals or highly skilled immigrants into the United States.

A court blocked Trump officials from toughening policies on “illegal presence» for international students who no longer have their immigration status. Trump’s Department of Labor twice proposed rules aimed at excluding H-1B visa holders and employed immigrants from the American labor market. H-1B denial rate soared until a legal settlement forced Trump officials to end what judges declared a host of illegal practices. The National Venture Capital Association sued the Trump administration after refusing to implement a program authorizing foreign entrepreneurs stay in America.

According to Fortune magazine, Elon Musk has given at least $132 million in political donations aimed primarily at electing Donald Trump. Musk might be disappointed if he expects Trump to make it easier for immigrants with aspirations like young Elon Musk’s to succeed in America.