I've worked with a few H1-B holders in Silicon Valley and they're awesome. A great improvement would be to allow H1B holders to change jobs easily (maybe after a year). It's too easy for them to get stuck in not great situations. It would be great for everyone if they could move to better fitting jobs, especially for startups who have trouble running H1-B programs. If you are, like me, a software engineer, you should…
I am not sure that is true ... in fact, while I cannot provide a reference or citation, I believe I have seen well-received research and academic studies that suggest this increase in the workforce was a key component of weakening unions and depressing real, inflation adjusted earnings over just the period you cite.
In fact, I think it is Elizabeth Warren's work in a related area (the fragility of two-income households) that has been more recently discussed and overlaps this discussion.
I am genuinely interested to see how the intersection of liberal immigration policies and support of unions and workers' rights is supposed to be implemented. I note with interest that Ralph Nader believes it cannot be done.[1] I also note with interest that corporate interests, which are assumed to be "reactionary" and "conservative" are very supportive of liberal immigration policies.
I personally believe that the US is, and should continue to be a "nation of immigrants" - especially those coming from countries that we broke. Given that first world workers literally rioted in the streets over a very minor increase in fuel taxes[2], I am skeptical that any real reckoning of the costs and trade-offs involved would be acceptable to the US workforce.
[1] http://www.ontheissues.org/celeb/Ralph_Nader_Immigration.htm