HR Management & Compliance

Hiring Foreign Workers: Congress Ups Quota For H-1B Visas; Practical Impact

Grappling with a chronic shortage of computer programmers and other skilled workers, the high-tech industry successfully lobbied long and hard for an expansion of the H-1B visa program. Employers should face fewer delays in hiring foreign professionals now that Congress has raised the annual limit on H-1B work visas and changed the rules to make it easier for visa holders to transfer to new jobs.

Quotas Were Running Out Early

H-1B visas are available for jobs that require at least a bachelor’s degree and call for the theoretical application of a highly specialized body of knowledge.

The annual quota for these visas, which was 115,000 in fiscal year 2000, was exhausted well before the end of the year. This has forced many visa applicants to wait six months or more for approval.


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Quota And Fee Increased; Job Changes Made Easier

Under the new legislation, the quota will be raised to 195,000 per year for fiscal years 2001 through 2003. And there will be a retroactive increase in the fiscal year 2000 quota to eliminate a backlog of pending applications.

What’s more, workers can now change jobs as soon as they file to transfer their H-1B visa to a new sponsor rather than waiting for the transfer to be approved by the Immigration and Naturalization Service.

Congress also increased the fee employers must pay from $500 to $1,000 per visa. The revenue will fund training programs for American workers.

Relief For Green Card Applicants

The new law also provides relief for H-1B visa holders who have applied for permanent residency, a process that can take years. Many such workers, whose visas were set to expire while they were still waiting for green card approval, were faced with having to leave the country. But the legislation allows the visas to be extended in one-year increments for visa holders who have been waiting more than one year for their green card.

Exemption For Researchers And Graduate-Degree Recipients

The annual quota will not apply to H-1B visas granted to those who have a job offer from a university or a research center run by either a nonprofit organization or government agency. Applicants who have received a graduate degree from a U.S. university within the past six months are also excluded from the quota.

President Clinton has now signed the bill into law and it takes effect immediately.

 

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