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Important changes to H-1B & L-1 visa rules |
| 22-NOV-2004 |
Recently congress passed the new legislation amending the H-1B visa and L-1 visa related norms. The bill is yet to be signed by President to come in to effect.
It is uncertain when the bill will reach President Bush’s desk.
This legislation provides additional cap for 20,000 individuals with a Master’s or higher degree from US univercities. These new H-1B numbers will not become available until 90 days after the legislation’s comesito effect.
The legislation also adds new additional fees for all H-1B applications, a $1500 training fee to be required , and a $500 fraud detection fee that will be required on all new H-1B applications and H-1B transfers.
This legislation also talks about some limitations to L1 visa and its norms with some tight conditions. Now a L1B holder cant work for clients location.
Summary of the proposed changes by this legislation.
H-1B Changes (will Effective upon enactment)
-The employer-funded training fee will also be reinstated. This fee, which was previously $1000 per new H1B petition, will increase to $1500 per H1B petition. This is separate from, and in addition to the USCIS filing fees and the optional $1,000 premium-processing fee! Employers with fewer than 25 full-time employees in the United States will only pay half of the standard new fees, so will pay $750 per new H1B petition instead of $1500.
Effective 90 days after enactment:
- New $500 fraud detection fee to be imposed for all new H-1B visa petitions, and for all H-1B transfers to new employers. The $500 fee would not be imposed on H-1B extensions for the same employer.
-20,000 new H-1B visa numbers available annually for graduates of U.S. universities who have earned a Master’s or higher degree from an institution of higher education.
-Employers will be required to pay 100% of the prevailing wage rate for H-1B, H-1B1 (Singapore and Chile Free Trade Act), and labor certification applications. The U.S. Department of Labor (DOL) will be required to provide at least four (4) levels of wages commensurate with experience, education and level of supervision. Employers will be able to use surveys with four wage levels.
- The non-displacement and recruitment attestations for H-1B dependent employers are permanently reinstated.
DOL Investigative Authority for Labor Condition Applications (LCA):
- DOL may initiate an investigation of any employer where DOL has reasonable cause to believe that the employer has violated the terms of the H-1B visa. This is an expansion of DOL’s investigative authority, which previously required either a complaint to be filed, or that the employer have been previously sanctioned in order for DOL to initiate an investigation.
* The law also provides DOL with the authority to excuse certain technical violations by employers if a good faith effort is made to comply with the regulations. DOL can give employers 10 days to correct technical violations. Note that good faith does not apply if there is a pattern or practice of willful violations of the regulations.
L-1 Changes
Effective 180 days after enactment:
-With certain exceptions, L-1B specialized knowledge visas will not be issued to individuals working at a site other than the petitioning employer’s worksite. This provision will apply to initial applications as well as to extensions or amendments.
-The blanket L requirement of 6 months continuous employment abroad will be amended to require 1 year of continuous employment abroad prior to the alien being eligible to file the application. This provision will only apply to new petitions.
Effective 90 days after enactment:
-A new $500 anti-fraud fee should be paid by the employer at the time of initial application for an L-1 visa. In the case of blanket L-1s, the fee will be paid at the U.S. Embassy/Consulate. |
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