How employers, students will be impacted by H1B visa revamp

On Tuesday, the outgoing US administration of Joe Biden introduced a series of modifications to the H1B visa program, to simplify the application process and address potential abuses within the system. The H1B visa program, which has been operational for more than thirty years, serves as a conduit for international students and professionals seeking employment in the United States. This reform, one of President Biden's final significant actions regarding legal immigration, has the potential to leave a lasting impact on the program.

The approach that the incoming administration under President-elect Donald Trump will take regarding these changes remains uncertain.

When will the new regulations be implemented?

The new regulations are set to come into effect on January 17, 2025, just before President Biden demits office. Applicants will be mandated to utilize a newly established application form, I-129, for their H1B petitions.

The H1B visa is highly coveted, attracting hundreds of thousands of applicants each year, significantly surpassing the 85,000 cap established by the US Department of Homeland Security (DHS). Major technology companies such as Amazon, Google, and Tesla are among the primary beneficiaries of this program. In 2024, more than 400,000 applications were submitted, highlighting the intense competition for these visas.

In announcing the changes, the DHS indicated that these updates were designed to enhance the efficiency of the H1B process and ensure it aligns with the evolving needs of the US economy.

Significant modifications in the regulations

Applicants are now required to prove that their field of study is directly applicable to the position associated with the visa. This initiative aims to mitigate the potential for program abuse.

Immigration authorities are granted the power to rely on previous approvals when evaluating extension applications, thereby simplifying the renewal procedure.

The United States Citizenship and Immigration Services (USCIS) will possess increased authority to perform workplace inspections to verify employer adherence to H1B regulations. Failure to comply may lead to visa cancellations or financial penalties.

The Interview Waiver Program, often known as the "dropbox system," permits qualified applicants to forgo in-person interviews. The recent reforms may enhance the use of prior application data, which could accelerate the renewal process.

The costs associated with filing H1B applications remain substantial

Standard fees are established at $780 for paper submissions and $730 for online applications, with additional charges applicable in certain situations. Nevertheless, small businesses and nonprofit organizations are eligible for a reduced fee of $460. Additional expenses, such as those related to asylum applications or extra beneficiaries, can further elevate the overall cost.