This blog is one student’s analysis of potential changes that have been proposed to H-1B employment-based visas. This blog does not constitute legal analysis or advise, and is written solely to offer one individual’s perspective on potential changes to requirements for this type of visa.
On January 10, 2017, lawmakers introduced the Fairness for High Skilled Immigrants Act of 2017 in Congress, hoping to make the job market fairer for high-skilled American workers. The bill, if passed, would make reforms to the H-1B visa, which is a non-immigrant visa granted to foreign workers to work in the US. This has caused significant panic among international students about future employment prospects in the US, though the details of the bill are so fuzzy that many reporters have misinterpreted it. One of the main worries most international students have about the changes is if it’s good news or bad news? The short answer is – it depends on who you are.
What are the current requirements for the H-1B Visa?
Currently, to apply for the H-1B visa, the applicant must have at least a Bachelor’s degree in a field of study relevant to the job they are employed at. The company employing the worker has to demonstrate that they cannot find an American worker who can do the same job, and they have to pay the employee the ‘prevailing wage’ for that position in the market, which is in other words, the minimum wage of $60,000. There is a cap for H-1B visas granted, which means that only 85,000 visas are given out each year, based on a lottery system.
What are the changes being proposed?
The new bill proposes to scrap the per country limit that is currently in place, meaning that only the best workers are employed, regardless of their nationality. Most importantly, the bill will double the minimum wage to $130,000 and get rid of the current minimum wage of 60k. However, this is only applicable to non-American companies that employ more than 15% of their workforce on the H-1B visa, which is the part of the Bill that is absent in many reports. Currently, there are four levels of wages, the lowest being $60k. For other companies, the minimum wage will be replaced by the third lowest level, which is somewhere between $75k-$98k. The bill will also get rid of the 20,000 visa allotment for workers with a Masters degree, and instead reserve 20% of the visas for start-ups. Doing away with the lottery-based system, visas will now be given according to wage levels.
How will it affect international students?
Right now, it is hard to say what the bill will resemble when, and if, it gets passed. If it does raise the minimum wage level as planned, then the market will become much more competitive, as companies will fill their positions with US workers, for whom the wage level limitations do not apply. Those with STEM degrees will have a definite advantage, as technical jobs are generally higher paying. It will also place recent graduates at an advantage, who will now have a higher chance of getting the H-1B visa, without the Master’s allotment. International students applying to jobs should consider diversifying their search to include start-ups and smaller, American firms.
