According to a report by Fox News on Friday, the United States Department of Labor (DOL) has initiated at least 175 investigations into potential abuses of the H-1B visa program aimed at protecting American jobs and ensuring that only necessary foreign workers can obtain jobs in the United States.
The Department of Labor has not provided specific details about the 175 investigations, but has indicated that these investigations have uncovered numerous issues, resulting in over $15 million in unpaid wages.
Investigations have revealed that some foreign workers with advanced degrees are actually earning significantly less than the wages listed in their job descriptions. This not only suppresses the wages of visa holders and American workers but also forces American employees with similar qualifications to accept lower wages to remain competitive.
Furthermore, some employers have failed to notify the U.S. Citizenship and Immigration Services (USCIS) after terminating H-1B visa holders or have delayed notifying the immigration authorities for an extended period after the termination of employment.
Other investigations have focused on the applications employers submit to the Department of Labor for hiring H-1B visa holders and other visa programs, known as Labor Condition Applications (LCAs). Employers are required to first notify and recruit American workers when submitting LCAs, and can only apply to hire H-1B visa holders if they are unable to find qualified American workers. LCAs also mandate that employers accurately describe the job duties and salary details of employees.
Investigators found that some LCA documents list nonexistent work locations, or the workers themselves are unaware that the job responsibilities they have been assigned do not align with those described in the LCAs.
The investigations also identified cases where employers pay employees less than the amount specified in the LCAs or post job advertisements targeting American workers that have little relevance to the job descriptions in the LCAs.
The Department of Labor’s investigations also uncovered instances of employees experiencing ‘benching’, where H-1B visa holders receive no compensation during gaps between different work projects.
Critics of the H-1B visa program argue that one of the reasons it is favored by employers is that they can easily control employees, as the employer sponsors the visa holder. If a foreign employee resigns, they lose sponsorship, thereby losing their visa and the right to legally reside in the U.S.
On September 19, the same day the Trump administration announced a $100,000 application fee for H-1B visas, Labor Secretary Lori Chavez-DeRemer launched ‘Project Firewall’ to combat H-1B visa abuse, aiming to “protect job opportunities for Americans.”
In an official statement, she mentioned that the initiative “helps ensure that employers do not abuse H-1B visas at the expense of the local workforce, by eliminating fraud and abuse to prioritize high-skilled positions for Americans.”
Under the ‘Project Firewall’, the Department of Labor can initiate investigations based on credible third-party information (not limited to formal labor complaints), shifting from passive to active enforcement and coordinating enforcement actions with the Department of Justice, the Equal Employment Opportunity Commission (EEOC), and the USCIS.
“We are utilizing all of our current resources to prevent abuse of H-1B visas. For the first time in over 30 years since the visa was established in 1990, I have personally approved investigations into alleged violations, a mechanism not previously utilized by the Department of Labor, to better protect American job opportunities,” said Chavez-DeRemer in an interview with Fox Digital.
Department officials stated that ‘Project Firewall’ will enhance cross-departmental data sharing and expand oversight of visa sponsors’ salaries, job postings, and alternative requirements.
According to DOL enforcement guidelines, violators could face fines of up to approximately $51,500 per violation, and deliberate violators may face penalties of several years of being prohibited from submitting new visa applications.
Justin Vianello, CEO of the technology talent service platform Skillstorm, told Fox Digital last month that the H-1B visa program is a “three-headed monster” that requires thorough reform to prevent American workers from being left behind.
Currently, in addition to the introduction of a $100,000 H-1B visa application fee and conducting ‘anti-abuse’ investigations against employers, the Trump administration is considering implementing a ‘wage-weighted’ rule in the H-1B visa lottery system.
On September 23, the Immigration Department published new regulations in the Federal Register, outlining plans to reform the H-1B visa selection process by prioritizing applicants based on the required skill level and salary, aiming to select higher-paid H-1B applicants first to enhance the competitiveness and wage levels of the American tech industry.
The new rules will assign different lottery weights based on the salary levels provided by applicants. The higher the salary, the greater the chances of being selected in the lottery.
(Credit to FOX NEWS for reference)