The government plans on introducing a new H-1B restriction through the Department of Homeland Security (DHS). Originally proposed prior to the announcement of the $100,000 H-1B application fee, a new DHS rule aims to limit eligibility for cap exemptions and increase oversight of employers with a history of noncompliance with H-1B program requirements. The move is part of larger trend of increasing government scrutiny towards H-1B procedures.
Published in the DHS’ regulatory agenda, the new H-1B restriction titled “Reforming the H-1B Non-immigrant Visa Classification Program” approaches H-1B cap exemptions with greater levels of scrutiny. H-1B petitions which involve third party placements should expect greater oversight as well. DHS has clarified the proposed changes seek to strengthen the integrity of the program and protect U.S. workers in industries that regularly use H-1B visas.
The new H-1B restriction isn’t the first proposed H-1B program change. For example, the government recently signed an executive order that imposes a $100,000 application fee to the H-1B program. The Department of Labor (DOL) also announced Project Firewall, which is an H-1B enforcement initiative that seeks to increase investigations of H-1B employers to maximize program compliance and combat H-1B abuse and fraud. These changes mark some of the most significant H-1B program restrictions in recent years and are expected to have an immediate impact on employers, particularly those in the IT consulting, staffing, healthcare, engineering, and research sectors.
The new policy framework could also narrow the O-1A eligibility criteria, further limiting high-skilled immigration alternatives. Unlike H-1Bs, there’s currently no limit to O-1 visas. The DHS is also planning a companion rule that could tighten eligibility for certain employment-based green cards (EB-1, NIW categories) by raising the evidentiary thresholds. Potentially, applicants must meet five out of ten extraordinary ability criteria, instead of three.
Employers should file petitions for the following visas as soon as possible:
- H-1B Extensions – To secure current validity under existing, less stringent regulations.
- H-1B Amendments – To update worksite locations or job changes before the new rule takes effect.
- H-1B Transfers – For any changes in employer sponsorship.
- O-1A Petitions – For individuals eligible under current standards, as reforms may later narrow this pathway.
- EB-1 and National Interest Waiver (NIW) Filings: File before possible evidentiary thresholds increase.
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