H-1B visas tapped out for fiscal year 2007

Date: Thursday, August 03, 2006 12:48 AM

<<<<< JOB DESTRUCTION NEWSLETTER No. 1530 -- 08/02/2006 >>>>>

In November of 2004 the omnibus spending bill passed, and with it an
amendment dubbed the "L-1 Visa and H-1B Visa Reform Act of 2004". The
"reform" part of H-1B raised the number of visas that could be issued.
International students who earn a Masters or PhD in the U.S. are now
eligible to use an H-1B visa that is exempted from the cap. Exemptions of
this type have been estimated to be approximately 20,000 per year so
effectively the yearly cap was raised from 65,000 to 85,000.

The USCIS recently sent out a press release that all of the 20,000
exemptions were gobbled up for fiscal year 2007. The official count of
85,000 H-1Bs doesn't tell the entire story though because additional
exemptions will be issued if the alien will be employed at an institution
of higher education or a related or affiliated non-profit entity, or at a
non-profit research organization or a governmental research organization
(like Los Alamos or Lawrence Livermore labs for example). No official count
has been made of the total H-1B visas that will be issued in 2007 with all
exemptions included.

The fact that every visa has been taken will be used as a reason to push
the Skil bill along with its massive increase in the H-1B cap. Expect to
see a deluge of articles in the mainstream media that use the following
rationale: "The fact that employers have used all of the visas is proof
that the yearly cap needs to be raised."

+++++++++++++++++++++++++++++++++++++++++++++++++++

http://www.uscis.gov/graphics/publicaffairs/newsrels/H1BMasters072806PR.pdf

Page 1
Press Office U.S. Department of Homeland SecurityPress Release July 28,
2006

USCIS REACHES H-1B EXEMPTION CAP FOR FISCAL YEAR 2007

20,000 Slots Reserved for Aliens with Masters Degrees or Higher
ExhaustedWashington, D.C.-- U.S. Citizenship and Immigration Services
(USCIS) announced today that it has received enough H-1B petitions
requesting "foreign workers who have earned a masters degree or higher
from a U.S. institution of higher education" to meet the exemption limit of
20,000 established by Congress for fiscal year (FY) 2007. Consequently,
USCIS has determined that the "final receipt date" for these exempt H-1B
petitions is July 26, 2006. Petitions received on July 26, 2006 are subject
to the random selection process described below. USCIS will reject
petitions requesting a foreign worker with a masters or higher degree
earned from a U.S. institution of higher education that are received after
the "final receipt date" unless the petition is otherwise eligible for a
separate cap exemption.

USCIS has implemented the following procedure for H-1B filings for FY 2007
in accordance with the procedures announced in 70 FR 23775 (Allocation of
Additional H-1B Visas Created by the H-1B Visa ReformAct of 2004):

* If USCIS determines that the numerical limits have been exceeded, USCIS
will identify those H-1B petitions seeking an FY 2007 number that were
received on that date.

* USCIS will then conduct a computer-generated random selection of the
petitions received on that date to allocate any remaining FY 2007 H-1B
numbers.

* After random selection, any remaining H-1B petitions that do not receive
an FY 2007 number and are not otherwise exempt will be rejected and
returned. * Returned petitions will be accompanied by the filing fee.

* Petitioners may re-submit their petitions when H-1B visas become
available for FY 2008.

* The earliest date a petitioner may file a petition requesting FY 2008
H-1B employment with an employment start date of October 1, 2007, would be
April 1, 2007. Petitions for current H-1B workers do not count towards the
congressionally mandated H-1B cap. Accordingly,USCIS will continue to
process petitions filed to:

* Extend the amount of time a current H-1B worker may remain in the United
States.

* Change the terms of employment for current H-1B workers.

* Allow current H-1B workers to change employers. * Allow current H-1B
workers to work concurrently in a second H-1B position. www.uscis.gov

Page 2

USCIS also notes that petitions for new H-1B employment are exempt from the
annual cap if the alien will be employed at an institution of higher
education or a related or affiliated nonprofit entity, or at a nonprofit
research organization or a governmental research organization. The H-1B
visa program is utilized by some U.S. businesses to employ foreign workers
in specialty occupations that require theoretical or technical expertise in
a specialized field, such as scientists, engineers, or computer
programmers. As part of the H-1B program, the Department of Homeland
Security (DHS) requires U.S. employers to meet specific labor conditions to
ensure that American workers are not adversely impacted, while the
Department of Labors Wage and Hour Division safeguards the treatment and
compensation of H-1B workers. USCIS received enough H-1B petitions to meet
the general population H-1B cap of 65,000 for fiscal year 2007 on May 26,
2006. This information was communicated to the public via Press Release
issued by USCIS on June 1, 2006. More information about the H-1B program
and about USCIS is available at www.uscis.gov. -- USCIS --On March 1, 2003,
U.S Citizenship and Immigration Services became one of three legacy INS
components to join the U.S. Department of Homeland Security. USCIS is
charged with fundamentally transforming and improving the delivery of
immigration and citizenship services, while enhancing our nation's
security.

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