Legislation Overhauling US Immigration Introduced in Congress

Democrats in Congress have introduced the U.S. Citizenship Act of 2021, advancing the Biden Administration’s efforts for reform of the U.S. immigration system.  Democrats will need 60 votes in the U.S. Senate to overcome a filibuster.

The bill includes a broad swath of reforms affecting the U.S. undocumented population, the family-based and employment-based immigration systems, and border management. Notably, the bill would create an 8-year path to citizenship for undocumented individuals.  Given the challenge of passing comprehensive reforms, various provisions, such as the Dream Act, may be sectioned off and advanced where there may be greater bi-partisan support.

Key provisions affecting employers and foreign workers include:

  • PhD holders in STEM fields from an accredited U.S. institution of higher education, individuals with an approved immigrant petition bearing a priority date more than 10 ago, and spouses and children of employment-based applicants would all be exempted from the numerical limitations on employment based immigrant visas, substantially reducing overall backlogs;
  • Elimination of the 7% per-country ceiling on employment-based immigrant visas;
  • Reduction of the EB-1 and EB-2 preference categories from 28.6% to 23.55%, and increase of the EB-3 category from 28.6% to 41.2% of the employment-based worldwide level;
  • Expanding the limit on EB-3 unskilled workers from 10,000 to 40,000;
  • Provisions for temporary limitations on immigrant visas for areas with high unemployment;
  • Temporary pilot program for 10,000 additional visas for regional economic development, subject to the labor certification process;
  • Discretion to prioritize employment-based nonimmigrant visas based on offered wages;
  • Eliminating the requirement of non-immigrant intent for F-1 students pursuing a full course of study;
  • Establishing age-out protections for H-4 dependent children who were younger than 18 years when first granted non-immigrant status;
  • Eligibility for EAD work authorization for both spouses and children in H-4 status; and
  • Max-out protections and eligibility for status extensions in 1-year increments and work authorization for F-1, H-1B, L-1 and O-1 visa holders with a PERM labor certification or I-140 immigrant petition filed more than 365 days ago.

Gibney will continue to monitor developments, and will work with clients to analyze the impact on foreign national employees.

For additional information, please contact your designated Gibney representative or email info@gibney.com.

 

USCIS Rule Postpones Prioritizing H-1B Cap Selection for High-Wage Earners & Announces Cap Registration Period

The Department of Homeland Security (DHS) announced that it will delay the effective date of the January 8, 2021 rule modifying the H-1B cap selection process  to prioritize high wage earners until December 31, 2021. This means that the fiscal year (FY) 2022 H-1B cap registration and selection process will proceed as it did last year, with selection based on a random lottery. The stated rationale for delaying the effective date of the January 8 rule is to provide USCIS with adequate time to complete system development, test system modifications, train staff, and conduct public outreach, though it was also noted that DHS leadership will further evaluate the legacy Trump Administration rule and its associated policies.

Additionally, today USCIS announced that the initial registration period for the FY 2022 H-1B cap will open March 9, 2021 at Noon Eastern Time (ET) and will close on March 25, 2021 at Noon ET.

FY 2022 H-1B CAP REGISTRATION – WHAT EMPLOYERS CAN EXPECT

Employers intending to file H-1B cap petitions for an employment start date of October 1, 2021 will have from March 9 to March 25 to electronically register each intended beneficiary and pay the associated $10 H-1B registration fee. The random H-1B cap lottery will be conducted after the registration period concludes, and employers will then be notified when to submit H-1B petitions for selected beneficiaries during a designated filing period expected to commence April 1. The agency may determine it is necessary to open an additional registration period later in the year if it does not receive enough registrations and subsequent petitions projected to reach the annual quota.

Gibney will continue to provide updates, and will be working with clients to prepare for the upcoming H-1B cap registration process.

For additional information, please contact your designated Gibney representative or email info@gibney.com.

U.S. Immigration Update: DHS Secretary Confirmed and More Immigration Executive Orders Issued

On February 2, 2021, the U.S. Senate confirmed Alejandro Mayorkas as Department of Homeland Security (DHS) Secretary and President Biden signed three immigration orders aimed at reunifying children separated from their parents at the U.S.-Mexico border, addressing the U.S. southern border and asylum system, and improving the U.S. legal immigration system.

The latter, the Executive Order on Restoring Faith in Our Legal Immigration Systems and Strengthening Integration and Inclusion Efforts for New Americans , stands to have the most direct impact on businesses hiring foreign workers. The order:

  • Directs the White House Domestic Policy Council to create a task force to coordinate the federal government’s efforts to welcome immigrants, and improve and support immigration processes.
  • Charges the Attorney General, the Secretary of State and the Secretary of DHS with
  • reviewing existing regulations, orders, guidance and policies (collectively “agency action”) with a view to identifying barriers that impede access to immigration benefits and the fair and efficient adjudication of benefit applications.
  • identifying agency actions that fail to promote access to the legal immigration system and rescinding or revising the policies and practices as appropriate.
  • Submitting a plan within 90 days to advance policies consistent with improving and supporting immigration processes to welcome immigrants.
  • Mandates immediate agency review of the public charge rule,  and requires agencies to address concerns with the policy and its impact on immigration processes and public health.
  • Directs the Attorney General, the Secretary of State and the  Secretary of DHS to promote the naturalization process by eliminating barriers to naturalization, substantially reducing backlogs, improving the process, and promoting naturalization generally.

Impact Assessment

While the order does not advance a specific policy, its impact may be far reaching in the months ahead.  Numerous Trump Administration actions were implemented to create barriers to legal immigration, including agency action stemming from the Buy American, Hire American Executive Order . This included rescission of agency policies that gave deference to prior agency approval of benefits applications, and imposed a level of application scrutiny that exceeded statutory and regulatory authority. The result was a significant increase in requests for evidence, application backlogs, unconscionable adjudication delays, and denial of benefit applications.  U.S. businesses employing foreign nationals experienced a lack of predictability in adjudications, increased costs associated with sponsorship, interrupted  business continuity, and a loss of access to foreign talent generally.

Yesterday’s  order, together with last week’s order revoking the Buy American, Hire American order, signals that the Biden Administration  is set on reversing restrictionist Trump-era immigration policies with a view to restoring integrity and enhancing efficiency in the legal immigration system.   Additionally, and notably, DHS Secretary Mayorkas previously served as the director of U.S. Citizenship and Immigration Services (USCIS) under the Obama Administration. His experience leading USCIS – the benefits agency within the Department of Homeland Security – is another signal that the Biden Administration will prioritize and emphasize improving access to legal immigration benefits.

For additional information on the Biden Administration’s impact on U.S. immigration, please contact your designated Gibney representative or email info@gibney.com.

Regional Travel Ban Updates: CDC Testing Requirements for International Travelers

The Biden Administration is expanding and strengthening travel restrictions to the U.S. as new strains of the coronavirus emerge globally.

SOUTH AFRICA ADDED TO LIST OF TRAVEL RESTRICTED COUNTRIES

The Biden Administration issued an Executive Order extending COVID-related  travel restrictions to foreign national travelers from South Africa. The South Africa restriction will take effect January 30, 2021 at 12:01 AM ET.  Impacted travelers restricted from entering the U.S. will include most foreign nationals  who have been physically present in South Africa at any point during the 14 day period prior to arrival in the U.S.

The order also maintains similar travel restrictions imposed for foreign nationals traveling to the U.S. from Brazil, China, Iran, Ireland, the United Kingdom, the Schengen Area countries (Austria, Belgium, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Italy,  Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Netherlands, Norway, Poland, Portugal, Slovakia, Slovenia, Spain, Sweden, and Switzerland).  Prior to leaving office,  the Trump administration sought to lift the travel restrictions for Europe and Brazil effective January 26, but the Biden Administration  order reverses that directive, and keeps the restrictions in place.

Who is Exempted from the Bans?
The regional entry restrictions do not apply to U.S. citizens and lawful permanent residents. Also exempted are:

  • noncitizen nationals of the United States;
  • any noncitizen who is the spouse of a U.S. citizen or lawful permanent resident;
  • any noncitizen who is the parent or legal guardian of a U.S. citizen or lawful permanent resident, provided that the U.S. citizen or lawful permanent resident is unmarried and under the age of 21;
  • any noncitizen who is the sibling of a U.S. citizen or lawful permanent resident, provided that both are unmarried and under the age of 21;
  • any noncitizen who is the child, foster child, or ward of a U.S. citizen or lawful permanent resident, or who is a prospective adoptee seeking to enter the United States pursuant to the IR-4 or IH-4 visa classifications
  • any noncitizen traveling at the invitation of the U.S. government for a purpose related to containment or mitigation of the virus;
  • any noncitizen traveling as a nonimmigrant pursuant to a C-1, D, or C-1/D nonimmigrant visa as a crewmember or any noncitizen otherwise traveling to the United States as air or sea crew;
  • any noncitizen seeking entry into or transiting the U.S. pursuant to one of the following visas:  A-1, A-2, C-2, C-3 (as a foreign government official or immediate family member of an official), E-1 (as an employee of TECRO or TECO or the employee’s immediate family members), G-1, G-2, G-3, G-4, NATO-1 through NATO-4, or NATO-6 (or seeking to enter as a nonimmigrant in one of those NATO categories); or whose travel falls within the scope of section 11 of the United Nations Headquarters Agreement;
  • any noncitizen who is a member of the U.S. Armed Forces and any noncitizen who is a spouse or child of a member of the U.S. Armed Forces
  • any noncitizen whose entry would further important U.S. law enforcement objectives, as determined by the Secretary of State, the Secretary of Homeland Security, or their respective designees, based on a recommendation of the Attorney General or his designee;
  • any noncitizen whose entry would be in the national interest, as determined by the Secretary of State, the Secretary of Homeland Security, or their designees.

How Long with the Bans Remain in Effect
The restrictions  will remain in effect until terminated by the President, and will be subject to  monthly review and recommendation regarding continuance, modification or termination from the Secretary of Health and Human Services.

CDC TESTING REQUIREMENT FOR INTERNATIONAL TRAVELERS

The CDC also issued updated instructions for international travelers, including an order requiring all air passengers traveling to the U.S. from a foreign country to get tested for COVID-19 no more than three days before boarding a flight to the U.S.  Pursuant to the CDC order:

  • All passengers age 2 years and older must provide  written or electronic proof of a  negative COVID-19 test result or documentation of having recovered from COVID-19 prior to boarding a flight to the U.S.  This requirement  includes U.S. citizens and lawful permanent residents.
  • Documentation  of recovery must be a letter from a licensed health care provider or public health official stating that the passenger has been cleared for travel.
  • Passengers must present evidence of the negative test result or recovery documentation to the air carrier prior to boarding the flight, and may also be required to present the documentation to any U.S. government official or cooperating state or local public health  authority once in the U.S.
  • Additional information from the CDC regarding international travel is available here.

As we previously reported,  proof of a negative test result does not exempt travelers from the regional travel bans referenced above. The bans prohibiting the admission of travelers from South Africa, the European Schengen Areathe United Kingdom and IrelandChina, Iran and Brazil remain in place. Individuals who are exempted from the regional travel bans and individuals who have been granted National Interest Exceptions to travel to the U.S. must still provide proof of the negative COVID-19 test result in order to travel to the U.S. as of January 26, 2021, consistent with the CDC order.   Individuals who are otherwise subject to the regional travel bans remain restricted, and cannot travel to the U.S. even with a negative COVID-19 test result.

For additional information concerning travel restrictions to the U.S., please contact your designated Gibney representative or email info@gibney.com.

Biden Administration Issues COVID-19 Travel Safety Order

The Biden administration issued an Executive Order Promoting COVID-19 Safety in Domestic and International Travel requiring that masks be worn in airports or on commercial aircraft, trains, maritime vessels, intercity bus services and other forms of public transportation  within the U.S. consistent with CDC guidelines.  Agency heads are also directed to present recommendations for additional public health measures for domestic travel in the weeks ahead.

Additionally, the order provides that travelers entering the U.S. from abroad should be required to present proof of a negative COVID-19 test prior to traveling to the U.S. and to comply with applicable CDC guidelines pertaining to self-quarantine after entry to the U.S.  In this respect,  the Department of Health and Human Services and the Department of Homeland Security will consider further the timing, types and proof  of COVID-19 tests required to satisfy the CDC order of January 12, 2021 mandating a negative COVID-19 test result for international travelers. The agencies are also required to submit plans to support self-quarantine requirements.

The U.S. will also make outreach to the governments of Canada and Mexico in order to establish health protocols for land ports of entry within 14 days. Similar measures will be considered with respect to public health measures for arrivals at sea ports.  Finally, the order directs the Secretaries of State, Homeland Security, and Health and Human Services to assess the feasibility of linking COVID-19 vaccinations to International Certificates of Vaccination Prophylaxis (ICVP) and producing electronic versions of same.

For additional information about COVID-related travel restrictions and requirements, please contact your designated Gibney representative or email info@gibney.com.

Biden Administration Tackles Immigration on Day One

On its first day in office, the Biden Administration acted to reverse numerous hardline immigration policies from the prior administration and to advance immigration reforms.  Some action comes in the form of executive orders and directives that take effect immediately, while other initiatives will be advanced through legislation, requiring Congressional approval.

Regulatory Freeze Pending Administration Review

The White House issued a memorandum directing all federal agencies to immediately withdraw  pending regulations that have not yet been published in the Federal Register and to consider postponing for 60 days the effective dates of regulations that have been published but have not yet taken effect.  Impacted regulations include those advanced by U.S. Citizenship and Immigration Services (USCIS) and the Department of Labor (DOL) in the weeks following the election.

  • The USCIS rule modifying the H-1B cap selection process to favor high-wage earners scheduled to take effect March 9, 2021 may be postponed until March 21, 2021, making it less likely to be implemented in time for the fiscal year (FY) 2022 H-1B cap selection process.
  • A  DOL rule dramatically increasing prevailing wage requirements for H-1B and E-3 temporary visas and PERM labor certification sponsorship, reissued by DOL on January 14, 2021 and set to take effect March 15, 2021, is also now in suspense. Under the rule, implementation of the new prevailing wage scheme would occur as of July 1, 2021, outside of the 60 day moratorium period.  As a result, it is not clear whether this rule will be covered by the White House memorandum. An earlier version of the rule, published in October 2020, was struck down by a federal court as unlawful, and similar legal challenges are expected if the re-issued regulation remains in place.
  • A rule aimed at amending how USCIS would determine whether there is an employer-employee relationship for the purpose of H-1B sponsorship was signed on January 14, 2021, but was not published. As such, it  has been withdrawn. The corresponding DOL guidance and policies, set to take effect 180 days from January 15, 2021, have also been withdrawn.

Travel Bans

DACA

  • President Biden issued a memorandum directing the Secretary of Homeland Security and the Attorney General to take all action necessary and appropriate to preserve and fortify the Obama-era  Deferred Action for Childhood Arrivals (DACA)  program. The DACA program defers deportation of certain undocumented immigrants brought to the U.S. as children, often referred to as “Dreamers,” and provides work authorization.  The prior administration spent years trying to rescind the DACA program, but was ultimately constrained from doing so by the U.S. Supreme Court. Currently, USCIS instructions provide  that  eligible individuals may submit first-time requests for DACA classification as well as requests to renew DACA classification and extend work authorization.

Immigration Legislation

The Biden Administration introduced an immigration reform bill, the U.S. Citizenship Act of 2021, which, If enacted, would reportedly include provisions to:

  • Create an earned roadmap to lawful permanent resident status and citizenship for certain undocumented immigrants residing in the U.S., expediting eligibility for Dreamers, individuals with temporary protected status (TPS), and agricultural workers.
  • Clear employment-based immigrant visa (“green card”) backlogs, recapture unused visas from prior years, reduce lengthy  wait times for green card issuance, and eliminate per-country visa caps.
  • Make  it easier for graduates of U.S. universities with advanced STEM degrees to remain in the U.S.
  • Incentivize higher wages for non-immigrant and high skilled workers.
  • Provide dependents  of H-1B visa holders with work authorization.
  • Establish protections to prevent children from “aging out” of immigration benefits when they reach age 21.
  • Create a pilot program to stimulate regional economic development, giving the Department of Homeland Security Authority to adjust green card allocation based on macro-economic conditions.
  • Reform family-based immigration by clearing backlogs, recapturing unused visas, eliminating lengthy wait times for green cards, and increasing per-country caps.
  • Increase Diversity Visas from 55,000 to 80,000 annually.
  • Support asylum seekers and promote immigrant and refugee integration and citizenship.
  • Supplement existing border security resources with improved technology and infrastructure.

With only narrow Democratic control in the U.S. Congress, and the competing need to combat  the pandemic and economic crisis, the Administration’s prospects for passing a sweeping immigration bill are  far from certain. Nonetheless it signals a new and more favorable outlook for immigration, and a significant departure from the restrictive policies advanced by the prior administration.

Gibney will closely monitor developments related to these initiatives in the weeks and months ahead and will provide updates as the Biden Administration’s immigration agenda develops and advances. For additional information, please contact your designated Gibney representative or email info@gibney.com.

Use It or Lose It: Utilizing Estate Tax Exemption Before It Goes Away

The U.S. imposes an estate tax of approximately 40% on the net estate of U.S. tax residents. The current exemption from estate tax is $11,700,000 per person, leaving very few estates actually subject to the tax. Under current law, the exemption will revert to $5,000,000, adjusted for inflation, on January 1, 2026. However, President elect Biden has proposed reducing the exemption to $3,500,000. After democratic wins in Georgia this change could be made as soon as this year.

Who Does this Affect?

The proposed change affects individuals with estates of $3,500,000 or more or married couples with more than $7,000,000. Your net estate includes the fair market value of all your assets worldwide net debts.

Planning Opportunities

The exemption from estate tax is actually a unified credit against estate and gift tax. This means that right now individuals can make gifts of up to $11,700,000 without incurring a gift tax. Gifts can be made outright to individuals or in trust. So long as the trust is irrevocable and meets certain requirements, the assets will no longer be included in the individual’s estate for estate tax purposes. There are several ways to do this:

Spousal Lifetime Access Trust (SLAT)
A SLAT is one type of irrevocable trust that can effectively transfer wealth outside of your estate while at the same time leaving a safety net for your spouse for his/her lifetime. Many estate tax plans focus on shifting assets to the next generation. While this is an effective strategy, depending on your age and your spouse’s age and your total assets, you may not be comfortable giving away all of your assets to a trust for your children and grandchildren.

While it may be tempting to create a SLAT for each spouse, such a plan should be carefully considered. First, depending on your circumstances it may make sense to keep one spouse’s exemption intact, even if it is reduced. Second, the Internal Revenue Service frowns on what is referred to as reciprocal SLATs, which means that if two SLATs are created they should be substantially different.

Generation Skipping Trusts
For those of you in a position to transfer wealth to the next generation the best option is a generation skipping trust. The trust can be set up to benefit your children and their descendants but if done properly will pass down multiple generations without any additional estate tax.

Whether you transfer assets outright to your children, or to a trust for your spouse or descendants, all appreciation on the assets transferred will be outside your estate for estate tax purposes. Further, in the event the estate tax exemptions decrease, as is likely to happen, if you have a gross estate in excess of $7,000,000 you will be using a portion of your unified credit for gift tax that will not later be available for estate tax. In other words, use it or lose it.

How to Address Uncertainty

Tax legislation could potentially be made retroactive to January 1, 2021. Therefore, careful planning should be done to make sure that if this happens there is not an inadvertent gift tax. This can be done with formula clauses, disclaimer provisions, and QTIP elections in a trust for a spouse. Ideally, legislation will be enacted prospectively but it’s best to be prepared.

Meredith Mazzola
Partner, Tax Group
mmazzola@gibney.com

U.S. to Require International Passengers to Present Negative Covid Test Result

The U.S. Centers for Disease Control  and Prevention (CDC) issued an order requiring all passengers traveling to the U.S. on international flights to show written proof of a negative Covid-19 test  or documentation of recovery from Covid-19 after a prior positive test result prior to boarding flights to the U.S. The order is effective January 26, 2021.  Passengers must obtain the Covid-19 test within three days of traveling to the U.S. Additional information concerning testing, timing, and proof of recovery is available here.

The rule applies to all passengers, including U.S. citizens and U.S. lawful permanent residents, regardless of whether vaccinated. Air carriers have been instructed to deny boarding to any passenger who does not present written proof (paper or electronic) of a negative test result or recovery from the virus.

Note that proof of a negative test result does not exempt travelers from the regional and visa category bans currently in place pursuant to various Presidential proclamations. The bans prohibiting the admission of travelers from the European Schengen Areathe United Kingdom and IrelandChinaIran, and Brazil  remain in place with some exemptions. Individuals who are exempted from these bans and individuals who have been granted National Interest Exceptions to travel to the U.S. must still provide proof of the negative Covid-19 test result in order to travel to the U.S. as of January 26, 2021, consistent with the CDC order.   Individuals who are otherwise subject to the regional and visa category bans remain restricted, and cannot travel to the U.S. even with a negative Covid-19 test result.

For additional information concerning travel restrictions to the U.S., please contact your designated Gibney representative or email info@gibney.com.

 

USCIS Publishes Rule Prioritizing H-1B Cap Selection for High-Wage Earners

U.S. Citizenship and Immigration Services (USCIS) today published a final rule modifying the annual H-1B cap selection process to favor high-wage earners.  The rule is set to take effect March 9, 2021, in time for the Fiscal Year (FY) 2022 H-1B cap registration and selection process.  However, implementation may be delayed or deferred, due to the impending change in presidential administrations and potential litigation.

Highlights of the Rule

  • The rule replaces the current H-1B cap random selection process with a process that prioritizes selection of  H-1B registrations (or filed petitions, if the registration process is suspended) for individuals earning the highest salaries in their area of employment based on Department of Labor (DOL)  Occupational Employment Statistics (OES) wage levels.
  • DOL OES wage  surveys have  four wage levels, ranging from entry level (Level I)  to most senior (Level IV).   USCIS intends to rank registrations on the basis of the highest OES wage level that the offered wage equals or exceeds and select registrations in descending order beginning with registrations for individuals that will be paid at least an OES Level IV wage for the designated  occupation in the area of intended employment.
  • If USCIS receives a number of registrations at the highest ranked wage level in excess of the annual H-1B cap, a random lottery will be conducted from the registrations at that wage level only.
  • If a registration leverages a private wage survey (instead of the DOL OES wage survey) and the private survey wage (regardless of level) is less than a DOL OES Level I wage, USCIS will categorize the registration as a Level I, the lowest priority for selection.
  • If a beneficiary will work at multiple worksites in different geographic areas with varying wage levels, USCIS will rank the registration based on the lowest corresponding OES wage level for the occupation.
  • The ranked wage level selection process will be implemented for both the H-1B regular cap and H-1B advanced degree cap selection process, in the order established by the H-1B rule implemented in 2019.
  • The rule authorizes USCIS to deny any petition subsequently filed for a selected beneficiary if USCIS determines that a new or amended petition was filed to reduce the wage level of the initial petition filed pursuant to the registration.

In general, the rule will significantly and adversely impact employers wishing to sponsor H-1B petitions for entry level professional positions with corresponding entry level wages, including petitions for recent STEM and non-STEM graduates from U.S. universities, as registrations for these positions are less likely to be selected given their low ranking and the number of registrations each year.  The rule will also adversely impact small businesses that may not be able to offer higher wages. Implementation of the rule will inevitably result in a loss of valuable foreign talent, including scientists, health care professionals, IT workers  and others, as foreign student graduates may be forced to depart the U.S. with this key immigration option eliminated.    Foreign students and the H-1B program have long been targets of the Trump administration, though many of these initiatives  have been struck down by federal courts.

What’s Next?

USCIS is currently modifying its H-1B online registration tool to collect the wage and occupation classification data needed to rank registrations. If the online registration tool is not configured in time for the FY 2022 registration cycle (commencing in March 2021), USCIS could suspend the online cap registration process, and instead require employers to submit fully completed H-1B petitions for selection under the H-1B cap, as was the practice in the years prior to 2020.

However, implementation of the rule by March 2021 is not assured.  The rule is vulnerable to legal challenges in  federal court on both procedural and substantive grounds. Additionally, the incoming Biden administration is expected to review all regulations advanced in the waning days of the Trump administration and place any regulation not yet implemented  on hold.  This may sufficiently delay implementation of this rule so that the FY 2022 cap selection process is not impacted.  Longer term, it is not clear whether the Biden Administration will ultimately  oppose this rule. On the one hand, the Biden campaign’s immigration platform does reference support for general reforms establishing a wage-based visa allocation process. At the same time, the platform recognizes the value of retaining foreign talent, in calling to  expand the number of visas for high-skilled workers and exempt recent graduates of U.S. Ph.D. programs in STEM fields from visa caps.

Gibney is closely monitoring this matter and will provide updates as they develop.

What Should Employers Do Now?

Employers should work with immigration counsel now to identify employees  requiring H-1B sponsorship under the FY 2022 H-1B cap, including gathering data related to position duties, requirements, wages and area(s) of intended employment, for the purpose of assessing eligibility for H-1B classification and preparing to submit registrations.

For additional information, please contact your designated Gibney representative.

President Trump Extends Duration of Visa Category Bans to March 31, 2021

Donald Trump extended two directives restricting the admission of certain immigrants  and nonimmigrants to the U.S.  Specifically,  Presidential Proclamation (PP) 10014  restricting the admission of first-time immigrants  and PP 10052 restricting  the admission certain H, J and L temporary workers,  were set to expire on December 31, 2020 but have now been extended to March 31, 2021.  There are exemptions to both of these “visa category”  bans, and both are also the subject of legal challenges.  Despite the extension of the bans until March 31, 2021, President-elect Joseph Biden is expected to review all Trump Administration immigration actions upon taking office on January 20, 2021, and may terminate the bans at any time.

BACKGROUND

The immigrant visa ban/PP 10014 was initially implemented in April 2020 and suspends the entry of select classes of immigrants currently outside the U.S. seeking to enter the U.S. as permanent residents with a new immigrant visa.  Additional information about who is covered and who is exempted from the immigrant visa ban is available here.

The nonimmigrant visa ban/PP 10052 was initially implemented in June 2020 and suspends the admission of certain H, J and L temporary workers. Subsequent to implementation, both the U.S. Department of State and U.S. Customs and Border Protection clarified the scope of the nonimmigrant visa ban, and the Department of State outlined National Interest Exemptions to both bans.  Additionally, in October 2020, a federal district court blocked enforcement of  the nonimmigrant visa ban, finding that the directive exceeded the President’s authority and unlawfully invalidated significant portions of the Immigration and Nationality Act.  The impact of the ruling is currently limited to the plaintiffs who filed suit and the members of their respective organizations.  Plaintiffs include the National Association of Manufacturers, the Chamber of Commerce of the United States, the National Retail Federation, and others.

Notably, the coronavirus-related  “regional travel bans” restricting the admission of travelers from the European Schengen Areathe United Kingdom and IrelandChinaIran, and Brazil will remain in place until affirmatively terminated by the President. The land border restrictions at the U.S., Canadian and Mexican borders will remain in place until at least January 21, 2021.

More information addressing the immigration impact of COVID-19 and the government’s associated travel restrictions and policies is available on Gibney’s  Immigration Updates and FAQs.