US Launches 175 Investigations Into Suspected Misuse of H-1B Visa Scheme: Report

The US Department of Labor (DOL) has opened more than 175 investigations into suspected misuse of the H-1B visa programme, according to a Fox News report.

In September, the DOL rolled out Project Firewall to make sure companies focus on hiring American citizens and avoid taking advantage of the visa system.

Project Firewall was introduced shortly after President Donald Trump issued a proclamation requiring a one-off payment of $100,000 for H-1B visa applications.

The Labor Department did not disclose details about the 175 investigations, which involved over $15 million in unpaid wages owed to employees. Nonetheless, the inquiries revealed several troubling issues.

Among the key issues identified was that several highly qualified foreign employees were earning significantly less than the salaries stated in their job listings. According to the DOL, this practice not only reduced pay levels for visa holders but also pressured equally qualified American workers to accept lower wages to remain competitive.

The inquiries revealed that many employers failed to alert US Citizenship and Immigration Services when an H-1B visa worker was dismissed, and in some cases, there were long delays between the termination and the official notification.

The investigations also raised issues regarding the Labor Condition Application (LCA), a document that employers are required to submit to the Labour Department when recruiting overseas professionals under the H-1B, H-1B1, and E-3 visa schemes.

According to the report, companies must inform American employees before employing foreign workers and submitting an LCA. The investigations revealed instances where the workplaces mentioned in these applications were either non-existent or where employees did not know the positions they were allegedly hired to fill.

The report added that some workers received lower pay than what was stated in the LCA. It also noted that several employers simply reused generic job notices meant for American workers, which often bore little relevance to the actual roles listed in the forms.

The investigation also revealed instances of “benching,” a practice where H-1B visa holders go unpaid during periods when they are not assigned to any active project.