It might soon cost employers thousands of dollars more to renew the work permits of international employees.
The Department of Homeland Security (DHS) has proposed a new rule that will charge employers $4,500 for an L-1 visa extension and $4,000 for an H-1B visa extension as part of the 9/11 Response and Biometric Entry-Exit Fee. Employers only currently have to pay the fee for first and modification petitions.
The 9/11 Response Fee’s historical context
A system to track the entry and departure of non-citizens of the United States is one of the national security programmes funded by the 9/11 Response and Biometric Entry-Exit Fee. A fee established by the Consolidated Appropriations Act of 2016 is levied on some requests for H-1B and L-1 visa.
Current Fee Structure
- H-1B petitions: $4,000
- L-1 petitions: $4,500
Employers who employ 50 or more people in the US and have more than 50% of those workers on H-1B or L-1 visa are required to pay this charge. As of right now, the money is only needed for initial petitions or job changes.
Suggested Modifications
The proposed new rule would also impose fees for petitions for extensions. This means that in addition to filing new H-1B or L-1 petitions or switching employers, qualifying firms would also have to pay the $4,000 or $4,500 cost for extending the employment term of an already-existing H-1B or L-1 visa holder.
Reasons behind the Modification
According to DHS, the following justifies the proposed rule:
Increased Funding Needs: By extending the cost to extension petitions, more money will be available to support the biometric entry-exit system’s ongoing upkeep and improvement.
Consistency and Fairness: Employers will be contributing to national security measures regardless of the type of petition thanks to a more uniform and equitable implementation of the charge across all petition forms, which is the goal of the amendment.
Enhanced Security: The DHS may maintain and upgrade the biometric entry-exit system, which is essential for managing immigration and keeping an eye on it, by assuring enough money.
Effects on Employers
Employers who must pay the charge will incur higher expenses for filing H-1B and L-1 visa petitions if the rule takes effect. Large enterprises that depend significantly on these visas for their workers may be especially affected by this.
For instance, an employer who needs to extend the visas of a sizable number of H-1B or L-1 visa holders will incur additional costs. Companies may adjust their hiring practices as a result of this shift, maybe becoming more circumspect when extending employment for foreign nationals.
Comments from the Public and Next Moves
DHS is now asking for feedback from the general public on the proposed regulation. The comment period is open to the public and ends on July 8, 2024, with opportunities for input.
