News Library
17 October 2000
Highlights of the recently passed American Competitiveness in the 21st Century Act:
On October 17, 2000, President Clinton signed the American Competitiveness in the 21st Century Act. This law has many positive effects on employment based nonimmigrant and immigrant visa applications. If you have questions about how this new law affects your company, your foreign employees, or your hiring practices, please contact us directly at 508-362-4600. Please note that the INS rules (8 C.F.R.) implementing the Act will not be available for at least 90-180 days. Therefore, the actual procedures and mechanisms for implementing the various provisions of the Act will not be known for several months. However, as we learn of the rules and procedures we will pass the information on to you. 1. Temporary Increase in H-1B Visa Allotments: Starting this Federal fiscal year (FY '01) and following on for FY '02 and FY '03, the H-1B visa numbers will be increased to 195,000 per year. Importantly, all pending H-1B visas filed prior to 9/20/00 and oversubscribed visas for FY '99 will be counted toward FY '00, permitting this current year to start from zero. Bottom line, we have a fresh new 195,000 H-1B visas for FY '00, and hopefully they will make it through the entire year. 2. Relief for Employment-Based Immigrant Visas: Starting FY '01, those foreign nationals with approved I-140 (employment based immigrant visas) applications from oversubscribed countries (i.e. P.R. China and India) will experience shorter waiting periods due to the ability to use unused visas from other immigrant categories and from under subscribed countries. Bottom line, Indians and P.R. Chinese in the 2nd and 3rd employment based categories should have little to no wait to file their I-485 "green card" applications once their I-140s are approved. A. One-time H-1B Extension: H-1B extensions may be granted to those H-1B holders who have used all 6 years of H time, if they have an I-140 filed and are unable to file for there I-485 "green card" applications due to per country immigrant visa limitations. Extensions may be granted until the "green card" application is adjudicated. 3. Portability of H-1B Status: H-1B workers are authorized to change employers and to accept and begin new employment with a new petitioning company upon filing of the H-1B application. This provision is available for all applications filed before or after October 17, 2000. Bottom line, H-1Bs can file transfer H-1B visas to new employers and begin work immediately. However if the transfer H-1B application is ultimately denied, employment must cease immediately. At this point, we recommend waiting for INS to issue the receipt of filing notice before allowing the transferee to begin employment. 4. H-1B Extensions Beyond 6 Years: H-1B extensions beyond the 6 year limit will be granted (in one year increments) until final adjudication of the I-485 "green card" application if: A. an I-140 (immigrant visa) or I-485 "green card" application has been filed; and B. 365 days has elapsed from the time of filing an Alien Labor Certification (ETA 750) or I-140 (immigrant visa) application. 5. Job Flexibility: An H-1B is permitted, if their I-485 "green card" application has been pending for more than 180 days, to change jobs or employers, so long as the new job is in the same or similar occupation without jeopardizing their applications. Bottom line, employment based "green card" sponsored employees can change employers after 180 days of filing their I-485 applications without having to start the process over with the new employer.
