In a new press release, Ken Cuccinelli, the acting director of the U.S. Citizenship and Immigration Services (USCIS), boasted that the Trump administration has increased red tape and bureaucracy for U.S. companies. It’s the latest example of administration officials lauding efforts to make it more difficult for employers to obtain what economists often consider to be a company’s most valuable resource – talent.
Since 2017, Trump administration policies have focused on restricting the entry of immigrants and foreign nationals, including scientists and engineers. “Denial rates for new H-1B petitions have increased significantly, rising from 6% in FY 2015 to 32% in the first quarter of FY 2019,” according to a National Foundation for American Policy analysis.
In addition, expensive and time-consuming Requests for Evidence (RFEs) reached an unprecedented level of 60% in the FY 2019 first quarter. The percentage of completed H-1B cases with a Request for Evidence has doubled between FY 2016 and FY 2019. Many companies have resorted to lawsuits in federal court against USCIS to gain approvals for employees they have identified as valuable.
However, Ken Cuccinelli and USCIS describe the increased bureaucracy facing businesses in positive terms and the fulfillment of a mission. “Consistent with President Trump’s call for enhanced vetting, USCIS plays a key role in safeguarding our nation’s immigration system and making sure that only those who are eligible for a benefit receive it,” according to the October 16, 2019, press release. “USCIS is vigorous in its efforts to detect and deter immigration fraud, using a variety of vetting and screening processes to confirm an applicant’s identity and eligibility. The agency also conducts site visits, interviews applicants, and requests evidence for benefits that offer individuals status in the United States.”
The meaning of the bureaucratic language used by USCIS is clear: USCIS has made it more difficult for employers to gain approval for high-skilled foreign nationals and others.
Here are examples of increased bureaucracy and added burdens on companies hiring foreign-born scientists and engineers:
* Government documents reveal USCIS adjudicators were directed to restrict approvals of H-1B petitions without the legal or regulatory authority to justify those decisions. The documents became public following a Freedom of Information Act (FOIA) lawsuit filed by the American Immigration Lawyers Association.
* A USCIS internal document – ” H-1B RFE Standards ” – encouraged adjudicators to demand more information of employers, leading to such requests being made in 40% to 60% of H-1B cases.
* Another USCIS document changed the standard for what qualifies as a “specialty occupation” for an H-1B visa holder – without any change in the law or regulation. While initially used to deny H-1B status to computer programmers, this analysis explains that the USCIS document states the new USCIS policy is “Applicable to Many Occupations.”
* USCIS adjudicators have taken the unusual step of approving H-1B status for periods of very short duration. In an ongoing court case, U.S. District Judge Rosemary M. Collyer cited the plaintiff’s example of USCIS granting one applicant an H-1B approval valid for only a single day – from February 1 to February 2, 2019. (See USCIS decision here.) Such actions force businesses to waste time and money filing repeatedly for the same employees.
* A Trump administration decision to compel employment-based green card applicants to sit for in-person interviews contributed to “increased delays in the adjudication of employment-based benefits [that] undermined the ability of U.S. companies to hire and retain essential workers,” according to an American Immigration Lawyers Association report. It also caused increased backlogs in other types of applications.
* USCIS now often requires – without a new law or regulation – a company to list every contract on which an H-1B visa holder will work during a three-year period to prove a “valid employer-employee relationship.” This was not done previously, and companies consider it unduly burdensome and out of touch with how businesses operate in a modern economy. The policy is a source of litigation.
* USCIS also issued a memo instructing adjudicators to no longer defer to prior determinations when adjudicating extension applications for existing H-1B visa holders. That policy change has contributed to a significant increase in denials and Request for Evidence for continuing employment for H-1B petitions, resulting in a three-fold increase in the denial rate for companies trying to retain current H-1B employees between FY 2016 and FY 2019. Employees who spent years working in the United States have been forced to leave the country after being denied H-1B extensions.
“By increasing the many hoops and hurdles that employers and foreign-born workers must negotiate to work in the United States, USCIS is making it harder for American companies to recruit and retain global talent,” said attorney Vic Goel, managing partner of Goel & Anderson, in an interview. “It is doing this through trumped-up claims of increased workload and fraud referrals, when many of those challenges are the result of its own efforts to create more work for itself and further grow the immigration bureaucracy.”
The available U.S. domestic talent pool is limited in many key fields. Approximately 80% of full-time graduate students at U.S. universities in computer science and electrical engineering are international students who need a visa to work long-term in the United States.
Research by Britta Glennon, an assistant professor at the Wharton School of Business at the University of Pennsylvania, found the types of government restrictions applauded by the acting director of USCIS are not good for America. Glennon found H-1B visa restrictions carry the unintended consequence of pushing jobs outside the United States and lead to less innovation in America. “In short, restrictive H-1B policies could not only be exporting more jobs and businesses to countries like Canada, but they also could be making the U.S.’s innovative capacity fall behind,” concluded Glennon.
When USCIS Acting Director Ken Cuccinelli ran for and held public office in Virginia, he had the support of the Tea Party and advocated against overreaching federal bureaucracy, including by filing a lawsuit against the Environmental Protection Agency. As Bob Dylan once sang, “The times, they are a-changin.'”