H-1B denial charges for brand spanking new software drops to 4% in fiscal 2021 – Occasions of India


MUMBAI: The denial fee for brand spanking new H-1B functions (petitions) for preliminary employment throughout fiscal 2021 (yr ended September 30, 2021) has dipped to 4 per cent, that is considerably decrease than the denial fee of 13 per cent in fiscal 2020. The denial charges in earlier years had been a lot greater – at 24 per cent in fiscal 2018 and 21 per cent in fiscal 2019.
These are the current findings of the Nationwide Basis for American Coverage (NFAP), a coverage analysis organisation primarily based in Arlington.
“The 4 per cent denial fee in fiscal 2021 for brand spanking new H-1B petitions was just like the speed earlier than Donald Trump took workplace, that means the Trump years had been an aberration attributable to imposing restrictive insurance policies that courts discovered to be illegal,” mentioned Stuart Anderson, government director, NFAP.
H-1B petitions for ‘preliminary’ employment are primarily for brand spanking new beneficiaries (potential workers who’re being sponsored for the visa) and usually rely towards the H-1B cap annual quota of 85,000.
The rise in H-1B denials started in Donald Trump’s first yr in workplace (2017) and the decline within the denial fee began in his final yr (2020), affecting the fourth quarter of fiscal 2020 and later fiscal 2021. The affect of beneficial court docket selections towards varied restrictive insurance policies imposed by the Trump administration turned evident within the ultimate months of his presidency, cites the research.
H-1B is the preferred visa for expert workers, a major variety of the annual quota is allotted to Indian beneficiaries, particularly these within the info expertise sector.
Throughout fiscal 2021, Amazon had probably the most authorized H-1B petitions for preliminary employment with 6,182 approvals. This was adopted by Infosys with 5,256 approvals. Subsequent in line had been TCS (3,063), Wipro (2,121) Cognizant (1,481), Google (1,453), IBM (1,402), HCL America (1,299) and Microsoft (1,240).
NFAP’s research factors out that roughly 18,000 extra petitions had been authorized for preliminary employment in fiscal 2021 in comparison with fiscal 2020, probably as a result of delays in processing throughout 2020 owing to the pandemic and in addition greater denial charges. Based on NFAP, one other caveat to the fiscal 2021 numbers is that, in response to attorneys, within the earlier two years USCIS held or delayed H-1B functions for a lot of info expertise providers corporations, which might have inflated the variety of authorized H-1B petitions for these corporations within the subsequent fiscal.
The denial fee for H-1B petitions for persevering with employment (visa renewals) was 2 per cent in fiscal 2021, versus 7 per cent in 2020. The research factors out that this stage of seven per cent was achieved owing to beneficial court docket selections and authorized settlements within the fourth quarter of this yr. In fiscal 2018, as an example, the denial fee for persevering with employment was as excessive as 12 per cent.
A lot of the rise in denials for persevering with employment in the course of the Trump administration was attributable to an October 2017 coverage memo that instructed USCIS officers to now not give deference to the findings of a beforehand authorized petition. Many extensions of H-1B standing had been reviewed below a brand new, extra restrictive normal primarily based on insurance policies that judges later decided to be illegal. Employers and attorneys have credited USCIS Director Ur Jaddou and the Biden administration for rescinding this October 2017 memo, states the research.
The highest employers of authorized H-1B petitions in fiscal 2021 had been additionally among the many fastest-growing employers of US staff, offering clear proof that corporations that make use of H-1B visa holders additionally hunt down and make use of native American staff in important numbers. The knowledge on the numerous hiring of US staff by employers of H-1B professionals helps show the fallacies of the zero-sum argument about high-skilled international nationals ‘taking’ American jobs, notably since economists have discovered hiring high-skilled personnel enhances different high-skilled jobs in addition to different forms of employment at an organization and within the financial system.
The research provides that: As of December 6, 2021, there have been greater than 1.5 million job emptiness postings in pc occupations within the US, and solely about 56,000 new H-1B petitions yearly are utilized by employers and H-1B workers in pc jobs, in response to USCIS knowledge. Which means even when one incorrectly assumes there are a set variety of jobs, there are near 30 instances extra accessible jobs in pc occupations than H-1B visa holders who fill such positions yearly. At US universities, solely roughly 25 per cent of the full-time graduate college students in electrical engineering and pc and knowledge sciences are US college students. These statistics point out the necessity for hiring H-1B staff to fill the hole.

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