US Investigates H-1B Visa Misuse Cases

US Probes Widespread Misuse of H-1B Visa Programme

Why in the News ?

The US Department of Labour (DOL) has launched 175 investigations under Project Firewall into alleged abuses of the H-1B visa programme, focusing on underpayment of foreign workers, violation of job protection norms, and non-compliance by employers to safeguard American jobs.

Crackdown on H-1B Visa Violations:

• The US Labour Department initiated 175 active probes into suspected H-1B visa abuses, marking a historic enforcement effort.
• Investigations target companies that allegedly underpay foreign workers or bypass protections meant for American employees.
• Some employers reportedly failed to notify US Citizenship and Immigration Services (USCIS) after terminating H-1B holders.
• Labour Secretary Lori Chavez-DeRemer is personally certifying each probe — a first in US labour enforcement history.
• These probes have uncovered over $15 million in unpaid back wages owed to affected workers.

Project Firewall and Policy Implications

• The investigations are part of Project Firewall, launched in September 2025, aimed at preventing H-1B exploitation.
• The project coincides with a presidential proclamation imposing a $100,000 one-time fee on new H-1B petitions.
• Technology companies remain the largest users of the H-1B visa, with Indian nationals constituting a majority of recipients.
• The DOL aims to ensure equal pay for foreign and American workers with similar qualifications.
• Violations reportedly led to wage suppression, forcing local workers to accept lower pay to stay competitive.