At VisaPro, we’ve spent over 22 years helping companies navigate complex immigration laws, and we’ve identified three of the most common H-1B compliance pitfalls that employers face.
With the H-1B Modernization Rule granting USCIS greater authority to conduct site visits, and heightened security under the new administration, compliance has never been more critical. Failure to comply can lead to denial or revocation of H-1B petitions, costly penalties, and business disruptions.
Top 3 Compliance Pitfalls & How to Avoid Them
1.Change in Work Location
Even minor changes in an H-1B employee’s work location can jeopardize compliance. If the new worksite is outside the Metropolitan Statistical Area (MSA), a new LCA and H-1B Amendment may be required before work begins.
Common Pitfall:
Many employers assume that as long as an employee remains with the same company, location changes don’t require updates. However, even a remote work location can trigger compliance issues if it falls outside the original LCA-covered area.
Stay Ahead:
- Update the Public Access File (PAF) and ensure LCA postings are done at the new worksite on or before the first day of employment at the new location.
- If the move is outside the MSA or beyond normal commuting distance, file an H-1B Amendment and a new LCA before the employee starts work at the new location.
- For short-term assignments, understand USCIS rules regarding temporary placements to avoid unnecessary amendments. Registration Period: March 7, 2025, to March 24, 2025.
2.Terminating H-1B Employees
Terminating an H-1B worker involves formal notification to both the Department of Labor (DOL) and USCIS. Failure to do so may result in liability for back wages, even if the employee is no longer working.
Common Pitfall:
Employers assume that simply ending payroll is enough. However, until DOL and USCIS are notified, the employer is still responsible for the worker’s wages under the certified LCA.
Stay Ahead:
- Withdraw the LCA with the Department of Labor to formally close the H-1B worker’s status.
- Notify USCIS in writing to withdraw the H-1B petition. Failure to do so can lead to continued financial liability.
- Offer to pay the reasonable cost of return transportation to the worker’s last residence outside the U.S. (a mandatory requirement for H-1B terminations).
- Keep detailed documentation of the termination, including resignation letters, termination notices, and written USCIS/DOL notifications.
3.Material Changes to Employment
Promotions, job title changes, or significant salary adjustments may require USCIS approval. Employers who fail to notify USCIS risk petition revocation and compliance violations.
Common Pitfall:
Employers believe that as long as the employee remains with the company, USCIS does not need to be notified of changes. However, certain job changes may require an H-1B amendment before they take effect.
Stay Ahead:
- Determine if the change involves a new SOC code, supervisory responsibilities, or job duties significantly different from the original petition. If so, an H-1B amendment may be required.
- Review salary adjustments carefully, significant increases or decreases should be assessed to ensure compliance with prevailing wage and LCA terms.
- Consult with an immigration attorney before making material job changes to avoid USCIS penalties or revocation risks.
What Should You Do?
Don’t wait for a compliance audit- stay ahead of potential risks today. VisaPro’s immigration experts are here to review your company’s compliance practices and help you navigate the latest H-1B regulations.
📞 Call us at (202) 787-1944 or email CS@VisaPro.com for a confidential compliance consultation.
In 2024, we once again achieved 100% approvals with H-1B filings, continuing our near 100% approval rate over the past decade. For over 22 years, we’ve helped companies navigate complex immigration laws, ensuring compliance and safeguarding their workforce.
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