WASHINGTON – The Immigration and Naturalization Service
(INS) announced today that it will stop accepting H-1B visa
petitions for Fiscal Year (FY) 1999 employment of H-1B
workers. The INS has determined that the 115,000 annual cap
on the H-1B visa category for FY 1999 will be reached on June
15, 1999, based on petitions already filed. As of May 31, 1999,
INS had approved 108,386 H-1B visa petitions.

Petitions for First-Time H1-B Employment

INS will implement the following procedures for the remainder
of FY 1999 (through September 30, 1999). These procedures will
be published in the Federal Register on June 15, 1999.

All FY 1999 petitions for first-time employment of H-1B
workers that are received on or after June 15, 1999, will be
returned along with the accompanying fees to petitioners.
Petitioners may resubmit their petitions at any time and
request employment beginning on or after October 1, 1999,
when H-1B visas for FY 2000 become available.
For FY 1999 petitions for first-time employment of H-1B
workers that are received before June 15, 1999, INS will
adjudicate the petitions and, if approvable, will grant the
petitions with a valid start date of October 1, 1999, when
H-1B visas for FY 2000 become available.
Petitioners may choose to withdraw their petitions and
forfeit the fees by submitting a written request containing
the receipt number of the H-1B petition, the name of the
employer, and the name of the individual for whom the
petition was filed. The request should be faxed to the
Immigration Services Division, Attention: H-1B
Withdrawal, FAX (202) 305-0108.
H-1B petitions requesting first-time employment of H-1B
workers beginning on or after October 1, 1999 (FY 2000)
will be processed as received by INS and counted against
the 115,000 cap for FY 2000.

Exceptions – Petitions for Current H-1B Workers

INS will continue to process petitions filed for current H-1B
workers, since they are not affected by the visa cap. Such
applications include petitions to:

Extend the stay for current H-1B workers,
Amend the terms of employment for current H-1B
workers,
Allow current H-1B workers to change employers, and
Allow current H-1B workers to work concurrently in a
second H-1B position.

Accommodation for Foreign Students and Exchange
Visitors

Concurrently, INS is publishing in the Federal Register an
interim regulation to accommodate certain foreign students (F
visa category) and exchange visitors (J visa category) who are
already in the country awaiting approval of an H-1B petition
filed on their behalf by an employer. The regulation allows such
individuals, and their dependent spouses and children, to
remain in the United States while waiting for new H-1B visas to
become available on October 1, 1999. However, they are not
permitted to work or engage in any other activity that would be
in violation of their F or J immigration status.

Exchange visitors who are subject to the two-year foreign
residence requirement are not covered by this regulation.

Background

The H-1B is a temporary visa category for nonimmigrant
workers that includes specialty occupations which require a
bachelor’s degree or higher and fashion models of distinguished
merit and ability. Typical H-1B occupations include architects,
engineers, computer programmers, accountants, doctors and
college professors. Initially, the maximum period of admission
is three years, which may be extended for an additional three
years.

The H-1B visa category was established by the Immigration Act
of 1990. The American Competitiveness and Workforce
Improvement Act of 1998 temporarily raised the number of
H-1B visas available annually from 65,000 to 115,000 for fiscal
years 1999 and 2000, and from 65,000 to 107,500 for FY 2001,
while requiring a new H-1B worker fee of $500 paid by
employers. The $500 fee funds training and educational
programs for U.S. workers.

Questions and Answers

Q. What is the receipt date (the date INS received the petition) of
the latest petition that will be granted H-1B status for FY 1999?

A. INS estimates that approvable petitions with a receipt date
of on or before April 9, 1999, will be granted H-1B status for FY
1999.

Q. Have H-1B visas reached the 65,000 annual cap in the past?

A. Yes, H-1B visas have reached the 65,000 annual cap for the
past two years. In
FY 1997, the 65,000 annual limit was reached on September 1,
1997. A total of 5,099 beneficiaries approved during the rest of
the fiscal year (September 2, 1997 through September 30, 1997)
were held in abeyance until the beginning of the new fiscal
year, October 1, 1997, and were applied to the FY 1998 limit.

In FY 1998, the 65,000 annual limit was reached on May 11,
1998. A total of 19,431 beneficiaries approved during the rest of
the fiscal year (May 12, 1998 through September 30, 1998) were
held in abeyance until the beginning of the new fiscal year,
October 1, 1998, and were applied to the FY 1999 limit.

Q. How many H-1B visas have been approved in past years?

A. FY 1998 = 65,000; FY 1997 = 65,000; FY 1996 = 55,141; FY 1995
= 54,178;
FY 1994 = 60,279; FY 1993 = 61,591; FY 1992 = 48,645.

Q. What are the top 10 countries of birth of the beneficiaries of
H-1B petitions?

A. For the first half of FY 1999, the top 10 countries are:

India = 46% China = 10% Canada = 4% Philippines = 3%
Taiwan = 2% Korea = 2% Japan = 2% United Kingdom = 2%
Pakistan = 2% Russia = 2%

Q. What are the top occupations of the beneficiaries of H-1B
petitions?

A. The INS will begin compiling complete information on the
occupations of H-1B beneficiaries, as well as their education and
compensation, beginning in FY 2000, as required by the
American Competitiveness and Workforce Improvement Act of
1998.

– INS –