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Business Immigration Weekly April 2, 2012 DOS Releases May 2012 Visa Bulletin EB-2 Category for Indian and Chinese Nationals Severely Retrogressed Additional Retrogression May Occur in the Upcoming Months The U.S. Department of State (DOS) recently released its May 2012 Visa Bulletin. As discussed in our firm s Immigration Update dated March 19, 2012, the DOS has severely retrogressed the EB-2 Indian and Chinese national categories from May 2010 to August 15, 2007. The severe retrogression was caused by an unexpected increase in demand for immigrant visas from U.S. Citizenship and Immigration Services (USCIS) to complete the adjudication of adjustment of status applications in the EB-2 category for Indian and Chinese nationals. Even before the release of the Visa Bulletin, the DOS ceased as of March 23, 2012 the issuance of immigrant visas for any case with a priority date after the August 15, 2007. Although the DOS ceased issuing immigrant visas for these cases, the USCIS decided to honor the April 2012 Visa Bulletin and continue to accept adjustment of status applications filed by individuals in the EB-2 Indian and Chinese national preference categories with priority dates prior to May 2010. Indian and Chinese nationals who are able to file adjustment of status applications prior to April 30, 2012 or who have pending adjustment of status applications which have priority dates after August 15, 2007 and which were not able to be closed out by the USCIS prior to March 23, 2012 will be able to continue to extend their Employment Authorization Documents (EADs) and Advance Parole documents until their priority dates become available again and the USCIS is then eligible to complete the adjudication of their adjustment of status applications. The DOS hopes that by retrogressing the EB-2 Indian and Chinese national preference categories to August 15, 2007, it will be able to keep the approval of immigrant visas for these categories within the statutory limitations. However, the DOS does not have accurate information from the USCIS as to the number of adjustment of status applications that it has pending with priority dates before August 15, 2007. Therefore, there is a likelihood that the DOS may have to further retrogress these categories or make them Unavailable at least until the beginning of the government s next fiscal year on October 1, 2012 in order to ensure that the statutory limitations on these categories are honored not exceeded. Additionally, in the Visa Bulletin, the DOS for the first time has indicated that a priority date cut-off may have to be established for the EB-2 World Category. Except during fiscal year 2008 when the DOS had to make all employment-based immigrant visa categories Unavailable due to extreme over demand when it made all of the employment-based immigrant visa categories Available in the month of July 2007, the EB-2 World category has never retrogressed but has always been Available. Increased demand in all of the employment-based immigrant visa categories may be causing the DOS to reconsider the availability of immigrant visas in the EB-2 World category. Finally, the DOS stated that it is unable to predict future movement in the EB-2 Indian and Chinese national categories at this time and will not be able to predict when the categories will be able to return to the May 2010 priority date cut-off. Masuda Funai s Business Immigration Weekly is provided as a free service of the firm regarding legal developments. It is not a substitute for legal counseling and may constitute advertising material. 2012 Masuda, Funai, Eifert & Mitchell, Ltd. All rights reserved.

The following is a comparison of priority date movement since the inception of the current retrogression in October 2005: Dec 2007 Jun 2008 Aug 2009 Mar 2010 Mar 2012 Apr 2012 May 2012 EB-3 World 09/01/02 03/01/06 U 12/15/02 03/15/06 04/08/06 05/01/06 EB-2 China 01/01/03 04/01/04 10/01/03 07/08/05 05/01/10 05/01/10 08/15/07 EB-3 China 10/15/01 03/22/03 U 12/15/02 01/01/05 03/01/05 04/01/05 EB-2 India 01/01/02 04/01/04 10/01/03 02/01/05 05/01/10 05/01/10 08/15/07 EB-3 India 05/01/01 11/01/01 U 07/01/01 08/22/02 09/01/02 09/08/02 EB-3 Other Workers 10/01/01 01/01/03 U 06/01/01 03/15/06 04/08/06 05/01/06 Additional information about priority date movement will be contained in our firm s future Immigration Updates when it becomes available. Demand for H-1B Quota Numbers Significantly Increases in the Fiscal Year 2013 H-1B Quota Quota Will be Met Much Sooner than During the Last Fiscal Year The USCIS began accepting H-1B petitions filed against the H-1B quota for Fiscal Year 2013 (October 1, 2012 through September 30, 2013) on April 2, 2012. Employers are able to file H-1B petitions up to six months prior to the beginning of the government s next fiscal year on October 1, 2012. The H-1B quota for Fiscal Year 2013 is limited to 65,000. An additional 20,000 number are available to individuals who have earned a U.S. Master s or higher degree. As of April 6, 2012, the USCIS indicated that it had received approximately 17,400 petitions counted against the regular H-1B quota and approximately 8,200 petitions filed against eh U.S. Master s or higher degree exemption. This number of filings represents approximately double the number of filings received in the same period during the fiscal year 2012 s quota. The quota during Fiscal Year 2012 was met on November 22, 2011. It is estimated that the quota for Fiscal Year 2013 may only remain available until the end of May. However, this will depend on whether demand continues to for the next few weeks. Once the H-1B quota for fiscal year 2013 is met, the earliest date upon which employers will be able to file H-1B quota petitions for their current and/or potential employees will be April 1, 2013 (for an H-1B employment start date of October 1, 2013). Due to the significant increase in demand, employers who have either current or potential employees that are subject to the H-1B quota should file their H-1B quota petitions as soon as possible before the quota for Fiscal Year 2013 is met. Additional information about the Fiscal Year 2013 H-1B quota will be contained in our firm s future Immigration Updates when it becomes available. DOL Commences an Integrity Review Process in the PERM Program The U.S. Department of Labor (DOL) has informally indicated that it is commencing an integrity review process of the PERM program. As part of this process, many employers are beginning to receive more audits of their PERM applications with detailed requests about their compliance with certain aspects of the PERM program. Additionally, some employers are starting to also see an increase in the number of PERM applications selected for Supervised 2012 Masuda, Funai, Eifert & Mitchell, Ltd. All rights reserved. 2

Recruitment after responding to a PERM audit. As discussed in our Immigration Update dated February 27, 2012, more than 55% of the PERM applications selected for an audit are denied. Additionally, only approximately 25% of the PERM applications selected for Supervised Recruitment are ultimately approved. DOS Revises its Fee Schedule The DOS recently revised its Fee Schedule. The new fees become effective for applications processed on or after April 13, 2011. Although most applicants will see an increase in their filing fees, there was a decrease in certain select filing fees. The following is a list of the current and new filing fees: NONIMMIGRANT VISA PROCESSING FEES Type of Visa Previous Fee New Fee Tourist, Business, Transit, Crew Member, Student, Exchange Visitor, and Journalist visas $140 $160 Petition-Based Visas (H, L,O, P Q and R) $150 $190 Treaty Investor and Trader Visas (E) $390 $270 Fiance (e) visas (K) $350 $240 Border Crossing Cards (age 15 and older) $140 $160 Border Crossing Cards (under age 15) $14 $15 IMMIGRANT VISA PROCESSING FEES Type of Visa Previous Fee New Fee Immediate Relative and Family Preference Applications $330 $230 Employment-Based Applications $720 $405 Other Immigrant Visa Applications $305 $220 Diversity Visa Program Fee $440 $330 Determining Returning Resident Status $380 $275 DOJ Settles Discrimination Case Alleging Discriminatory Job Advertisements 2012 Masuda, Funai, Eifert & Mitchell, Ltd. All rights reserved. 3

The U.S. Department of Justice (DOJ) recently reached a settlement agreement with Onward Health Care, a health care staffing company, resolving allegations that the company posted discriminatory job advertisements on its home page and third party websites that limited jobs to U.S. citizens. Over a period of one year, the DOJ alleged that thousands of the company s postings impermissibly limited applications to U.S. citizens, even though work-authorized immigrants, such as lawful permanent residents, asylees and refugees, should have been allowed to apply as well. The DOJ reminded employers that the Immigration and Nationality Act (INA) generally prohibits employers from discriminating on the basis of citizenship status unless required by law, regulation or government contract. The DOJ determined that the company had no legal basis for its stated citizenship preference. As part of the settlement agreement, the company agreed to pay $100,000 in civil monetary penalty and to change its internal policies and manuals to incorporate the law s protection. The company also agreed to be subject to DOJ reporting and compliance monitoring for a period of three years. DOL Makes List of E-Verify Employers and Federal Contractors Available The USCIS has recently updated its website to include a list of enrolled employers, including Federal Contractors, in the E-Verify system. The list provides the business name, city, state and zip code used during registration with E-Verify. The list also indicates which businesses are federal contractors, the businesses registration status in E- Verify and other information, such as workforce size. The lists are available at www. www.uscis.gov/e-verify. The lists include employers and federal contractors enrolled in the E-Verify system through March 15, 2012. The lists indicate that approximately 345,000 employers are now enrolled in the E-Verify system. Employers may want to check their E-Verify registration status in the lists to confirm that it is accurately reflected. Some employers may have to correct their registration status with E-Verify (e.g. if the employer is a federal contractor and never agreed to reverify its entire existing workforce when it registered in the E-Verify system although E-Verify list indicates that they did agree to such process). Employers with information inaccurately indicated in this list should contact E-Verify to have the information corrected. For more information about this or any other immigration law topic, please contact Bob White at 847.734.8811 or via email at rwhite@masudafunai.com. Weekly Immigration Updates are provided in the Immigration Group Section of our Firm s website at www.masudafunai.com. 2012 Masuda, Funai, Eifert & Mitchell, Ltd. All rights reserved. 4

About the Immigration Group The Immigration Group of Masuda Funai provides immigration representations to publicly traded companies, privately held corporations, educational institutions, not-for-profit organizations and individuals in business immigration matters. As one of the larger immigration groups in the United States, we annually file more than 2,500 petitions on behalf of approximately 275 different corporate employers from such diverse industries as automotive-related, computer consulting, machine tool manufacturing, electronics, construction and equipment, banking and financial, health care and high tech. Attorneys in the Immigration Group include: About Masuda Funai Masuda Funai is a full-service law firm representing international and domestic companies operating and investing in the United States. Our 45 attorneys located in Chicago, Schaumburg and Los Angeles counsel clients in every aspect of business, including establishing, acquiring, and financing operations; ownership, development and leasing of real estate; transfer of overseas employees to the U.S.; employment, labor, and benefits counseling and dispute resolution; intellectual property, copyright and trademark; business litigation; creditors' rights and business risk management; structuring the distribution and sale of products and services throughout the U.S.; and estate planning and administration. Kathleen M. Gaber, Chair Esther Contreras Bryan Y. Funai Colin Hara Eldon Kakuda Dayne Kono Stephen M. Proctor Fazila Vaid Robert S. White CHICAGO 203 North LaSalle Street Suite 2500 Chicago, Illinois 60601-1262 TEL 312.245.7500 FAX 312.245.7467 LOS ANGELES 19191 South Vermont Avenue Suite 420 Torrance, California 90502-1051 TEL 310.630.5900 FAX 310.630.5909 www.masudafunai.com SCHAUMBURG 1475 East Woodfield Road Suite 800 Schaumburg, Illinois 60173-5485 TEL 847.734.8811 FAX 847.734.1089 2012 Masuda, Funai, Eifert & Mitchell, Ltd. All rights reserved. 5