4 Work-Arounds to the H1B Problem

(MoneyWatch)  CEOs, especially those involved in high tech, see the same pattern year after year. They desperately need high-level, foreign workers since universities in the U.S. are not turning out enough software writers and computer engineers.

Yet nothing ever seems to get done in Congress to boost the number of H1B visas for desirable and skilled tech workers beyond the annual limit of 65,000 which are in such demand that they often "sell out" in one day each April.

This year, demand was so strong for skilled tech workers from, especially from India, Pakistan, and China, that the federal government staggered its allocation period over one week ending April 7. Some 163,000 applications came for 65,000 H1B visas and 20,000 more visas for foreigners with advanced degrees, according to Paul Colman, director of Chicago-based VISANOW. All were briskly snapped up.

Year after year, CEOs and other high level executives from such marquee-name tech firms as Sun Microsystems, Microsoft, 3com and Motorola lobby for a more generous and rational policy to allow needed foreign workers in through the H1B and L1 visa programs. "Almost every year, there seems to be the same lip service about the need for more visas," Colman says.

As before, there are fresh attempts to rationalize the H1B visa system. U.S. Rep. Lamar Smith, a Texas Republican, for instance, has proposed laws raising the annual H1B limits from 65,000 to 195,000 in 2008 and 2009. The sad part is that with presidential elections underway and the politicized fervor over "illegal" and mostly Latino immigration, the likelihood of new policy changes are remote. So, we're stuck with the current, dysfunctional system for at least another year.

Colman says his group advises business clients to look beyond strict H1B versions. These include:

1. TN Category Visa: Based on the North American Free Trade Agreement (NAFTA), this visa is available to Canadian and Mexican citizens coming to the U.S. to perform professional activities. The TN visa has a one year term, but can be renewed indefinitely. There is no cap on the number of TN visas allotted.
2. L Category Visa: These allow companies to hire foreign employees on a temporary basis with the ability to provide permanent residency. The L-1 visa is available if a company is affiliated with a foreign operation. To be eligible, employees must have worked for the foreign company for at least one of the last three years.
3. O Category Visa: Visas in this category are used for business and science professionals that exhibit extraordinary ability in their fields. The initial visa is valid for up to three years and can be renewed indefinitely for up to one year each time it is renewed
4. E Category Visa: Created for foreign workers from countries that signed the Friendship, Commerce, Navigation (FCN) treaty with the U.S. The E-2 visa is available to nationals of FCN treaty countries that have made a significant investment within the United States. The E-3 visa is specifically for Australians who intend on working in the U.S. temporarily in a specialty occupation. E category visas are valid for two years and can be renewed indefinitely.

How have visa problems affected your firm?