Some employers of workers with H-1B and L-1 visas may need to pay thousands more dollars to retain their foreign workers.

In a recently proposed rule, U.S. Customs and Border Protection (CBP) clarified that certain employers would be required to pay the 9/11 Response and Biometric Entry-Exit Fee when petitioning for H-1B and L-1 visa extensions.

“This fee only applies to companies with 50 or more employees, with more than 50% of U.S.-based employees in H-1B or L-1 status,” explained Lynden Melmed, an attorney with Berry Appleman and Leiden in Washington, D.C. In other words, the rule covers organizations deemed to be heavy users of the guestworker programs.

“Currently, on top of other filing fees, covered employers pay $4,000 extra for each H-1B petition and $4,500 extra for each L-1 for initial petitions or when there is a change of employer, but not extensions of stay with the same employer,” Melmed said.

The 9/11 Response and Biometric Entry-Exit Fee funds national security programs, including a system to track the entry and exit of non-U.S. citizens.

CBP said that these changes will help it comply with the congressional mandate to implement a biometric entry-exit data system, which is crucial for monitoring and managing immigration.

Employers subject to the new fee will see an increase in labor costs associated with retaining H-1B and L-1 visa holders, potentially resulting in some organizations reconsidering their strategy for the employment of foreign workers.

“Any changes to fee requirements for covered employers would not take effect until after CBP considers the comments it receives and issues a final regulation,” Melmed said.

This article courtesy of Society for Human Resource Management (SHRM)