By CHRIS MEGERIAN
Cox News
Service
Friday, October 24, 2008
Source:
http://www.statesman.com/business/content/shared/money/stories/2008/10/H_1B_FRAUD24_COX_F8220.html
WASHINGTON —
A federal investigation has found significant problems in a controversial
program granting temporary visas to skilled foreign
workers.
The study by U.S. Citizenship and Immigration Services (CIS), an agency
of the Department of Homeland Security, found intentional fraud or technical
violations in almost 21 percent of the applications for H-1B visas they
reviewed.
The findings, finalized last month, give new ammunition to advocacy
groups that say the program lets U.S. companies bypass American
workers in favor of lower-paid foreigners. Large businesses, particularly
technology companies, say H-1B visas are an important way to staff specialized
positions.
However, both sides and Congress members agree that the government needs
to provide more oversight.
"The American people trust that this program is limited to workers whose
special qualifications are necessary to sustain a growing economy," said Rep.
Lamar Smith, R-Texas. "We cannot allow individuals to abuse H-1B visas in order
to enter the country fraudulently and take jobs from American
workers."
In order to obtain H-1B status, foreign workers must be sponsored by an
American company that agrees to employ them in a specific task for the entire
three-year duration of the visa.
But the study, which randomly reviewed 246 applications submitted between
October 2005 and March 2006, found visa holders using fraudulent documents,
being sponsored by nonexistent companies or working in unrelated fields. One
company admitted that a "business development analyst" would be repairing
washing machines at a laundromat.
CIS spokeswoman Chris Rhatigan said the agency is considering additional
protections like regular site visits to ensure sponsoring businesses actually
exist or that employees are working in accordance with their
applications.
She said it is also looking to use more of its funds to investigate
fraud. Each sponsoring company already pays a $500 anti-fraud fee for each visa
they obtain.
Although H-1Bs make up only about 1 percent of all non-immigrant visas
issued by the government, they have been a lightning rod in the debate over how
globalization impacts U.S. jobs.
Sen. Chuck Grassley, an Iowan Republican and a frequent critic of the
program, made the CIS report public this month in order to boost his case that
American workers are being harmed.
"The results of this report validate exactly what I've been fearful of —
some employers are bringing H-1B visa holders into our country with complete
disregard for the law," he said in a statement. He also emphasized his "immense
frustration" with the three-year time frame needed to complete the
study.
Programmers Guild President Kim Berry said he was just as concerned about
legitimate H-1B visas as he was about fraudulent ones.
"All of those are displacing Americans, whether there is fraud involved
or not," he said.
Berry said businesses should be required to
make more efforts to hire Americans before looking
overseas.
Kelly Hunt, senior manager for immigration policy at the U.S. Chamber of
Commerce, dismissed the notion that American workers were being displaced,
saying not all tech jobs require the same skills.
"A lot of times you may see a decline in certain type of jobs," she said.
"But there's a big difference between a person that does material sciences and a
person that does electrical engineering."
She said the government should remove the 65,000-person annual limit on
H-1B visas in favor of a cap that fluctuates with market demands. An additional
20,000 visas are available for foreign graduates of U.S.
universities.
Federal officials reported a record number of applications this year,
receiving 163,000 in five days.
Robert Hoffman, vice president for government and public affairs at the
technology company Oracle, said additional oversight is necessary to ensure the
program isn't ruined for law-abiding companies.
He said Oracle was prepared to hire 1,000 foreign workers last year, but
only obtained 100 H-1B visas.
"Either we hire them to work offshore or they work for our competitors,"
he said. "Both of them are not positive results for our economy."
A spokesman for Dell Inc. said the Austin, Texas-based computer company
does not use many H-1B workers, but was unable to provide specific
numbers.
Chris Megerian is a Washington correspondent for Cox Newspapers.
