(MILWAUKEE, WISCONSIN) – Federal officials used a Milwaukee event on July 8-9, 2026 to announce a wider crackdown on H-1B and PERM visa fraud, tying the effort to the administration’s slogan, “American jobs belong to Americans,” and to the White House Task Force to Eliminate Fraud.

Vice President JD Vance said employers and brokers who abuse visa programs should not be allowed to profit from them. Department of Labor officials said investigators are examining fraudulent job postings, wage-kickback schemes, and labor trafficking. The Department of Labor Office of Inspector General said it has already issued dozens of subpoenas.

The enforcement push lands in the middle of FY 2027 H-1B adjudications, with approved cap cases set for an employment start date of October 1, 2026. It also lands as USCIS continues close review of specialty occupation filings, especially cases built on broad job titles, Level I wages, and degree requirements that are not closely tied to the offered duties.

Specialty Occupation Standard

The legal standard remains unchanged. An H-1B petition must show that the job requires at least a bachelor’s degree in a specific specialty, or the equivalent, as the normal minimum entry requirement. A general preference for “any bachelor’s degree” does not satisfy the statute. The degree field must connect to the actual work.

USCIS regulations allow approval if the petition meets at least one of four criteria. The position can require a specific bachelor’s degree as the normal minimum. The degree requirement can be common in the industry for parallel roles. The employer can show it normally requires that degree. The duties can be so specialized and complex that a specific degree is required.

That distinction matters in fraud reviews because fake openings often collapse on the specialty occupation test before investigators reach wage or recruitment issues. A genuine software developer role tied to a computer science or software engineering degree often fits. A market research analyst role may fit if the employer ties the duties to a business, statistics, or economics degree. Generic project coordinator, sales manager, recruiter, or operations roles often draw heavier scrutiny when the degree requirement is broad or inconsistent.

Officials also said the probe covers labor certification cases. PERM filings require employers to test the labor market and attest to wage and recruitment facts. Fraud allegations in PERM and H-1B cases often overlap. Investigators look for fake recruitment, ghost worksites, shell vendors, and salary arrangements that exist on paper but not in payroll records.

⚠️ Employer Alert: A specialty occupation case that lists a broad degree field, low wage level, and vague duties presents a higher audit and RFE risk in the current enforcement climate.

Some of the administration’s public message focused on deterrence. Anthony D’Esposito, the DOL inspector general, said his office is working with the task force to pursue employers and brokers who “game” the employment visa system. During a television interview, he said whistleblowers had named major firms and said Cognizant was “in the chatter” on PERM and H-1B issues. No formal charges have been announced against the company.

The task force itself was created by executive order on March 16, 2026. It coordinates anti-fraud work across the DOL, DHS, and DOJ. The Milwaukee event also included a separate announcement that the Small Business Administration suspended 7,800 Wisconsin borrowers tied to suspected pandemic loan fraud. The visa message was part of that broader anti-fraud campaign.

Recommendations for Employers

Employers still filing H-1B cases for FY 2027 should document the specialty occupation analysis with unusual care. The petition should include a detailed job description, percentage breakdown of duties, an organizational chart, prior hiring records, comparable job postings, client contracts if there is third-party placement, and a memo tying each core duty to specific coursework. A bare title and a Labor Condition Application are rarely enough.

Degree equivalency remains available, but it needs evidence. A foreign degree should be supported by a credentials evaluation. A worker without a qualifying degree can use a combination of education, training, and progressively responsible experience. USCIS often treats three years of specialized experience as roughly equal to one year of college-level training in equivalency analyses, but the record must connect that experience to the offered occupation.

Cases built on Level I wages continue to face pressure. The Department of Labor defines Level I as entry-level work, usually with 0-2 years of experience and close supervision. USCIS often asks how a role can be both highly specialized and assigned the lowest prevailing wage tier. That does not bar approval. It does mean the petition must explain the duties with precision and show why the degree requirement still exists at entry level.

📅 FY 2027 Timeline: Cap-selected H-1B petitions were filed during the April 1 to June 30, 2026 window. Approved cap cases may begin work on October 1, 2026.

Common Challenge Areas

Several job categories routinely face requests for evidence. Business analyst, project manager, operations manager, account manager, and marketing roles often draw questions if the petition does not identify a narrow degree path. Entry-level computer positions can also be challenged when the filing uses Level I wages and generic language. Teachers, accountants, engineers, physicians, physical therapists, and many software roles usually fit more cleanly because the degree path is easier to show.

The administration’s fraud messaging also carries risk for workers caught in abusive arrangements. Officials said employers can face debarment, civil penalties, and criminal prosecution. Workers tied to sham petitions can face status problems, revocation, or removal proceedings, even when they were pressured into wage kickbacks or fake benching arrangements. Employees should keep pay stubs, W-2s, work schedules, and job duty records in case an investigator or USCIS officer asks for proof.

Fees and Employee Verification

The fee picture has also shifted. Standard H-1B fees still include the $215 registration fee, the $780 Form I-129 filing fee, the $500 fraud prevention fee, and the $750 or $1,500 ACWIA fee, depending on employer size. Premium processing remains $2,805. The administration had pursued a $100,000 fee for certain petitions, but the June 2026 court setback means employers should not treat that amount as an active filing fee.

💼 Employee Tip: Verify the offered job title, SOC code, worksite location, and salary before the petition is filed. The wage must meet at least the prevailing wage for that occupation and area.

Employers preparing late-filed amendments, extensions, or cap-exempt cases should review job descriptions now, confirm the wage level at FLC Data Center, and preserve recruitment and payroll records where PERM or H-1B facts intersect. Employees should compare the petition terms to actual duties, keep copies of LCAs and pay records, and review USCIS guidance before travel or stamping. USCIS program pages remain the central reference point for specialty occupation filings and cap season rules.

📋 Official Resources:
– H-1B Program: Program
– Cap Season: Season
– Prevailing Wages: Wages