As of July 21, 2025, the United States 🇺🇸 has seen major updates to its employment-based immigration policies, especially concerning L1 visas and H1B visas. These changes, driven by the return of President Trump’s administration, have reshaped how companies and workers approach international assignments and job transfers. Understanding what has changed, who is affected, and what actions are now required is essential for anyone involved in global mobility, whether you are an employer, employee, or immigration professional.
Summary of What Changed
The U.S. government has introduced stricter rules and enforcement for both L1 and H1B visa programs. The main updates include:
- Tighter eligibility criteria for both L1 and H1B visas, especially for IT consulting and third-party placement firms.
- Redefinition of key terms: “specialty occupation” for H1B visas, “specialized knowledge” for L1B, and “executive/managerial duties” for L1A.
- Increased enforcement: U.S. Customs and Border Protection (CBP) is conducting more random checks and secondary inspections at major airports.
- More site visits and investigations by USCIS and the Department of Labor, focusing on wage compliance, job duties, and employer practices.
- Stricter consequences for violations, including expedited removal, visa cancellation, and possible prosecution.
These changes are already in effect and are expected to become even more strict in the coming months.
Who Is Affected
- Multinational companies that use L1 visas to transfer employees between offices in different countries.
- IT consulting firms and third-party placement agencies that rely heavily on both L1 and H1B visas.
- Foreign workers, especially from India, who make up over 70% of H1B and L1 visa holders.
- U.S. workers and labor unions concerned about wage standards and job opportunities.
- Immigration lawyers and HR professionals managing compliance and visa applications.
Effective Dates
- The new enforcement actions and policy changes began in early 2025 and are ongoing.
- Proposed reforms to visa definitions and eligibility are expected to be finalized and implemented throughout the rest of 2025.
Required Actions for Companies and Workers
For Companies:
- Review all current and future L1 and H1B petitions to ensure they meet the new, stricter definitions and requirements.
- Prepare for increased scrutiny: Keep detailed records of job duties, wages, and employee qualifications.
- Train HR and legal teams to handle site visits, audits, and requests for evidence.
- Avoid roles that do not clearly fit the new definitions of “specialty occupation,” “specialized knowledge,” or “executive/managerial duties.”
- Monitor wage practices to avoid underpayment and ensure fair treatment of all workers.
For Workers:
- Understand your visa category and what is required for your role.
- Be ready for detailed questioning at U.S. ports of entry, especially if you travel internationally.
- Keep copies of your employment records, job description, and pay stubs in case of inspection.
- Know your rights: If you feel you are being underpaid or misused, you can report concerns to the Department of Labor or USCIS.
Implications for Pending Applications
- Pending L1 and H1B petitions may face longer processing times and more requests for evidence.
- Applications that do not clearly meet the new definitions are at higher risk of denial.
- Employers and workers should expect more site visits and interviews before and after approval.
- Any sign of fraud or misrepresentation can lead to immediate visa cancellation and removal from the United States 🇺🇸.
Advantages of L1 Visas over H1B visas
Despite the stricter environment, L1 visas still offer several important advantages over H1B visas, which continue to make them attractive to companies and workers:
- No Annual Cap or Lottery: L1 visas are not limited by an annual quota, unlike H1B visas, which are capped at 85,000 per year and require a lottery. This means companies can transfer employees at any time, without waiting for a lottery result.
- No Degree Requirement: L1 visas do not require a bachelor’s degree or equivalent. Workers with specialized company knowledge, even without a formal degree, can qualify.
- No Prevailing Wage Requirement: Employers do not have to pay L1 workers the “prevailing wage” set by the Department of Labor, which is required for H1B visas. This can lower labor costs for companies.
- No Labor Certification Needed: The L1 process does not require a Labor Condition Application (LCA) or certification from the Department of Labor, making the process faster and simpler.
- Intracompany Flexibility: L1 visas are designed for transferring employees within the same company, allowing for smooth movement of executives, managers, or employees with specialized knowledge between offices worldwide.
- Longer Stay for Executives/Managers: L1A visa holders (executives and managers) can stay up to seven years, compared to six years for H1B visa holders.
- Streamlined Processing: The L1 process is often quicker and less bureaucratic, especially for large companies with blanket L1 approval.
How These Advantages Lead to Preference and Misuse
The benefits of L1 visas make them a preferred choice for many multinational companies, especially those in fast-moving industries like IT, engineering, and consulting. However, these same advantages can also open the door to misuse:
- Bypassing Labor Market Protections: Without wage or labor certification requirements, some companies may pay L1 workers less than U.S. workers in similar roles, which can hurt local wage standards.
- Flexible Job Roles: The lack of a degree requirement and the broad definition of “specialized knowledge” allow companies to fill roles that might not qualify for H1B visas, sometimes displacing U.S. workers.
- Rotating Employees: Some firms use L1 visas to rotate employees through U.S. offices without assigning them to true executive, managerial, or specialized knowledge roles, which goes against the program’s intent.
- Reduced Oversight: The simpler process and lack of a lottery make it easier for companies to move workers without as much government review, increasing the risk of non-compliance.
Recent Policy Changes and Enforcement
In response to these concerns, the government has taken several steps:
- Stricter Definitions: The meaning of “specialized knowledge” for L1B and “executive/managerial duties” for L1A is now more limited. Companies must provide stronger evidence that the employee truly fits these categories.
- More Inspections: CBP is conducting more random checks and secondary inspections at airports, especially for workers from companies with high visa usage or past violations.
- Increased Site Visits: USCIS and the Department of Labor are visiting company offices to check that job duties, wages, and working conditions match what was promised in the visa petition.
- Harsher Penalties: Companies and workers found to be abusing the system face immediate visa cancellation, removal from the country, and possible legal action.
Stakeholder Perspectives
- Employers: Multinational companies appreciate the flexibility and speed of L1 visas but are now facing higher compliance costs and risks. They must invest more in training, documentation, and legal support.
- Employees: L1 visa holders benefit from easier transfers and longer stays (for L1A), but they may be more vulnerable to lower wages and job insecurity due to weaker protections.
- U.S. Workers and Unions: Labor groups argue that both L1 and H1B programs can be used to undercut wages and job opportunities for U.S. workers. They are calling for stronger wage rules and more oversight.
- Government Agencies: USCIS, CBP, and the Department of Labor are focused on stopping fraud and abuse, especially in industries with high numbers of L1 and H1B workers.
Practical Implications
For companies, the L1 visa remains a valuable tool for moving talent across borders, but the risks and requirements are higher than ever. Firms must:
- Keep detailed records of employee roles, pay, and qualifications.
- Prepare for unannounced site visits and audits.
- Avoid using L1 visas for roles that do not clearly meet the new definitions.
- Invest in compliance training for HR and legal teams.
For workers, the L1 visa offers a way to work in the United States 🇺🇸 without going through the H1B lottery, but it comes with fewer protections. Workers should:
- Understand their rights and keep personal records of their job and pay.
- Be prepared for questioning at the border and during site visits.
- Report any concerns about unfair treatment or pay to the Department of Labor.
For U.S. workers, the changes are meant to protect local jobs and wages, but concerns remain about whether the new rules will be enforced fairly and effectively.
Step-by-Step: How Companies and Workers Handle L1 vs. H1B
For Companies:
- Assess the Role: Decide if the job is a “specialty occupation” (needs a degree, H1B) or an intracompany transfer (L1).
- Check Timing: If you need to move someone quickly and the H1B cap is full, L1 may be the better choice.
- Gather Documents: For L1, show the employee’s role and time with the company abroad. For H1B, show the degree and get a Labor Condition Application.
- File the Petition: Use Form I-129 for both L1 and H1B. For L1, include the L supplement. For H1B, include the approved LCA. You can find the official Form I-129 here.
- Prepare for Scrutiny: Expect more site visits, interviews, and requests for evidence.
For Workers:
- Check Eligibility: L1 requires at least one year with the company abroad. H1B requires a bachelor’s degree or equivalent.
- Plan for the Future: H1B allows you to apply for a green card while working. L1 does not, so think about your long-term goals.
- Be Ready at the Border: Bring documents showing your job and company history.
- Know Your Rights: If you feel exploited, you can contact the Department of Labor or USCIS.
Future Outlook
The trend toward stricter rules for both L1 and H1B visas is expected to continue. Companies should prepare for:
- More paperwork and documentation to prove eligibility.
- Longer processing times and more requests for evidence.
- Greater risk of denial or penalty if rules are not followed.
Workers, especially from countries like India with high visa usage, may face more delays and questions. Advocacy groups are pushing for better wage protections and more transparency in both programs.
Official Resources and Contact Information
- For the latest updates on L1 and H1B visas, official forms, and policy changes, visit the USCIS website.
- For wage data and labor certification information, check the Department of Labor at dol.gov.
- For travel alerts and inspection procedures, see cbp.gov.
- To report suspected visa abuse, use the USCIS online tip form.
Conclusion and Immediate Next Steps
The L1 visa’s structural advantages—no cap, no degree requirement, no prevailing wage, and fast processing—continue to make it a popular choice for multinational companies and workers, even as the risk of misuse grows. The U.S. government’s new policies and enforcement actions mean that everyone involved must be more careful and prepared.
If you are a company:
- Review your current L1 and H1B cases for compliance.
- Train your staff on new rules and documentation needs.
- Be ready for site visits and audits.
If you are a worker:
- Keep your job records and pay stubs.
- Know your rights and be prepared for questions at the border.
- Seek help if you feel you are being treated unfairly.
As reported by VisaVerge.com, the balance between helping companies move talent and protecting U.S. jobs is at the heart of these changes. Staying informed and prepared is the best way to succeed in this new environment.
For more details and the latest official information, always refer to the USCIS official page on temporary workers. This will help you stay up to date and ensure your actions are in line with current immigration policies.
Learn Today
L1 Visa → A visa for intracompany transferees in managerial, executive, or specialized knowledge roles within multinational firms.
H1B Visa → A US visa for specialty occupations requiring bachelor’s degrees, subject to annual caps and lottery selection.
Specialized Knowledge → Specific proprietary or advanced knowledge related to an employer’s product, service, or processes for L1B visa eligibility.
Prevailing Wage → The minimum salary employers must pay H1B workers, set to protect US labor market wages.
Site Visit → An official inspection of a company’s workplace by USCIS or Department of Labor to verify visa compliance.
This Article in a Nutshell
In 2025, US immigration policy changes tighten L1 and H1B visa rules, increasing scrutiny and enforcement. L1 visas remain attractive due to no caps and degree flexibility, but risks of misuse rise. Companies and workers must comply with new standards to avoid penalties and ensure smooth international transfers.
— By VisaVerge.com
