Report: Trump plans H-1B and other work visa reforms

Comment

Image Credits: Vinokurov Kirill (opens in a new window) / Shutterstock (opens in a new window)

As the tech world continues its strong opposition to the executive order that has restricted entry to the U.S. from seven predominantly Muslim countries, it appears the Trump administration is gearing up for chapter two.

According to a report in Bloomberg today, the Trump administration has drafted another immigration executive order, this one aimed at overhauling work visas such as the H-1B program used by many tech companies to bring in talent from outside the U.S. to fill jobs.

Current U.S. legislation caps the number at 85,000 work visas annually, a number which has been in place for years and is oversubscribed. It’s not clear if the draft would seek to reduce the number of workers allowed to enter under such programs, and by how much if so; or it if will make it harder to get applications approved — and by what measures. (As usual, the devil will be in the details.)

What we know for now is that, in keeping with Trump’s “America-first” agenda, the idea will be to restrict these visa programs to compel companies operating in the U.S. to hire domestically by making it harder to bring in people from abroad.

The relevant passage from the draft, per Bloomberg:

“Our country’s immigration policies should be designed and implemented to serve, first and foremost, the U.S. national interest,” it reads. “Visa programs for foreign workers … should be administered in a manner that protects the civil rights of American workers and current lawful residents, and that prioritizes the protection of American workers — our forgotten working people — and the jobs they hold.”

Bloomberg writes that the draft, as it is now, covers a number of visa programs beyond the H-1B program that is popular with tech companies, including L-1, E-2 and B1 visa programs.

The draft, according to the report, also includes measures to add more transparency to the visa programs, by publishing regular reports detailing statistics about who uses the program, some information that currently requires FOIA (Freedom of Information Act) requests to obtain.

For those who have been following Trump before and after his election, reforming H-1B and the other visa programs should not come as a surprise. It fits squarely with his administration’s position on boosting the U.S. workforce and the U.S. economy, by essentially putting in rules and penalties to make it harder to hire or import products from abroad.

Trump’s first actions out the door have caused a lot of outcry from both within the U.S. and abroad — in part because of the signal it is giving to the world of how the U.S. views its role as an influencer on humanitarian issues, and in part because of the direct and chaotic results of those actions, and in part because of the impact it will have on specific sectors (like the tech world).

In contrast, it seems the reported H-1B draft appears to be leaning on an ongoing issue: there are legislators from both sides of the aisle already proposing reforms to the H-1B rules as they stand today.

One of the issues is that the same routes are used not only by large tech companies to bring in top talent, but by startups, and by large outsourcing companies, and they are therefore oversubscribed and the visas sometimes used in ways that they were not intended.

Other reforms that have been put forward include a proposal last week from Rep. Zoe Lofgren, a Democrat, who is the congresswoman from the district that includes San Jose, which seeks to curtail what she describes as “outsourcing abuse” of the program by adding in higher salary requirements to make the program more competitive.

And Senators Chuck Grassley and Dick Durbin (respectively a Republican and Democrat) also last week submitted legislation in the Senate aimed at “increasing enforcement, modifying wage requirements and securing protections for both American workers and visa holders.”

“Reforming the H-1B and L-1 visa programs is a critical component of fixing our broken immigration system and must be included in comprehensive immigration reform legislation. For years, foreign outsourcing companies have used loopholes in the laws to displace qualified American workers and facilitate the outsourcing of American jobs.  The H-1B and L-1 Visa Reform Act would end these abuses and protect American and foreign workers from exploitation.  I thank Senator Grassley for partnering with me on this important bipartisan legislation,” Durbin said in a statement.

H-1B visa holders were already being impacted by last week’s immigration order, if they were from any of the seven countries named in it (Iraq, Syria, Iran, Libya, Somalia, Sudan and Yemen): Google, for one, recalled staff from abroad, including visa holders, in the wake of the order in case they were barred from entering later. Around 190 Google employees were affected.

We have contacted the White House, as well as Senator Grassley and Rep. Lofgren for responses and will update as we learn more.

More TechCrunch

Welcome back to TechCrunch’s Week in Review — TechCrunch’s newsletter recapping the week’s biggest news. Want it in your inbox every Saturday? Sign up here. Over the past eight years,…

Fisker collapsed under the weight of its founder’s promises

What is AI? We’ve put together this non-technical guide to give anyone a fighting chance to understand how and why today’s AI works.

WTF is AI?

President Joe Biden has vetoed H.J.Res. 109, a congressional resolution that would have overturned the Securities and Exchange Commission’s current approach to banks and crypto. Specifically, the resolution targeted the…

President Biden vetoes crypto custody bill

Featured Article

Industries may be ready for humanoid robots, but are the robots ready for them?

How large a role humanoids will play in that ecosystem is, perhaps, the biggest question on everyone’s mind at the moment.

17 hours ago
Industries may be ready for humanoid robots, but are the robots ready for them?

VCs are clamoring to invest in hot AI companies, willing to pay exorbitant share prices for coveted spots on their cap tables. Even so, most aren’t able to get into…

VCs are selling shares of hot AI companies like Anthropic and xAI to small investors in a wild SPV market

The fashion industry has a huge problem: Despite many returned items being unworn or undamaged, a lot, if not the majority, end up in the trash. An estimated 9.5 billion…

Deal Dive: How (Re)vive grew 10x last year by helping retailers recycle and sell returned items

Tumblr officially shut down “Tips,” an opt-in feature where creators could receive one-time payments from their followers.  As of today, the tipping icon has automatically disappeared from all posts and…

You can no longer use Tumblr’s tipping feature 

Generative AI improvements are increasingly being made through data curation and collection — not architectural — improvements. Big Tech has an advantage.

AI training data has a price tag that only Big Tech can afford

Keeping up with an industry as fast-moving as AI is a tall order. So until an AI can do it for you, here’s a handy roundup of recent stories in the world…

This Week in AI: Can we (and could we ever) trust OpenAI?

Jasper Health, a cancer care platform startup, laid off a substantial part of its workforce, TechCrunch has learned.

General Catalyst-backed Jasper Health lays off staff

Featured Article

Live Nation confirms Ticketmaster was hacked, says personal information stolen in data breach

Live Nation says its Ticketmaster subsidiary was hacked. A hacker claims to be selling 560 million customer records.

2 days ago
Live Nation confirms Ticketmaster was hacked, says personal information stolen in data breach

Featured Article

Inside EV startup Fisker’s collapse: how the company crumbled under its founders’ whims

An autonomous pod. A solid-state battery-powered sports car. An electric pickup truck. A convertible grand tourer EV with up to 600 miles of range. A “fully connected mobility device” for young urban innovators to be built by Foxconn and priced under $30,000. The next Popemobile. Over the past eight years, famed vehicle designer Henrik Fisker…

2 days ago
Inside EV startup Fisker’s collapse: how the company crumbled under its founders’ whims

Late Friday afternoon, a time window companies usually reserve for unflattering disclosures, AI startup Hugging Face said that its security team earlier this week detected “unauthorized access” to Spaces, Hugging…

Hugging Face says it detected ‘unauthorized access’ to its AI model hosting platform

Featured Article

Hacked, leaked, exposed: Why you should never use stalkerware apps

Using stalkerware is creepy, unethical, potentially illegal, and puts your data and that of your loved ones in danger.

2 days ago
Hacked, leaked, exposed: Why you should never use stalkerware apps

The design brief was simple: each grind and dry cycle had to be completed before breakfast. Here’s how Mill made it happen.

Mill’s redesigned food waste bin really is faster and quieter than before

Google is embarrassed about its AI Overviews, too. After a deluge of dunks and memes over the past week, which cracked on the poor quality and outright misinformation that arose…

Google admits its AI Overviews need work, but we’re all helping it beta test

Welcome to Startups Weekly — Haje‘s weekly recap of everything you can’t miss from the world of startups. Sign up here to get it in your inbox every Friday. In…

Startups Weekly: Musk raises $6B for AI and the fintech dominoes are falling

The product, which ZeroMark calls a “fire control system,” has two components: a small computer that has sensors, like lidar and electro-optical, and a motorized buttstock.

a16z-backed ZeroMark wants to give soldiers guns that don’t miss against drones

The RAW Dating App aims to shake up the dating scheme by shedding the fake, TikTok-ified, heavily filtered photos and replacing them with a more genuine, unvarnished experience. The app…

Pitch Deck Teardown: RAW Dating App’s $3M angel deck

Yes, we’re calling it “ThreadsDeck” now. At least that’s the tag many are using to describe the new user interface for Instagram’s X competitor, Threads, which resembles the column-based format…

‘ThreadsDeck’ arrived just in time for the Trump verdict

Japanese crypto exchange DMM Bitcoin confirmed on Friday that it had been the victim of a hack resulting in the theft of 4,502.9 bitcoin, or about $305 million.  According to…

Hackers steal $305M from DMM Bitcoin crypto exchange

This is not a drill! Today marks the final day to secure your early-bird tickets for TechCrunch Disrupt 2024 at a significantly reduced rate. At midnight tonight, May 31, ticket…

Disrupt 2024 early-bird prices end at midnight

Instagram is testing a way for creators to experiment with reels without committing to having them displayed on their profiles, giving the social network a possible edge over TikTok and…

Instagram tests ‘trial reels’ that don’t display to a creator’s followers

U.S. federal regulators have requested more information from Zoox, Amazon’s self-driving unit, as part of an investigation into rear-end crash risks posed by unexpected braking. The National Highway Traffic Safety…

Feds tell Zoox to send more info about autonomous vehicles suddenly braking

You thought the hottest rap battle of the summer was between Kendrick Lamar and Drake. You were wrong. It’s between Canva and an enterprise CIO. At its Canva Create event…

Canva’s rap battle is part of a long legacy of Silicon Valley cringe

Voice cloning startup ElevenLabs introduced a new tool for users to generate sound effects through prompts today after announcing the project back in February.

ElevenLabs debuts AI-powered tool to generate sound effects

We caught up with Antler founder and CEO Magnus Grimeland about the startup scene in Asia, the current tech startup trends in the region and investment approaches during the rise…

VC firm Antler’s CEO says Asia presents ‘biggest opportunity’ in the world for growth

Temu is to face Europe’s strictest rules after being designated as a “very large online platform” under the Digital Services Act (DSA).

Chinese e-commerce marketplace Temu faces stricter EU rules as a ‘very large online platform’

Meta has been banned from launching features on Facebook and Instagram that would have collected data on voters in Spain using the social networks ahead of next month’s European Elections.…

Spain bans Meta from launching election features on Facebook, Instagram over privacy fears

Stripe, the world’s most valuable fintech startup, said on Friday that it will temporarily move to an invite-only model for new account sign-ups in India, calling the move “a tough…

Stripe curbs its India ambitions over regulatory situation