Under the new campaign, the U.S. Department of Labor steps up enforcement — sparking fierce debate over foreign talent and job protection.
The U.S. government has unveiled a major crackdown on the H-1B visa program with a new initiative titled Project Firewall — designed to ensure qualified Americans are given priority in hiring and to curb the misuse of foreign-worker visas.
What Is Project Firewall?
- Launched by the U.S. Department of Labor (DOL), the initiative targets companies suspected of misusing the H-1B visa route.
- It includes active investigations — as of now, authorities have launched at least 175 probes for potential visa abuse.
- Firms found violating rules may face penalties: back-pay orders to affected workers, civil fines, or even temporary bans from sponsoring future H-1B applications.
Why the U.S. Is Taking This Step
- The administration argues that jobs meant for Americans are being unfairly given to foreign visa holders, potentially depressing wages and reducing employment opportunities for local talent.
- According to DOL, the goal is to safeguard “the rights, wages, and job opportunities of highly skilled American workers.”
- This move marks a significant shift — from passive complaint-based enforcement to a more proactive, audit-based model.
Broader Implications & Reactions
- For U.S. companies — especially in tech, engineering, and high-skill sectors — the crackdown could mean stricter hiring checks and reduced reliance on foreign labor.
- For H-1B visa holders and their dependents, the policy introduces heightened uncertainty. Some may face delays, fewer sponsorships, or even job instability if their employers are audited.
- In September 2025, a separate measure introduced a US$100,000 fee for new H-1B applications, further raising the barrier for companies looking to hire foreign workers.
Where It Stands Now
- Under Secretary of Labor Lori Chavez-DeRemer, DOL is leading enforcement personally — a new development in the agency’s history.
- Meanwhile, the administration says it remains open to foreign talent — but only when it’s truly necessary, and only if the hiring practices align with U.S. jobs-first objectives.
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