US President Donald Trump extended a ban on green cards issued outside the United States. AFP
US President Donald Trump extended a ban on green cards issued outside the United States. AFP
US President Donald Trump extended a ban on green cards issued outside the United States. AFP
US President Donald Trump extended a ban on green cards issued outside the United States. AFP

Donald Trump extends visa ban on foreign workers


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The Trump administration on Monday extended a ban on green cards issued outside the US until the end of the year and added many temporary work visas to the freeze, including those used heavily by technology companies and multinational corporations.

The administration cast the effort as a way to free up jobs in an economy reeling from the coronavirus. A senior official predicted it will open up to 525,000 jobs for Americans, a claim that was immediately challenged by critics.

The ban, although temporary, represents a cut to legal immigration on a scale that had eluded the administration before the pandemic. Long-term changes that would prevent many asylum seekers from getting work permits and would allocate high-tech worker visas differently are also being sought.

Business groups pressed hard to limit the changes, but got little of what they wanted, marking a victory for immigration hardliners as Mr Trump seeks to further solidify their support ahead of the November election.

The ban on new visas, which takes effect on Wednesday, applies to H-1B visas, which are widely used by major American and Indian technology companies, H-2B visas for nonagricultural seasonal workers, J-1 visas for cultural exchanges and L-1 visas for managers and other key employees of multinational corporations.

There will be exemptions for food processing workers, which make up about 15 per cent of H-2B visas, the official said. Healthcare workers assisting with the coronavirus fight will continue to be spared from the green-card freeze, though their exemption will be narrower.

“In the administration of our Nation’s immigration system, we must remain mindful of the impact of foreign workers on the United States labor market, particularly in the current extraordinary environment of high domestic unemployment and depressed demand for labor,” Mr Trump wrote in his presidential proclamation.

The president imposed a 60-day ban on green cards issued abroad in April, which was set to expire on Monday. That announcement, which largely focused on family members, drew a surprisingly chilly reception from immigration hardliners, who said the president had not gone far enough.

The new steps to include non-immigrant visas went a long way to appeasing hardliners.

“This is a bold move by the Trump administration to protect American jobs,” said Mark Krikorian, executive director of the Centre for Immigration Studies, which advocates for restrictions. “Not all the items on our checklist of needed actions are included in today’s announcement, but the corporate lobbyists who were desperately fighting for exceptions to protect their clients’ access to cheap foreign labor have largely been rebuffed.”

Thomas J Donohue, the US Chamber of Commerce’s chief executive officer, said the measures will harm, not help, the American economy.

“Putting up a ‘not welcome’ sign for engineers, executives, IT experts, doctors, nurses and other workers won’t help our country; it will hold us back,” he said. “Restrictive changes to our nation’s immigration system will push investment and economic activity abroad, slow growth and reduce job creation.”

BSA, a group that represents major software companies, urged the administration to reconsider, particularly changes to the H-1B program, saying they will hinder economic recovery by making it harder to fill critical positions.

“Filling these roles that are more abundant than the number of US employees qualified to fill them means these jobs can be kept in the US,” the group said. “This allows companies based in the US to remain globally competitive, which in turn boosts the US economy, creating jobs for millions of Americans.”

The freezes on visas issued abroad are designed to take effect immediately. Other changes, including restrictions on work permits for asylum seekers, will go through a formal rule-making process that takes months.

The administration is proposing a new way of awarding H-1B visas, the official said, awarding them by highest salary instead of by lottery.

H-1B visas are capped at 85,000 a year for people with “highly specialised knowledge” and minimum of a bachelor’s degree, often in science, technology, engineering, teaching and accounting. Critics say high-tech companies have used the visas as a tool to outsource jobs to foreigners, replacing Americans.

Cognizant Technology Solutions Corp was the largest H-1B employer in the 2018 fiscal year, followed by Tata Consultancy Services Ltd, Infosys Ltd, Deloitte Consulting LLP and Microsoft Corp. Other major employers include Amazon.com Inc, Apple Inc, Google and Facebook Inc.

The rule against asylum seekers, scheduled to take effect on August 25, would make it much more difficult for them to get work permits by, among other things, lengthening the waiting time to apply from 150 days to a year and barring applicants who cross the border illegally.

The 328-page regulation — signed by Chad Mizelle, the Homeland Security Department’s acting general counsel, who is considered an ally of White House adviser Stephen Miller – says limiting work permits will remove a major incentive for people to come to the United States for asylum.

It is the latest in a long string of measures that make asylum more difficult to get – almost unattainable, according to some immigrant advocacy groups.

“The rule will prevent many refugees from feeding, supporting, and housing themselves and their families,” said Eleanor Acer, Human Rights First’s senior director for refugee protection. “Asylum seekers and their families already struggle to survive under existing work authorisation wait times. But this rule will make survival impossible for many.”

Perhaps the only major consolation for business and academic institutions is the preservation – at least for now – of the Optional Practical Training programme that allows college graduates to stay in the US up to three years after completing study.

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CONVICTED

Lionel Messi Found guilty in 2016 of of using companies in Belize, Britain, Switzerland and Uruguay to avoid paying €4.1m in taxes on income earned from image rights. Sentenced to 21 months in jail and fined more than €2m. But prison sentence has since been replaced by another fine of €252,000.

Javier Mascherano Accepted one-year suspended sentence in January 2016 for tax fraud after found guilty of failing to pay €1.5m in taxes for 2011 and 2012. Unlike Messi he avoided trial by admitting to tax evasion.

Angel di Maria Argentina and Paris Saint-Germain star Angel di Maria was fined and given a 16-month prison sentence for tax fraud during his time at Real Madrid. But he is unlikely to go to prison as is normal in Spain for first offences for non-violent crimes carrying sentence of less than two years.

 

SUSPECTED

Cristiano Ronaldo Real Madrid's star striker, accused of evading €14.7m in taxes, appears in court on Monday. Portuguese star faces four charges of fraud through offshore companies.

Jose Mourinho Manchester United manager accused of evading €3.3m in tax in 2011 and 2012, during time in charge at Real Madrid. But Gestifute, which represents him, says he has already settled matter with Spanish tax authorities.

Samuel Eto'o In November 2016, Spanish prosecutors sought jail sentence of 10 years and fines totalling €18m for Cameroonian, accused of failing to pay €3.9m in taxes during time at Barcelona from 2004 to 2009.

Radamel Falcao Colombian striker Falcao suspected of failing to correctly declare €7.4m of income earned from image rights between 2012 and 2013 while at Atletico Madrid. He has since paid €8.2m to Spanish tax authorities, a sum that includes interest on the original amount.

Jorge Mendes Portuguese super-agent put under official investigation last month by Spanish court investigating alleged tax evasion by Falcao, a client of his. He defended himself, telling closed-door hearing he "never" advised players in tax matters.