Over the past year, the USCIS has increased enforcement of the H-1B program through on-site inspections and new rules seeking increased paperwork from firms to justify their use of foreign workers.
But what really angered much of the staffing industry was the so-called Neufeld Memo, written by an associate director at USCIS, Donald Neufeld, that opponents contend upended the rules for H-1B workers assigned to third party work sites.
Technology industry companies use H-1B workers in a number of ways.
Some are hired by major companies like Microsoft or Google as staff employees. Large offshore firms, including Infosys and Tata Consultancy Services, hire H-1B workers to complete customer outsourcing projects and to work with overseas operations. And small and mid-size firms often hire H-1B workers to fill specific needs at third party customer sites for projects that may take less than a year -- similar to traditional temporary employment processes.
The Neufeld memo requires that management at staffing firms maintain day-to-day control of employees assigned to third-party sites. Critics contend that the ruling overlooks the right of staffing agencies to hire, fire and pay as well as supervise some elements of the work completed by the H-1B worker at a third party site.
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