March 13, 2006

H-1B Quota for FY07 to open on April 1, 2006

In planning for hiring needs for 2006, we urge employers to review their current and prospective employees who may benefit from, or require an H-1B visa to continue their current employment. The new FY07 H-1B quota that allows for a start date of October 1, 2006 will become available for new filings made on or after April 1, 2006. As there has not yet been any concrete relief implemented by Congress, we urge our clients to carefully assess their staffing needs for this year.

The new H-1B quota available with a start date of October 1, 2006 will also have an allowance for prospective employees who has a master's degree or higher in the field (20,000 additional numbers) as well as the 65,000 for bachelor's degree holders, including the Singapore and Chilean H-1B numbers. Please remember that the following H-1Bs are exempt from the general cap allocation:

• Individuals who already hold H-1B status and are extending their existing status.
• Individuals who already hold H-1B status and are changing the terms of employment or employers.
• Individuals who will be hired for positions at an institution of higher education or a related or affiliated nonprofit entity, or at a nonprofit research organization or a governmental research organization.

We believe that the general pool of H-1Bs available to bachelor's degree holders will be used up quite quickly this year, perhaps as early as the Summer, therefore, we urge you to initiate all new H-1B filings as soon as possible. We continue to work with our clients and legislative leaders in Congress to achieve so relief for companies who have been negatively impacted by the lack of availability of foreign talent to augment their U.S. based workforce.