II 

110TH CONGRESS 

1ST SESSION S. 1035 

To amend the Immigration and Nationality Act to reduce fraud and abuse 

in certain visa programs for aliens working temporarily in the United States. 

IN THE SENATE OF THE UNITED STATES 

MARCH 29, 2007 

Mr. DURBIN (for himself and Mr. GRASSLEY) introduced the following bill; 

which was read twice and referred to the Committee on the Judiciary 

A BILL 

To amend the Immigration and Nationality Act to reduce 

fraud and abuse in certain visa programs for aliens working temporarily in the United States. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

4 (a) SHORT TITLE.—This Act may be cited as the 

5 ‘‘H–1B and L–1 Visa Fraud and Abuse Prevention Act 

6 of 2007’’. 

7 (b) TABLE OF CONTENTS.—The table of contents for 

8 this Act is as follows: 

Sec. 1. Short title; table of contents. 

Sec. 2. H–1B employer requirements. 

Sec. 3. H–1B government authority and requirements. 


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Sec. 4. L–1 visa fraud and abuse protections. 

Sec. 5. Whistleblower protections. 

Sec. 6. Additional Department of Labor employees. 

1 SEC. 2. H–1B EMPLOYER REQUIREMENTS. 

2 (a) APPLICATION OF NONDISPLACEMENT AND GOOD

3 FAITH RECRUITMENT REQUIREMENTS TO ALL H–1B 

4 EMPLOYERS.— 

5 (1) AMENDMENTS.—Section 212(n) of the Im6 migration and Nationality Act (8 U.S.C. 1182(n)) is 

7 amended— 

8 (A) in paragraph (1)— 

9 (i) in subparagraph (E); 

10 (I) in clause (i), by striking 

11 ‘‘(E)(i) In the case of an application 

12 described in clause (ii), the’’ and in13 serting ‘‘(E) The’’; and 

14 (II) by striking clause (ii); 

15 (ii) in subparagraph (F), by striking 

16 ‘‘In the case of’’ and all that follows 

17 through ‘‘where—’’ and inserting the fol18 lowing: ‘‘The employer will not place the 

19 nonimmigrant with another employer if— 

20 ’’; and 

21 (iii) in subparagraph (G), by striking 

22 ‘‘In the case of an application described in 

23 subparagraph (E)(ii), subject’’ and insert24 ing ‘‘Subject’’; 


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1 (B) in paragraph (2)— 

2 (i) in subparagraph (E), by striking 

3 ‘‘If an H–1B-dependent employer’’ and in4 serting ‘‘If an employer that employs H– 

5 1B nonimmigrants’’; and 

6 (ii) in subparagraph (F), by striking 

7 ‘‘The preceding sentence shall apply to an 

8 employer regardless of whether or not the 

9 employer is an H–1B-dependent em10 ployer.’’; and 

11 (C) by striking paragraph (3). 

12 (2) EFFECTIVE DATE.—The amendments made 

13 by paragraph (1) shall apply to applications filed on 

14 or after the date of the enactment of this Act. 

15 (b) NONDISPLACEMENT REQUIREMENT.— 

16 (1) EXTENDING TIME PERIOD FOR NON17 DISPLACEMENT.—Section 212(n) of such Act, as 

18 amended by subsection (a), is further amended— 

19 (A) in paragraph (1)— 

20 (i) in subparagraph (E), by striking 

21 ‘‘90 days’’ each place it appears and in22 serting ‘‘180 days’’; 

23 (ii) in subparagraph (F)(ii), by strik24 ing ‘‘90 days’’ each place it appears and 

25 inserting ‘‘180 days’’; and 


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1 (B) in paragraph (2)(C)(iii), by striking 

2 ‘‘90 days’’ each place it appears and inserting 

3 ‘‘180 days’’. 

4 (2) EFFECTIVE DATE.—The amendments made 

5 by paragraph (1)— 

6 (A) shall apply to applications filed on or 

7 after the date of the enactment of this Act; and 

8 (B) shall not apply to displacements for 

9 periods occurring more than 90 days before 

10 such date. 

11 (c) PUBLIC LISTING OF AVAILABLE POSITIONS.— 

12 (1) LISTING OF AVAILABLE POSITIONS.—Sec13 tion 212(n)(1)(C) of such Act is amended— 

14 (A) in clause (i), by striking ‘‘(i) has pro15 vided’’ and inserting the following: 

16 ‘‘(ii)(I) has provided’’; 

17 (B) by redesignating clause (ii) as sub18 clause (II); and 

19 (C) by inserting before clause (ii), as re20 designated, the following: 

21 ‘‘(i) has advertised the job availability on 

22 the list described in paragraph (6), for at least 

23 30 calendar days; and’’. 

24 (2) LIST MAINTAINED BY THE DEPARTMENT OF

25 LABOR.—Section 212(n) of such Act, as amended by 


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1 this section, is further amended by adding at the 

2 end the following: 

3 ‘‘(6)(A) Not later than 90 days after the date of the 

4 enactment of this paragraph, the Secretary of Labor shall 

5 establish a list of available jobs, which shall be publicly 

6 accessible without charge— 

7 ‘‘(i) on a website maintained by the Department 

8 of Labor, which website shall be searchable by— 

9 ‘‘(I) the name, city, State, and zip code of 

10 the employer; 

11 ‘‘(II) the date on which the job is expected 

12 to begin; 

13 ‘‘(III) the title and description of the job; 

14 and 

15 ‘‘(IV) the State and city (or county) at 

16 which the work will be performed; and 

17 ‘‘(ii) at each 1-stop center created under the 

18 Workforce Investment Act of 1998 (Public Law 

19 105–220). 

20 ‘‘(B) Each available job advertised on the list shall 

21 include— 

22 ‘‘(i) the employer’s full legal name; 

23 ‘‘(ii) the address of the employer’s principal 

24 place of business; 

25 ‘‘(iii) the employer’s city, State and zip code; 


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1 ‘‘(iv) the employer’s Federal Employer Identi2 fication Number; 

3 ‘‘(v) the phone number, including area code and 

4 extension, as appropriate, of the hiring official or 

5 other designated official of the employer; 

6 ‘‘(vi) the e-mail address, if available, of the hir7 ing official or other designated official of the em8 ployer; 

9 ‘‘(vii) the wage rate to be paid for the position 

10 and, if the wage rate in the offer is expressed as a 

11 range, the bottom of the wage range; 

12 ‘‘(viii) whether the rate of pay is expressed on 

13 an annual, monthly, biweekly, weekly, or hourly 

14 basis; 

15 ‘‘(ix) a statement of the expected hours per 

16 week that the job will require; 

17 ‘‘(x) the date on which the job is expected to 

18 begin; 

19 ‘‘(xi) the date on which the job is expected to 

20 end, if applicable; 

21 ‘‘(xii) the number of persons expected to be em22 ployed for the job; 

23 ‘‘(xiii) the job title; 

24 ‘‘(xiv) the job description; 


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1 ‘‘(xv) the city and State of the physical location 

2 at which the work will be performed; and 

3 ‘‘(xvi) a description of a process by which a 

4 United States worker may submit an application to 

5 be considered for the job. 

6 ‘‘(C) The Secretary of Labor may charge a nominal 

7 filing fee to employers who advertise available jobs on the 

8 list established under this paragraph to cover expenses for 

9 establishing and administering the requirements under 

10 this paragraph. 

11 ‘‘(D) The Secretary may promulgate rules, after no12 tice and a period for comment— 

13 ‘‘(i) to carry out the requirements of this para14 graph; and 

15 ‘‘(ii) that require employers to provide other in16 formation in order to advertise available jobs on the 

17 list.’’. 

18 (3) EFFECTIVE DATE.—Paragraph (1) shall 

19 take effect for applications filed at least 30 days 

20 after the creation of the list described in paragraph 

21 (2). 

22 (d) H–1B NONIMMIGRANTS NOT ADMITTED FOR

23 JOBS ADVERTISED OR OFFERED ONLY TO H–1B NON24 IMMIGRANTS.—Section 212(n)(1) of such Act, as amended 

25 by this section, is further amended— 


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1 (1) by inserting after subparagraph (G) the fol2 lowing: 

3 ‘‘(H)(i) The employer has not advertised the 

4 available jobs specified in the application in an ad5 vertisement that states or indicates that— 

6 ‘‘(I) the job or jobs are only available to 

7 persons who are or who may become H–1B 

8 nonimmigrants; or 

9 ‘‘(II) persons who are or who may become 

10 H–1B nonimmigrants shall receive priority or a 

11 preference in the hiring process. 

12 ‘‘(ii) The employer has not only recruited per13 sons who are, or who may become, H–1B non14 immigrants to fill the job or jobs.’’; and 

15 (2) in the undesignated paragraph at the end, 

16 by striking ‘‘The employer’’ and inserting the fol17 lowing: 

18 ‘‘(K) The employer’’. 

19 (e) PROHIBITION OF OUTPLACEMENT.— 

20 (1) IN GENERAL.—Section 212(n) of such Act, 

21 as amended by this section, is further amended— 

22 (A) in paragraph (1), by amending sub23 paragraph (F) to read as follows: 

24 ‘‘(F) The employer shall not place, outsource, 

25 lease, or otherwise contract for the placement of an 


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1 alien admitted or provided status as an H–1B non2 immigrant with another employer;’’ and 

3 (B) in paragraph (2), by striking subpara4 graph (E). 

5 (2) EFFECTIVE DATE.—The amendments made 

6 by paragraph (1) shall apply to applications filed on 

7 or after the date of the enactment of this Act. 

8 (f) LIMIT ON PERCENTAGE OF H–1B EMPLOYEES.— 

9 Section 212(n)(1) of such Act, as amended by this section, 

10 is further amended by inserting after subparagraph (H), 

11 as added by subsection (d)(1), the following: 

12 ‘‘(I) If the employer employs not less than 50 

13 employees in the United States, not more than 50 

14 percent of such employees are H–1B non15 immigrants.’’. 

16 (g) WAGE DETERMINATION.— 

17 (1) CHANGE IN MINIMUM WAGES.—Section 

18 212(n)(1) of such Act, as amended by this section, 

19 is further amended— 

20 (A) by amending subparagraph (A) to read 

21 as follows: 

22 ‘‘(A) The employer— 

23 ‘‘(i) is offering and will offer, during the 

24 period of authorized employment, to aliens ad25 mitted or provided status as an H–1B nonVerDate Aug 31 2005 23:50 Apr 09, 2007 Jkt 059200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\S1035.IS S1035

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1 immigrant, wages, based on the best informa2 tion available at the time the application is 

3 filed, which are not less than the highest of— 

4 ‘‘(I) the locally determined prevailing 

5 wage level for the occupational classifica6 tion in the area of employment; 

7 ‘‘(II) the median average wage for all 

8 workers in the occupational classification 

9 in the area of employment; or 

10 ‘‘(III) the median wage for skill level 

11 2 in the occupational classification found 

12 in the most recent Occupational Employ13 ment Statistics survey; and 

14 ‘‘(ii) will provide working conditions for 

15 such a nonimmigrant that will not adversely af16 fect the working conditions of workers similarly 

17 employed.’’; and 

18 (B) in subparagraph (D), by inserting ‘‘the 

19 wage determination methodology used under 

20 subparagraph (A)(i),’’ after ‘‘shall contain’’. 

21 (2) PROVISION OF W–2 FORMS.—Section 

22 212(n)(1) of such Act is amended by inserting after 

23 subparagraph (I), as added by subsection (f), the 

24 following: 


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1 ‘‘(J) If the employer, in such previous period as 

2 the Secretary shall specify, employed 1 or more H– 

3 1B nonimmigrants, the employer shall submit to the 

4 Secretary the Internal Revenue Service Form W–2 

5 Wage and Tax Statement filed by the employer with 

6 respect to such nonimmigrants for such period.’’. 

7 (3) EFFECTIVE DATE.—The amendments made 

8 by this subsection shall apply to applications filed on 

9 or after the date of the enactment of this Act. 

10 (h) IMMIGRATION DOCUMENTS.—Section 204 of such 

11 Act (8 U.S.C. 1154) is amended by adding at the end the 

12 following: 

13 ‘‘(l) EMPLOYER TO SHARE ALL IMMIGRATION PA14 PERWORK EXCHANGED WITH FEDERAL AGENCIES.—Not 

15 later than 10 working days after receiving a written re16 quest from a former, current, or future employee or bene17 ficiary, an employer shall provide the employee or bene18 ficiary with the original (or a certified copy of the original) 

19 of all petitions, notices, and other written communication 

20 exchanged between the employer and the Department of 

21 Labor, the Department of Homeland Security, or any 

22 other Federal agency that is related to an immigrant or 

23 nonimmigrant petition filed by the employer for the em24 ployee or beneficiary.’’. 


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1 SEC. 3. H–1B GOVERNMENT AUTHORITY AND REQUIRE2 MENTS. 

3 (a) SAFEGUARDS AGAINST FRAUD AND MISREPRE4 SENTATION IN APPLICATION REVIEW PROCESS.—Section 

5 212(n)(1)(K) of the Immigration and Nationality Act, as 

6 redesignated by section 2(d)(2), is amended— 

7 (1) by inserting ‘‘and through the Department 

8 of Labor’s website, without charge.’’ after ‘‘D.C.’’; 

9 (2) by inserting ‘‘, clear indicators of fraud, 

10 misrepresentation of material fact,’’ after ‘‘complete11 ness’’; 

12 (3) by striking ‘‘or obviously inaccurate’’ and 

13 inserting ‘‘, presents clear indicators of fraud or 

14 misrepresentation of material fact, or is obviously in15 accurate’’; 

16 (4) by striking ‘‘within 7 days of’’ and inserting 

17 ‘‘not later than 14 days after’’; and 

18 (5) by adding at the end the following: ‘‘If the 

19 Secretary’s review of an application identifies clear 

20 indicators of fraud or misrepresentation of material 

21 fact, the Secretary may conduct an investigation and 

22 hearing under paragraph (2). 

23 (b) INVESTIGATIONS BY DEPARTMENT OF LABOR.— 

24 Section 212(n)(2) of such Act is amended— 

25 (1) in subparagraph (A)— 


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1 (A) by striking ‘‘12 months’’ and inserting 

2 ‘‘24 months’’; and 

3 (B) by striking ‘‘The Secretary shall con4 duct’’ and all that follows and inserting ‘‘Upon 

5 the receipt of such a complaint, the Secretary 

6 may initiate an investigation to determine if 

7 such a failure or misrepresentation has oc8 curred.’’; 

9 (2) in subparagraph (C)(i)— 

10 (A) by striking ‘‘a condition of paragraph 

11 (1)(B), (1)(E), or (1)(F)’’ and inserting ‘‘a con12 dition under subparagraph (B), (C)(i), (E), (F), 

13 (H), (I), or (J) of paragraph (1)’’; and 

14 (B) by striking ‘‘(1)(C)’’ and inserting 

15 ‘‘(1)(C)(ii)’’; 

16 (3) in subparagraph (G)— 

17 (A) in clause (i), by striking ‘‘if the Sec18 retary’’ and all that follows and inserting ‘‘with 

19 regard to the employer’s compliance with the 

20 requirements of this subsection.’’; 

21 (B) in clause (ii), by striking ‘‘and whose 

22 identity’’ and all that follows through ‘‘failure 

23 or failures.’’ and inserting ‘‘the Secretary of 

24 Labor may conduct an investigation into the 


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1 employer’s compliance with the requirements of 

2 this subsection.’’; 

3 (C) in clause (iii), by striking the last sen4 tence; 

5 (D) by striking clauses (iv) and (v); 

6 (E) by redesignating clauses (vi), (vii), and 

7 (viii) as clauses (iv), (v), and (vi), respectively; 

8 (F) in clause (iv), as redesignated, by 

9 striking ‘‘meet a condition described in clause 

10 (ii), unless the Secretary of Labor receives the 

11 information not later than 12 months’’ and in12 serting ‘‘comply with the requirements under 

13 this subsection, unless the Secretary of Labor 

14 receives the information not later than 24 

15 months’’; 

16 (G) by amending clause (v), as redesig17 nated, to read as follows: 

18 ‘‘(v) The Secretary of Labor shall provide notice to 

19 an employer of the intent to conduct an investigation. The 

20 notice shall be provided in such a manner, and shall con21 tain sufficient detail, to permit the employer to respond 

22 to the allegations before an investigation is commenced. 

23 The Secretary is not required to comply with this clause 

24 if the Secretary determines that such compliance would 

25 interfere with an effort by the Secretary to investigate or 


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1 secure compliance by the employer with the requirements 

2 of this subsection. A determination by the Secretary under 

3 this clause shall not be subject to judicial review.’’. 

4 (H) in clause (vi), as redesignated, by 

5 striking ‘‘An investigation’’ and all that follows 

6 through ‘‘the determination.’’ and inserting ‘‘If 

7 the Secretary of Labor, after an investigation 

8 under clause (i) or (ii), determines that a rea9 sonable basis exists to make a finding that the 

10 employer has failed to comply with the require11 ments under this subsection, the Secretary shall 

12 provide interested parties with notice of such 

13 determination and an opportunity for a hearing 

14 in accordance with section 556 of title 5, 

15 United States Code, not later than 120 days 

16 after the date of such determination.’’; and 

17 (I) by adding at the end the following: 

18 ‘‘(vii) If the Secretary of Labor, after a hearing, finds 

19 a reasonable basis to believe that the employer has violated 

20 the requirements under this subsection, the Secretary may 

21 impose a penalty under subparagraph (C).’’; and 

22 (4) by striking subparagraph (H). 

23 (c) INFORMATION SHARING BETWEEN DEPARTMENT

24 OF LABOR AND DEPARTMENT OF HOMELAND SECU25 RITY.—Section 212(n)(2) of such Act, as amended by this 


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1 section, is further amended by inserting after subpara2 graph (G) the following: 

3 ‘‘(H) The Director of United States Citizenship 

4 and Immigration Services shall provide the Secretary 

5 of Labor with any information contained in the ma6 terials submitted by H–1B employers as part of the 

7 adjudication process that indicates that the employer 

8 is not complying with H–1B visa program require9 ments. The Secretary may initiate and conduct an 

10 investigation and hearing under this paragraph after 

11 receiving information of noncompliance under this 

12 subparagraph.’’. 

13 (d) AUDITS.—Section 212(n)(2)(A) of such Act, as 

14 amended by this section, is further amended by adding 

15 at the end the following: ‘‘The Secretary may conduct sur16 veys of the degree to which employers comply with the re17 quirements under this subsection and may conduct annual 

18 compliance audits of employers that employ H–1B non19 immigrants. The Secretary shall conduct annual compli20 ance audits of not less than 1 percent of the employers 

21 that employ H–1B nonimmigrants during the applicable 

22 calendar year. The Secretary shall conduct annual compli23 ance audits of each employer with more than 100 employ24 ees who work in the United States if more than 15 percent 

25 of such employees are H–1B nonimmigrants.’’. 


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1 (e) PENALTIES.—Section 212(n)(2)(C) of such Act, 

2 as amended by this section, is further amended— 

3 (1) in clause (i)(I), by striking ‘‘$1,000’’ and 

4 inserting ‘‘$2,000’’; 

5 (2) in clause (ii)(I), by striking ‘‘$5,000’’ and 

6 inserting ‘‘$10,000’’; and 

7 (3) in clause (vi)(III), by striking ‘‘$1,000’’ and 

8 inserting ‘‘$2,000’’. 

9 (f) INFORMATION PROVIDED TO H–1B NON10 IMMIGRANTS UPON VISA ISSUANCE.—Section 212(n) of 

11 such Act, as amended by this section, is further amended 

12 by inserting after paragraph (2) the following: 

13 ‘‘(3)(A) Upon issuing an H–1B visa to an applicant 

14 outside the United States, the issuing office shall provide 

15 the applicant with— 

16 ‘‘(i) a brochure outlining the employer’s obliga17 tions and the employee’s rights under Federal law, 

18 including labor and wage protections; 

19 ‘‘(ii) the contact information for Federal agen20 cies that can offer more information or assistance in 

21 clarifying employer obligations and workers’ rights; 

22 and 

23 ‘‘(iii) a copy of the employer’s H–1B applica24 tion for the position that the H–1B nonimmigrant 

25 has been issued the visa to fill. 


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1 ‘‘(B) Upon the issuance of an H–1B visa to an alien 

2 inside the United States, the officer of the Department 

3 of Homeland Security shall provide the applicant with— 

4 ‘‘(i) a brochure outlining the employer’s obliga5 tions and the employee’s rights under Federal law, 

6 including labor and wage protections; 

7 ‘‘(ii) the contact information for Federal agen8 cies that can offer more information or assistance in 

9 clarifying employer’s obligations and workers’ rights; 

10 and 

11 ‘‘(iii) a copy of the employer’s H–1B applica12 tion for the position that the H–1B nonimmigrant 

13 has been issued the visa to fill.’’. 

14 SEC. 4. L–1 VISA FRAUD AND ABUSE PROTECTIONS. 

15 (a) IN GENERAL.—Section 214(c)(2) of the Immigra16 tion and Nationality Act (8 U.S.C. 1184(c)(2)) is amend17 ed— 

18 (1) by striking ‘‘Attorney General’’ each place 

19 it appears and inserting ‘‘Secretary of Homeland Se20 curity’’; 

21 (2) in subparagraph (E), by striking ‘‘In the 

22 case of an alien spouse admitted under section 

23 101(a)(15)(L), who’’ and inserting ‘‘Except as pro24 vided in subparagraph (H), if an alien spouse admit25 ted under section 101(a)(15)(L)’’; and 


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1 (3) by adding at the end the following: 

2 ‘‘(G)(i) If the beneficiary of a petition under this sub3 section is coming to the United States to open, or be em4 ployed in, a new facility, the petition may be approved for 

5 up to 12 months only if the employer operating the new 

6 facility has— 

7 ‘‘(I) a business plan; 

8 ‘‘(II) sufficient physical premises to carry out 

9 the proposed business activities; and 

10 ‘‘(III) the financial ability to commence doing 

11 business immediately upon the approval of the peti12 tion. 

13 ‘‘(ii) An extension of the approval period under clause 

14 (i) may not be granted until the importing employer sub15 mits an application to the Secretary of Homeland Security 

16 that contains— 

17 ‘‘(I) evidence that the importing employer 

18 meets the requirements of this subsection; 

19 ‘‘(II) evidence that the beneficiary meets the re20 quirements under section 101(a)(15)(L); 

21 ‘‘(III) a statement summarizing the original pe22 tition; 

23 ‘‘(IV) evidence that the importing employer has 

24 fully complied with the business plan submitted 

25 under clause (i)(I); 


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1 ‘‘(V) evidence of the truthfulness of any rep2 resentations made in connection with the filing of 

3 the original petition; 

4 ‘‘(VI) evidence that the importing employer, 

5 during the preceding 12 months, has been doing 

6 business at the new facility through regular, system7 atic, and continuous provision of goods or services, 

8 or has otherwise been taking commercially reason9 able steps to establish the new facility as a commer10 cial enterprise; 

11 ‘‘(VII) a statement of the duties the beneficiary 

12 has performed at the new facility during the pre13 ceding 12 months and the duties the beneficiary will 

14 perform at the new facility during the extension pe15 riod approved under this clause; 

16 ‘‘(VIII) a statement describing the staffing at 

17 the new facility, including the number of employees 

18 and the types of positions held by such employees; 

19 ‘‘(IX) evidence of wages paid to employees; 

20 ‘‘(X) evidence of the financial status of the new 

21 facility; and 

22 ‘‘(XI) any other evidence or data prescribed by 

23 the Secretary. 

24 ‘‘(iii) Notwithstanding subclauses (I) through (VI) of 

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1 ized admission set forth in subparagraph (D), the Sec2 retary of Homeland Security may approve a petition sub3 sequently filed on behalf of the beneficiary to continue em4 ployment at the facility described in this subsection for 

5 a period beyond the initially granted 12-month period if 

6 the importing employer demonstrates that the failure to 

7 satisfy any of the requirements described in those sub8 clauses was directly caused by extraordinary cir9 cumstances beyond the control of the importing employer. 

10 ‘‘(iv) For purposes of determining the eligibility of 

11 an alien for classification under section 101(a)(15)(L), the 

12 Secretary of Homeland Security shall work cooperatively 

13 with the Secretary of State to verify a company or facili14 ty’s existence in the United States and abroad.’’. 

15 (b) RESTRICTION ON BLANKET PETITIONS.—Section 

16 214(c)(2)(A) of such Act is amended to read as follows: 

17 ‘‘(2)(A) The Secretary of Homeland Security may not 

18 permit the use of blanket petitions to import aliens as non19 immigrants under section 101(a)(15)(L).’’. 

20 (c) PROHIBITION ON OUTPLACEMENT.—Section 

21 214(c)(2) of such Act, as amended by this section, is fur22 ther amended by adding at the end the following: 

23 ‘‘(H) An employer who imports 1 or more aliens as 

24 nonimmigrants described in section 101(a)(15)(L) shall 

25 not place, outsource, lease, or otherwise contract for the 


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1 placement of an alien admitted or provided status as an 

2 L–1 nonimmigrant with another employer.’’. 

3 (d) INVESTIGATIONS AND AUDITS BY DEPARTMENT

4 OF HOMELAND SECURITY.— 

5 (1) DEPARTMENT OF HOMELAND SECURITY IN6 VESTIGATIONS.—Section 214(c)(2) of such Act, as 

7 amended by this section, is further amended by add8 ing at the end the following: 

9 ‘‘(I)(i) The Secretary of Homeland Security may ini10 tiate an investigation of any employer that employs non11 immigrants described in section 101(a)(15)(L) with re12 gard to the employer’s compliance with the requirements 

13 of this subsection. 

14 ‘‘(ii) If the Secretary of Homeland Security receives 

15 specific credible information from a source who is likely 

16 to have knowledge of an employer’s practices, employment 

17 conditions, or compliance with the requirements under this 

18 subsection, the Secretary may conduct an investigation 

19 into the employer’s compliance with the requirements of 

20 this subsection. The Secretary may withhold the identity 

21 of the source from the employer, and the source’s identity 

22 shall not be subject to disclosure under section 552 of title 

23 5. 

24 ‘‘(iii) The Secretary of Homeland Security shall es25 tablish a procedure for any person desiring to provide to 


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1 the Secretary of Homeland Security information described 

2 in clause (ii) that may be used, in whole or in part, as 

3 the basis for the commencement of an investigation de4 scribed in such clause, to provide the information in writ5 ing on a form developed and provided by the Secretary 

6 of Homeland Security and completed by or on behalf of 

7 the person. 

8 ‘‘(iv) No investigation described in clause (ii) (or 

9 hearing described in clause (vi) based on such investiga10 tion) may be conducted with respect to information about 

11 a failure to comply with the requirements under this sub12 section, unless the Secretary of Homeland Security re13 ceives the information not later than 24 months after the 

14 date of the alleged failure. 

15 ‘‘(v) Before commencing an investigation of an em16 ployer under clause (i) or (ii), the Secretary of Homeland 

17 Security shall provide notice to the employer of the intent 

18 to conduct such investigation. The notice shall be provided 

19 in such a manner, and shall contain sufficient detail, to 

20 permit the employer to respond to the allegations before 

21 an investigation is commenced. The Secretary is not re22 quired to comply with this clause if the Secretary deter23 mines that to do so would interfere with an effort by the 

24 Secretary to investigate or secure compliance by the em25 ployer with the requirements of this subsection. There 


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1 shall be no judicial review of a determination by the Sec2 retary under this clause. 

3 ‘‘(vi) If the Secretary of Homeland Security, after an 

4 investigation under clause (i) or (ii), determines that a 

5 reasonable basis exists to make a finding that the em6 ployer has failed to comply with the requirements under 

7 this subsection, the Secretary shall provide interested par8 ties with notice of such determination and an opportunity 

9 for a hearing in accordance with section 556 of title 5, 

10 United States Code, not later than 120 days after the date 

11 of such determination. If such a hearing is requested, the 

12 Secretary shall make a finding concerning the matter by 

13 not later than 120 days after the date of the hearing. 

14 ‘‘(vii) If the Secretary of Homeland Security, after 

15 a hearing, finds a reasonable basis to believe that the em16 ployer has violated the requirements under this subsection, 

17 the Secretary may impose a penalty under section 

18 214(c)(2)(J).’’. 

19 (2) AUDITS.—Section 214(c)(2)(I) of such Act, 

20 as added by paragraph (1), is amended by adding at 

21 the end the following: 

22 ‘‘(viii) The Secretary of Homeland Security may con23 duct surveys of the degree to which employers comply with 

24 the requirements under this section and may conduct an25 nual compliance audits of employers that employ H–1B 


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1 nonimmigrants. The Secretary shall conduct annual com2 pliance audits of not less than 1 percent of the employers 

3 that employ nonimmigrants described in section 

4 101(a)(15)(L) during the applicable calendar year. The 

5 Secretary shall conduct annual compliance audits of each 

6 employer with more than 100 employees who work in the 

7 United States if more than 15 percent of such employees 

8 are nonimmigrants described in section 101(a)(15)(L).’’. 

9 (3) REPORTING REQUIREMENT.—Section 

10 214(c)(8) of such Act is amended by inserting 

11 ‘‘(L),’’ after ‘‘(H),’’. 

12 (e) PENALTIES.—Section 214(c)(2) of such Act, as 

13 amended by this section, is further amended by adding 

14 at the end the following: 

15 ‘‘(J)(i) If the Secretary of Homeland Secu16 rity finds, after notice and an opportunity for 

17 a hearing, a failure by an employer to meet a 

18 condition under subparagraph (F), (G), (H), 

19 (I), or (K) or a misrepresentation of material 

20 fact in a petition to employ 1 or more aliens as 

21 nonimmigrants described in section 

22 101(a)(15)(L)— 

23 ‘‘(I) the Secretary of Homeland Secu24 rity may impose such other administrative 

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1 alties in an amount not to exceed $2,000 

2 per violation) as the Secretary determines 

3 to be appropriate; and 

4 ‘‘(II) the Secretary of Homeland Se5 curity may not, during a period of at least 

6 1 year, approve a petition for that em7 ployer to employ 1 or more aliens as such 

8 nonimmigrants. 

9 ‘‘(ii) If the Secretary of Homeland Secu10 rity finds, after notice and an opportunity for 

11 a hearing, a willful failure by an employer to 

12 meet a condition under subparagraph (F), (G), 

13 (H), (I), or (K) or a misrepresentation of mate14 rial fact in a petition to employ 1 or more 

15 aliens as nonimmigrants described in section 

16 101(a)(15)(L)— 

17 ‘‘(I) the Secretary of Homeland Secu18 rity may impose such other administrative 

19 remedies (including civil monetary pen20 alties in an amount not to exceed $10,000 

21 per violation) as the Secretary determines 

22 to be appropriate; and 

23 ‘‘(II) the Secretary of Homeland Se24 curity may not, during a period of at least 

25 2 years, approve a petition filed for that 


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1 employer to employ 1 or more aliens as 

2 such nonimmigrants. 

3 ‘‘(iii) If the Secretary of Homeland Secu4 rity finds, after notice and an opportunity for 

5 a hearing, a willful failure by an employer to 

6 meet a condition under subparagraph (L)(i)— 

7 ‘‘(I) the Secretary of Homeland Secu8 rity may impose such other administrative 

9 remedies (including civil monetary pen10 alties in an amount not to exceed $10,000 

11 per violation) as the Secretary determines 

12 to be appropriate; and 

13 ‘‘(II) the employer shall be liable to 

14 employees harmed for lost wages and bene15 fits.’’. 

16 (f) WAGE DETERMINATION.— 

17 (1) CHANGE IN MINIMUM WAGES.—Section 

18 214(c)(2) of such Act, as amended by this section, 

19 is further amended by adding at the end the fol20 lowing: 

21 ‘‘(K)(i) An employer that employs a non22 immigrant described in section 101(a)(15)(L) 

23 shall— 

24 ‘‘(I) offer such nonimmigrant, during 

25 the period of authorized employment, 


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1 wages, based on the best information avail2 able at the time the application is filed, 

3 which are not less than the highest of— 

4 ‘‘(aa) the locally determined pre5 vailing wage level for the occupational 

6 classification in the area of employ7 ment; 

8 ‘‘(bb) the median average wage 

9 for all workers in the occupational 

10 classification in the area of employ11 ment; or 

12 ‘‘(cc) the median wage for skill 

13 level 2 in the occupational classifica14 tion found in the most recent Occupa15 tional Employment Statistics survey; 

16 and 

17 ‘‘(II) provide working conditions for 

18 such nonimmigrant that will not adversely 

19 affect the working conditions of workers 

20 similarly employed. 

21 ‘‘(ii) If an employer, in such previous pe22 riod specified by the Secretary of Homeland Se23 curity, employed 1 or more L–1 nonimmigrants, 

24 the employer shall provide to the Secretary of 

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1 ice Form W–2 Wage and Tax Statement filed 

2 by the employer with respect to such non3 immigrants for such period. 

4 ‘‘(iii) It is a failure to meet a condition 

5 under this subparagraph for an employer, who 

6 has filed a petition to import 1 or more aliens 

7 as nonimmigrants described in section 

8 101(a)(15)(L), to— 

9 ‘‘(I) require such a nonimmigrant to 

10 pay a penalty for ceasing employment with 

11 the employer before a date mutually agreed 

12 to by the nonimmigrant and the employer; 

13 or 

14 ‘‘(II) fail to offer to such a non15 immigrant, during the nonimmigrant’s pe16 riod of authorized employment, on the 

17 same basis, and in accordance with the 

18 same criteria, as the employer offers to 

19 United States workers, benefits and eligi20 bility for benefits, including— 

21 ‘‘(aa) the opportunity to partici22 pate in health, life, disability, and 

23 other insurance plans; 


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1 ‘‘(bb) the opportunity to partici2 pate in retirement and savings plans; 

3 and 

4 ‘‘(cc) cash bonuses and noncash 

5 compensation, such as stock options 

6 (whether or not based on perform7 ance). 

8 ‘‘(iv) The Secretary of Homeland Security 

9 shall determine whether a required payment 

10 under clause (iii)(I) is a penalty (and not liq11 uidated damages) pursuant to relevant State 

12 law.’’. 

13 (2) EFFECTIVE DATE.—The amendments made 

14 by this subsection shall apply to applications filed on 

15 or after the date of the enactment of this Act. 

16 SEC. 5. WHISTLEBLOWER PROTECTIONS. 

17 (a) H–1B WHISTLEBLOWER PROTECTIONS.—Section 

18 212(n)(2)(C)(iv) of the Immigration and Nationality Act 

19 (8 U.S.C. 1182(n)(2)(C)(iv)) is amended— 

20 (1) by inserting ‘‘take, fail to take, or threaten 

21 to take or fail to take, a personnel action, or’’ before 

22 ‘‘to intimidate’’; and 

23 (2) by adding at the end the following: ‘‘An em24 ployer that violates this clause shall be liable to the 


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1 employees harmed by such violation for lost wages 

2 and benefits.’’. 

3 (b) L–1 WHISTLEBLOWER PROTECTIONS.—Section 

4 214(c)(2) of such Act, as amended by section 4, is further 

5 amended by adding at the end the following: 

6 ‘‘(L)(i) It is a violation of this subparagraph for an 

7 employer who has filed a petition to import 1 or more 

8 aliens as nonimmigrants described in section 

9 101(a)(15)(L) to take, fail to take, or threaten to take 

10 or fail to take, a personnel action, or to intimidate, threat11 en, restrain, coerce, blacklist, discharge, or discriminate 

12 in any other manner against an employee because the em13 ployee— 

14 ‘‘(I) has disclosed information that the em15 ployee reasonably believes evidences a violation of 

16 this subsection, or any rule or regulation pertaining 

17 to this subsection; or 

18 ‘‘(II) cooperates or seeks to cooperate with the 

19 requirements of this subsection, or any rule or regu20 lation pertaining to this subsection. 

21 ‘‘(ii) An employer that violates this subparagraph 

22 shall be liable to the employees harmed by such violation 

23 for lost wages and benefits. 

24 ‘‘(iii) In this subparagraph, the term ‘employee’ in25 cludes— 


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1 ‘‘(I) a current employee; 

2 ‘‘(II) a former employee; and 

3 ‘‘(III) an applicant for employment.’’. 

4 SEC. 6. ADDITIONAL DEPARTMENT OF LABOR EMPLOYEES. 

5 (a) IN GENERAL.—The Secretary of Labor is author6 ized to hire 200 additional employees to administer, over7 see, investigate, and enforce programs involving H–1B 

8 nonimmigrant workers. 

9 (b) AUTHORIZATION OF APPROPRIATIONS.—There 

10 are authorized to be appropriated such sums as may be 

11 necessary to carry out this section. 

Æ 


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