What are the realities of immigration enforcement in the United States and its impact on French companies transferring key personnel?

1. 1
APRES LES
EFFORTS DE VOTER
UNE REFORME DE
L’IMMIGRATION
AMERICAINE EN
2013
Eliot Norman
Williams Mullen
Washington, D.C.
enorman@williamsmullen.com
European American Chamber of Commerce
14Janvier 2014
OU SOMMES -NOUS?

2. • D'où venons-nous ? Que sommes-nous
? Où allons-nous ?
2

3. L’agenda
• la politique,
• Les principes et les choix de visas,
• La pratique
– Les pieges a eviter
– Les avantages de certaines procedures
• Vos cas pratiques et problematiques
• quelques guides et exemples de ma
pratique
3

4. 4

5. 5

6. Employer Compliance :
Worksite Inspections
6

7. Obama: The troubles I have
seen (as of June 2013)
7

8. 8

9. Et le NSA…..
9

11. Border Security: became the key
issue
• The bill’s largest, and perhaps most critical, change
came in a package that promised to substantially
bolster security along the nation’s southern border.
The proposal, by Senators Bob Corker of Tennessee
and John Hoeven of North Dakota, both
Republicans, would devote about $40 billion over
the next decade to border enforcement measures,
including adding 20,000 Border Patrol agents and
700 miles of fencing along the southern border.
• The amendment, which passed with broad bipartisan
support, helped bring along more than a dozen
reluctant Republicans on S. 744

12. So where were we at
the end of June 2013?
• Gang of Eight
Working away
From April to June
• Absent from Scene: President Obama
• Judiciary Committee vote 15-5
• Vote against Filibuster 82-17
• 300 Amendments: nearly all defeated
• CBO report: Deficit reduction $300 billion
• Final Vote June 27 . Comprehensive Legislation
was becoming a reality?

13. Victory? 68-32 in the Senate
• WASHINGTON — Here’s how the Press
Reported it:
“The Senate on Thursday (June 27) approved
the most significant overhaul of the nation’s
immigration laws in a generation with broad
support generated by a sense among leading
Republicans that the party needed to join with
Democrats to remove a wedge between
Republicans and Hispanic voters.” THE FINAL
VOTE: 68% du Senat!!

14. What did the Senate
Actually Approve?
• Like ObamaCare, got to ask: what’s in
this Blue Box?

15. 2 Bargains
Le Grand
•Path to citizenship for 11 million illegal immigrants
•Seal the Border:
•Worksite Enforcement inside the USA
Le Petit (qui n’entre pas trop dans le grand débat)
•acceleration and expansion of all sorts of business
visas: goal of helping U.S. businesses recruit &
retain global talent. Une sorte de “visa express” like
Federal Express
Both if adopted could have profound impacts on
use of human capital for French companies in North
American market.
15

16. Un cas pratique—secteur
aerospatial
16

17. South Carolina
17

18. • Mobile, AL (Airbus)
• Savannah, GA (Gulfstream-General Dynamics)
• Charleston, SC (Boeing)
• Greensboro, NC (Hondajet)
• Durham, NC (GE Aviation)
• Richmond/Petersburg, VA (Rolls-Royce)
• Melbourne, Fla (Embraer
18
The New Southeast U.S. Aerospace Cluster
Eliot Norman
enorman@williamsmullen.com
Bill Benos
bbenos@williamsmullen.com

19. The Big 3
• Rolls Royce
• Boeing
• Airbus
19

20. Efforts To Complete the Reform
• 2 gros problèmes: qui ont complique la
situation enter juin 2013 et janvier 2014
20

21. Obama: The troubles I have
seen ------got worse
21

22. 22

23. 23

24. 24

25. 25
DEAD ON ARRIVAL : DOA

26. Mais en janvier 2014, la
reforme a toujours un futur.
• A Republican initiative now
• Think smaller, think progressive
• Business lobby will lead
• Is immigration going to change, stay the
same?
26

27. Ca change, Ca changera pas?
27

28. 28
II Les procedures et
le regime actuel
L’Impact sur les
compagnies
francaises?

29. 29
Attention!
Homeland Security remains in charge of
immigration to the USA

30. Why Does it matter : Procedural
Impacts
• what does it have with French companies chasing
business in the USA?
• Procedural Changes impact moving personnel
generally, slowdown like with 9/11
• Reform means l’incertitude et les delais
• Already seeing it happening with sequestration
and Ports of entry
• CBP attitudes.
30

31. ICE, CBP and Homeland
Security
• à la douane
• WSJ article: les délais
• attitude de CBP
• ESTA roll out
• New I-94 procedures
31

32. IMPACT OF HOMELAND SECURITY
• Multiple Government Agencies
• ICE
• CBP
• Dept. of Labor ($$ and wages)
• New Visa Controls at the Embassies
• New Airport and Border Controls
• Montoring Exits and Entries electronically
• USCIS (inadequate funding)

33. 33

34. 34

35. 35

36. 36

37. 37

38. WHAT’s NEW?
38

39. 39

40. 40
UNE BONNE UTILISATION ?
• La “prosecution” d’INFOSYS et ses
implications: abus de B-1=$32 million
en amendes
• Attention aux visiteurs d’affaires
commerciales,
• L’abus de la procédure:
– Les complications et la perte des
privilèges de “Visa Waiver”
– La barrière de 3 ans et 10 ans

41. Impact sur les francais?
• mes cas pratiques: D.P. M. L.
• % fraud?
• worksite enforcement & compliance
• la capacite d’observer des tendances
de faire des visites « trop habituelles »
41

42. USCIS: Service a la clientèle?
• explain split of functions between U.S.
Dept. of State and USCIS
• Lack of resources?
42

43. Kafkaesque
• le contenu des requetes de preuves
supplementaires
• ou le jeu des RFEs.
43

44. Ou est la queue?
44

45. Le contraste:
Embassy of the United States of
America
Visa Branch
2, Avenue Gabriel
75008 Paris, France
VIA E-MAIL TRANSMISSION Date: 12-Jun-13
Mr. Eliot Norman
Attorney at Law
William Mullen (Richmond)
200 South 10th Street, Suite 1600
Richmond VA 23219
Reference number: 2013163 843 1
Treaty Investor/Treaty Trader
Treaty Investor/Treaty Trader
Dear Mr. Norman:
As you are aware, as part of the visa application process, an interview at the
embassy is required for visa applicants from age 14 through 79.
As a consequence, Mr. and his spouse have been scheduled to
come for an interview on 15-Jul-2013 at 01:30 PM.
They will meet our Treaty Visa Officer.
n a few days, using the above-noted reference number you may view the status
of
this application on our website at http://france.usembassy.gov Pending visas
“Treaty
Trader Investor visas.”
Should you have any questions about this application or need to reschedule the
appointment, please do not hesitate to contact us by e-mail directly to
parisev@state.gov to ensure rapid processing.
Sincerely,
E Visa Unit
Non Immigrant Visa Branch
American Embassy Paris
45

46. 46
Worksite Enforcement à
l’Américaine

47. Worksite Enforcement
• example of French company in NJ
• photo of boxes
• more of this, like in UK.
• Audits, particularly H-1Bs
• fines, criminal enforcement
• Problèmes avec 1099s, sous-traitants,
IRS et ICE
47

48. 48
III
L’Impact sur les
compagnies
francaises?
Le regime actuel ou
le futur regime

49. 2/5/2014 49
This is where is all starts
Quelle situation?
Quel visa?

50. 50
GREEN CARDS
LA PYRAMIDE DES VISAS AMÉRICAINS
L-1A/L-1B,
E1/E2 Investors/
Treaty Traders
TN, H-1B/O-1
B-1/ F-1/J-1/H-3, H-2B
90 Day
ESTA Visa
Waivers
B-1 Business
Visitors
(B/2) (tourists)
EB-1 Multinational Managers/Executives & EB-1
Extraordinary Ability and Outstanding Researchers;
EB2/3 PERM Labor Certifications for professionals, skilled
workers leading to Green Cards;
EB2 Green Cards for National Interest Waivers,
FAMILY SPONSORSHIP (marriage to U.S. Citizen or, Green
Card Holder; Diversity Lottery. EB-5: $500,000 Investors
EXECUTIVES, MANAGERS, Specialists and Essential-
Skills Employees for U.S. Offices of International
Companies
PROFESSIONALS; Extraordinary Ability
Scholars & Scientists
TRAINEES & FOREIGN STUDENTS
Research Scholars & Specialists;
Temporary workers , VIE , Interns.
BUSINESS VISITORS:
Negotiate Contracts, Consult;
Trainees, Install Equipment
if Purchased Overseas; Visa Waiver
B-1 au lieu de H-1B: 6 month project
requiring professional services.
6693462

51. Un Sommaire
• Le Régime Actuel
• B-1
• ESTA Visa Waiver
• E-2/E-1
• H-1B
• L-1A ou L-1B
• TN
• Green Cards
– EB1
– EB2 and EB3
– EB 5
• La Réforme ?
• B-1
• ESTA Visa Waiver
• E-2/E-1
• H-1B
• L-1A ou L-1B
• TN
• Green Cards
– EB1
– EB2 and EB3
– EB5
51

52. 52
Un cas pratique

53. 2/5/2014 53
Le regime actuel: Use of L-1Bs, L-1As, H-1Bs and
E-2 for Intra-Company Transfers
X&Z Aerosupply , Inc.
Mobile, Alabama USA
(Charleston, South Carolina
X&Z Aerosupply SA
Toulouse , France
Managers, Executives
Software Developers
Electrical Engineers
Project Managers
and
Specialists
Composites
Engineers
X&Z Aerosupply, Ltd.
Bucharest, Romania

54. Strategies
• E-2 et Treaty NAFTA (L’ALENA), Free
Trade Agreements
• Supériorité des traités
• Pensez à l’Amérique du Nord
• Leçons a tirer:
54

55. 55

56. 2/5/2014 56
Case Illustration: Preferred Strategy
NAFTA TN ou E-2, B-1?
X&Z Aerosupply , Inc.
Charleton, S.Carolina
X&Z Aerosupply SA
Toulouse , France
Managers, Executives
Software Developers
Electrical Engineers
Project Managers
and
Specialists
Manufacturing
Managers &
Engineers
X&Z Composites
Manufacturing
Monterey, Mexico
X&Z Services
d’Ingénierie, SA
Montréal, Québec
Engineers
AVOID USCIS
USE THE EMBASSIES, TREATIES + BLANKEt L-1s

57. 57
E-1/E-2 Treaty Trader/Trader
Investor Visas
E-2 Visas Acceleres: = le meilleur choix,
$2000 moins en frais que les Blanket L-1s,
Plus de flexibilite dans le choix de candidats,
Mon article: « S’implanter aux Etats-Unis »
critères,
• procédures,
• cas pratiques et exemples

58. 58
NAFTA (l’ALENA) TN
le Canada, Le Mexique
• avantages,
•critères,
• procédures,
• cas pratiques et exemples

59. • TNs for Canadians: Works if Well Documented
– Advantages: Visa Issuance at the Border
– Use of self-employed consultants
– Management consultants
– Scientific/engineering technologists
– Systems analysts with 2-year degrees
• Mexican TNs:
– requires visa and application at U.S. Consulate
– Same or similar criteria
Canada (Le Québec) Mexico

60. 60
Visas: Practical Solutions for Business
Visitors: when to use the B-1
• Reforms in use of « Shengen » type visas
– Can work under B-1 in support of
international supply agreement
– ****B-1 in lieu of H-1B (ex. design
engineers)****
• professionnel
• projet de 6 mois ou moins
• compensation: de France
ou d’outre-mer

61. Les Avantages d’un
Multinational
• l’emploi des traités
• Chile, Australia and Singapore:
Special H-1Bs or E-3s under Fast-
Track FTAs (Free Trade Agreements)
• Canada and Mexico (l’ALENA ou
NAFTA)
61

62. 62
IV
L’Impact sur les
compagnies
francaises?
Problematique ou
Amelioration?
Les L-1Bs? L-1As?
Les H-1Bs

63. L-1B et L-1As (Intra-Company Transfers)
Le Régime Actuel
(ask: )
•avantages,
• critères,
• procédures,
• cas pratiques et exemples
• Blanket Procedures
• % of Requêtes (RFE ou
Requests for Evidence)
•Problèmes de définitions de
« Specialized Knowledge »
•Problèmes de travail au tiers
• Managers : ??
• PROBLEMS FROM INDIA
Sous La Réforme ??
??
• Work at client sites to be
prohibited?
•Specialized knowledge
standards will be impractical
63

64. 64
CAS SPECIAUX
• New Office L-1,
• L-1 Blanket Visas.
• E-1/E-2 Visas Accelerés,

65. 65
H-1B Visas for Specialty
Occupations:
• avantages,
• critères et le rðle du « DOL »,
• procédures,
• cas pratiques et exemples.
• Problemes de CAP ou Quota 85,000
– 2011
– 2012
– 2013
– 2014

66. 66
H-1B Visas for Specialty
Occupations: La Réforme?
• Avantages : Quotas or Caps de 65,000 a 115,000; 20,000 a
25,000. 180,000 en total ?
• Mais le nouveau rðle du « DOL » sous la reforme: exigera une
augmentation des salaires (20%-30%)
– Audits et enquêtes
– Délai de 30 jours
– Preuve du recrutement sans succès des candidats
américains
• Les épouses auront le droit à travailler
Leçons à tirer : résultats mixtes à cause des compromis
politiques.

67. 67
V
L’Impact sur les
compagnies
françaises?
Temporary Business
Visas: What’s New
under La Grande
Réforme?

68. What May Happen?
• Multinational Managers/Executives:
– Can come for up to 180 days to oversee U.S.
operations
– Salary: from France or from U.S. entity
• Z visa to benefit airlines, other transportation
companies, ex. MRO facilities, repair or warranty
work on foreign equipment for up to 180 days.
– Parallels U.S. State Department Initiative: B-1 in lieu
of H-1B: up to 180 days for profesionals working on
short-term projects
68

69. 69
VI
L’Impact sur les
compagnies
francaises?
Business Green
Cards

70. 70

71. 71
EB-1 Multinational
Manager/Executive Green
Cards
• avantages, enormes pour les
compagnies francaises,
• avoid PERM, 3 steps, competitive
recruitment, advertising,
• Be careful to show managerial duties
expecially with functional managers
• See CHECKLIST
• Document carefully corporate
relationship

72. 72
Timing: All 3 steps: 3-6 years + for EB3 from India

73. Reform of Green Cards ?
• Elimination of per country quotas
• Elimination of counting family members towards
green card quotas: big problem
• Result: acceleration of Green Card issuance:
– For EB3 , from 4 years to 1year
– For EB2, from 2 years to 1 year
• Leçons à Tirer: Des Nouvelle Strategies
(mettre les cartes vertes en avance)
73

74. What might happen? Green
Card Quotas and Priority
System
• Per country quotas abolished
• 40% for Graduate Degrees, EB-2 or
higher
• 40% for EB3 (B.S. or B.A. degree or
skilled workers)
• 10% Enterepreneurs and investors
• 10% special immigrants
• Family members not counted in quotas
74

75. What else May happen: Green
Cards
• W Visas: Green Card Sponsorship of low and
middle-skilled positions
– example: assemblers, welders for our
aerospace company
– 56,000 per year.
75

76. What’s New: Investment Green
Cards
• EB-5 already source of $1.5-$3.0
Billion in in-bound capital
• Use for financing by industrial projects
and hotels
• EB-5 $500,000 Investment Green Card
made permanent
– can be source of financing for U.S.
projects
– Investors sold minority interest, limited
partnership units
76

77. 77
VII
L’Impact sur les
compagnies
francaises?
Visas Divers

78. 78
J-1 Interns and Practical
Trainees (incluant VIE)
•Les accords de stages, échanges de jeunes
professionnels,
• differences between INTERNS and TRAINEES
under the J-1,
•avantages,
•critères,
•procédures,
•cas pratiques et exemples.
•Le programme (sous Le Département d’Etat)
exigerait la conformité a ses règles

79. FOREIGN STUDENTS AND
SCHOLARS
F-1s and J-1s• 700,000 F-1s
• 170,000 J-1s graduate
students
• Shared Responsibility
between ICE (SEVIS) and
USCIS (Applications and
Extensions)
• The OPT to H-1B “timing
game”

80. VIII
Les
Prochaines
Etapes et les
Stratégies
80

81. 81
Guiding Principles
• L’importance de faire un bon
choix de visa en faisant une
évaluation approfondie des
avantages/inconvenients de
chacun ; et en adoptant une
approche individualisée--
salarié, fonction et structure
de l’organisation.
• Evitez la répétition de la
formule de l’année dernière!

82. Dernières Considérations
1. Flexibility
2. Big suprise: make early and effective use of Green Cards to
bypass H-1B and L-1 headaches and complications
3. E-2 accelerated visa program (if your company meets
criteria) : extra benefit of French ownership
4. Stay with Treaty or State Dept. Visas over Congressional
Visas: TN, E-2, B-1, J-1
5. When use H-1B or L-1, carefully review candidate
qualifications
6. Portability: employment agreements will be of added
importance (confidentiality, non-compete)
7. More use possible of short term visas for productive work
without establishing U.S. Offices : B-1 in lieu of H-1B
8. Collaboration?
9. le problème de l’abus 82

83. 83
**Collaboration**
• Dans la préparation de la demande, il faut de la
collaboration parmi: l’avocat et son cabinet,
l’entreprise et le salarié
• Information sur les opérations en FRANCE et les
ETATS-UNIS,
• Problèmes à éviter avant le dépôt du dossier,
• Ouverture d’un bureau : cas spécifique,
• Le rôle de votre entreprise et votre avocat
• Les « DEADLINES ».
• Le salarié et son « travel schedule »

84. 84
Il est plus facile à un chameau de passer par le chas
d'une aiguille que pour certaine visiteurs de passer par la douane américaine.

85. 85
Nos Services Sous le Régime
Actuel

86. 86

87. Sous le regime actuel ou la
reforme (grande ou petite) :
« plutôt du planning
stratégique »
87

88. 88
Questions et Coordonnées
Eliot Norman
enorman@williamsmullen.com
Williams Mullen
1666 K Street NW Suite 1200
Washington DC 20006
Direct Dial: 804.420.6482
www.williamsmullen.com

89. 89
VOS CAS SPECIAUX OU
PROBLEMATIQUES?