dismissed H-1B Case: Computer Science
Decision Summary
The appeal was dismissed because a USCIS site visit revealed that the beneficiary was not working at the location specified in the petition and certified Labor Condition Application (LCA), but rather from his home over 200 miles away. This constituted a violation of the terms and conditions of the approved petition. The petitioner's claim of being unaware of this material change in employment was found insufficient to overcome the grounds for revocation.
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(b)(6)
DATE: JAN 2 8 2015
IN RE: Petitioner:
Beneficiary:
U.S. Department of Homeland Security
U.S. Citizenship and Immigration Service�
Adrn.inistrative Appeals Office (AAO)
20 Massachusetts Ave., N.W., MS 2090
Washington, DC 20529-2090
U.S. Citizenship
and Immigration
Services
OFFICE: CALIFORNIA SERVICE CENTER FILE
PETITION: Petition for a Nonimmigrant Worker Pursuant to Section 101(a)(15)(H)(i)(b) of the
Immigration and Nationality Act, 8 U.S.C. § 1101(a)(15)(H)(i)(b)
ON BEHALF OF PETITIONER:
INSTRUCTIONS:
Enclosed please find the decision of the Administrative Appeals Office (AAO) in your case.
This is a non-precedent decision. The AAO does not announce new constructions of law nor establish
agency policy through non-precedent decisions. If you believe the AAO incorrectly applied current law or
policy to your case or if you seek to present new facts for consideration, you may file a motion to reconsider
or a motion to reopen, respectively. Any motion must be filed on a Notice of Appeal or Motion (Form
I-290B) within 33 days of the date of this decision. Please review the Form I-290B instructions at
http://www.uscis.gov/forms for the latest information on fee, filing location, and other requirements.
See also 8 C.P.R. § 103.5. Do not tile a motion directly with the AAO.
Th
J
;kyo1t
� Ron Rosenberg
Chief, Administrative Appeals Office
www.uscis.gov
(b)(6)
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Page 2
DISCUSSION: The Director, California Service Center, revoked the previously approved
nonimmigrant visa petition, and the matter is now before the Administrative Appeals Office on
appeal. The appeal will be dismissed. The petition's approval will remain revoked.
On the Form I-129, Petition for a Nonimmigrant Worker, the petitioner claims to be a ten-employee
"Custom Computer Software Analysis, Programming, Development & Administration" business
established in In order to continue to employ the beneficiary in a position it designates as a
"Computer Programmer" position, the petitioner seeks to classify him as a nonimmigrant worker in a
specialty occupation pursuant to section 101(a)(15)(H)(i)(b) of the Immigration and Nationality Act
(the Act), 8 U.S.C. § 1101(a)(15)(H)(i)(b). The director revoked the petition in accordance with the
provisions of 8 C.F.R. § 214. 2(h)(ll)(iii)(A) after conducting a site visit at the beneficiary's work
location as designated on the petition.
After issuance of a Notice of Intent to Revoke (NOIR) and upon review of the petitioner's
submissions in response to this notice, the service center director revoked approval of the petition
on March 28, 2014. The director determined that the petitioner had not overcome the grounds of
revocation in that the petitioner had not submitted evidence that it was in compliance with the Labor
Condition Application (LCA) submitted with the petition; and that it maintained an employer
employee relationship with the beneficiary.
The record of proceeding before this office contains: (1) the Form I -129 and supporting
documentation; (2) the director's initial denial of the petition; (3) the petitioner's motion to reopen
the decision; (4) the director's approval of the petition; (5) the NOIR; (6) the petitioner's response to
the NOIR; (7) the director's notice of revocation (NOR); and (8) the Form I-290B, Notice of Appeal
or Motion, the appeal brief, and additional documentation. We reviewed the record in its entirety
before issuing our decision. 1
I. GROUNDS FOR REVOCATION
We turn first to the bases for the director's revocation, and whether these bases provided the director
with sufficient grounds for revoking the H-1B petition on notice under the language at 8 C.F.R.
§ 214.2(h)(ll )(iii)( A).
The regulation at 8 C.F.R . § 214.2( h)(ll)(iii), which governs revocations that must be preceded by
notice, states:
(A) Grounds for revocation. The director shall send to the petitioner a notice of
intent to revoke the petition in relevant part if he or she finds that:
(1) The beneficiary is no longer employed by the petitioner in the capacity
specified in the petition, or if the beneficiary is no longer receiving
training as specified in the petition; or
1 We conduct appellate review on a de novo basis. See Soltane v. DOl, 381 F.3d 143, 145 (3d Cir. 2004).
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NON-PRECEDENT DECISION
(2) The statement of facts contained in the petition or on the application for a
temporary labor certification was not true and correct, inaccurate,
fraudulent, or misrepresented a material fact; or
(3) The petitioner violated terms and conditions of the approved petition; or
(4) The petitioner violated requirements of section 101(a)(15)(H) of the Act
or paragraph (h) of this section; or
(5) The approval of the petition violated paragraph (h) of this section or
involved gross error.
(B) Notice and decision. The notice of intent to revoke shall contain a detailed
statement of the grounds for the revocation and the time period allowed for the
petitioner's rebuttal. The petitioner may submit evidence in rebuttal within 30 days
of receipt of the notice. The director shall consider all relevant evidence presented in
deciding whether to revoke the petition in whole or in part. If the petition is revoked
in part, the remainder of the petition shall remain approved and a revised approval
notice shall be sent to the petitioner with the revocation notice.
We find that the content of the NOIR comported with the regulatory notice requirements, as it
provided a detailed statement that conveyed grounds for revocation encompassed by the regulation
at 8 C.F.R. § 214.2(h)(ll)(iii)(A), and allotted the petitioner the required time for the submission of
evidence in rebuttal that is specified in the regulation at 8 C.F.R. § 214. 2(h)(ll)(iii)(B). As will be
discussed below, we further find that the director's decision to revoke approval of the petition
accords with the evidence or lack of evidence in the record of proceeding (ROP), and that neither
the response to the NOIR nor the submissions on appeal overcome the grounds for revocation
indicated in the NOIR. Accordingly, we shall not disturb the director's decision to revoke approval
of the petition.
A. Failure to Comply with the Requirements Governing the LCA
We will first address the director's determination that the petitioner failed to comply with the
requirements governing LCAs as set forth by U.S. Citizenship and Immigration Services (USCIS)
and the U.S. Department of Labor (DOL).
In this matter, the petitioner submitted documentation in support of the contention that the
beneficiarv will work as a computer programmer for the end client, located in
California. The record includes an August 16, 2012 etter, authored by
Applications Manager, not on letterhead. 2 Mr. confirms that the
2 Mr. subsequently submitted a February 19, 2013 letter on letterhead indicatin_g
that the beneficiary was em loyed by the etitioner, and that had contracted with
and that had, in turn, contracted with the petitioner for the beneficiary's
services at , California.
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NON-PRECEDENT DECISION
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beneficiary "has been working as a consultant at " The
record also includes a "S chedule of Assignment" indicating that is the client,
the petitioner, located in . California, is the consultant, and that the individual providing the
services is the beneficiary. The document is signed by an individual on behalf of
and on behalf of a "contractor." The record further included a September 4, 2012
letter on letterhead indicating that "[the beneficiaryl, an employee of fthe petitioner], .. . IS
providing services on behalf of our organization, at one
of our clients as an EBS R12 Senior Business Analyst consultant."
The record also includes the certified LCA filed with the Form I-129 which identifies the prevailing
wage for the occupational category of Computer Programmer- SOC (ONET/OES) code 15-1131, for
a Level II position in California and also for California, the petitioner's
location.
On September 7, 2013, a USCIS investigator visited the location in
California. On December 26, 2013, USCIS issued the NOIR and informed the petitioner that
the investigation revealed that the beneficiary was not working at the California
address full time, but rather he was working from his home in California, over 200
miles away, at least 30 percent of the time.
In response to the NOIR, the petitioner, through counsel, indicated that the beneficiary never
revealed to the petitioner that he was working remotely 30 percent of the time or that he continued
to do so beyond the 30-day limit for a short-term assignment. Counsel asserts that if the petitioner
had been aware of the "material change in the employment ... they most certainly would have filed
a new LCA to cover the new work site." The petitioner also provided a new LCA, certified on
January 7, 2014, which included the employment location in California, as well as
the employment location in California.
The director found the explanations provided insufficient and revoked the petition's approval.
On appeal, counsel reiterates that the petitioner was unaware of the beneficiary's work remotely at
his home rather than at the end client.
In pertinent part, the Act defines an H-1B nonimmigrant worker as:
[A ]n alien .. . who is coming temporarily to the United States to perform services ..
. in a specialty occupation described in section 214(i)(1) .. . who meets the
requirements for the occupation specified in section 214(i)(2) ... and with respect to
whom the Secretary of Labor determines and certifies to the [Secretary of Homeland
Security] that the intending employer has filed with the Secretary [of Labor] an
application under section 212(n) (l) ....
Section 101(a)(15)(H)(i)(b) of the Act (emphasis added). 3
3 In accordance with section 1517 of title XV of the Homeland Security Act of 2002 (HSA), Pub. L. No.
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In turn, section 212(n)(1)(A) of the Act, 8 U.S.e. § 1182(n)(1)(A) (2012), requires an employer to
pay an H-1B worker the higher of either the prevailing wage for the occupational classification in
the "area of employment" or the actual wage paid by the employer to other employees with similar
experience and qualifications who are performing the same services.4 See 20 C.F.R . § 655. 731(a);
Venkatraman v. REI Sys., Inc., 417 F.3d 418, 422 & n.3 (4th eir. 2005); Michal Vojtise k-Lom &
Adm'r Wage & Hour Div. v. Clean Air Tech. Int'l, Inc. , No. 07-97, 2009 WL 2371236, at *8 (Dep't
of Labor Admin. Rev. Bd. July 30, 2p09).
Implemented through the LeA certification process, section 212(n)(1) is intended to protect U.S.
workers' wages by eliminating economic incentives or advantages in hiring temporary foreign
workers. See, e.g. , 65 Fed. Reg. 80,110, 80,110-111, 80,202 (2000). The LeA currently requires
petitioners to describe, inter alia, the number of workers sought, the pertinent visa classification for
such workers, their job title and occupational classification, the prevailing wage, the actual rate of
pay, and the place(s) of employment.
To promote the U.S. worker protection goals of a statutory and regulatory scheme that allocates
responsibilities sequentially between DOL and the U.S. Department of Homeland Security (DHS), a
prospective employer must file an LeA and receive certification from DOL before an H-1B petition
may be submitted to USeiS. 8 C.F.R. § 214.2(h)(4)(i)(B)(1); 20 C.F.R. § 655. 700(b)(2). If an
employer does not submit the LeA to USei S in support of a new or amended H-1B petition, the
process is incomplete and the LeA is not certified to the Secretary of Homeland Security. See
section 101(a)(15)(H)(i)(b) of the Act; 8 C.F.R. § 214. 2(h)(4)(i)(B)(1); 20 C.F.R . § 655. 700(b); see
also 56 Fed. Reg. 37,175, 37,177 (1991); 57 Fed. Reg. 1316, 1318 (1992) (discussing filing
sequence).
In the event of a material change to the terms and conditions of employment specified in the
original petition, the petitioner must file an amended or new petition with USeiS with a
corresponding LeA. Specifically, the pertinent regulation requires:
107-296, 116 Stat. 2135, any reference to the Attorney General in a provision of the Act describing functions
which were transferred from the Attorney General or other Department of Justice official to DHS by the
HSA "shall be deemed to refer to the Secretary" of Homeland Security. See 6 U.S.C. § 557 (2003)
(codifying HSA, tit. XV,§ 1517); 6 U.S.C. § 542 note; 8 U.S.C. § 1551 note.
4 The prevailing wage may be determined based on the arithmetic mean of the wages of workers similarly
employed in the area of intended employment. 20 C.F.R. § 655. 731(a)(2)(ii).
5 Upon receiving DOL's certification, the prospective employer then submits the certified LCA to USCIS
with an H-1B petition on behalf of a specific worker. 8 C.P.R. § 214.2(h)(2)(i)(A), (2)(i)(E), (4)(iii)(B)(l).
DOL reviews LCAs "for completeness and obvious inaccuracies," and will certify the LCA absent a
determination that the application is incomplete or obviously inaccurate. Section 212(n)(1)(G)(ii) of the Act.
In contrast, USCIS must determine whether the attestations and content of an LCA correspond to and support
the H-l B visa petition, including the specific place of employment. 20 C.P.R. § 655.705(b); see generally
8 C.P.R. § 214.2(h)(4)(i)(B).
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NON-PRECEDENT DECISION
The petitioner shall file an amended or new petition, with fee, with the Service
Center where the original petition was filed to reflect any material changes in the
terms and conditions of employment or training or the alien's eligibility as specified
in the original approved petition. An amended or new H-1C, H-1B, H-2A, or H- 2B
petition must be accompanied by a current or new Department of Labor
determination. In the case of an H-JB petition, this requirement includes a new
labor condition application.
8 C.F.R. § 214. 2(h)(2)(i)(E) (emphasis added). Furthermore, petitioners must "immediately notify
the Service of any changes in the terms and conditions of employment of a beneficiary which may
affect eligibility" for H -1B status and, if they will continue to employ the beneficiary, file an
amended petition. 8 C.F.R. § 214.2( h)(ll)(i)(A).
A change in the place of employment of a beneficiary to a geographical area requmng a
corresponding LCA be certified to DHS with respect to that beneficiary may affect eligibility for
H-1B status and is, therefore, a material change for purposes of 8 C.F.R. § 214. 2(h)(2)(i)(E) and
(ll)(i)(A). 6 When there is a material change in the terms and conditions of employment, the
petitioner must file an amended or new H-1B petition with the corresponding LCA. 8 C.F.R.
§ 214. 2(h)(2)(i)(E).
The Form I-129 and section G of the LCA state that the beneficiary's intended work sites are
_ California CA Metropolitan Statistical Area) and
California CA Metropolitan Statistical Area) as
set forth above. The petitioner acknowledges that the beneficiary worked in
California , . , CA Metropolitan Division) at least 30 percent
of the time.
Here, the Form I-129 and the originally submitted LCA identified the California
and California locations as the places of employment. The LCA did not cover the
home of the beneficiary noted in response to the NOIR. In addition, the petitioner
6 This interpretation of the regulations clarifies but does not depart from the agency's past policy
pronouncements that "the mere transfer of the beneficiary to another work site, in the same occupation, does
not require the filing of an amended petition provided the initial petitioner remains the alien's employer and,
provided further, the supporting labor condition application remains valid." See, e.g., Memorandum from T.
Alexander Aleinikoff, Exec. Assoc. Comm'r, Office of Programs, Immigration and Naturalization Serv.,
Amended H-1B Petitions 1-2 (Aug. 22, 1996), 73 Interpreter Releases No. 35, 1222, 1231-32 (Sept. 16,
1996); see also 63 Fed. Reg. 30,419, 30,420 (1998) (stating in pertinent part that the "proposed regulation
would not relieve the petitioner of its responsibility to file an amended petition when required, for example,
when the beneficiary's transfer to a new work site necessitates the filing of a new labor condition
application"). To the extent any previous agency statements may be construed as contrary to this decision,
see, e.g., Letter from Efren Hernandez III, Dir., Bus. and Trade Branch, USCIS to Lynn Shotwell, Am.
Council on Int'l Pers., Inc. (Oct. 23, 2003), those statements are hereby superseded. We need not decide here
whether, for purposes of 8 C.F.R. § 214.2(h)(2)(i)(E), there may be material changes in terms and conditions
of employment that do not affect the alien's eligibility for H-1B status but nonetheless require the filing of an
amended or new petition.
(b)(6)
NON-PRECEDENT DECISION
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attested on the Form r-129 that it would pay the beneficiary a salary approximately $14,282 less
than would be required for the subsequently-identified place of employment, contrary
to sections 10l(a)(15)(H)(i)(b) and 212(n)(1) of the Act. 7 Such changes in the terms and conditions
of the beneficiary's employment may, and in this case did, affect eligibility under section
101(a)(15)(H) of the Act.
Having materially changed the beneficiary's authorized place of employment to a geographical area
not covered by the original LeA, the petitioner was required to immediately notify USers and file
an amended or new H-1B petition, along with a corresponding LeA certified by DOL, with both
documents indicating the relevant change. 8 8 e.F.R . § 214.2(h)(2)(i)(E), (h)(ll)(i)(A). By failing
to file an amended petition with a new LeA, a petitioner may impede efforts to verify wages and
working conditions. Full compliance with the LeA and H-1B petition process, including adhering
to the proper sequence of submissions to DOL and users, is critical to the U.S. worker protection
scheme established in the Act and necessary for H-1B visa petition approval. The petitioner failed
to comply with the requirements governing LeAs; therefore, the approval of the petition must be
revoked.
B. The Employer-Employee Relationship
Next we will address the director's determination that the petitioner failed to maintain an
employer-employee relationship with the beneficiary at the end-client location.
Section 101(a)(15)(H)(i)(b) of the Act defines an H-1B nonimmigrant in pertinent part as an alien:
subject to section 212G)(2), who is coming temporarily to the United States to
perform services ... in a specialty occupation described in section 214(i)(1) .. . ,
who meets the requirements for the occupation specified in section 214(i)(2) ... , and
with respect to whom the Secretary of Labor determines and certifies to the
[Secretary of Homeland Security] that the intending employer has filed with the
Secretary [of Labor] an application under section 212(n)(1) ....
7 The LCAs list the prevailing wage for the designated occupational category at a Level II wage as $48,235
per year in California CA Metropolitan Statistical Area);
$67,850 per year in . California CA Metropolitan Statistical
Area); and $84,282 per year in , California CA
Metropolitan Division). The petitioner identified the source of the prevailing wage as the DOL Office of
Foreign Labor Certification's Occupational Employment Statistics.
8 Here the petitioner submitted a new LCA certified for the beneficiary's place of employment in
in response to the NOIR. This LCA was not previously certified to USCIS with respect to the
beneficiary and, therefore, it had to be submitted to USCIS as part of an amended or new petition before the
beneficiary would be permitted to begin working in those places of employment. See 8 C.F.R.
§ 214.2(h)(2)(i)(E).
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[Secretary of Homeland Security] that the intending employer has filed with the
Secretary [of Labor] an application under section 212(n)(1) .. . .
The term "United States employer" is defined in the Code of Federal Regulations at 8 C.F.R.
§ 214.2( h)(4)(ii) as follows:
United States employer means a person, firm, corporation, contractor, or other
association, or organization in the United States which:
(1) Engages a person to work within the United States;
(2) Has an employer-employee relationship with respect to employees under this
part, as indicated by the fact that it may hire, pay, fire, supervise, or otherwise
control the work of any such employee: and
(3) Has an Internal Revenue Service Tax identification number.
(Emphasis added); see also 56 Fed. Reg. 61111, 61121 (Dec. 2, 1991).
The record is not persuasive in establishing that the petitioner had or will have an
employer-employee relationship with the beneficiary.
Although "United States employer" is defined in the regulations at 8 C.F.R. § 214. 2(h)(4)(ii), it is noted
that the terms "employee" and "employer-employee relationship" are not defined for purposes of the H
lB visa classification. Section 101(a)(15)(H)(i)(b) of the Act indicates that an alien coming to the
United States to perform services in a specialty occupation will have an "intending employer" who will
file a Labor Condition Application with the Secretary of Labor pursuant to section 212(n)(1) of the
Act, 8 U.S.C. § 1182(n)(1) (2012). The intending employer is described as offering full-time or part
time "employment" to the H-1B "employee." Subsections 212(n)(1)(A)(i) and 212(n)(2)(C)(vii) of the
Act, 8 U.S.C. § 1182(n)(l)(A)(i), (2)(C)(vii) (2012). Further, the regulations indicate that "United
States employers" must file a Petition for a Nonimmigrant Worker (Form I-129) in order to classify
aliens as H-1B temporary "employees." See 8 C.P.R.§ 214.2(h)(1), (2)(i)(A). Finally, the definition of
"United States employer" indicates in its second prong that the petitioner must have an "employer
employee relationship" with the "employees under this part," i.e., the H-lB beneficiary, and that this
relationship be evidenced by the employer's ability to "hire, pay, fire, supervise, or otherwise control
the work of any such employee." See 8 C.F.R. § 214.2(h )(4)(ii) (defining the term "United States
employer").
Neither the former Immigration and Naturalization Service (INS) nor USCIS defined the terms
"employee" or "employer-employee relationship" by regulation for purposes of the H-1B visa
classification, even though the regulation describes H-1B beneficiaries as being "employees" who must
have an "employer-employee relationship" with a "United States employer." !d. Therefore, for
purposes of the H -lB visa classification, these terms are undefined.
The United States Supreme Court, however, has determined that where federal law fails to clearly
(b)(6)
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define the term "employee," courts should conclude that the term was "intended to describe the
conventional master-servant relationship as understood by common-law agency doctrine." Nationwide
Mutuallns. Co. v. Darden, 503 U.S. 318, 322-323 (1992) (hereinafter "Darden") (quoting Community
for Creative Non-Violence v. Reid, 490 U.S. 730 (1989)). The Supreme Court stated:
In determining whether a hired party is an employee under the general common law of
agency, we consider the hiring party's right to control the manner and means by which
the product is accomplished. Among the other factors relevant to this inquiry are the
skill required; the source of the instrumentalities and tools; the location of the work; the
duration of the relationship between the parties; whether the hiring party has the right to
assign additional projects to the hired party; the extent of the hired party's discretion
over when and how long to work; the method of payment; the hired party's role in
hiring and paying assistants; whether the work is part of the regular business of the
hiring party; whether the hiring party is in business; the provision of employee benefits;
and the tax treatment of the hired party.
Darden, 503 U.S. at 323-324 (quoting Community for Creative Non-Violence v. Reid, 490 U.S. at 751-
752); see also Clackamas Gastroenterology Associates, P. C. v. Wells, 538 U.S. 440, 445 (2003)
(hereinafter "Clackamas"). As the common-law test contains "no shorthand formula or magic phrase
that can be applied to find the answer, ... all of the incidents of the relationship must be assessed and
weighed with no one fa<?tor being decisive." Darden, 503 U.S. at 324 (quoting NLRB v. United Ins.
Co. of America, 390 U.S. 254, 258 (1968)).
The Act does not exhibit a legislative intent to extend the definition of "employer" in section
101(a)(15)(H)(i)(b) of the Act, "employment" in section 212(n)(1)(A)(i) of the Act, or "employee" in
section 212(n)(2)(C)(vii) of the Act beyond the traditional common law definitions. See generally 136
Con g. Rec. S17106 (daily ed. Oct. 26, 1990); 136 Con g. Rec. H12358 (daily ed. Oct. 27, 1990). On
the contrary, in the context of the H-1B visa classification, the regulations define the term "United
States employer" to be even more restrictive than the common law agency definition.9
Specifically, the regulatory definition of "United States employer" requires H-1B employers to have a
9 While the Darden court considered only the definition of "employee" under the Employee Retirement
Income Security Act of 1974 ("ERISA"), 29 U.S.C. § 1002(6), and did not address the definition of
"employer," courts have generally refused to extend the common law agency definition to ERISA's use of
employer because "the definition of 'employer' in ERISA, unlike the definition of 'employee,' clearly
indicates legislative intent to extend the definition beyond the traditional common law definition." See, e.g.,
Bowers v. Andrew Weir Shipping, Ltd., 810 F. Supp. 522 (S.D.N.Y. 1992), affd, 27 F.3d 800 (2nd Cir.), cert.
denied, 513 U.S. 1000 (1994).
There are also instances in the Act where Congress may have intended a broader application of the term
"employer" than what is encompassed in the conventional master-servant relationship. See, e.g., section
214(c)(2)(F) of the Act, 8 U.S.C. § 1184(c)(2)(F) (referring to "unaffiliated employers" supervising and
controlling L-1B intracompany transferees having specialized knowledge); section 274A of the Act, 8 U.S.C.
§ 1324a (referring to the employment of unauthorized aliens).
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tax identification number, to engage a person to work within the United States, and to have an
"employer-employee relationship" with the H-lB "employee." See 8 C.P.R. § 214.2(h)(4)(ii).
Accordingly, the term "United States employer" not only requires H-1B employers and employees to
have an "employer-employee relationship" as understood by common-law agency doctrine, it imposes
additional requirements of having a tax identification number and to employ persons in the United
States. The lack of an express expansion of the definition regarding the terms "employee" or
"employer-employee relationship" combined with the agency's otherwise generally circular definition
of United States employer in 8 C.P.R. § 214. 2(h)(4)(ii) indicates that the regulations do not intend to
extend the definition beyond "the traditional common law definition" or, more importantly, that
construing these terms in this manner would thwart congressional design or lead to absurd results. Cf
Darden, 503 U.S. at 318-319. 10
Accordingly, in the absence of an express congressional intent to impose broader definitions, both the
"conventional master-servant relationship as understood by common-law agency doctrine" and the
Darden construction test apply to the terms "employee" and "employer-employee relationship" as used
in section 101(a)(15)(H)(i)(b) of the Act, section 212(n) of the Act, and 8 C.F.R. § 214. 2(h).
Therefore, in considering whether or not one will be an "employee" in an "employer-employee
relationship" with a "United States employer" for purposes of H-1B nonimmigrant petitions, USCIS
must focus on the common-law touchstone of "control." Clackamas , 538 U.S. at 450; see also
8 C.F.R. § 214. 2( h)(4)(ii) (defining a "United States employer" as one who "has an employer-employee
relationship with respect to employees under this part, as indicated by the fact that it may hire, pay, fire,
supervise, or otherwise control the work of any such employee .... " (emphasis added)).
The factors indicating that a worker is or will be an "employee" of an "employer" are clearly delineated
in both the Darden and Clackamas decisions. Darden, 503 U.S. at 323-324; Clackamas, 538 U.S. at
445; see also Restatement (Second) of Agency§ 220(2) (1958). Such indicia of control include when,
where, and how a worker performs the job; the continuity of the worker's relationship with the
employer; the tax treatment of the worker; the provision of employee benefits; and whether the work
performed by the worker is part of the employer's regular business. See Clackamas , 538 U.S. at 445;
see also New Compliance Manual, Equal Employment Opportunity Commission, § 2-III (A)(l)
(adopting a materially identical test and indicating that said test was based on the Darden decision); see
also Defensor v. Meissner, 201 F.3d 384, 388 (5th Cir. 2000) (determining that hospitals, as the
recipients of beneficiaries' services, are the "true employers" of H-1B nurses under 8 C.F.R. § 214. 2(h),
even though a medical contract service agency is the actual petitioner, because the hospitals ultimately
hire, pay, fire, supervise, or otherwise control the work of the beneficiaries).
It is important to note, however, that the factors listed in Darden and Clackamas are not exhaustive and
10
To the extent the regulations are ambiguous with regard to the terms "employee" or "employer-employee
relationship," the agency's interpretation of these terms should be found to be controlling unless '"plainly
erroneous or inconsistent with the regulation."' Auer v. Robbins, 519 U.S. 452, 461 (1997) (citing Robertson
v. Methow Valley Citizens Council, 490 U.S. 332, 359, 109 S.Ct . 1835, 1850, 104 L.Ed.2d 351 (1989)
(quoting Bowles v. Seminole Rock & Sand Co., 325 U.S. 410, 414, 65 S.Ct. 1215, 1217, 89 L.Ed. 1700
(1945)).
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must be evaluated on a case-by-case basis. Other aspects of the relationship between the parties
relevant to control may affect the determination of whether an employer-employee relationship exists.
Furthermore, not all or even a majority of the listed criteria need be met; however, the fact finder must
weigh and compare a combination of the factors in analyzing the facts of each individual case. The
determination must be based on all of the circumstances in the relationship between the parties,
regardless of whether the parties refer to it as an employee or as an independent contractor relationship.
See Clackamas, 538 U.S. at 448-449; New Compliance Manual at§ 2-II I(A)(1).
Moreover, when examining the factors relevant to determining control, USCIS must assess and weigh
each actual factor itself as it exists or will exist and not the claimed employer's right to influence or
change that factor, unless specifically provided for by the common-law test. See Darden, 503 U.S. at
323-324. For example, while the assignment of additional projects is dependent on who has the right
to assign them, it is the actual source of the instrumentalities and tools that must be examined, not who
has the right to provide the tools required to complete an assigned project. See id. at 323.
Lastly, the "mere existence of a document styled 'employment agreement"' shall not lead inexorably to
the conclusion that the worker is an employee. Clackamas, 538 U.S. at 450. "Rather, ... the answer to
whether [an individual] is an employee depends on 'all of the incidents of the relationship ... with no
one factor being decisive. "' Jd. at 451 (quoting Darden, 503 U.S. at 324).
Applying the Darden and Clackamas tests to this matter, the petitioner has not established that it
will be a "United States employer" having an "employer-employee relationship" with the
beneficiary as an H-1B temporary "employee." The petitioner indicated that the beneficiary wilJ
work offsite in _ California, over 300 miles away from its office. The petitioner
initially stated that it monitored its employees closely from its office in , California through
weekly status reports and weekly regular communications. Mr. , in his February 19, 2013
letter, stated that the beneficiary would report to the petitioner's technical resource manager. In
response to the NOIR, counsel noted the difficulty of monitoring an employee working from afar, as
well as acknowledging that the petitioner had no mechanism in place when its end client allowed
the beneficiary to work remotely, to inform the petitioner. Counsel explained that the petitioner
does not have a contract with the end client but rather witl a
staffing company. Counsel also indicated that the end user in this matter, had
issued the beneficiary his laptop, essentially allowing the beneficiary to work anywhere.
On appeal, counsel reiterates the above and acknowledges that the petitioner was unaware that the
beneficiary took it upon himself, with the approval of to work from his home a
significant amount of time. Counsel also concedes that the petitioner is not in position to command
or direct in any great detail because the duties are being performed at a location where the petitioner
is not physically present.
Although the petitioner repeatedly claims that the beneficiary will be in its direct employ and that it
will maintain control over the beneficiary, the petitioner, through its counsel, acknowledges that it
was surprised that the beneficiary was working from his home over 200 miles from the end user's
location. Similarly, the petitioner, through counsel, notes the difficulty of monitoring an employee
from afar. These admissions are tantamount to an acknowledgement that the petitioner, in fact,
(b)(6)
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does not actually exercise direct control over the beneficiary. That is, a petitioner who maintains
direct control over a beneficiary would have known that the beneficiary was not working at the
location designated on the petition.
While social security contributions, worker's compensation contributions, unemployment insurance
contributions, federal and state income tax withholdings, and other benefits are relevant factors in
determining who will control an alien beneficiary, other incidents of the relationship, e.g., who will
oversee and direct the work of the beneficiary, who will provide the instrumentalities and tools,
where the work will be located, and who has the right or ability to affect the projects to which the
alien beneficiary is assigned, must also be assessed and weighed in order to make a determination as
to who will be the beneficiary's employer. In this matter the petitioner has no obvious control over
where the beneficiary will work. The end client in this matter is the entity that provides the
instrumentalities and tools for the beneficiary's work. The record lacks probative evidence that the
petitioner actually manages or otherwise exercises control over the beneficiary's daily work.
The evidence is insufficient to establish that the petitioner qualifies as a United States employer, as
defined by 8 C.F.R. § 214.2(h)(4)(ii). The petitioner's claim that it exercises complete control over
the beneficiary, without evidence supporting the claim, does not establish eligibility in this matter.
Again, going on record without supporting documentary evidence is not sufficient for purposes of
meeting the burden of proof in these proceedings. Matter of Soffici, 22 I&N Dec. at 165. Based on
the tests outlined above, the petitioner has not established that it has maintained or will be a "United
States employer" having an "employer-employee relationship" with the beneficiary as an H-1B
temporary "employee." See 8 C.F.R. § 214. 2(h)(4)(ii). The approval of the petition must be
revoked for this additional reason.
II. SUBSEQUENTLY APPROV ED PETITIONS
We will now address an issue regarding an additional petition submitted on behalf of the beneficiary
after the revocation of the instant petition. Specifically, a review of USCIS records indicates that on
April 25, 2014, a date subsequent to the revocation of the instant petition, the petitioner filed a Form
I-129 petition seeking to continue the employment of the beneficiary as an
H-1B nonim migra nt. USCIS re cords also indicate that the petit ioner stated on the Form I-129 that
the basis for H-1B classification was "[c]ontinuation of previously approved employment without
change with the same employer." The petition was approved on May 6, 2014. However, pursuant
to 8 C.F.R. § 214.2(h)(14), a petition extension may be filed only if the validity of the original
petition has not expired. In the instant case, the petition that the petitioner sought to extend
was revoked on March 28, 2014. 11 Thus, the petition extension was filed after the
original petition had expired. Accordingly, we will further order that the director review the
11
We also observe that the instant petition . was originally approved with validity dates
from November 1, 2012 to July 31, 2014. The extension petition was submitted on
April 25, 2014- a month after the original petition's revocation. Thus, for this reason also, we request that the
director review the extension petition and consider whether initiation of revocation action
on the affected petition is appropriate.
(b)(6)
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extension petition and consider whether initiation of revocation action on the
affected petition is appropriate.
III. CONCLUSION AND ORDER
Based upon a complete review of the appeal and the record of proceeding, the petitioner has failed to
overcome the revocation grounds specified in the NOIR and the subsequent revocation decision. The
petitioner has not established that it has complied with the requirements governing LCA validity, nor
has the petitioner demonstrated that it maintained an employer-employee relationship with the
beneficiary. Accordingly, the appeal is dismissed. The approval of the petition remains revoked.
The appeal will be dismissed and the approval of the petition revoked for the above stated reasons,
with each considered as an independent and alternative basis for the decision. In visa petition
proceedings, the burden of proving eligibility for the benefit sought remains entirely with the
petitioner. Section 291 of the Act, 8 U.S.C. § 1361. Here, that burden has not been met.
ORDER: The appeal is dismissed. The approval of the petition remains revoked.
FURTHER ORDERED: The service center director shall review the approval of the H-lB
petition with receipt number for possible revocation consistent with the
eligibility issues identified in this decision. Avoid the mistakes that led to this denial
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