dismissed
H-1B
dismissed H-1B Case: Service Engineering
Decision Summary
The appeal was dismissed because the petitioner failed to establish that the proffered position of 'service engineer' qualifies as a specialty occupation. The Director initially denied the petition for this reason, and the AAO affirmed this conclusion upon review. The petitioner did not successfully demonstrate that the position's duties require a bachelor's degree in a specific specialty as a minimum prerequisite.
Criteria Discussed
A Baccalaureate Or Higher Degree Or Its Equivalent Is Normally The Minimum Requirement For Entry Into The Particular Position The Degree Requirement Is Common To The Industry In Parallel Positions Among Similar Organizations Or, In The Alternative, An Employer May Show That Its Particular Position Is So Complex Or Unique That It Can Be Performed Only By An Individual With A Degree The Employer Normally Requires A Degree Or Its Equivalent For The Position The Nature Of The Specific Duties [Is] So Specialized And Complex That Knowledge Required To Perform The Duties Is Usually Associated With The Attainment Of A Baccalaureate Or Higher Degree
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MATTER OF K-E-, INC. Non-Precedent Decision of the Administrative Appeals Office DATE: JUNE 13,2017 APPEAL OF CALIFORNIA SERVICE CENTER DECISION PETITION: FORM I-129, PETITION FOR A NONIMMIGRANT WORKER The Petitioner, which describes itself as a service engineering firm, seeks to temporarily employ the Beneficiary as a "service engineer" under the H -1 B nonimmigrant classification for specialty occupations. See Immigration and Nationality Act (the Act) section 101(a)(15)(H)(i)(b), 8 U.S.C. § 1101(a)(15)(H)(i)(b). The H-IB program allows a U.S. employer to temporarily employ a qualified foreign worker in a position that requires both (a) the theoretical and practical application of a body of highly specialized knowledge and (b) the attainment of a bachelor's or higher degree in the specific specialty (or its equivalent) as a minimum prerequisite for entry into the position. The Director of the California Service Center denied the petition, concluding that the Petitioner had not demonstrated that the proffered position qualifies as a specialty occupation. On appeal, the Petitioner submits a brief and asserts that the Director erred in her decision. Upon de novo review, we will dismiss the appeal I. LEGAL FRAMEWORK Section 214(i)(l) of the Act, 8 U.S.C. § 1184(i)(l), defines the term "specialty occupation" as an occupation that requires: (A) theoretical and practical application of a body of highly specialized knowledge, and (B) attainment of a bachelor's or higher degree in the specific specialty (or its equivalent) as a minimum for entry into the occupation in the United States. The regulation at 8 C.F.R. § 214.2(h)(4)(ii) largely restates this statutory definition, but adds a non exhaustive list of fields of endeavor. In addition, the regulations provide that the proffered position must meet one of the following criteria to qualify as a specialty occupation: i (1) A baccalaureate or higher degree or its equivalent is normally the minimum requirement for entry into the particular position; Matter of K-E-, Inc. (2) The degree requirement is common to the industry in parallel positions among similar organizations or, in the alternative, an employer may show that its particular position is so complex or unique that it can be performed only by an individual with a degree; (3) The employer normally requires a degree or its equivalent for the position; or ( 4) The nature of the specific duties [is] so specialized and complex that knowledge required to perform the duties is usually associated with the attainment of a baccalaureate or higher degree. 8 C.F .R. § 214.2(h)( 4 )(iii)(A). We have consistently interpreted the term "degree" to mean not just any baccalaureate or higher degree, but one in a specific specialty that is directly related to the proposed position. See Royal Siam Corp. v. Chertoff, 484 F.3d 139, 147 (1st Cir. 2007) (describing "a degree requirement in a specific specialty" as "one that relates directly to the duties and responsibilities of a particular position"); Defensor v. Meissner, 201 F.3d 384, 387 (5th Cir. 2000). II. PROFFERED POSITION The Petitioner described itself as a wholly owned subsidiary of its parent company (located in the United Kingdom) of which the Beneficiary was a founding member. The Petitioner was established in 2003 "when the Directors of [the parent company] found that there was an unmet need in the US for the work done by [the parent company's] Service Engineers." The Petitioner's business consists of providing "Service Engineers to large factories, who sell, install, maintain, provide replacement parts and repair CNC profiling machines." The Petitioner states that it has "maintenance contracts for CNC profiling machines" with various U.S. corporations, and "currently has no US employe"es available to fulfill these contracts, and requires [the Beneficiary's] presence in the United States to provide the necessary services to its customers." According to the Petitioner, the Beneficiary will be employed on a part-time basis. He will be the Petitioner's only U.S. employee. The Petitioner submitted two charts "showing that each and every task that [the Beneficiary] is required to perform during the course of his work is comparable to a task normally completed by either Electrical Engineers or Sales Engineers, and uses the knowledge obtained during a Bachelors in Electrical Engineering program." We have consolidated the job descriptions found in those charts, as follows: 1 1 One of the Petitioner's charts also contained a column listing the courses required to complete each task. We have not included that column. 2 Matter of K-E-, Inc. TASK COMPARABLE O*NET TIME TO REQUIRES %OF TASK LEARN SPEC. TIME2 KNOW- LEDGE? Installing and providing Direct or coordinate 3-5 years Yes 40 service on proprietary manufacturing, construction, product lines as well as installation, maintenance, on integration of outside support, documentation, or equipment testing activities to ensure compliance with specifications, codes, or customer requirements (Electrical Engineers) Training customers and Supervise or train project team 1 year Yes 5 manufacturing personnel members as necessary (Electrical in all aspects of Engineers) equipment maintenance and in-house inspection Troubleshooting Investigate customer or public 2 years Yes 5 or 15 customers' mechanical, complaints to determine the electronic and software nature and extent of problems problems with the (Electrical Engineers) product and its software in a timely and cost effective manner Assisting in service Assist in developing capital 3 months No 2 or 1 buyoff procedures project programs for new equipment or major repairs (Electrical Engineers) Preparing proprietary Write technical documentation 3 months Yes 2 company documentation for products (Sales Engineers) and conducting follow- up with appropriate departments on all product problems and inquiries Complying with Oversee project production 6 months Yes 10 or 5 company specific efforts to assure projects are technical strategies and completed on time and within service policies to be budget (Electrical Engineers) 2 Where two numbers appear in this column, this indicates that the Petitioner listed different percentages of time for the same job duty. For example, "I 0 or 5" means that the Petitioner listed I 0% in one chart, and 5% in the other chart, as the percentage of time the Beneficiary will spend on that particular duty. 3 Matter of K-E-, Inc. used to achieve maximum profit Assisting sales and Recommend improved materials 2 years Yes 1 or 5 service staff with the or machinery to customers, procurement of any documenting how such changes equipment or parts will lower costs or increase required by customers production (Sales Engineers) Supervising field service Provide technical and non- 2 years Yes 10 or 5 engineers as required technical support and services to both on site and via clients or other staff members telephone, fax and e- regarding the use, operation and mail maintenance of equipment (Sales Engineers) Developing systems for Perform detailed calculations to 1 year Yes 3 improving the efficiency compute and establish and effectiveness of manufacturing, construction, or [parent company's] installation standards or service to end users specifications. (Electrical Engineers) Developing company Develop sales plans to introduce 2-3 months No 3 or 1 programs, products and products in new markets; strategies to attract more Identify resale opportunities and service revenue, part support therri to achieve sales sales and ancillary plans (Sales Engineers) mcome Developing a system to Document account activities, 1 month No 3 or 1 record [parent generate reports, and keep company's] customer records of business transactions feedback and with customers and suppliers satisfaction in [parent (Sales Engineers) company's] products and services and develop appropriate response strategies Preparing and updating Write technical documentation 2-3 years Yes 5 proprietary service for products (Sales Engineers) manuals, providing technical support Assisting with technical Oversee project production 2 years Yes 2or3 aspects of contract efforts to assure projects are management through the completed on time and within time of order to budget (Electrical Engineers) completion of 4 Matter of K-E-, Inc. -- installation Overseeing sales Document account activities, 6 months No 1 application support; generate reports, and keep preparing proprietary records of business transactions time studies with customers and suppliers (Sales Engineers) Organizing and Arrange for demonstrations or 3 months Yes 2 or 1 overseeing performance trial installations of equipment of software demos (Sales Engineers) Managing the technical Oversee project production 2 years Yes 2 or 5 aspects of contract efforts to assure projects are management between completed on time and within the time of order and the budget r(Electrical Engineers) completion of installation ·.Preparation of time Compile data and write reports 3 months No 1 studies regarding existing or potential electrical engineering studies or projects (Electrical Engineers) Preparing sample parts Visit prospective buyers at 2-3 years Yes 3 or 1 for customers commercial, industrial, or other establishments to show samples or catalogs, and to inform them about product pricing, availability, and advantages (Sales Engineers) ' According to the Petitioner, the proffered pos1t10n requires a bachelor's degree in electrical engineering. In the certified labor condition application (LCA) submitted in support of the petition, the Petitioner designated the position under the Standard Occupational Classification (SOC) code and title 17-2199, "Engineers, All Other," at a Level II wage rate. III. ANALYSIS Based on ambiguities and inconsistencies in the record, we find that the Petitioner has not sufficiently demonstrated the substantive nature of the proffered position. Accordingly, we cannot find that the proffered position quali,fies as a specialty occupation. 3 3 The Petitioner submitted documentation to support the petition, including evidence regarding the position and its business operations. While we may not discuss every document submitted, we have reviewed and considered each one. 5 . Matter of K-E-, Inc. As indicated above, the Petitioner submitted an LCA for a position falling under the "Engineers, All Other" occupational category. At the same time, the Petitioner claimed that each of the proffered duties corresponds to either the "Electrical Engineers" or "Sales Engineers" occupational category, as described in the Occupational Information Network (O*NET). The Petitioner did not explain which aspects of the proffered duties do not correspond to the "Electrical Engineers" or "Sales Engineers" occupational category. In other words, the Petitioner did not explain why i't chose to classify the proffered position under the "Engineers, All Other" category rather than the "Electrical Engineers" or "Sales Engineers" occupational category. With respect to the LCA, if a job offer has requirements described in a combination of O*NET occupations, the petitioner "should default directly to the relevant O*NET-SOC occupational code for the highest paying occupation (emphasis added)."4 As indicated on the LCA, the prevailing wage for a Level II position under the "Engineers, All Other" category in the time and area of intended employment is $37.38, which is exactly what the Beneficiary will be paid. However, the prevailing wage for the same level position under the "Electrical Engineers" category is $39.79 per hour, and $39.61 for the "Sales Engineers" occupational category.5 Both ofthes~ prevailing wages are higher than the prevailing wage for "Engineers, All Other." The Petitioner has not explained why it did not default directly to the highest-paying occupation of"Electrical Engineers," or even the higher-paying occupation of "Sales Engineers," despite its claim that the proffered position combines elements of both occupations. 6 A close look at the proffered job duties, as described, reveals additional concerns. Between its two job descriptions, the Petitioner listed all of the same job duties but assigned different percentages of time to many of them. For instance, the Petitioner alternatively stated that the Beneficiary will spend 5% of his time or 15% of his time on the same job duty of troubleshooting customers' technical problems. Other job duties, as described, are duplicative in nature. To illustrate, the Petitioner indicated that the Beneficiary will spend a portion of his time on the duty of"[ a ]ssisting with technical aspects of contract management through the time of order to completion of installation," and a separate portion of time on the duty of "[m]anaging the technical aspects of contract management between the time of order and completion of installation." But since the Beneficiary will be the company's only U.S. 4 U.S. Dep't of Labor, Emp't & Training Admin., Prevailing Wage Determination Policy Guidance, Nonagric. Immigration Programs (rev. Nov. 2009), available at http://www.foreignlaborcert.doleta.gov/pdf/NPWHC _Guidance_ Revised_11_2009.pdf ' 5 For more information regarding wages for "Electrical Engineers" (SOC code 17-2071) and "Sales Engineers" (SOC code 41-9031) in the I L MSA for the period 7/2015 - 6/20 16, see generally the Foreign Labor Certification Data Center Online Wage Library, http://www.flcdatacenter.com/OESWizardStart.aspx (last visited Jun.· 13, 2017). 6 This raises questions as to whether the LCA corresponds to.and supports the A~ I B petition. While the Department of Labor is the agency that certifies LCA applications; its own regulations provide that the Department of Homeland Security (i.e., its immigration benefits branch, U.S. Citizenship and Immigration Services) is the department responsible for determining whether, the content of an LCA filed for a particular H-1 B petition actually supports that petition. See 20 C.F.R. § 655.705(b). Matter of K-E-, Inc. employee, it appears he will be wholly responsible for all aspects of contract performance, not just the technical aspects. It is not apparent why or how these duties were delineated, and who he will be assisting and managing as the company's sole employee. As the Petitioner's sole U.S. employee, the record does not demonstrate how the Beneficiary will be relieved from performing other duties necessary to the daily operations of the U.S. operations that are not of H-1B caliber. While we do not limit our review to a petitioner's size, we must consider the duties and responsibilities ofthe proffered position as it will be performed within the petitioner's actual operations. It is reasonable to assume that the size of an employer's business has or could have an impact on the claimed duties of a particular position. See EG Enters., Inc. v. Dep 't of Homeland Sec., 467 F. Supp. 2d 728 (E.D. Mich. 2006). The size of a petitioner may be considered as a component of the nature of the petitioner's business, as the size impacts upon the actual duties of a particular position. Although the Petitioner has referenced its parent company's operations abroad, it has not described in detail the parent company's size, staffing, organizational structure, or other aspects of its operations which could potentially support the Beneficiary's employment in the United States in the claimed capacity. Indeed, the Petitioner has even assigned a portion of the Beneficiary's time to performing duties directly for its parent company abroad. Without more, we find the record insufficient to explain all of the Beneficiary's actual job duties and responsibilities in the United States. Notably, the record also identifies the Beneficiary as the Petitioner's president. Some of the stated job duties appear more appropriate for the Beneficiary's position as president rather than service engineer. For example, we are not persuaded by the Petitioner's comparison of the proffered duty of "[d]eveloping systems for improving the efficiency and effectiveness of [parent company's] service to end users" to the job duty of "[performing] detailed calculations to develop manufacturing, construction, and installation standards and specifications" typically performed by electrical engineers. The duty of "[ d]eveloping systems for improving the efficiency and effectiveness of [parent company's] service to end users" is so broadly stated that it could encompass high-level executive or managerial duties more appropriate for the Beneficiary's role as the Petitioner's president. For the same reason, we are not persuaded that the Beneficiary's job duty of "[ d]eveloping company programs, products and strategies to attract more service revenue, part sales and ancillary income" is limited to the typical duties performed by sales engineers. Based on the above, it appears that the Beneficiary will be also perform other, unstated duties related to the daily operations and management of the Petitioner (and its parent company). Accordingly, we find the record insufficient to establish the substantive nature of the work to be performed by the Beneficiary. We are therefore precluded from finding that the proffered position satisfies any criterion at 8 C.F.R. § 214.2(h)(4)(iii)(A), because it is the substantive nature ofthat work that determines (1) the normal minimum educational requirement for entry into the particular position, which is the focus of criterion 1; (2) industry positions which are parallel to the proffered position and thus appropriate for review for a common degree requirement, under the first alternate prong of Matter of K-E-, Inc. criterion 2; (3) the level of complexity or uniqueness of the proffered position, which is the focus of the second alternate prong of criterion 2; (4) the factual justification for a petitioner normally requiring a degree or its eq~ivalent, when that is an issue under criterion 3; and (5) the degree of specialization and complexity of the specific duties, which is the focus of criterion 4. As the Petitioner has not established that it has satisfied any ofthe criteria at 8 C.P.R. § 214.2(h)(4)(iii)(A), it cannot be found that the proffered position qualifies for classification as a specialty occupation. Lastly, we consider the Petitioner's own statements that several of the Beneficiary's job duties do not require any specialized knowledge. · These job duties not requiring specialized knowledge comprise a substantial, set amount of the Beneficiary's time. There is no provision in the law relevant to H-lB nonimmigrants that permits the performance of non-qualifying, non-specialty occupation caliber duties. To qualify for classification as a specialty occupation, the Petitioner must establish, among other things, that the duties of the proffered position require a bachelor's or higher degree in a specific specialty, or its equivalent. See section 214(i)(l )(B) of the Act and 8 C.F .R. § 214.2(h)( 4 )(ii) (defining the terril "specialty occupation"). 7 While we may view the performance of duties that are incidental8 to the primary duties of the proffered position as acceptable when they are unpredictable, intermittent, and of a minor nature, anything beyond such incidental duties, e.g., predictable, recurring, and substantive job responsibilities, must be specialty occupation duties or the proffered position as a whole cannot be approved as a specialty occupation. Because the Beneficiary's duties which do not require the application of specialized knowledge are not incidental, they are not allowed for H -1 B purposes. For this additional reason, the proffered position as a whole cannot be recognized as a specialty occupation. IV. UNITED STATES EMPLOYER As the record is insufficient to demonstrate that the offered position is a specialty occupation, we need not fully address other issues evident in the record. That said, we will briefly identify an additional ground of ineligibility to inform the Petitioner that this issue should be addressed in future proceedings. 7 The H-1 8 classification is not intended for employers to bring in temporary foreign workers to meet possible workforce needs arising from potential business expansions or the expectation of potential new customers or contracts. Petitioning Requirements for the H Nonimmigrant Classification, 63 Fed. Reg. 30,419, 30,419-20 (proposed June 4, 1998) (to be codified at 8 C.F.R. pt. 214); but cf 8 C.F.R. § 214.2(1)(3)(v)(C) (permitting L-1A managers or executives that are coming to the United States to open a "new office" in the United States to perform some non-qualifying duties during the first year). 8 The two definitions of "incidental" in Webster's New College Dictionary are "1. Occurring or apt to occur as an unpredictable or minor concomitant ... [and] 2. Of a minor, casual, or subordinate nature .... " Incidental, Webster's New College Dictionary (3rd ed. 2008). 8 Matter of K-E-, Inc. The evidence in the record is insufficient to demonstrate that the Petitioner qualifies as the Beneficiary's U.S. employer having an employer-employee relationship with him. 8 C.F.R. § 214.2(h)(4)(ii). As indicated above, the Beneficiary is the Petitioner's president and will be the sole employee in the United States. The Petitioner claims to be a wholly owned subsidiary of its parent company abroad, of which the Beneficiary is a founding member. Simultaneously, the Petitioner's tax returns reflect that the Beneficiary owns 50% of the company's voting stocks, along with another 50% shareholder who is the Petitioner's secretary.9 Considering all of these factors, it is not evident how the Petitioner will have and maintain an employer-employee relationship with the Beneficiary, as indicated by the fact that it may hire, pay, fire, supervise, or otherwise control his work. Id. V. CONCLUSION The record is insufficient to demonstrate that the proffered position the proffered qualifies as a specialty occupation. ORDER: The appeal is dismissed. Cite as Matter of K-E-, Inc., ID# 394007 (AAO June 13, 2017) 9 The Petitioner's tax returns list the number of shareholders as "I." It is not clear whether the Petitioner is a wholly owned subsidiary, or is equally owned by the Beneficiary and the other shareholder. The Petitioner has not explained or documented the ownership of its parent company. 9
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