Part 1 provided an overview of immigration policy changes included in the Spring 2025 DHS Regulatory Agenda and included considerations for employers. Part 2 discusses potential impacts to specific industries and additional employer considerations.
Industry Impact Analysis
Technology and Professional Services
Companies utilizing H-1B workers may face increased compliance requirements, including enhanced documentation standards, more frequent site visits, and stricter oversight of third-party placement arrangements. This is particularly relevant for consulting firms and technology companies that place workers at client sites or utilize complex corporate structures. University partnerships and research collaborations may be affected by cap exemption changes, potentially requiring institutions to compete in the annual lottery system for positions that were previously cap-exempt. Consulting and staffing firms may need to restructure their placement arrangements to comply with enhanced third-party oversight requirements, potentially shifting toward direct employment models rather than traditional consulting arrangements.
Operations and Service Industries
Businesses employing asylum applicants should monitor employment authorization policy developments, as proposed changes may affect the work authorization status of employees with pending asylum cases. Service-intensive industries that rely on workers with various immigration statuses may need to develop contingency workforce planning strategies to address potential changes in work authorization availability. Companies with diverse immigration status workforces should conduct comprehensive reviews of their compliance procedures to prepare for enhanced enforcement activities and changing regulatory requirements.
Healthcare and Research
Academic medical centers and research institutions may be affected by cap exemption revisions, particularly if their nonprofit or university status is modified or if affiliated organizations lose exemption eligibility. Healthcare facilities employing workers across various visa categories should assess potential impacts from proposed employment authorization changes, particularly those affecting adjustment of status applicants and temporary status holders who provide critical healthcare services. Research organizations should monitor proposed changes to nonprofit exemptions and consider how modifications to cap exemption criteria might affect their ability to recruit and retain international talent for research projects and academic positions.
Strategic Response Considerations
- Compliance Assessment: conduct comprehensive I-9 procedure audits, review pending immigration cases, assess H-1B compliance history (especially third-party arrangements), and update employee communications about new requirements.
- Policy Review: adjust social media and background check policies to align with new screening requirements, enhance employment authorization tracking procedures, and develop or update emergency response protocols for enforcement actions.
- Strategic Assessment: evaluate dependency on various immigration categories, develop mitigation strategies including alternative visa options for critical employees, assess business model impacts, and create workforce diversification strategies.
- Legal and Compliance Infrastructure: Implement enhanced case tracking systems, create regular compliance training programs, and develop procedures for monitoring regulatory changes.
- Compliance Risk Mitigation: Maintain accurate documentation, implement robust case tracking, establish clear protocols for government interactions, and ensure consistent application of employment policies.
- Business Continuity Planning: Develop contingency plans for workforce changes, consider alternative staffing strategies, and assess supplier/client contract implications.
- Legal and Regulatory Monitoring: Subscribe to official government publications, participate in industry associations for information sharing, and establish internal committees for immigration policy tracking.
- Long-Term Considerations:
- Monitor final rule publications and implementation timelines.
- Assess potential legislative changes affecting employment-based immigration.
- Consider geographic and operational adjustments based on policy changes.
- Evaluate technology and automation investments to reduce dependency on immigration-sensitive positions.
Conclusion
The Spring 2025 DHS Regulatory Agenda introduces changes to immigration policies that affect employers across multiple industries. While some changes have already taken effect, other proposals remain under development and subject to public comment periods and potential revision.
Employers should focus on complying with existing requirements while monitoring proposed changes that may affect their operations. The regulatory environment continues to evolve, requiring ongoing attention to policy developments and proactive planning for potential impacts.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
