ARTICLE
3 August 2026

Your Employee May Have Received An H-1B Visa, But Your Work Is Not Yet Complete

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Barnes & Thornburg LLP

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The H-1B visa program faces mounting compliance challenges as the Department of Labor's Project Firewall initiative expands enforcement authority and audit capabilities. With increased scrutiny on wage levels, offsite placements, and employer practices, navigating H-1B compliance has become more complex than ever. Understanding these new enforcement mechanisms and their implications is critical for employers seeking to maintain compliant H-1B programs.
United States Immigration
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The H-1B nonimmigrant category enables U.S. employers to employ foreign nationals in professional, highly skilled positions that require at least a bachelor’s degree. In recent years, the systematic shortcomings of the H-1B lottery atmosphere have made it increasingly difficult to secure H-1B visas, largely due to a high volume of submissions, an increase in the likelihood of fraud, and duplicative submissions for the same H-1B beneficiary. The compliance initiatives announced at the end of last year have created new challenges for employers. Now, halfway through 2026, Barnes & Thornburg seeks to remind employers of the importance of H-1B compliance.

Initially announced in September 2025, Project Firewall granted the DOL the following authority:

  • Initiation of employer audits by the Secretary of the DOL;
  • Expansion of data sharing between the Labor, Homeland Security, and State Departments;
  • Punishment through years-long debarment in addition to civil penalties;
  • Referrals to U.S. Citizenship and Immigration Services for status revocation; and
  • Orders for the payment of back wages and public disclosure.

The Department stated the program would strengthen investigative efforts to promote employer compliance with H-1B visa program obligations, and since its inception, Project Firewall has enabled the initiation of audits based upon the DOL’s observation of patterns of offsite placements, wage-level discrepances, and higher ratios of H-1B employees. Inconsistent job titles and frequent amendments have also prompted additional scrutiny.

Despite this increased scrutiny and the challenges presented by the weighted selection process, the H-1B visa category remains an essential method for employing foreign national employees. Given its complexities, pursuing an H-1B visa requires a strategic approach, including compliance practices far outliving adjudication of the petition itself. Barnes & Thornburg encourages employers and potential H-1B registrants to consult with immigration counsel to proactively ensure compliance.

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.

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