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IT Update - Ban on premium processing of H1-B visas: Angel Broking

Posted On: 2017-03-11 10:59:31

Views of Ms. Sarabjit Kour Nangra (VP Research- IT, Angel Broking):

"Trump administration has imposed a temporary suspension on "Premium Processing of H1-B" visas. The normal time process for H1-B visas ranges from 3-6 months depending on the evidence and documentation provided. However, employers were provided a special window which is referred to as the "Premium Processing Service". By paying an additional fee of $1225 per application, the entire H1-B visa can be processed in 15 days. To avail Premium Processing, the applicant will have to file Form I-907 along with the H1-B visa petition. Once the requisite additional fee of $1225 is paid, these Form I-907 visas are processed on a priority basis within 15 days. It is this use of Form I-907 for premium processing that is banned by the USCIS effective April 03rd 2017. Of course, it will be technically a temporary ban for a period of 6 months only, but subject to review. Though this will lengthen the time for the companies to deploy their resources in US and take away the flexibility that they enjoyed earlier, it will not impact the long term business fundamentals of the business. Though IT companies since are not prepared for the same could see some impact on their business over the next 1-2 quarters, if the ban lasts more than 6-months. Since the development is of short duration, we are not changing our recommendations and Infosys and HCL Tech are our Top picks."


Source: Equity Bulls

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