H-2A vs. H-2B Visas: Which One Is Right for Your Business?
Published on Wednesday, August 21, 2024
As an employer seeking to hire foreign workers, understanding the differences between H-2A and H-2B visa programs is crucial for determining which option best suits your needs. This article will help you navigate the key aspects of each program.
H-2A Visa Program
Overview
The H-2A program allows U.S. agricultural employers to hire foreign workers for temporary or seasonal agricultural work.
Key Features
Eligibility: For U.S.-based agricultural businesses with a valid Federal Employer Identification Number (FEIN).
Job Type: Seasonal or temporary agricultural labor (e.g., planting, cultivating, harvesting, and hauling crops to storage/market, caring for livestock, and other agricultural tasks performed on a farm or in the employment of a farmer).
Duration: Up to 10 months.
Cap: No annual cap on the number of H-2A visas issued.
Key Employer Obligations
Provide free housing that meets safety standards.
Provide meals or kitchen facilitiesCover inbound and outbound transportation costs.
Pay the highest of the Adverse Effect Wage Rate (AEWR), prevailing wage, or minimum wage.
Guarantee employment for at least 75% of the contract period.
Current Workers’ Compensation policy.
H-2B Visa Program
Overview
The H-2B program allows U.S. employers to hire foreign workers for temporary or seasonal non-agricultural jobs.
Key Features
Eligibility
For U.S. employers with a temporary need for non-agricultural workers.
Job type
Seasonal, peak load, intermittent, or one-time occurrence non-agricultural jobs (e.g., landscaping, hospitality, construction).
You must be able to demonstrate that the job opportunity is non-agricultural, if job-opportunity is ag-adjacent.
You must be able to demonstrate that each worker requested represents a bonafide job opportunity.
Duration
Seasonal, Peak-Load, or Intermittent: Up to 9 months.
One-Time Occurance: Up to one year, with possible extensions up to 3 years.
Cap
Annual limit of 66,000 visas, with some exceptions:
33,000 for the first half of the government fiscal year (October 1 – March 31)
33,000 for the second half of the government fiscal year (April 1 – September 30).
Given the competitive nature of the program, applications requesting an employment start date other than October 1 or April 1 will be capped out.
Historically, supplemental visas have been issued every year since FY2021, but are not guaranteed and issued at DHS/DOL discretion.
Key Employer Obligations
Pay at least the highest prevailing wage across their application.
Cover inbound and outbound transportation costs after 50% of the contract period.
Guarantee employment for at least 75% of the contract period.
No requirement to provide housing, but any employer-provided housing must meet safety standards.
Employers are allowed to deduct the “reasonable” cost of housing from worker’s paychecks that choose to live in employer-provided housing.
Employer-provided housing must be optional to workers and language saying as such must be included on employer’s application and job order, if housing is provided.
No requirement to provide daily transportation, but any employer-provided transportation must meet safety standards.
Must conduct positive recruitment efforts, for at least fifteen (15) days after the Notice of Acceptance is issued, and submit a report to the DOL in connection with their H-2B application. The employer must accept and hire any applicants who are qualified and available, and may reject U.S. applicants only for lawful, job-related reasons up until 21 days before the requested start date of need.
Key Differences
Nature of work
H-2A: Agricultural work only.
H-2B: Non-agricultural work.
Visa cap
H-2A: No annual limit.
H-2B: Annual cap of 66,000 (with some exceptions).
Due to the cap, H-2B workers that are terminated or abandon the job contract cannot be replaced.
H-2B Visas are tied to the worker, not the employer.
Housing requirements
H-2A: Employers must provide free, approved housing.
H-2B: No requirement to provide housing.
Wage rates
H-2A: Must pay the highest of AEWR, prevailing wage, or minimum wage.
H-2B: Must obtain a prevailing wage determination and pay at least the highest prevailing wage across their entire application, regardless of duties or geographic area.
Transportation costs
H-2A: Employer covers all inbound and outbound transportation costs.
H-2B: Employer covers all inbound and outbound transportation costs.
Which Visa Is Right for You?
Choose H-2A if:
You need workers for direct agricultural labor.
You can provide housing and meet the specific wage requirements.
You need a large number of workers (no visa cap).
Choose H-2B if:
You need workers for non-agricultural jobs (e.g., landscaping, food processing).
You have a seasonal or temporary need outside of direct farming or agricultural-adjacent activities.
You can't provide housing but can meet other program requirements.
Key Considerations
Application process: Both programs require labor certification and multiple steps. Start the process well in advance of your need.
Compliance: Both programs have strict compliance requirements. Ensure you can meet all obligations before applying.
Timing: H-2B visas are capped and can be competitive. Apply early in the cycle for the best chance of approval.
Cost: Factor in all costs, including wages, transportation, housing (for H-2A), and application fees.
Long-term planning: Consider your recurring labor needs and how these programs fit into your overall workforce strategy.
Categories: H-2A, H-2B
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