L1 Visa Guide: Petition-Based Visas for Transferring Employees to the US
04 Nov, 20249:16Moving employees between international offices – especially in the US – is often a critical ...
Moving employees between international offices – especially in the US – is often a critical part of business growth for companies with a global presence. The US market presents immense opportunities for international companies, boasting a GDP of $29 trillion and a diverse, skilled workforce of over 160 million people. However, tapping into this potential requires a strategic approach to global mobility, especially given the current labour market dynamics in the country.
As of September 2024, the US employment rate stands at 60.2%, with approximately 8 million job openings but only 6.8 million unemployed workers. This labour shortage presents both challenges and opportunities for businesses aiming to expand in the U.S. market. While sourcing local talent for specific positions may prove challenging, this scenario highlights the significance of effectively transferring key personnel from international operations to support growth initiatives.
One visa that makes this possible in the US is the L-1 Intra-Company Transfer Visa. The L1 visa program, offered by the United States, provides a valuable pathway for organisations to transfer talent from their overseas branches to work in the US, either temporarily or permanently. In this blog, we’ll break down what you need to know – from eligibility to the application process and the benefits it offers employers and employees.
What is an L1 Visa?
The L1 visa is a petition-based visa that facilitates the transfer of employees from foreign offices to a branch, subsidiary, affiliate, or parent company in the United States. This visa category is specifically crafted for professionals in managerial and executive positions (L-1A) and employees possessing specialised knowledge pertinent to the company (L-1B). The flexibility of the L1 visa has made it a preferred option for multinational corporations seeking to sustain a global workforce. It is essential to highlight that the application for the L1 visa must be submitted solely by the employer (the petitioner) on behalf of the employee (the beneficiary).
Who is Eligible for the L1 Visa?
To qualify for the L1 visa, both the employer and the employee must meet specific criteria:
Employer Requirements:
- Must have a qualifying relationship with a foreign company (parent company, branch, subsidiary, or affiliate).
- Must conduct business in the US and at least one other country.
Employee Requirements:
- Must have been employed full-time by the foreign entity for at least 12 consecutive months in the three years before the transfer/L-1 petition.
- Must transfer to the US in an executive/managerial (L-1A) or specialised knowledge (L-1B) capacity. Specialised knowledge refers to an in-depth understanding of the company’s products, services, or processes.
L-1A vs L-1B Visa: What’s the Difference?
While both L-1A and L-1B visas facilitate intra-company transfers, they cater to different levels of employees:
| L-1A | L-1B |
|---|---|
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Can the L1 Visa Lead to a Green Card?
Yes, it can. The L1 visa offers significant advantages, particularly its potential pathway to permanent residency, which can be valuable for employees seeking to establish long-term residency in the US. As a dual intent visa, it allows holders to apply for a Green Card while maintaining their current visa status.
Holders of the L-1A visa often find that transitioning to permanent residency is more straightforward due to their eligibility for the EB-1C Green Card category, which requires evidence of an executive or managerial role. Conversely, L-1B visa holders may apply under the EB-2 or EB-3 employment-based Green Card categories; however, this process typically requires more time to complete.
What is the Cost of an L1 Visa?
The cost of an L1 visa application can vary depending on several factors, and employers should anticipate various costs, including:
- Basic filing fee for Form I-129 (Petition for Non-immigrant Worker): $460
- Fraud prevention and detection fee: $500
- Filing fee for Form DS-160: $160
- Premium processing (optional): $2,500
Companies can apply for Blanket L1 Visas (see more information below), which facilitates the application process for high-volume submissions. However, organisations should know that this option may increase legal and administrative expenses.
L1 Visa Processing Time
The processing timeline for an L1 visa can differ depending on whether you select standard or premium processing options. Standard processing generally takes 2 to 6 months, while premium processing ensures a decision within 15 calendar days. For employers overseeing time-sensitive projects, premium processing is often the advisable choice.
Blanket L1 Applications
Blanket applications allow large multinational companies to expedite the L1 visa process for multiple employees. Instead of filing separate petitions for each worker, the company can apply for a ‘blanket petition’ to cover several employees simultaneously. To be eligible for a blanket L-1, a company must:
- Have at least three offices (in the US and internationally).
- Be engaged in commercial trade or services.
- Have an office in the US that has been conducting business for over a year.
- And meet one of the following:
- Transfer a minimum of 10 L-1 workers annually.
- Have US subsidiaries or affiliates which generate at least $25 million annually.
- Have a US workforce of over 1,000 employees.
This process can significantly reduce administrative burden and streamline global mobility for employers.
How to Apply
- The employer must file a Form I-129H, Petition for a Non-immigrant Worker, with the US Citizenship and Immigration Services (USCIS).
- Required documentation will include copies of the employee's passport, resumé/CV/qualifications, job description, and information about the US and foreign companies.
- Once approved, the employee must complete Form DS-160 online and attend a visa interview at a US consulate or embassy in their home country.
- The employer applies for the L1 and pays the visa application fee.
- Upon visa approval, the employee can enter the US and work under the L1 visa.
For companies that frequently transfer employees, the blanket L-1 petition allows direct applications at a US consulate without needing individual USCIS approval.
Benefits of the L1 Visa
The L1 visa offers many advantages for both employers and employees:
- The L1 visa allows for the transfer of employees without the need for Labour Condition Applications (LCA), unlike other work visas such as the H-1B.
- No annual cap on the number of L1 visas issued.
- Spouses and unmarried children under 21 can accompany the L1 visa holder.
- Spouses can apply for work authorisation in the US.
- With the L1 visa, employees can live in the US while working.
- As a dual intent visa, the L1 visa allows for future Green Card applications, making it a viable option for long-term workforce planning.
- There are no salary limitations, but the employer must comply with state and federal minimum wages.
NES Fircroft’s Expertise in L1 Transfers
At NES Fircroft, we recognise the complexities of global talent mobility. For over 25 years, we have supported the American market by providing expert recruitment solutions to clients in the Oil & Gas, Renewables, Life Sciences, and Chemicals sectors. We assist businesses in facilitating global expansion through our employer of record services, ensuring our clients connect with the best talent worldwide.
With offices in central U.S. states, including Illinois, Texas, Florida, California, and Louisiana, we help companies remain compliant and competitive in their respective markets.
Our extensive network comprises a considerable number of professionals who have been employed with US companies for over twelve months, qualifying them for potential L1 visa transfers. Our experienced team can guide both employers and candidates through the L1 visa process, ensuring compliance with all requirements and maximising the chances of a successful application.
