• Insights

State Department Proposes Elimination of B-1 in Lieu of H Visa Classifications

October 20, 2020

insight-news-default

Country / Territory

  • United StatesUnited States

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

At a Glance

  • The State Department is proposing a revision to the B-1 business visitor regulations to remove the option to obtain a B-1 visa “in lieu of” an H-1B specialty occupation or H-3 trainee visa.
  • If the rule is finalized, it would eliminate a longstanding policy that permitted foreign nationals to enter on a B-1 visa to perform short-term H-1B services in limited circumstances while remaining on foreign payroll.
  • The agency will accept comments on the proposed change for 60 days after publication in the Federal Register tomorrow. The regulation will not take effect unless and until it is finalized, a process that typically takes several months.

The issue

The State Department has released a proposal to eliminate an option available in certain limited circumstances for foreign workers to obtain a B-1 business visitor visa “in lieu of” an H-1B specialty occupation or H-3 trainee visa (BILOH, or “B in lieu of H”). An advance copy of the proposal is available, and will be published in the Federal Register tomorrow. The agency has provided a 60-day public comment period.

If finalized, the rule will not invalidate any currently valid visas with a BILOH annotation, and the State Department will not take action to revoke any such visas. BILOH visa holders would, however, be subject to independent review by U.S. Customs and Border Protection at U.S. ports of entry, which could include questioning on whether the foreign national will be paid the U.S. prevailing wage.

The State Department proposal also seeks to revise the regulations to clarify that the B-1 classification does not categorically include members of the entertainment or athletic professions seeking to perform services within the scope of their profession (which are more properly classified by the O-1 or P-1 categories). Certain exceptions to this general rule will remain in the current Foreign Affairs Manual (FAM), however.

Background on BILOH

The B-1 visa classification is generally available to foreign nationals who will enter the United States to perform legitimate business activities while remaining employed abroad. B-1 visa holders are prohibited from engaging in productive employment in the United States, though the State Department’s FAM permits use of the B-1 classification in limited circumstances by foreign nationals who qualify for the H-1B visa and are entering the United States to perform H-1B services for a specific and limited duration while remaining on foreign payroll. There is a similar FAM provision for foreign nationals who qualify for the H-3 visa and are entering the United States to engage in certain types of training.

The BILOH concept has existed for many years and has been the subject of debate at several points during its lifetime. Both the State Department and the U.S. Customs and Border Protection have increasingly scrutinized BILOH visa applications and entries to the United States in recent years. 

What’s next

After publication in the Federal Register on October 21, and close of the public comment period, the State Department will review the feedback and prepare to issue a final rule in the Federal Register. Some aspects of the rule could be revised based on public feedback. There is no set timeframe for publication of a final rule, though the process typically takes several months. According to the agency, if the rule is finalized, the BILOH provisions in the FAM will be withdrawn. However, the progress of the proposal and any future changes to the BILOH provisions of the regulations and FAM could be affected by the upcoming national elections.

Fragomen is closely following  the proposal through the regulatory process and will provide updates.

This alert is for informational purposes only. If you have any questions, please contact the immigration professional with whom you work at Fragomen.

Country / Territory

  • United StatesUnited States

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Explore more at Fragomen

Fragomen news

Fragomen Appoints Timo Heck as Managing Partner of DACH Region

Fragomen has appointed Timo Heck as Managing Partner of the DACH region, encompassing Germany, Austria and Switzerland.

Learn more

Awards

Fragomen Professionals Recognized in the 2027 Edition of The Best Lawyers in Mexico™

Eight professionals in Fragomen’s Mexico City office have been recognized in the 2027 edition of The Best Lawyers in Mexico™ for Immigration Law.

Learn more

Blog post

How Employers Can Support Integration and Retain International Talent in Germany

Senior Manager Katharina Vorländer explores how employers in Germany can look beyond the initial immigration process to support integration, long-term stability and the retention of international talent.

Learn more

Media mentions

Scottish Legal News: Scotland’s Investment Ambitions Depend on Workforce Readiness

Director Kelly Hardman explores why workforce planning is essential to Scotland’s investment ambitions and long-term economic growth.

Learn more

Fragomen news

Comment on DHS Proposal to Eliminate the 60-day Grace PeriodLearn more

Fragomen news

Comment on DHS proposal to impose up to $100,000 in Optional Practical Training FeesLearn more

Media mentions

Human Resources Director: Fixed-Term Contract Limits Squeeze Visa Sponsorship, Research Warns

Co-authors Partner Charles Johanes, Senior Counsel Anna Boucher and Allens Partner Tarsha Gavin explore the intersection of Australia’s migration and employment laws and the implications for employers sponsoring temporary visa holders.

Learn more

Media mentions

Prawo: Pracodawca na pierwszej linii: jak reforma zatrudniania cudzoziemców przesuwa odpowiedzialność na firmy

Partner Karolina Schiffter examines how Poland’s proposed foreign employment reforms could increase employers’ administrative and compliance responsibilities.

Learn more

Blog post

Trusted Digital Identity Is Critical Infrastructure for Global Mobility

In the first blog in a new series, Managing Director, Digital Identity Amit Sharma explores why trusted digital identity is becoming increasingly important to global mobility, how reusable digital credentials could work and why interoperability across systems and jurisdictions will be critical.

Learn more

Blog post

UK Global Talent Visa vs Innovator Founder Visa: A Guide for Tech Professionals, Researchers and Founders

Senior Associate Amelia Haynes compares the UK’s Global Talent and Innovator Founder visa routes, examining who each route may suit, the evidence required, professional flexibility and potential pathways to settlement.

Learn more

Blog post

Polish Citizenship by Descent: Finding Family Records and Navigating Polish Archives

Poland Immigration Strategy Director Tomasz Rogala and Senior Associate Tomasz Rdzanek explain how applicants pursuing Polish citizenship by descent can locate family records, navigate archives and obtain documentary evidence that can be used in citizenship proceedings.

Learn more
Generic Insights

Fragomen news

2026年10月 米国移民法ダイジェストLearn more

Fragomen news

Fragomen Appoints Timo Heck as Managing Partner of DACH Region

Fragomen has appointed Timo Heck as Managing Partner of the DACH region, encompassing Germany, Austria and Switzerland.

Learn more

Awards

Fragomen Professionals Recognized in the 2027 Edition of The Best Lawyers in Mexico™

Eight professionals in Fragomen’s Mexico City office have been recognized in the 2027 edition of The Best Lawyers in Mexico™ for Immigration Law.

Learn more

Blog post

How Employers Can Support Integration and Retain International Talent in Germany

Senior Manager Katharina Vorländer explores how employers in Germany can look beyond the initial immigration process to support integration, long-term stability and the retention of international talent.

Learn more

Media mentions

Scottish Legal News: Scotland’s Investment Ambitions Depend on Workforce Readiness

Director Kelly Hardman explores why workforce planning is essential to Scotland’s investment ambitions and long-term economic growth.

Learn more

Fragomen news

Comment on DHS Proposal to Eliminate the 60-day Grace PeriodLearn more

Fragomen news

Comment on DHS proposal to impose up to $100,000 in Optional Practical Training FeesLearn more

Media mentions

Human Resources Director: Fixed-Term Contract Limits Squeeze Visa Sponsorship, Research Warns

Co-authors Partner Charles Johanes, Senior Counsel Anna Boucher and Allens Partner Tarsha Gavin explore the intersection of Australia’s migration and employment laws and the implications for employers sponsoring temporary visa holders.

Learn more

Media mentions

Prawo: Pracodawca na pierwszej linii: jak reforma zatrudniania cudzoziemców przesuwa odpowiedzialność na firmy

Partner Karolina Schiffter examines how Poland’s proposed foreign employment reforms could increase employers’ administrative and compliance responsibilities.

Learn more

Blog post

Trusted Digital Identity Is Critical Infrastructure for Global Mobility

In the first blog in a new series, Managing Director, Digital Identity Amit Sharma explores why trusted digital identity is becoming increasingly important to global mobility, how reusable digital credentials could work and why interoperability across systems and jurisdictions will be critical.

Learn more

Blog post

UK Global Talent Visa vs Innovator Founder Visa: A Guide for Tech Professionals, Researchers and Founders

Senior Associate Amelia Haynes compares the UK’s Global Talent and Innovator Founder visa routes, examining who each route may suit, the evidence required, professional flexibility and potential pathways to settlement.

Learn more

Blog post

Polish Citizenship by Descent: Finding Family Records and Navigating Polish Archives

Poland Immigration Strategy Director Tomasz Rogala and Senior Associate Tomasz Rdzanek explain how applicants pursuing Polish citizenship by descent can locate family records, navigate archives and obtain documentary evidence that can be used in citizenship proceedings.

Learn more
Generic Insights

Fragomen news

2026年10月 米国移民法ダイジェストLearn more
Fragomen.com home
Select Language
  • English
  • French
  • French - Canadian
  • German

Select Language

  • English
  • French
  • French - Canadian
  • German
ContactCareersMediaClient Portal
Search Fragomen.com
  • Our Services
    For EmployersFor IndividualsBy IndustryCase Studies
  • Our Tech & Innovation
  • Our People
  • Our Insights
    Worldwide Immigration Trends ReportsMagellan SeriesImmigration AlertsEventsMedia MentionsFragomen NewsBlogsPodcasts & Videos
  • Spotlights
    Travel and Mobility Considerations: Situation in the Middle EastNavigating Immigration Under the Second Trump AdministrationImmigration Matters: Your U.S. Compliance RoadmapCenter for Strategy and Applied InsightsView More
  • About Us
    About FragomenOfficesResponsible Business PracticesFirm GovernanceRecognition

Our Services

  • For Employers
  • For Individuals
  • By Industry
  • Case Studies

Our Tech & Innovation

  • Our Approach

Our People

  • Overview / Directory

Our Insights

  • Worldwide Immigration Trends Reports
  • Magellan Series
  • Immigration Alerts
  • Events
  • Media Mentions
  • Fragomen News
  • Blogs
  • Podcasts & Videos

Spotlights

  • Travel and Mobility Considerations: Situation in the Middle East
  • Navigating Immigration Under the Second Trump Administration
  • Immigration Matters: Your U.S. Compliance Roadmap
  • Center for Strategy and Applied Insights
  • View More

About Us

  • About Fragomen
  • Offices
  • Responsible Business Practices
  • Firm Governance
  • Recognition
Select Language
  • English
  • French
  • French - Canadian
  • German

Select Language

  • English
  • French
  • French - Canadian
  • German
ContactCareersMediaClient Portal
Important Updates
Important Updates
November 12, 2026 | 🌐Middle East - The Latest News on Mobility and Travel Considerations
November 12, 2026 | Austria, Germany, SwitzerlandFragomen Appoints Timo Heck as Managing Partner of DACH Region
November 12, 2026 | MexicoFragomen Professionals Recognized in the 2027 Edition of The Best Lawyers in Mexico™
November 12, 2026 | IndiaIndia: Simplification of Visa Categories and Reduction in Application Information Requirements
November 12, 2026 | IrelandIreland: New Seasonal Employment Permit Program Launched for Horticultural Sector Workers
November 12, 2026 | 🌐Middle East - The Latest News on Mobility and Travel Considerations
November 12, 2026 | Austria, Germany, SwitzerlandFragomen Appoints Timo Heck as Managing Partner of DACH Region
November 12, 2026 | MexicoFragomen Professionals Recognized in the 2027 Edition of The Best Lawyers in Mexico™
November 12, 2026 | IndiaIndia: Simplification of Visa Categories and Reduction in Application Information Requirements
November 12, 2026 | IrelandIreland: New Seasonal Employment Permit Program Launched for Horticultural Sector Workers
November 12, 2026 | 🌐Middle East - The Latest News on Mobility and Travel Considerations
Subscribe

Stay in touch

Subscribe to receive our latest immigration alerts

Subscribe

Our firm

  • About
  • Careers
  • Firm Governance
  • Media Inquiries
  • Recognition

Information

  • Attorney Advertising
  • Legal Notices
  • Privacy Policies
  • AI Transparency Statement
  • UK Regulatory Requirements

Our firm

  • About
  • Careers
  • Firm Governance
  • Media Inquiries
  • Recognition

Information

  • Attorney Advertising
  • Legal Notices
  • Privacy Policies
  • AI Transparency Statement
  • UK Regulatory Requirements

Have a question?

Contact Us
  • LinkedIn
  • Youtube
  • Instagram
  • Facebook
  • TikTok
  • Twitter

© 2026 Fragomen, Del Rey, Bernsen & Loewy, LLP, Fragomen Global LLP and affiliates. All Rights Reserved.

Please note that the content made available on this site is not intended for visitors / customers located in the province of Quebec, and the information provided is not applicable to the Quebec market. To access relevant information that applies to the Quebec market, please click here.