What’s Happening

On September 18, 2026, President Trump issued a new Executive Order titled “Enhancing Program Integrity and Interagency Coordination in the Administration of the H-1B Nonimmigrant Visa Program,” directing federal agencies to consider an employer’s recent or planned layoffs when reviewing H-1B cases. The White House also issued a Fact Sheet explaining the Administration’s broader focus on H-1B compliance and enforcement.

Under the new Order, the government must consider whether an H-1B employer had layoffs within the past year or is planning future layoffs that negatively affect similarly situated U.S. workers. This review can come up at several points in the H-1B process, including when an employer files a Labor Condition Application (“LCA”) or H-1B petition, when an employee applies for an H-1B visa, and when an H-1B employee seeks admission to the United States.

Importantly, the Order does not mean that an employer cannot sponsor H-1B workers simply because it has had layoffs. It does not create an automatic denial rule or a new labor-market test. Instead, it makes layoffs a factor that agencies must consider when reviewing H-1B cases. The Administration has not yet provided any public-facing guidance on how the fact of a layoff will impact H-1B adjudications or what information and documentation a sponsoring employer must provide in the event of a layoff.