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Work visa choices help businesses tackle labor shortages

Staffing Stream

Work visa choices help businesses tackle labor shortages

John E. Dorer
| February 6, 2025
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Influential voices like Elon Musk have recently reignited discussions about the US work visa system, particularly the H-1B visa. While the H-1B program is widely known, it represents just one of several pathways businesses can use to legally hire foreign workers.

For employers struggling with chronic labor shortages, understanding the full range of work visa options — including the EB-3 visa — is crucial.

US work visas generally fall into two categories: temporary (nonimmigrant) visas, which allow foreign nationals to work in the US for a limited time, and permanent (immigrant) visas, which provide a path to lawful permanent residence via a green card.

Here are the most common temporary and permanent visas.

Temporary Visas

H-1B (Specialty Occupations)

Who. Foreign professionals with a bachelor’s degree or higher in specialized fields such as information technology, engineering, finance or healthcare.

Annual cap. 85,000 (65,000 standard and 20,000 for US master’s degree holders).

Companies. Technology firms, financial institutions, healthcare providers, multinational corporations.

Validity. Initially up to three years, extendable to six years.

Pros. Access to highly skilled talent, potential for green card sponsorship.

Cons. Subject to lottery, high demand, expensive application process, job change restrictions.

L-1 (Intra-Company Transfers)

Who. Executives, managers or employees with specialized knowledge transferring from a foreign office of a multinational company to a US office.

Annual cap. None.

Companies. Corporations with operations in the US and abroad.

Validity. Up to seven years for executives, five years for specialized-knowledge employees.

Pros. No lottery, direct path to green card, no prevailing wage requirement.

Cons. Only available to existing employees of a multinational company.

TN (NAFTA/USMCA)

Who. Citizens of Canada and Mexico in certain professional fields, such as engineering, science or healthcare.

Annual cap. None.

Companies. US employers needing highly skilled professionals from Canada or Mexico.

Validity. Initially up to three years, renewable indefinitely.

Pros. No annual limit, lower filing costs, faster processing.

Cons. Only available to Canadian and Mexican nationals, limited to specific professions.

H-2B (Temporary Non-Agricultural Workers)

Who. Seasonal, non-agricultural workers in industries such as hospitality, construction, landscaping, seafood processing.

Annual cap. 66,000 (divided into two periods).

Companies. Hotels, amusement parks, landscaping firms, seafood processors, other seasonal businesses.

Validity. Up to nine months, renewable up to three years.

Pros. Fills temporary labor shortages, less restrictive than H-1B.

Cons. Strict seasonality requirements, employer-dependent status, complex application process.

H-2A (Temporary Agricultural Workers)

Who. Seasonal agricultural workers hired by US farms.

Annual Cap. None.

Companies. Farms, orchards, agricultural businesses.

Validity. Up to 10 months, renewable up to three years.

Pros. Helps farms address seasonal labor shortages, no annual cap.

Cons. Employer must provide housing and transportation, strict regulations.

Permanent (Green Card Pathways)

EB-3 (Employment-Based Green Card for Skilled, Unskilled and Professional Workers)

Who. Employers hiring foreign workers for permanent, full-time jobs:

  • Skilled workers: Requiring two-plus years of experience (e.g., chefs, electricians).
  • Unskilled workers: Requiring less than two years of experience (e.g., fast food, hospitality, warehousing, and healthcare aides).
  • Professionals: Requiring a bachelor’s degree (e.g., teachers, engineers).

Annual cap. 40,000 (with a portion reserved for unskilled workers).

Companies. Restaurants, trucking firms, manufacturing plants, hotels, assisted living facilities, others.

Validity. Leads to green card and permanent residency.

Pros. Long-term workforce stability, no need for seasonal renewal, workers commit to at least 12 months of employment.

Cons. Long processing time (typically 36-plus months), extensive paperwork, limited slots for unskilled workers.

Why EB-3 Matters for Employers

Unlike H-2B visas, which are seasonal, the EB-3 visa allows employers to fill year-round labor shortages with workers who stay long term. For industries struggling with retention — such as quick-service restaurants, industrial staffing, trucking and healthcare — the EB-3 visa provides a sustainable workforce solution.

Choosing the Right Visa

Each visa type has trade-offs. Employers should consider factors such as:

  • Timeframe. H-2B and TN visas offer faster hiring, while EB-3 provides long-term stability.
  • Job type: H-1B suits high-skilled roles, while H-2B and EB-3 fit entry-level positions.
  • Budget. H-1B and L-1 visas have high legal and filing costs; TN and H-2B visas are less expensive.
  • Industry needs. Seasonal employers may benefit from H-2B, while companies struggling with year-round labor shortages should explore EB-3.

As labor shortages persist across many industries, understanding work visa options is critical for businesses seeking to maintain operational stability. While the H-1B visa dominates headlines, employers in industries like hospitality, logistics and healthcare should consider alternatives like the EB-3 visa for a long-term workforce strategy.