WEEKLY SENATE UPDATE

By U.S. Senator Olympia J. Snowe

For the week of January 7 through  January 14, 2005

THE H-2B VISA CRISIS

It’s January and summer may seem far away, but the businesses that comprise Maine’s hospitality industry are already preparing for the tourist season. In Maine, 87,000 jobs are directly tied to the success of tourism, which generates $13.9 billion for Maine’s economy and $556 million in state tax revenue. Unfortunately, this vital sector of our economy is facing a looming crisis long before the tourist season begins: it may not be able to secure enough employees if Congress does not address the shortage of H-2B visas for seasonal workers who enter the U.S. each year.

A cap on the number of H-2B visa workers allowed to enter the country each year was set at 66,000 per fiscal year in 1990, but the cap was not enforced at first. Each year, about 3,000 seasonal, foreign workers who hold an H-2B visa traveled to Maine for temporary employment. Due largely to an increased focus on security after September 11, 2001, the cap has only been enforced for the last two years. The cap hurts Maine’s businesses disproportionately in relation to other states because Maine’s tourist season begins so late in the fiscal year. On January 4 of this year, the cap on the supply of H-2B visas was reached, and now Maine’s inns and restaurants are looking at an impending labor shortage that endangers the summer business they depend on. Last year, the cap was reached in March - clearly this problem is growing worse and will not improve unless Congress acts.

It is crucial to note that, as a safeguard for Maine workers, businesses that request H-2B seasonal workers must undergo a lengthy process – through the Maine Department of Labor, U.S. Department of Labor, and U.S. Citizenship and Immigration Services – that certifies employers have made repeated and unsuccessful attempts to recruit local Mainers first. Federal regulations require that these businesses present evidence that qualified workers in the United States are not available. According to the Maine Department of Labor, all such job opportunities are posted for at least ten days at more than twenty career centers statewide, and the U.S. Department of Labor official instructions specifically mandate that any businesses seeking H-2B workers must prove they have advertised these openings for at least three consecutive days in a local newspaper.

The present first-come, first serve system is broken and unfair, and the cap of 66,000 H-2B visas per fiscal year is unrealistically low. To address the summer labor shortage last year, I cosponsored two different pieces of legislation that would have raised the H-2B cap to 106,000 and would have provided that any seasonal worker who has already been an H-2B visa holder during any one of the past two fiscal years would not be counted toward the upcoming annual cap. Either one of these measures would go a long way toward addressing the H-2B crisis.

We cannot forget that Maine’s permanent, year-round local tourist jobs and the small business owners who create those jobs depend on a successful summer season for their livelihood. For Maine’s seasonally dependent summer economy, the implications of not increasing the H-2B visa cap on these visas or reworking how they are allocated is potentially disastrous. I am committed to working with my colleagues to pass similar legislation, and I will continue to do all I can to bring relief to employers in Maine and across the nation.