§ 655.731(h)(10)(i)(B).Įven then the employer may not deduct the bona fide liquidated damages from the wages of the H1-B visa holder. Therefore, an employer may not make any deduction from the H-1B visa holder’s paycheck, and may not otherwise collect a penalty (including reimbursement of costs), because the H-1B visa holder has terminated his employment before an agreed-upon date.īy contrast, an employer is permitted to receive “ bona fide liquidated damages” from an employee who holds an H-1B visa who ceases employment with the employer before an agreed-upon date. Department of Labor has interpreted cost reimbursement provisions to fall within the category of prohibited penalties. That USCIS Form to petition for H-1B is the I-129.įurther, the U.S. An employer is prohibited from directly or indirectly requiring an employee who holds an H-1B visa to pay a penalty for terminating employment before an agreed-upon date.
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