03/24/2020
Another critical issue: COVID-19 and unemployment for non-immigrant visas (E, L1, H1-B, O1)
COVID-19 and the resulting mandatory shutdown of many businesses brings down the questions about unemployment benefits.
It is a matter of State Law versus Immigration Law.
Many states allow unemployment benefits even to foreign nationals, as long as they are authorized to work in the U.S. This may seem in direct conflict with USCIS regulations which makes working a condition of valid status in the U.S.
Even though this is paradoxical, if it became necessary for someone in a temporary visa status to apply for unemployment benefits then he can do so.
However, one must be aware of the consequences of doing so since it could make applying for an extension of nonimmigrant status very difficult and one may have to apply for a renewal through a consular processing instead.
It is to be noted that for those in H-1B, the employer is always subject to paying the prevailing wage (DOL's rule) and going on unemployment would be in contradiction of that.
Attention: for any specific advice regarding your case, please reach out to your counsel and look for the state law applicable to your location.