H-1B Holders in the U.S. Likely Need Authorization to Contract for Foreign Companies, Murthy Says
Key Takeaways
- H-1B status authorizes employment only for the petitioning H-1B employer; side gigs for foreign firms from within the U.S. are likely unauthorized.
- Murthy Law Firm notes regulations on “unauthorized employment” are not entirely clear, but working for a foreign entity while in the U.S. could violate H-1B status.
- Adding a second job generally requires separate work authorization, such as a concurrent H-1B from a U.S. petitioner or an Employment Authorization Document (EAD), where eligible.
- Physical location matters: work performed while in the United States typically requires U.S. work authorization, regardless of who pays or where the company is based.
What Murthy Law Firm Says
H-1B status is employer-specific. According to a new Murthy Law Firm FAQ, H-1B authorization covers work only for the sponsoring employer named in the petition. The firm emphasizes that, although U.S. regulations do not spell out every scenario, it is likely that performing services for a foreign company while physically present in the United States would be treated as unauthorized employment—and thus a violation of H-1B status. USCIS (U.S. Citizenship and Immigration Services) and DHS generally define “employment” broadly as providing services in exchange for wages or other remuneration.
Why This Matters
For many H-1B professionals fielding offers to moonlight as contractors for companies in Europe or elsewhere, the physical location of the worker—not the client—drives U.S. immigration compliance. That means being paid in foreign currency, invoicing as an independent contractor, or working for a non-U.S. entity does not sidestep U.S. work-authorization rules. A violation can have real-world consequences: it can trigger scrutiny on extensions or amendments, complicate future immigration benefits, and disrupt career plans.
Compliant Paths and Practical Options
Those seeking a lawful way to add work should look to recognized pathways. A “concurrent H-1B” allows a second U.S. employer (or a U.S. affiliate/employer-of-record for the foreign client) to file its own H-1B petition for part-time work that aligns with wage and Labor Condition Application (LCA) requirements. Alternatively, some individuals may qualify for an EAD—such as H-4 spouses with EADs or applicants with a pending I-485 (green card application)—which can provide broader work flexibility. Another option is performing the work while physically outside the United States, where U.S. work authorization is not required. Given the stakes and the gray areas noted by Murthy, individualized legal advice is prudent before taking on any side contract.
Source: Original Article