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September 2008

Speak Out :: HB2 Caps Create Chaos

Bob Gleason, President of Boot Doctors, talks about the chaos left in the wake of changes made to the HB2 caps.

Written by Bob Gleason | 0 comment

Changes made to the H-2B caps for the first half of 2009 are driving the winter sports industry into chaos. The situation affects not only resorts, but other winter sports businesses as well. All of us simply must find a way to avoid what could be an impending disaster.

Let me explain our situation. I operate two ski and snowboard shops, one in Telluride, Colo., and the other in Taos, N.M. We have a reputation as being a very good employer. We pay high wages for our field, provide health insurance, end-of-season bonuses, profit sharing, season ski and snowboard passes, time to ski, and a happy work environment.

Despite these attributes and extensive advertising for needed staff, we are dependent on seasonal skilled foreign workers to complete our staffing. We have employed skilled staff members from Australia and England that have worked with us for up to nine winters. But the recent changes in the method of applying the “cap” to these visas has virtually eliminated these important seasonal employees from the winter sports industry. Without staff, we can not survive. Our business requires skilled service personnel.

As you surely know, the 33,000 cap on H-2Bs for the coming winter is already filled. Like many of you, we were shut out due to the timing of our season. Since our seasonal need starts October 15th, we commenced the filing process on June 15th, in accordance with the 120-day advance rule. In July the state approved our need and forwarded it on. By July 29th the USCSI reached the arbitrary cap without having processed the application that we had sent in early July (paying several thousands of dollars for premium processing). So we are now short 11 veteran boot, binding, and snowboard technicians—a significant percentage of our staff.

The magnitude of this problem is huge. In 2007, there were about 127,000 H-2Bs issued for the year (hard numbers are difficult to come by; estimates run as high as 225,000), thanks to the returning-workers exemption. By failing to continue the exemption, more than 50 percent (and possibly as many as 70 percent) of these visas were vaporized.

While I applaud efforts to increase job opportunities for out-of-work Americans, the current H-2B limits aren’t helping. I have tried to lure these elusive Americans. I advertised for staff all last winter in Ski and Skiing magazines. I also advertised continually in our local newspapers. I did not have a single response! There are no people looking for these jobs.

Although I have grown my “ma and pop” business to over $5 million in the 22 years since our meager beginnings, it is but a freckle on the face of this problem. Vail Resorts has been denied 1,300 visas across its five areas. Our resort operator here in Telluride had requested and been denied between 70 and 100 visas. I have heard that only three resorts in the entire country secured their H2Bs, mostly by manipulating the start dates of the work, so that they could get their applications filed early enough in the process.

The winter sports industry is facing difficult times. With gas eclipsing $4 per gallon, we need to offer better service then ever to make the expensive trip to the mountains worthwhile. The economic downturn will undoubtedly make business more difficult. Losing our staffing will make dealing with these problems almost insurmountable.

Let your representatives in Congress know how serious this situation is. Ask them to support legislation to reinstate the “returning worker” exemption for a five-year period. There are two related bills expected to be before Congress when it reconvenes in September: H.R. 1843 and S.988. These bills ask to extend the termination date for the exemption of returning workers. In the House, sponsor Bart Stupak (MI-1) has 153 co-sponsors, including Diana DeGette (CO-1), Mark Udall (CO-2) and Marilyn Musgrave (CO-4). In the Senate, Barbara Mikulski (MD) has 46 co-sponsors, including Colorado Senators Ken Salazar and Wayne Allard. You can see the bills and who is co-sponsoring at www.savesmallbusiness.org.

You’ve got lots of support from those whose livelihood, like ours, also depends on providing top-notch service to our guests. Together, we can show the dire need for quick action.


Ed. Note: NSAA, along with other groups affected by the current H2B limits, has been lobbying Congress to pass a returning worker exemption to increase the number of available H-2B visas. However, Congress took its usual August recess, so no action can take place until September at the earliest. If and when Congress acts, resorts that have DOL labor certification in hand may still be in a position to submit petitions for returning workers to USCIS in time for foreign employees to arrive before the holidays.

At press time, according to NSAA public policy director Geraldine Link, Senators Mikulski (D-MD) and Sanders (I-VT) were working on compromise language that includes a number of labor protection provisions as well as process requirements for employers. If the two Senators settle on compromise language, Senator Menendez, chair of the Congressional Hispanic Caucus Immigration Subcommittee in the Senate, may allow an H-2B amendment to be attached to a moving bill in September.