CPT vs. OPT vs. H-1B: What Recruiters Need to Know
When recruiting international talent in the U.S., it’s crucial for recruiters to understand the different types of work authorization that candidates might possess. CPT (Curricular Practical Training), OPT (Optional Practical Training), and H-1B visas are the primary work authorization categories for international students and professionals. Each comes with its own eligibility criteria, application process, and duration. Understanding the nuances of each will help recruiters make informed decisions and optimize their recruitment strategies.
Here's a breakdown of what recruiters need to know about CPT, OPT, and H-1B:
1. Curricular Practical Training (CPT)
What is CPT?
- CPT is a type of work authorization that allows F-1 students to engage in off-campus employment that is directly related to their field of study. The employment must be part of the student's curriculum, such as internships, cooperative education programs, or other types of practicums.
Key Points for Recruiters:
- Eligibility: Only F-1 visa holders who have been enrolled full-time for at least one academic year (9 months) are eligible for CPT.
- Type of Work: The work must be directly related to the student’s major and part of an established curriculum (i.e., internships, co-op programs).
- Duration: CPT can be part-time (20 hours/week or less) during the school year or full-time (more than 20 hours/week) during breaks or summer. However, if the student uses 12 months or more of full-time CPT, they lose eligibility for OPT.
- Work Authorization: No separate work authorization is needed from USCIS, as the school’s International Student Office authorizes CPT. Students need to request CPT authorization from their Designated School Official (DSO).
- Flexibility: CPT can be paid or unpaid, and the employer typically doesn’t need to sponsor the student for work authorization.
How to Work with CPT Candidates:
- Ensure the position you’re offering qualifies as curricular in nature (e.g., internship or co-op related to the student’s major).
- Verify the student’s CPT status by requesting documentation from the university.
- Understand that CPT employment is time-limited and tied to academic schedules, which can affect recruitment timelines.
Example: A student studying Computer Science might use CPT to work part-time as a software developer during the academic year, or full-time during the summer.
2. Optional Practical Training (OPT)
What is OPT?
- OPT allows F-1 visa holders to work in the U.S. for a limited period after completing their degree or program. It enables students to gain practical experience in their field of study.
Key Points for Recruiters:
- Eligibility: OPT is available to F-1 students who have completed at least one academic year of full-time study. The student must apply for OPT before their program ends.
- Duration:
- Standard OPT: Typically 12 months of work authorization.
- STEM OPT Extension: For students with a degree in STEM fields (Science, Technology, Engineering, Math), an additional 24 months is available (a total of 36 months).
- Application Process: Students must apply for OPT through USCIS, and the process can take several months, meaning recruiters should plan accordingly. OPT candidates receive an EAD (Employment Authorization Document) after approval.
- Type of Work: The work must be directly related to the student’s degree field. While it doesn't have to be part of the curriculum (unlike CPT), the work must be in the same field as their major.
- Work Authorization: Once granted, OPT authorization is tied to the EAD card issued by USCIS, and the student can work for any employer in the U.S. in their field of study.
- Post-OPT Transition: Many OPT candidates aim to transition from OPT to a longer-term work visa (like H-1B), and employers willing to sponsor H-1B visas can create a smoother transition for candidates.
How to Work with OPT Candidates:
- Ensure that the role aligns with the candidate’s field of study.
- Understand the time constraints: OPT authorization is typically for 12 months, but for STEM students, it’s up to 36 months.
- Be aware that the H-1B lottery can create uncertainty for OPT candidates transitioning to long-term employment. Communicate clearly about potential visa sponsorship options if you want to retain them beyond their OPT period.
Example: A graduate with an Electrical Engineering degree who applies for OPT might work as an electrical engineer in a company for up to 12 months, or 36 months if eligible for the STEM extension.
3. H-1B Visa
What is the H-1B Visa?
- The H-1B visa is a non-immigrant work visa that allows U.S. employers to hire foreign workers in specialty occupations requiring a bachelor's degree or higher (or equivalent experience) in a specific field. It is commonly used for professionals in fields like IT, engineering, healthcare, and finance.
Key Points for Recruiters:
- Eligibility: The role must qualify as a specialty occupation requiring at least a bachelor's degree or equivalent in a relevant field (e.g., Computer Science, Engineering, Medicine).
- Duration: The H-1B visa is typically granted for an initial 3 years, with the option to extend it for an additional 3 years (maximum of 6 years total). After that, the individual may need to transition to a different visa type, unless a green card application is in progress.
- H-1B Cap: There is an annual cap of 85,000 new H-1B visas issued each year, with 20,000 of those reserved for candidates with advanced degrees from U.S. institutions. Due to high demand, the visa process is conducted through a lottery system, and many applicants are not selected.
- Application Process: The application process involves employers submitting an LCA (Labor Condition Application) to the Department of Labor, followed by filing a petition with USCIS. It’s a lengthy process, often taking several months to complete, and requires employer sponsorship.
- Work Authorization: Once approved, the candidate can work for the employer who sponsored the visa. This visa is tied to a specific employer, and if the employee wants to change employers, the new employer must file a new H-1B petition.
- Path to Green Card: The H-1B visa can serve as a pathway to permanent residency (green card) if the employer sponsors the employee for a green card, though this process can take several years depending on the candidate's country of origin.
How to Work with H-1B Candidates:
- Be aware of the H-1B lottery and the uncertainties around cap-subject filings. Candidates who are selected in the lottery can begin working for you as soon as the H-1B is approved.
- Understand the timelines: H-1B visas typically start in October of each year, so plan your hiring accordingly.
- Be prepared for the costs and paperwork associated with sponsoring an H-1B candidate. Employers must pay for some of the visa filing fees, and the process can involve significant legal and administrative costs.
Example: A software developer from India with a U.S. degree in Computer Science might apply for an H-1B visa after completing OPT. If selected in the lottery, they could work for the employer who sponsored the visa for up to six years.
Key Differences Between CPT, OPT, and H-1B
Factor | CPT | OPT | H-1B |
---|---|---|---|
Eligibility | F-1 students with at least one year of study | F-1 students with at least one year of study | Must have a job offer in a specialty occupation |
Duration | Part-time during school year, full-time during breaks | 12 months (up to 36 months for STEM) | Initial 3 years, extendable up to 6 years |
Work Authorization | Authorized by university, no USCIS approval | Authorized by USCIS, requires EAD card | Requires USCIS petition and approval |
Field of Study | Must relate to field of study | Must relate to field of study | Must require a specialized degree |
Employment | Part-time or full-time internships, co-ops | Full-time employment in field of study | Full-time employment for sponsoring employer |
Sponsorship | No sponsorship required | No sponsorship required | Requires employer sponsorship |
Path to Green Card | No direct path | No direct path | Can be a path to permanent residency |
Conclusion
Recruiters must be knowledgeable about CPT, OPT, and H-1B to effectively source, hire, and retain international talent. CPT is great for internships and short-term work during school, while OPT allows for post-graduation work experience, and H-1B offers long-term work authorization for highly skilled professionals. Each type of work authorization has its own set of requirements and timelines, so recruiters should be proactive in understanding and navigating these complexities when working with international candidates.