Read this excerpt from the April 2010 Visa Bulletin

Explains RETROGRESSION, Basis of diversity based visas and over-subscription well. It’s good background for all those of you waiting in the 7% country quotas that MAKE NO SENSE. That’s like saying all employers in the country should provide employment based on race.

Dear DOL and USCIS. DIVERSITY BASED VISAS the way they are, DO NOT MAKE SENSE. Get it?

BACKGROUND INFORMATION ON FREQUENTLY MISUNDERSTOOD POINTS

Applicants entitled to immigrant status become documentarily qualified at their own initiative and convenience. By no means has every applicant with a priority date earlier than a prevailing cut-off date been processed for final visa action. On the contrary, a significant amount of demand is received each month for applicants who have priority dates which are significantly earlier than the applicable cut-off dates. In addition, fluctuations in demand can cause cut-off date movement to slow, stop, or even retrogress. Retrogression is particularly possible near the end of the fiscal year as visa issuance approaches the annual limitations.

Per-country limit: The annual per-country limitation of 7% is a cap which visa issuances to any single country may not exceed. Applicants compete for visas primarily on a worldwide basis. The country limitation serves to avoid monopolization of virtually all the annual limitation by applicants from only a few countries. This limitation is not a quota to which any particular country is entitled, however.

Applicability of Section 202(a)(5): INA Section 202(a)(5), added by the American Competitiveness in the 21st Century Act, removed the per-country limit on Employment-based immigrants in any calendar quarter in which applicant demand for numbers in one or more Employment-based preferences is less than the total of such numbers available. In recent years, the application of Section 202(a)(5) has allowed countries such as China – mainland born and India to utilize large amounts of Employment First and Second preference numbers which would have otherwise gone unused. Such numbers are provided strictly in priority date order without regard to the foreign state chargeability, and the same cut-off date applies to any country benefiting from this provision.

Applicability of Section 202(e): When visa demand by documentarily qualified applicants from a particular country exceeds the amount of numbers available under the annual numerical limitation, that country is considered to be oversubscribed. Oversubscription may require the establishment of an earlier cut-off date than that which applies to a particular visa category on a worldwide basis. The prorating of numbers for an oversubscribed country follows the same percentages specified for the division of the worldwide annual limitation among the preferences. (Note that visa availability cut-off dates for oversubscribed areas may not be later than worldwide cut-off dates, if any, for the respective preferences.)

Furthermore, Section 202(a)(2) reads, “2) Per country levels for family-sponsored and employment-based immigrants. Subject to paragraphs (3), (4), and (5), the total number of immigrant visas made available to natives of any single foreign state or dependent area under subsections (a) and (b) of section 203 in any fiscal year may not exceed seven percent (in the case of a single foreign state) or two percent (in the case of a dependent area) of the total number of such visas made available under such subsections in that fiscal year.” The seven percent per-country limit specified in INA 202(a)(2) is considered to be for both Family-sponsored and Employment-based numbers combined.

Allocation of visa numbers under Section 202(e) is accomplished as follows:

If based on historical patterns or current demand it appears that during a fiscal year number use by aliens chargeable to a particular country will exceed the per-country numerical limit for both the Family and Employment preferences combined, that country would be considered oversubscribed. Both the Family and Employment preferences would be subject to the prorating provisions of INA 202(e)(1).
Sometimes during a fiscal year it may become apparent that because of a lack of demand in the Family preferences, number use by aliens chargeable to an oversubscribed country will be well within the per-country numerical limit. In such case the excess Family numbers would be made available to the Employment preferences subject to the prorating provisions of INA 202(e)(1). Each of the first three Employment categories would receive 28.6% of the excess numbers, and each of the Fourth and Fifth preference categories 7.1%. (Fall-across would likewise apply if an oversubscribed country lacked sufficient demand in the Employment preferences but had excess demand in the Family preferences.)
If a foreign state other than an oversubscribed country has little Family preference demand but considerable Employment preference demand, the otherwise unused Family numbers fall across to Employment (and vice versa) for purposes of that foreign state’s annual numerical limit. For example, in FY-2009 South Korea used a grand total of 15,899 Family and Employment preference numbers, of which 1,688 were Family numbers and 14,211 were Employment numbers. This grand total was well within the FY-2009 per-country numerical limit of 25,620 Family and Employment numbers combined, so South Korea was not oversubscribed. The unused Family numbers were distributed within the Employment categories, allowing South Korea to be considerably over the 9,800 Employment limit which would have been in effect had it been an oversubscribed country.

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