I found a possible scenario on a website why h1b visa's are denied, Although i am not pointing that all of the denied extensions are due to this reason, but a few may be!
Assume this case: You are a Weblogic guru. You came to US with H-1B to work for company A to help them get their Weblogic instances in shape and you were granted 3 years long visa, because it was the norm at the time (Say Obama years). 2 years later, you have done all that was expected from you and your assigned employer told your H-1B visa holder company that they will not be needing your services anymore. Instead of doing the right thing and sending you home, your contracting agency (likes of TCS, Cognizant, Wipro etc.) decided to put you up to company B as a java support person. After all Weblogic is written in java and you have a pretty good understanding of it. Right ? Well, not so right here. US has a plethora of Java programmers and they can do the same job without requiring a special work visa and they should have preference when it comes to hiring someone for that position. And since your company farmed you out to one of these places, they did the wrong thing. Now another year later, i.e. end of your initial 3 years long period (which is not unconditional by the way, your visa may be cut short when you put transfer request for another company) you applied for extending your visa. And naturally your company (again Wipro or TCS or alike company) need to provide your new job description to the USCIS, which says Java programmer or java support. And USCIS looks at that and says, this is not something that US has a shortage of and denies extension request. Whereas, if your end employer, would have offered you a weblogic support job, the denial most probably wouldn’t happen (unless the support level you are assigned to is wildly different between companies A & B) .
Yes you are qualified as a Java programmer may be but so are many unemployed or under employed US java programmers as well. And US’ priority is to protect its own citizens and legal residents before going out and hiring foreign labor.
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