Also how would you transition to another visa when applications are suspended? You'll have to live in the United States without a job in the hopes the suspension is lifted before your I-94 expires.
The I94 expiration case can happen in practice. I don't know all possible cases, but at least for H1B done through change of status, you are not required to get a visa as long as you do not leave the country. And no, you r I-94 does not expire for three years, so it is entirely possible to complete a whole H1B period without a visa.
> You are still conflating legal status and visa in an improper way.
I am and you should speak to your immigration lawyer if your visa is expiring.
I am going through F1->H1B process. I do not have an H1B visa, and I have a document that tells me I am allowed to stay in the country in the H1B status between a time period, and you are telling me I am in trouble because I do not have a visa. Ok, I suppose.
A common immigration path is F1(Student) -> OPT -> H1B Status. If the person was already in the US(because they're going to a US college) then they would be given H1B status(read: no visa). Getting a H1B visa from the US consulate would be required IFF they: 1) Weren't already in the US, 2) Need to leave and reenter the US.
If the person is _already_ in the US when they receive H1B Status then they don't need to receive a visa. Not having a visa is not illegal or affect work status. A visa simply allows ingress and egress in/out of the country and does not confer work authorization(which is what an H1b "Status" does).
Source: I've gone through this process, and from a family of attorneys.