In the US… Many international workers returned home to see family after long periods of work abroad. However, news from President Donald Trump hit them hard, especially those in the IT sector. Companies employing thousands of foreign workers were also taken aback. They instructed their employees to return to the US immediately, leading to canceled weddings and disappointment among those who had just arrived home. This situation arose due to changes related to the H-1B visa.
What exactly is the H-1B visa? What is its purpose? Why is it crucial for American companies? How does it benefit Indian professionals? Why have fees increased? What are the consequences of these changes?
What is the H-1B Visa?
The H-1B visa is a non-immigrant visa.
When was it introduced?
The H-1B visa program began with the Immigration Act of 1990 (IMMACT90).
Who was the president at that time?
President George H.W. Bush signed this policy into law on November 20, 1990. The H-1B visa was divided into two categories: H-1A for nurses.
Who is eligible for the H-1B visa?
This visa allows American companies to employ foreign professionals in sectors like engineering, technology, medicine, and business.
What is the visa duration?
It is a temporary visa valid for 3 to 6 years, after which it can be renewed.
How many visas are issued each year?
65,000 visas are allocated annually, with an additional 20,000 for those holding advanced degrees from US institutions.
What were the original fees?
The fees ranged from $2,000 to $8,000.
What are the new fees?
Trump’s new regulations raised the annual fee to $100,000 as a flat fee.
Why was the fee increased?
Trump stated that companies were misusing the visa program to hire lower-paid foreign workers instead of providing higher salaries to local employees.
Which country has the most visa holders?
India ranks number one, holding 71% of the H-1B visas, while China holds about 12%. The rest are distributed among other countries.
How many applications were submitted?
Last year, about 339,000 applications were submitted for the H-1B lottery, exceeding the annual limit. According to USCIS data, 120,141 were selected, and the new fees will not affect these applicants.
Which companies have the most visa holders?
Amazon: 10,044
TCS: 5,505
Microsoft: 5,189
Meta: 5,123
Apple: 4,202
Google: 4,181
JPMorgan: 2,440
Amazon Web Services: 2,347
Infosys: 2,004
Mindtree: 1,807
Who does the new fee apply to?
The new fee applies only to new applicants in the next lottery cycle.
What about those already holding the visa?
Current H-1B visa holders do not need to pay the new fee, and it won’t apply during their renewal applications after their visa expires.
What do experts say?
They predict significant losses for the US due to the new fee structure. Indian IT companies employ around 50% to 80% local workers. Companies may consider shifting operations abroad to avoid higher costs, which experts argue could harm the US economy.
Aspirations of youth affected
Young talents aspire to work in the US and earn a living, viewing the H-1B visa as a pathway to achieve that dream. Many have succeeded in establishing residency through this visa. However, Trump’s policies now pose challenges for countless skilled Indian youth aspiring to similar futures.
