The US Chamber of Commerce urges US lawmakers to revamp job-based Green Card and H-1B programmes.
The Republican Study Committee of the House of Representatives, in a letter to Speaker Nancy Pelosi and House Majority Leader Steny Hoyer, appealed to them to take up the legislation and pass it in the next few months. The panel called for an increase in the number of H-1B visas from the current 65,000 to 115,000 and for 20 per cent built-in annual increase.
Now White House would carry out its review of the proposed regulation, take inputs from various agencies, before taking a final call. The entire process could take from a few weeks to several months.
This April, visa applications to be issued for the US financial year beginning October saw a 50 per cent drop over last April.
Tata Consultancy Services (TCS) has stated that the recent suspension of eight IT firms, including itself, from a US green card programme will not impact its workforce strategy or customer engagements, citing its low number of applications and focus on local hiring.
India has strongly criticised the US decision to suspend the Permanent Labor Certification (PERM) program for eight major IT firms, including Indian giants like TCS and Wipro. New Delhi also condemned US Vice President JD Vance's description of foreign professionals as "indentured servants," calling it "unwarranted and deeply offensive." The move is expected to impact thousands of Indian tech professionals seeking permanent residency in the US and further strains bilateral ties.
Some foreign guest workers in the US will be able to re-submit their applications for the H1-B visa, the most sought-after non-immigrant visa among Indian IT professionals, if their petition was solely rejected because it was based on the initial registration period, according to a federal agency. According to the US Citizenship and Immigration Services (USCIS), such re-submission of applications is for those whose applications have been rejected or administratively closed solely because the requested start date was after October 1, 2020. The H-1B visa allows US companies to employ foreign workers in speciality occupations that require theoretical or technical expertise.
The US Citizenship Act 2023 introduced by Congresswoman Linda S nchez creates an earned roadmap to citizenship for all 11 million undocumented immigrants, providing Dreamers, TPS holders, and some farmworkers with an immediate path to citizenship.
The lawsuit has been filed by American Immigration Council and American Immigration Lawyers Association.
The US government will fight lawsuits aimed at blocking the USD 100,000 fee imposed on new H-1B visa petitions, asserting that the system was spammed with fraud and must be overhauled to prioritise American workers.
This is not a new rule, but very few people know about it.
The companies experienced a drop of 5,436 approved petitions (37 per cent) in 2016 as compared to previous year, a report by the National Foundation for American Policy, a Washington-based non-profit think-tank, said.
'Trump has signaled that he has changed his stance on the H1B visa from his first term.'
The share of Indian students pursuing OPT has nearly doubled from 22.12 per cent in 2006-07 to over 40 per cent in 2023-24.
The magnitude of the new H-1B visa application fee for fresh petitions - math of which works out to USD 500 million in case of 5,000 filings - may nudge IT companies to expand offshore delivery or increase local hiring, according to Motilal Oswal Financial Services.
'It is good to have the H1-B visa option but if tomorrow things happen to change, it is not the end of the world situation.'
Among IT services firm, Cognizant witnessed over 60 per cent of its initial applications rejected, followed by Capgemini, Accenture, Wipro, and Infosys. In 2018, the top six Indian firms got just 16 per cent or 2,145 H1B work permits.
This is primarily because of the current economic situation in the country, Microsoft said. "Given the economic downturn, we are filing substantially fewer H-1B applications than we filed last year," Microsoft general counsel Brad Smith wrote in a blog posting on microsoftissues.com.
'...are young Indians with aspiration to go to the US.' 'The dream has to be more about working in India...'
Reflecting the mood of the Silicon Valley, prominent media outlets from California have come out openly in support of the H-1B work visas and opposed increasing the "hire Americans" call in the United States.
Nasscom said while the visa programme has been used by companies to address the skill gap in the US by bringing in foreign employees, the number of H-1B employees from Indian companies have come down substantially over the last decade.
The H-1B work visas for highly skilled professionals have been most beneficial from IT sector professionals from India.
Nasscom on Monday said the US clarification that the H-1B visa fee hike will not affect current visa holders and will apply as a one-time fee only to fresh petitions has helped address the immediate ambiguity surrounding eligibility and timelines.
"We will fight to protect every last American life," Trump
TCS chief executive and managing director K Krithivasan stated that the US is unlikely to target tech companies based on their domicile, with actions like the recent green card application programme suspension being driven by local sensitivities around jobs.
The US government has suspended eight major IT firms, including Microsoft, Tata, Infosys, and Wipro, from the Permanent Labour Certification Programme, which allows companies to apply for green cards for foreign workers. This action, announced by Vice President J D Vance, Labour Secretary Keith Sonderling, and Attorney General Todd Blanche, is part of an effort to prevent American workers from being shut out of the job market. The Department of Labour cited abuse of the system, particularly by Microsoft, and also initiated an investigation into the J-1 visa programme used by several universities.
'Indian IT firms must hire and train more Americans while reducing dependence on sending employees from India to the US.'
US lawmakers have urged President Donald Trump to reconsider his proclamation on H1-B visas, including the USD 100,000 fee, asserting that Indian nationals are central to American leadership in IT and AI, and the restrictions will negatively impact US-India ties.
LinkedIn experts and real-life stories offer hope that Indian tech talent can still thrive globally, even as the $100,000 H1B fee reshapes onsite opportunities.
The Trump administration's proposed H-1B wage structure aims to increase pay for skilled overseas workers in the US by an average of $14,000, with Level I wages potentially rising to $97,746. This move, coupled with a weighted selection process favouring higher-skilled workers, is intended to curb abuse of visa programmes and ensure parity with American workers, but has already led to a sharp decline in H-1B applications, particularly from Indian IT companies.
India has expressed concerns over the potential humanitarian consequences of the Trump administration's new restrictions on the H1B visa program, particularly the disruption to families. The government hopes the US authorities will address these issues.
Social media feeds and immigration forums lit up with questions from workers and families who feared they might be stranded abroad, unable to return to their jobs or reunite with loved ones.
Microsoft Chairman Bill Gates has said that the curbs on how many foreign workers US tech firms can bring into the United States should be done away with, according to news reports.
Indian Americans contribute approximately 5% to 6% -- roughly $300 billion -- in federal tax revenues annually.
'It's better to stay away from large IT stocks until there is clarity on tariffs.'
'...but could demotivate employees seeking US residency.'
'Every parent should rethink their decisions to send their children to the US.'
One in 10 employees at California-headquartered technology unicorns now work from India, surpassing other major US tech hubs and several countries, driven by US visa restrictions and substantial cost savings.
'One important clarification is that the reported US action is not a blanket cancellation of all US tourist visas.'