US President Donald Trump’s executive order raising the H-1B sponsorship fee to US $100,000 has raised concern among Indian visa consultants, who say the move will directly affect Indian workers.
“70% of H-1B visa holders are Indians. After Indians, come Chinese, followed by people from other countries. Previously, the total fee was $215, plus another $750. Now, it translates to eighty-eight lakh plus in Indian rupees,” said Bikram Chabhal, president of the Association of Visa and IELTS Centres (AVIC).
Chabhal added that companies may struggle with the new costs. “I believe these companies will have to struggle a lot in the future. If a company has to pay a fee of one lakh dollars every year, then companies won't be able to afford that much money,” he noted.
He warned that the change would reduce opportunities for Indian workers seeking long-term residency in the US. “The biggest disadvantage of this seems to be for Indians, as Indians used to go extensively on this visa... After receiving those visas, they would then obtain green cards and become American citizens. This will impact them significantly,” he said.
ALSO READ: The $100K question. Who pays the H-1B fees — you or your employer?
At the same time, Chabhal suggested the shift could indirectly benefit India by bringing back skilled talent. “In the future, this will benefit India more because if specific workers return to India, they will be able to do something good for India. However, America will not find specialised workers in America...” he said.
The US administration said the hike was aimed at restructuring the programme. Commerce Secretary Howard Lutnick explained the new cost. “A company that wants to buy an H-1B visa... it's US $100,000 per year,” he said, clarifying that the visa would still be valid for three years with one renewal, making six years in total.
The fee applies to all H-1B positions regardless of salary or skill level. Lutnick said the idea was to remove entry-level roles from the system. “No longer will you put trainees on an H-1B visa — it's just not economic anymore. If you're going to train people, you're going to train Americans,” he said.
ALSO READ: $100,000 fee on H-1B to force hiring, strategy rethink for cos: Law firm JSA on US visa shocker
The policy is expected to significantly affect Indian IT firms like Infosys, TCS, and Wipro, which often send junior and mid-level engineers to the US. Lutnick argued the programme will now be limited to specialised positions. “If you have a very sophisticated engineer and you want to bring them in because they have expertise, then you can pay US $100,000 a year for your H-1B visa,” he said.
The secretary claimed industry support for the measure. “They are very happy about it, because they would like a process that is known, that is clear and that is swift,” he said, adding that the plan had been shaped through consultations with hundreds of companies.
Visa caps remain at 65,000 regular slots plus 20,000 for advanced degree holders, but officials expect fewer applications due to the cost. Lutnick noted, “Remember, these are the same cap, it's the same visa. There'll just be less of them issued because they used to be free, and now they cost US $100,000.”
The order also introduces enhanced vetting and will apply to renewals as well. Officials framed the measure as a way to protect American workers and raise revenue. “The idea is to bring in high earners, people with money,” Lutnick said.
For Indian professionals, the changes mark a major shift. With Indians making up the largest share of H-1B approvals, the fee hike is likely to reduce US-bound opportunities and push Indian firms to explore higher-value roles and alternative strategies.
(With ANI inputs)
“70% of H-1B visa holders are Indians. After Indians, come Chinese, followed by people from other countries. Previously, the total fee was $215, plus another $750. Now, it translates to eighty-eight lakh plus in Indian rupees,” said Bikram Chabhal, president of the Association of Visa and IELTS Centres (AVIC).
Chabhal added that companies may struggle with the new costs. “I believe these companies will have to struggle a lot in the future. If a company has to pay a fee of one lakh dollars every year, then companies won't be able to afford that much money,” he noted.
He warned that the change would reduce opportunities for Indian workers seeking long-term residency in the US. “The biggest disadvantage of this seems to be for Indians, as Indians used to go extensively on this visa... After receiving those visas, they would then obtain green cards and become American citizens. This will impact them significantly,” he said.
ALSO READ: The $100K question. Who pays the H-1B fees — you or your employer?
At the same time, Chabhal suggested the shift could indirectly benefit India by bringing back skilled talent. “In the future, this will benefit India more because if specific workers return to India, they will be able to do something good for India. However, America will not find specialised workers in America...” he said.
The US administration said the hike was aimed at restructuring the programme. Commerce Secretary Howard Lutnick explained the new cost. “A company that wants to buy an H-1B visa... it's US $100,000 per year,” he said, clarifying that the visa would still be valid for three years with one renewal, making six years in total.
The fee applies to all H-1B positions regardless of salary or skill level. Lutnick said the idea was to remove entry-level roles from the system. “No longer will you put trainees on an H-1B visa — it's just not economic anymore. If you're going to train people, you're going to train Americans,” he said.
ALSO READ: $100,000 fee on H-1B to force hiring, strategy rethink for cos: Law firm JSA on US visa shocker
The policy is expected to significantly affect Indian IT firms like Infosys, TCS, and Wipro, which often send junior and mid-level engineers to the US. Lutnick argued the programme will now be limited to specialised positions. “If you have a very sophisticated engineer and you want to bring them in because they have expertise, then you can pay US $100,000 a year for your H-1B visa,” he said.
The secretary claimed industry support for the measure. “They are very happy about it, because they would like a process that is known, that is clear and that is swift,” he said, adding that the plan had been shaped through consultations with hundreds of companies.
Visa caps remain at 65,000 regular slots plus 20,000 for advanced degree holders, but officials expect fewer applications due to the cost. Lutnick noted, “Remember, these are the same cap, it's the same visa. There'll just be less of them issued because they used to be free, and now they cost US $100,000.”
The order also introduces enhanced vetting and will apply to renewals as well. Officials framed the measure as a way to protect American workers and raise revenue. “The idea is to bring in high earners, people with money,” Lutnick said.
For Indian professionals, the changes mark a major shift. With Indians making up the largest share of H-1B approvals, the fee hike is likely to reduce US-bound opportunities and push Indian firms to explore higher-value roles and alternative strategies.
(With ANI inputs)
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