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H-1B Fee Hike: What It Means for Indian Employees and Aspirants in the US

US visa reforms bring uncertainty for Indian H-1B holders and aspirants, which makes companies reconsider staffing and sponsorship plans

H-1B Fee Hike
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Summary

Summary of this article

  • H-1B fees hike impacts Indian professionals and aspirants in U.S.

  • Companies may limit junior, mid-level staff sponsorship for visas.

  • Experts see potential India opportunities as talent returns domestically.

The U.S. President Donald Trump announced that companies will be required to pay a $100,000 yearly fee to sponsor H-1B visas beginning September 21, 2025. Signed by President Donald Trump, the move aims to reform the visa program that allows only highly skilled foreign professionals to work in the United States.

Immediate Concerns for Indian H-1B Employees

Following the Trump administration's announcement of the $100,000 H-1B visa fee, companies including Amazon, Microsoft, and JP Morgan have advised their employees holding H-1B and H-4 visas to remain in the United States. Reuters reported that these companies are concerned that employees currently outside the country could face difficulties returning once the new fee takes effect.

In an internal communication, Amazon asked all H-1B and H-4 visa holders to return to the U.S. by September 21, the day the executive order comes into force. Similarly, Microsoft advised its H-1B employees to stay in the U.S. for the foreseeable future. H-4 visa holders include legal spouses and unmarried children of H-1B employees. The guidance underscores the immediate practical challenges faced by visa holders due to the policy change.

Cyrus Mehta, a U.S. immigration attorney, highlighted that H-1B visa holders currently outside the U.S., whether on business or vacation, could face being stranded if they do not return before midnight on September 21. He also noted that H-1B aspirants in India may have already missed the chance to arrive in time, as no direct flights from India could reach the U.S. before the deadline.

Indians Dominate H-1B Visas

Indians account for a significant majority of H-1B approvals in recent years, receiving roughly 71 per cent of all visas, compared with 11 per cent for China. This shows the visa reliance of Indian professionals and highlights these changes in the H-1B fee could have a significant impact on them.

Impact on Indian Employees and Aspirants in the US

H-1B visas have historically carried administrative fees totaling around $1,500, according to BBC. The increased fee applies to both current H-1B holders and aspiring candidates. Mid-level and junior personnel may now face fewer sponsorship, and employers may reconsider sending staff to the United States, creating uncertainty for Indian professionals seeking to work or further their careers in America.

According to Reuters, in just the first half of 2025, Amazon and AWS secured approvals for more than 12,000 H-1B visas, while Microsoft and Meta each cleared over 5,000. Indian IT consultancies such as Infosys, TCS, Wipro, HCL Technologies, and Cognizant have historically relied on H-1B visas to post thousands of engineers onsite at American client locations. The $100,000 fee makes it costly to send junior or mid-level staff by putting pressure on the system and changing opportunities for Indian professionals.

The new $100,000 fee also poses challenges for aspirants in India. Many people may miss the deadline to enter the United States, and early-career professionals' sponsorship may become limited. Companies may prefer to hire senior staff or local talent thus changing career opportunities for Indians looking to work in the United States.

Experts like Amitabh Kant believe that this could generate chances for India. By making U.S. visas more expensive and difficult to obtain, talented personnel may progressively flock to Indian hubs like Bangalore, Hyderabad, Pune, and Gurgaon, boosting domestic innovation, startups, and research.

NASSCOM Official Statement

NASSCOM issued an official statement on the White House's September 19, 2025, announcement introducing a $100,000 annual fee for H-1B visas. The industry body said the move could affect Indian professionals currently working in the U.S. and may disrupt business continuity for IT companies handling onshore projects.

It added that Indian firms have gradually reduced reliance on H-1B visas through local hiring and have followed all U.S. rules regarding wages and compliance. NASSCOM also expressed concern about the short timeline for implementation, which could create uncertainty for employees and students. The body stated that it will continue to monitor the situation and collaborate with stakeholders to minimise interruption.

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