US tightens H-1B rules again: How new fees and layoff review could affect Indian tech workers | Today’s news

The U.S. H-1B visa program is facing another round of changes, with higher costs for employers, tighter controls on layoffs and tighter controls that could affect Indian tech workers who want to work in the country.

The US government is once again tightening H-1B visa rules

President Donald Trump signed an executive order on September 18 directing the Departments of State, Labor and Homeland Security to consider whether an H-1B sponsoring employer has laid off similarly situated US workers in the previous year or is planning layoffs that could affect them.

The agencies were also directed to coordinate with the Departments of Commerce and Education and the Small Business Administration on information on wages, employment and industry conditions.

For Indian professionals, one of the most significant changes is the continuation of $100,000 payments for some new H-1B workers entering the US from abroad. The Sept. 18 proclamation extends the restrictions for another year, until Sept. 21, 2027. It applies to covered workers outside the U.S., with possible exceptions when the Department of Homeland Security determines that hiring is in the national interest.

The payment remains subject to legal disputes. Reuters reported that a federal judge had previously blocked implementation and that a government appeal was pending, meaning the practical position could change as litigation continues.

What other changes have been made?

Another proposed measure could be a $103,265 fee on H-1B subject petitions with a cap. The Department of Homeland Security says the proposed fee would apply to the 85,000 petitions that are subject to restrictions annually. It is a proposal rather than a final rule and is separate from the $100,000 entry payment.

There is also a new requirement for biometric fees. As of September 9, covered employers — those with at least 50 U.S. employees, more than half of whom are in H-1B or L-1 status — must pay a $4,000 9-11 biometric fee for covered H-1B extension petitions, including some same-employer extensions. The corresponding L-1 fee is $4,500.

The administration has separately proposed eliminating or changing the existing 60-day grace period that allows some nonimmigrants who lose their jobs to stay in the U.S. and look for new jobs. Reuters reported that the proposal would require affected workers to leave early unless they can secure other status or employment.

Enforcement is also becoming more intense. The Department of Labor’s Project Firewall focuses on investigations into suspected displacement of US workers, under-recruitment and other H-1B violations. Penalties may include back wages, civil penalties, and expulsion from the program.

For Indian tech workers, the combined effect isn’t just a higher visa bill. Employers may face greater scrutiny before sponsoring workers, while employees may have less flexibility after losing their job. The exact impact will depend on which measures become final and how ongoing legal issues are resolved.

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