New US Visa Rules Set to Come Into Effect From July 8: What Indian H-1B Holders Can Expect

Upcoming H-1B Visa Changes: Key Impacts on Indian IT Professionals and Employers

The United States Citizenship and Immigration Services (USCIS) is preparing to publish new H-1B visa rules. This could significantly impact the market for professionals, particularly those from India, and employers alike. It is anticipated that these modifications will be made official on July 8 after a period of public feedback.

Introduction of New Fees for Visa Extensions

The proposed regulations include a significant modification in the form of a $4,000 cost for renewing H-1B visas and a $4,500 price for extending L-1 visas. These charges are consistent with the 9/11 Response and Biometric Entry-Exit Fee, which are only presently applicable to new visa applications and employer changes. This action is currently undergoing a 60-day feedback period after being first suggested by USCIS on October 23 of last year.

Impact on Indian IT Professionals

An essential route for Indian IT businesses to deploy their software engineering specialists to work in the US is through H-1B visas. Historically, the majority of H-1B grantees have been Indian. The new regulations may cause difficulties for thousands of Indians who wish to live and work in the United States, as well as for many current H-1B visa holders and potential candidates.

Redefining Speciality Occupations

The redefining of specialised jobs is one of the controversial aspects of the planned revisions. According to the proposed regulations, employment positions would need to emphasise specifically linked areas of expertise and demand focused degrees that are closely related to the work. This mirrors a policy from the Trump era that faced legal challenges for potentially excluding numerous skilled international professionals. For example, individuals with business administration degrees might be classified as holding a ‘general degree,’ which could be deemed insufficient for speciality occupation status.

Financial Implications for Employers

The Department of Homeland Security (DHS) is contemplating the imposition of significant fees on employers for the extension of H-1B and L-1 visas. The agency is specifically focusing on businesses where more than 50% of the workforce is employed under these visas. Companies that depend on these visa extensions may face severe financial consequences as a result, which may force them to reconsider how they hire foreign workers.

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