Indian aerospace engineering scholar Sudhanva Kashyap thought he had mapped out all the pieces it could take to get to the USA, solely to have his plans upended by Washington’s sudden and costly change to its expert employee visas.
Friday’s modifications to the prized H-1B visas, which included a brand new $100,000 price, rattled the tech business and left US firms scrambling to determine the implications.
Hasty clarifications from the White Home that the brand new cost could be a one-off cost fairly than the annual price introduced by US Commerce Secretary Howard Lutnick on Friday solely added to the uncertainty.
The price change rattled college students like Kashyap, who hoped to get into an American college and from there the US jobs market.
Kashyap, a 21-year-old from the southern Indian tech hub of Bengaluru, had pictured himself going to a top-tier American college, with Stanford his objective.
“Back when the fee was lower, it was still something that you could pin hopes on, it would be easier to convert the student visa to an H-1B,” Kashyap advised AFP.
“I am very disappointed… my main dream is derailed as things stand now,” he mentioned.
H-1B visas enable firms to sponsor overseas employees with specialised expertise — equivalent to scientists, engineers, and pc programmers — to work in the USA, initially for 3 years however extendable to 6.
The USA awards 85,000 H-1B visas per 12 months on a lottery system, with India accounting for round three-quarters of the recipients.
Lutnick detailed the brand new measure as he stood beside Donald Trump within the Oval Workplace, the place the US president additionally launched a $1 million “gold card” residency programme he had previewed months earlier.
A number of main firms rapidly suggested their staff holding H-1B visas to not depart the nation whereas they found out the implications. Some who had already boarded planes disembarked for worry they may not be allowed to re-enter.
The American dream
Knowledge launched by the US Division of Homeland Safety confirmed there have been 422,335 Indian college students in the USA in 2024, a rise of 11.8 p.c on the 12 months earlier than.
India’s IT business affiliation Nasscom mentioned quickly after Friday’s preliminary announcement that it was involved by the brand new visa measures.
It mentioned “business continuity” at expertise firms could be disrupted, and was fast to level out how Indian IT corporations contributed to the US economic system and have been “by no means” a safety risk.
Shashwath VS, a 20-year-old chemical engineering scholar in Bengaluru, mentioned the brand new price was too excessive for firms to consider sponsoring a overseas candidate.
“I will now explore other countries… going to the US was a priority for me, but not anymore,” Shashwath mentioned.
He mentioned many like him may attempt to discover locations elsewhere, equivalent to Germany, the Netherlands and the UK.
Indians, he mentioned, “contribute significantly to the American economy — be it students who go there or people who work there”.
“So they (the US) will also be hit, in one way or the other.”
Immigration crackdown
Trump has had the H-1B programme in his sights since his first time period in workplace, and the present visa iteration has change into the most recent transfer in a serious immigration crackdown in his second time period.
Silicon Valley firms depend on Indian employees who both relocate to the USA or come and go between the 2 international locations.
India’s personal huge outsourcing business has additionally trusted the work permits for many years, though that has softened lately.
Trade chief Tata Consultancy Providers alone obtained approval for greater than 5,000 H-1B visas within the first half of the 2025 fiscal 12 months.
Sahil, a 37-year-old senior supervisor at an India-based consultancy agency, returned from the USA final 12 months after residing there on an H-1B visa for nearly seven years.
“I can tell every second or third person in the IT sector dreams of settling in the US or visiting to work,” he mentioned.
“We will see fewer Indians migrating to the US in the future. That possibly means those people will now start looking at other countries.”
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