H-1B Visa Fee Hike: New Fee and Impact on Indians

For decades, the H-1B visa has been the main gateway for highly skilled professionals – particularly from India – to work in the United States. But in 2025, the program has entered a period of dramatic change. The U.S. government recently introduced new rules, including a staggering $100,000 additional fee for certain H-1B petitions, along with adjustments in wage thresholds and selection criteria. These shifts are not just policy tweaks; they have the potential to reshape the future of Indian IT companies and the career choices of thousands of Indian professionals.

Why the U.S. changed the rules

The official reasoning behind the new measures is twofold:

1. Protecting U.S. jobs – Policymakers argue that higher fees and stricter requirements will encourage employers to hire locally instead of relying on overseas workers.
2. Revenue and regulation – The new fee acts as a financial barrier, limiting mass applications from outsourcing firms and raising funds for immigration services.

While the intent is clear, the side effects are far more complex – especially for India, which accounts for nearly 70% of all H-1B recipients.

Direct impact on Indian IT companies

Indian tech giants like Infosys, TCS, and Wipro have traditionally relied on H-1B visas to place engineers at client sites in the U.S. With the $100k surcharge, the cost of deploying an employee skyrockets. This forces companies to rethink their delivery models:

• On-site hiring may shrink as firms prioritize U.S. citizens or permanent residents.
• Remote delivery from India could increase, reducing the number of employees stationed abroad.
• Margins will be squeezed, especially for mid-sized firms that cannot absorb such steep costs.

Industry associations such as NASSCOM have already voiced concerns, warning that these changes could disrupt not just companies, but also the career dreams of thousands of young Indian tech workers.

What it means for Indian professionals

For an aspiring engineer or data scientist in India, the road to the U.S. job market may now be steeper. Here’s how:

• Fewer openings: With companies rethinking their visa budgets, entry-level and mid-level roles may see sharp declines.
• Preference for senior talent: Employers may save H-1Bs for highly specialized, high-paying positions.
• Alternative destinations: Canada, Australia, and even remote-first global companies may emerge as more practical options for Indians who want international exposure.

Students in the U.S. on OPT (Optional Practical Training) will also feel the heat, as fewer companies may be willing to sponsor their H-1B petitions.

How Indians can adapt

Change also brings opportunity. Here are some strategies:

1. Upskill strategically – Focus on high-demand areas such as artificial intelligence, cybersecurity, and cloud architecture, where employers are more willing to bear higher visa costs.
2. Explore other visa categories – L-1 for internal transfers, O-1 for extraordinary talent, or employment-based green card tracks may become more attractive.
3. Look beyond the U.S. – Countries like Canada and the U.K. are actively courting skilled Indian workers through more accessible programs.
4. Leverage remote work – Many U.S. firms now accept offshore talent, allowing Indians to work for global clients without leaving home.

Conclusion

The latest H-1B changes underline a hard truth: relying on a single visa category is risky. For India, this is a moment of reckoning – both for the IT industry that has long depended on H-1B workers, and for professionals who saw the U.S. as the ultimate career destination.

While the $100k fee is the headline, the deeper shift is clear: the U.S. wants fewer, but more specialized, foreign workers. For Indians, success will now mean adaptation – through skills, strategy, and a willingness to explore new global opportunities.