- Republican senator introduced a bill to pause new H-1B visas for three years
- Bill proposes a $100,000 fee for each H-1B visa petition and ends lottery system
- Plan bans concurrent employment, third-party staffing, and dependent visas
If you are planning to work in the US on an H-1B visa, there is a new proposal that you should know about. A Republican senator has introduced a bill in the US Senate that seeks major changes to the H-1B visa programme, including a three-year pause on issuing new H-1B visas.
The proposal is only a bill at this stage. It has not become law, and no changes have been made to the H-1B programme yet. But if passed, it could significantly affect Indian professionals, who receive a large share of H-1B visas every year.
What Is The New Proposal?
US Senator Tim Sheehy of Montana has introduced the End H-1B Abuse Act in the Senate. According to Sheehy, the H-1B programme was created to fill specialised jobs where American companies cannot find enough qualified workers. He argued that it should not be used to replace American workers with lower-cost foreign labour.
He said the proposed law would restore the programme to its original purpose, strengthen safeguards, reduce fraud, and put American workers first.
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What Changes Does The Bill Propose?
Photo: Canva
The proposed legislation includes several major changes:
- Pause all new H-1B visas for three years.
- Make a USD 100,000 (Rs 96,00,000) fee mandatory for every H-1B petition.
- Replace the current random lottery system with a wage-based selection system, where higher-paying jobs would likely get preference.
- Ban concurrent employment, where an H-1B holder works for more than one employer.
- Ban the use of third-party staffing agency models.
- End the dual intent provision, which currently allows H-1B holders to work in the US while also pursuing permanent residency.
- Stop H-class visa holders from bringing their dependents to the US.
- End work authorisation programmes similar to Optional Practical Training (OPT) for foreign students and certain exchange visitors.
What Does This Mean For Indians?
India is one of the biggest beneficiaries of the H-1B programme. Thousands of Indian engineers, IT professionals, researchers, healthcare workers and other skilled employees receive H-1B visas every year to work in the US.
If this bill eventually becomes law, it could have several consequences:
- New H-1B visas could stop being issued for three years.
- Companies may face much higher costs due to the proposed USD 100,000 fee for every H-1B petition.
- Those planning to move to the US with family members could also be impacted if dependent visas are no longer allowed under the proposed changes.
- International students hoping to stay and work in the US after graduation through OPT-style programmes could lose that pathway if the proposal is approved.
The bill also seeks to make permanent a USD 100,000 fee (Rs 96,00,000) that was introduced during the Trump administration. However, a federal judge had already struck down that fee, saying it amounted to a tax that Congress had never authorised. The US Court of Appeals for the First Circuit has also refused the Trump administration's request to keep the fee in place while the legal challenge continues.
The new bill aims to give that fee legal backing through an Act of Congress.
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The Current Status
The proposal has only been introduced in the US Senate. It still has to move through the US legislative process before becoming law. For now, the existing H-1B visa programme continues to operate under the current rules. Indians planning to apply for an H-1B visa do not need to take any immediate action based on this proposal alone.
