- Commerce Secretary Howard Lutnick called the H-1B visa system a scam and said changes will be made
- The Trump administration plans to prioritise hiring American workers over foreign visa holders
- Average American makes $75,000 a year, while green card holders make $66,000, Lutnick said
The Trump administration has signalled a massive shift in its H-1B visa and green card programme, which is likely to impact millions of foreign workers and students living in the US. Commerce Secretary Howard Lutnick has called the H1B visas a "scam" and said that it is going to change.
"The current H1B visa system is a scam that lets foreign workers fill American job opportunities. Hiring American workers should be the priority of all great American businesses. Now is the time to hire American," he said in an online post.
Speaking to Fox News, Lutnick shared that he is part of the massive change that will impact the H1B and green card programme. Justifying its need, the senior US official pointed to pay inequality among the average Americans and green card holders.
"I am involved in changing the H1B programme because that is terrible. We are going to change the green card. The average American makes $75,000 a year, and the average green card recipient $66,000. So, we are taking the bottom quartile. Why are we doing that? That's what Donald Trump is going to change. That's the gold card that's coming. We are going to start picking the best people to come into the country," he said.
Eliminating the H-1B lottery system and a wage-based visa allocation where higher-earning applicants are prioritised are expected to be among the proposed changes in the visa process. US authorities had earlier approved a draft rule to this effect.
The move is expected to impact Indian workers and students living in the US, who have shown a consistent 70% share in the H-1B visa allocations over the years.
The US has already started tightening rules for foreign workers and students since President Donald Trump assumed office in January. The Office of the Citizenship and Immigration Services (CIS) Ombudsman, which helped thousands of immigrants with visa-related technicalities, was shut down earlier this year.
In a departure from previous practices, H-1B holders are now required to provide personal details like biometric information and home addresses.
US Vice President JD Vance's remark that green cards don't give "an individual an indefinite right to stay in the United States" has also raised questions on the future prospect of green cards, while Trump's flagship "gold card" initiative has been billed as a potential alternative.