How Trump’s H-1B Crackdown Is Hurting Indians Chasing The American Dream

Last Updated:September 10, 2026, 11:03 PM IST

For Indian professionals, who account for the largest share of H-1B workers, Trump admin’s new rules could have a significant impact on the pursuit of the American Dream.

The Trump administration has recently proposed ending the 60-day grace period that allows certain foreign workers, including H-1B visa holders, to stay in the US and find a new sponsor after losing their jobs. (Reuters File)

Donald Trump returned to the White House last year with a campaign to curb immigration under his Make America Great Again (MAGA) agenda. Since taking office, his administration has introduced a series of policies aimed at tightening both legal and undocumented immigration.

The crackdown has significant implications for Indians, who make up the largest share of H-1B visa holders in the US. From stricter selection criteria to higher visa costs, the changes are making it increasingly difficult for skilled Indian workers to enter and remain in the US.

Also Read | US May End Work Permits For H-1B Spouses. Here’s Why Indians Could Be Hit Hardest

H-1B Programme: Why Indians Matter

Congress created the H-1B programme in 1990, and the US currently awards 85,000 H-1B visas each year. In fiscal year 2025, 70% of H-1B workers came from India, followed by China at 12%, according to official data. The Philippines, Canada and South Korea were the other leading sources.

Past H-1B visa holders include prominent technology executives such as SpaceX CEO Elon Musk and Google CEO Sundar Pichai.

Critics argue that tighter restrictions could worsen shortages in fields such as IT, engineering, education and medicine.

H-1B Approvals For Indian IT Firms Fall

The impact of the changing rules was visible even before Trump’s latest measures.

In fiscal 2025, the seven largest India-based IT companies received 4,573 approvals for H-1B petitions for initial employment, according to an analysis by the National Foundation for American Policy (NFAP), based on US Citizenship and Immigration Services data.

The figure was 37% lower than in FY2024 and 70% below the level recorded in 2015.

Lottery System Faces Wage-Based Overhaul

The Trump administration has also pushed to replace or modify the traditional random H-1B lottery with a wage-weighted selection system.

Under the proposed framework, higher-salaried and higher-skilled positions would receive greater priority. The move is aimed at discouraging companies from using the programme for lower-cost, entry-level roles.

Also Read | US Lawmaker Introduces Bill To Reform H-1B System: Here’s How It Will Affect Indian Workers

$103,265 H-1B Fee Proposal

The administration has also proposed a $103,265 fee for employers hiring foreign workers through the H-1B programme.

The Department of Homeland Security said the fee would serve as a “revenue mechanism” to recover the costs of administering the lawful immigration system.

Curbing immigration, both undocumented and legal, has been a key goal of Trump and a persistent demand of his MAGA base.

The Trump administration has argued that the H-1B programme has been exploited to replace, rather than supplement, American workers. In September 2025, it issued a presidential proclamation imposing a $100,000 fee, citing what it called “systemic abuse” of the programme.

Also Read | ‘Handcuffs Await’: US Suspends India-Founded Tech Giant Cognizant’s Green Card Filings Amid Visa Abuse Probe

60-Day Grace Period Likely To End For H-1B Holders

The Trump administration has now proposed ending the 60-day grace period that allows certain foreign workers, including H-1B visa holders, to stay in the US and find a new sponsor after losing their jobs. Under the proposed rule, H-1B and certain other temporary work visa holders would have to leave the US once their employment ends.

The proposal, published by the US Department of Homeland Security (DHS) in the Federal Register, is subject to a two-month public comment period before it can take effect.

For Indian professionals, who account for the largest share of H-1B workers, the changes could have a significant impact on the long-standing pursuit of the American Dream.

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What is the proposed fee for employers hiring foreign workers through the H-1B visa program?

The Trump administration has proposed a $103,265 fee for employers hiring foreign workers through the H-1B program. This proposed fee is intended by the Department of Homeland Security to serve as a revenue mechanism to recover the costs of administering the lawful immigration system. Additionally, in September 2025, a presidential proclamation imposed a $100,000 fee, citing systemic abuse of the program.

How does the Trump administration propose to change the H-1B visa lottery system?

The Trump administration has pushed to replace or modify the traditional random H-1B lottery with a wage-weighted selection system. Under this proposed framework, higher-salaried and higher-skilled positions would receive greater priority. This change is aimed at discouraging companies from using the H-1B program for lower-cost, entry-level roles.

What are the proposed changes to the 60-day grace period for H-1B visa holders?

The Trump administration has proposed ending the 60-day grace period that allows H-1B visa holders and certain other temporary workers to stay in the US and find a new sponsor after losing their jobs. Under the proposed rule, these visa holders would have to leave the US immediately once their employment ends. The proposal, published by the DHS in the Federal Register, is subject to a two-month public comment period before taking effect.

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Saurabh VermaChief Sub-Editor

Saurabh Verma is a Chief Sub-Editor at News18.com, specializing in Indian politics, national current affairs, and breaking global news. With years of experience tracking power shifts, election strateg…Read More

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