The recent wave of layoffs across the U.S. tech industry has had a large effect on Indian-origin workers, particularly those on H-1B visas. These layoffs, combined with newly introduced visa regulations, have created a difficult and uncertain environment for immigrant international students and skilled professionals.
Once regarded as a stable and recession-proof sector, the tech industry has seen 438 companies lay off around 1,37,500 employees. This has drastically reduced job opportunities in the market. For Indian workers on H-1B visas, the situation is even more precarious as they have only a limited time to find a new job before being forced to leave the country. The U.S. Congressional Research Service reports that Indian workers can face green card backlogs extending up to 190 years, even when they meet all the necessary labor requirements.
The U.S. Department of State’s October 2024 visa bulletin, which outlines the availability of immigrant visa numbers for the fiscal year 2025, added more complexity. This bulletin, part of regular updates to inform applicants about visa category availability, impacted multiple visa types, including the EB-5 investor visa programme.
The EB-5 visa allows individuals to obtain visas by investing in specific projects, often in rural areas or regions with high unemployment. Although this visa is available globally, applicants from India and mainland China often face significant delays. However, there are signs that processing times may be improving. At the same time, a significant fee increase has been imposed on H-1B visas, with the cost per beneficiary rising from $10 to $215—an astonishing 2150 per cent hike. The application fee has also increased, with paper filing costs rising from $460 to $780, marking a 70 per cent surge.
On a positive note, eligible individuals now have an extended validity of up to five years on their Employment Authorisation Documents (EAD), offering some relief in terms of work permit renewals. International students can still benefit from training opportunities such as Optional Practical Training (OPT) and Curricular Practical Training (CPT). The 24-month STEM OPT extension remains in place, and certain employer requirements have been relaxed. These adjustments aim to streamline processes, enhance security, and manage costs, though they may also increase financial strain on applicants and shift the composition of the U.S. tech workforce.