The H-1B visa program is once again in the limelight as the US government tells businesses not to hire migrant workers, including H-1B workers, if they can hire Americans. The Trump administration has directed the Equal Employment Opportunity Commission (EEOC) to look into companies that it says are hiring foreign workers, including H1B workers. Acting EEOC chair Andrea Lucas said that hiring discrimination based on national origin is widespread across different industries which suggests that American workers are being replaced.
The H-1B visa allows companies in the US to hire highly skilled workers in fields like technology, engineering and healthcare from other countries. It has been alleged that some companies take advantage of this system to save on costs because foreign workers may accept lower wages if they are not aware of their labor rights. Furthermore, some employers consider visa holders as harder working, which also contributes to the preference for migrant workers.
One example of such concerns can be seen in a legal action taken against Meta Platforms, which is alleged to have preferred H1B workers over Americans in order to save on costs. The Trump administration and the Biden administration both have proposed tightening rules, including for employers and by raising the minimum salary.
To Indian professionals who constituted 72.3% of the H1B visas issued between October 2022 and September 2023, any further tightening of rules could be a big issue. Jidesh Kumar, the managing partner of King Stubb & Kasiva, pointed out that the H-1B visa is used by the US to meet its shortage of skilled workers. He predicted that increasing the restrictions may lead global talents to choose other countries like Canada or the UK instead, which will affect the leadership of the United States in innovation and economic growth.
If the US government further restricts the H1B visa, Indian professionals may start looking for opportunities in other countries and, therefore, shift the talent pool.
