Indian professionals hoping to live and work in the United States woke up on 20 September to confirmation that President Donald Trump has extended the controversial US$100,000 payment requirement for certain first-time H-1B visa applicants until at least 21 September 2027. The fee was introduced by presidential proclamation in 2025 as part of an effort to curb what the White House calls “abuse” of the speciality-occupation programme. Indians are the single largest user group—accounting for roughly 71 percent of all approved H-1B petitions in FY 2024—so the extension lands hardest on technology and engineering talent sourced from India. Although the fee remains blocked by a June federal court ruling that found the administration had exceeded its authority, the new proclamation keeps the policy alive pending appeal. US employers must therefore continue to factor the surcharge—and the legal limbo around it—into 2027 hiring plans. Industry groups such as NASSCOM and the US-India Business Council warn that sustained cost pressure will accelerate the off-shoring of high-skill roles to India, undermining America’s stated goal of attracting top STEM talent. Indian services majors—including Infosys, TCS and Wipro—have already shifted recruitment budgets toward domestic delivery centres. Mid-sized consultancies report that clients planning to place staff on-site in the US are exploring Canada and Mexico instead, where work-permit costs remain a fraction of the proposed US levy. Start-ups that rely on venture capital are particularly exposed; several founders told The Indian Express that the surcharge equals nearly a full year of a mid-level engineer’s salary in Bengaluru. Corporate mobility teams must also prepare for tighter case reviews. An accompanying executive order instructs US agencies to scrutinise employers’ recent layoffs when adjudicating petitions—adding another compliance layer just weeks before the FY 2028 H-1B lottery window opens. Immigration counsel advise Indian nationals with approved petitions but no visa stamp to schedule consular appointments as early as possible, in case litigation restores fee collection mid-cycle. Practical tip: employers should budget for worst-case cash outlay, build two-to-three-month buffers into mobilisation timelines, and keep employees informed about parallel options such as Canada’s Global Skills Strategy or Britain’s Scale-Up visa. Individuals already in the US on H-1B status are not subject to the surcharge when extending or transferring but should carry documentary proof of continuous employment to avoid secondary questioning at ports of entry.
Source: The Indian Express
