Are H-1B Visas at Risk for Indians? Know All About Proposed US Fee Hikes on Renewals
A proposed US rule would make H-1B visa renewals costlier for tech companies, heavily impacting Indian professionals who form the majority of extensions. The fee hike arrives amid ongoing tech layoffs and stricter immigration scrutiny, raising corporate compliance expenses and worker uncertainty.
Thousands of Indian professionals working in the United States on H-1B visas face mounting job uncertainty as the US administration prepares a new regulatory rule. The proposed policy would require large employers to pay thousands of dollars in additional government fees not just for initial hires, but also for routine visa renewals.
As per a India Today report, the planned measure aims to expand the scope of the existing biometric and response fee to cover all extension applications for H-1B and L-1 visa holders. Because Indian nationals make up the vast majority of visa extensions in the United States, the resulting financial pressure is expected to disproportionately affect Indian tech workers. H-1B Visas Could Be Paused for 3 Years Under New US Bill; What It Means for Indians Professionals.
Financial Burden on Major Tech Employers
The proposed rule targets companies with more than 50 employees where over half the workforce relies on H-1B or L-1 visas. Under current regulations, these firms pay an additional fee of USD 4,000 for H-1B petitions and USD 4,500 for L-1 petitions during initial filings or job changes. The new framework would enforce the same steep fee every time an employer submits a visa extension request.
Data from US Citizenship and Immigration Services highlights that continuing employment accounts for nearly three-quarters of all H-1B approvals. Indian professionals represented more than 226,000 extension approvals, translating to nearly 78% of all renewals. Major technology corporations such as Amazon, Tata Consultancy Services, Microsoft, and Meta stand among the top recipients of these continuing employment petitions, meaning corporate compliance costs will rise sharply.
Broader Impacts Amid Tech Industry Layoffs
The timing of the proposed fee expansion coincides with widespread layoffs across the technology sector. With thousands of tech employees losing their jobs in recent months, H-1B holders face a strict 60-day window to secure new sponsorship or leave the country. Immigration attorneys note that alternative pathways, such as switching to temporary visitor visas while job hunting, have also become increasingly difficult. AI Layoffs Fueling New Startups and Creating Future Competitors? Here's What Report Says.
While the rule does not alter core visa eligibility requirements, industry experts warn that the added financial overhead could influence corporate retention and hiring decisions. Major tech firms that rely heavily on skilled foreign labour will need to absorb or navigate these increased administrative costs as the policy moves toward finalisation.
(The above story first appeared on LatestLY on Aug 04, 2026 05:13 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).
