‘A one-day deadline creates…’: What India’s MEA, Nasscom said on Trump’s $100,000 fee order for H-1B visa

After US President Donald Trump announced an annual $100,000 fee for H-1B skilled worker visas, India’s leading trade body Nasscom said on Saturday (Sep 20) expressed concerns over the timeline for implementing the new order that affects high-tech workers in the United States. The Indian Ministry of External Affairs said that the full implications of the move were being studied, warning of humanitarian consequences. This comes after the US president announced that the fee will come into effect from Sunday (Sep 21). The move will likely result in major repercussions for the tech industry, where this permit is widespread.

In a statement on Saturday (Sep 10), MEA said, “The full implications of the measure are being studied by all concerned, including by Indian industry, which has already put out an initial analysis clarifying some perceptions related to the H1B program.”

It added that, “Policy makers will therefore assess recent steps, taking into account mutual benefits, which include strong people-to-people ties between the two countries. This measure is likely to have humanitarian consequences by way of the disruption caused for families. Government hopes that these disruptions can be addressed suitably by the US authorities.”

What Nasscom said on new US visa regulations?

“A one-day deadline creates considerable uncertainty for businesses, professionals, and students across the world,” Nasscom said in a statement. It added that the changes in policy of such scale were best “introduced with adequate transition periods, allowing organisations and individuals to plan effectively and minimise disruption.”

It is expected that the new measure, which was announced in Washington on Friday, will face legal challenges. Trump also announced the introduction of a $1 million “gold card” residency programme that he had previewed months earlier.

As he signed the order in the Oval Office, Trump told reporters, “The main thing is, we’re going to have great people coming in, and they’re going to be paying.”

Nasscom said that tech companies would be hit as “business continuity will be disrupted for onshore projects” after Trump’s new regulations come into effect, especially given the short one-day headline.

The H-1B visas allow companies to sponsor workers from abroad with specialised skills, including scientists, engineers, and computer programmers, to work in the United States. The visa permits workers to be in the US for three years initially, although it can be extended to six.

About 85,000 individuals are awarded H-1B visas every year based on a lottery system, with Indians accounting for about three-quarters of the recipients.

Tech industry warns not enough talent in US

Tech entrepreneurs in the US, including billionaire Elon Musk, have warned against the new order, saying that the US does not have enough talent in the country to fill vacancies for important jobs in the tech sector. Major tech firms rely on Indian workers for such jobs.

However, Commerce Secretary Howard Lutnick, claimed, “All the big companies are on board.”

Meanwhile, tech giants including Amazon, Microsoft and Meta have urged H-1B and H-4 visa holders to return to the US before the deadline.