New H-1B Visa Restrictions Spark Concern in Tech Sector
The US management has implemented new and severe H-1B Work Visa Restrictions,demanding a minimum annual salary of $100,000. The measure has caused significant concern among foreign workers and companies in the technology sector, which heavily rely on these visas.
These regulations, announced through presidential proclamation, have raised numerous questions about their implementation and impact on current H-1B visa holders.
The administration argues the H-1B visa, intended for foreigners in specialized occupations, has been misused to replace US workers with lower-paid foreign labor. They accuse technology companies of using the visa for workforce outsourcing and cost reduction rather than addressing genuine skill shortages. This practice, they claim, harms American workers and discourages pursuit of careers in science and technology, possibly jeopardizing US leadership in these fields.
While an anonymous official clarified the restrictions will initially only affect new applicants, leaving those with existing visas unaffected, uncertainty remains regarding visa renewals.
Exemptions for “National Interest” Cases
The proclamation allows for exemptions in cases deemed to be of “national interest” and not a threat to US security. This determination rests at the discretion of the National Security Secretary.
Pending further clarification and potential legal challenges, legal professionals and companies have advised H-1B visa holders to avoid leaving the United States or to return promptly if currently abroad.
The majority of those affected are citizens of India (holding over 70% of current H-1B visas),prompting alarm from both the Indian government and employers regarding potential humanitarian consequences and disruptions to business operations.
The US government, citing data from the American Immigration Council, points to a considerable increase in the proportion of foreign workers in the tech sector, which, according to Federal Reserve studies, has contributed to higher unemployment rates among recent American graduates in these fields. Companies like amazon, Meta, Microsoft, and Apple, major users of H-1B visas, are expected to be considerably impacted by these new measures.
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