The Trump administration is reportedly preparing to revamp the H-1B visa program, introducing stricter eligibility criteria, enhanced scrutiny of employers, and a focus on higher-paid workers—changes that could significantly affect Indian professionals.
A new rule, expected for proposal by December 2025, will revisit key aspects of the H-1B system. The Department of Homeland Security (DHS) aims to redefine exemptions from the 85,000 annual cap, potentially limiting eligibility for research institutions and workers changing employers. Additionally, stricter rules for third-party placements are being formalized, reviving Trump-era measures that were previously invalidated in court. Employers may soon need to provide detailed contracts demonstrating continuous specialty work throughout the H-1B term, while a tighter interpretation of the “employer-employee relationship” could create additional hurdles for consulting and staffing firms.
Experts highlight that the administration is now moving these third-party placement rules into formal regulation, rather than issuing policy memos susceptible to legal challenges.
In parallel, DHS plans to change how H-1B lottery selections are conducted. A separate rule, expected this August, would prioritize applicants with higher wages using the Department of Labor’s Occupational Employment and Wage Statistics (OEWS). While the current beneficiary-centric lottery system will remain, wage-based selection could disadvantage recent graduates and entry-level professionals. These proposed changes echo policies from Trump’s first term, which saw higher denial rates and shorter H-1B approval durations. Unlike previous iterations, however, the new regulations would enshrine many of these measures, making future rollbacks more difficult.
Indians are expected to be most affected. In fiscal year 2023, they accounted for 58% of initial H-1B visas and 79% of renewals. Any overhaul is likely to disproportionately impact new applicants and tech contractors from India.
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