Trump Suspends H-1B, Other Work Visas; What Does It Mean For India?

In a bid to protect American jobs amid economic hardships, US has decided to suspend H-1B and other work visas. Know how and why Indians will be worst-hit by the move?

United States President Donald Trump. (Getty Image)

New Delhi: Amid rising level of unemployment across the United States, the country worst hit by the Coronavirus pandemic, President Donald Trump has suspended the H-1B visas B and other work visas till the year end. The move can deal a a sharp blow the Indian companies that place technology workers in US companies. Making the announcement, the White House said that Trump wants to reform the immigration system to a "merit-based" one. The green card restrictions, which do not apply to spouses and children of immigrants, will also now continue until the end of the year. The White House announcement of the new freeze said that it would also encompass H-2B, H-4, L-1 and J-1 visas. What is H-1B Visa? The H-1B is a visa in the United States under the Immigration and Nationality Act, section 101(a)(15)(H) that allows U.S. employers to temporarily employ foreign workers in specialty occupations. Started by former President George Bush, it was intended to help American firms deal with labour shortages in rapidly growing jobs that require specialised skills, such as in software programming, research and engineering. An H-1B visa holder can stay for three to six years, seek permanent residency in the US and can buy or sell property. Why the suspension and reforms ? Reforming the H-1B system to move in the direction of a more merit-based system Protecting American jobs amid down slinging economy How Indians will be affected? It is to be noted that Indians are the single largest group of H1-B visa-holders accounting for nearly 74 per cent of the work visas. They would be most affected by the suspension as the visa allows highly skilled people to work in the United States and it has been the most-used way for several software companies like Tata Consultancy Services and Infosys to send their team members to the US to run outsourced projects for US firms. Talking about applicants, almost 90% of applications are from India. H-1B helped US firms as Indian workforce was cheaper than the US labours. How students will be affected? Though the move does not directly affect the India students pursuing their studies in the United States as Trump is still on about a stuent visa. However the students who are studying there and intend to stay back in the US after their studies. They can acquire jobs on their visa extension and then can continue to work by taking H-1B visas, may at better place with more salary. This vision now seems distant for those standing on the crossroads of career. Those already in US to not be affected The freeze ordered by Trump on Monday will not affect those already in the US on the H-1B and the other work visa categories being put on pause. But, the H-1B visa will be suspended extending into December, and new visas are issued in the month of October itself.