Former Indian diplomat KP Fabian has sharp words for the US decision to hike H-1B visa fees, calling it mostly a bad move for skilled workers. But he points out a silver lining: the rule now targets only new applications, sparing those already in the system.
“It’s cheaper to hire non-Americans than Americans in some cases,” Fabian said. “That gives the fee hike some logic where skilled US workers are available. Still, overall, this approach feels pretty negative.”
The changes won’t touch current H-1B visa holders, whether they’re in India or the US. “As of now, no disruptions for them,” Fabian explained. The new fees kick in for fresh applications starting October 2026.
Fabian also highlighted India’s worries about the original plan, which could have sparked big humanitarian problems. “India called it a humanitarian issue right away,” he noted. “If it hit existing visas, families could get torn apart—luckily, Trump backed off on that.”
He slammed the USD 100,000 annual fee as unjustified but praised the tweak to new applicants only. “It shows the US administration listened to pushback from big companies and realized their error,” Fabian added.
India’s government echoed these concerns on Saturday, saying it’s closely reviewing the full impact of the US H-1B visa restrictions. Officials are teaming up with Indian industry to dig into the details, especially how it might disrupt families.
In a statement, the Ministry of External Affairs stressed the strong ties between India and the US economies. “We’ve seen reports on these proposed H-1B changes,” the ministry said. “Indian industry has shared early analysis to clear up misconceptions about the program.”
The two countries share a lot when it comes to innovation and growth, the statement added. “Businesses in India and the US both benefit from skilled talent moving freely. It boosts tech development, jobs, and creativity on both sides.”
The ministry also called out the human side of things. “This could cause real humanitarian fallout by splitting up families,” it warned. “We hope US leaders fix that.”
The move comes after US President Donald Trump signed an executive order on Friday, bumping up the sponsorship fee for H-1B applicants to USD 100,000. This visa lets US companies hire foreign experts in fields like tech and engineering, and India sends the most applicants each year.
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