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Wednesday, October 8, 2025

H-1B visa crackdown to push US firms to shift operations in India: Report

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US President Donald Trump’s recent crackdown on H-1B visas could push American companies to move more high-tech jobs to India, according to a new report. Just days after Trump signed a proclamation to tighten the popular work visa program, experts say it’s speeding up the shift of key operations like finance, research, and development overseas.

The changes might supercharge the rise of global capability centers—or GCCs—in India. These in-house hubs let US firms handle everything from AI development to cybersecurity and analytics without relying on outside vendors. “I know of several US companies rethinking their staffing right now,” says Rohan Lobo, a partner and GCC leader at Deloitte India. He points to growing plans in financial services and tech, especially for firms dealing with US federal contracts. GCCs are perfectly set up as a quick, internal solution for this shift.

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If the new rules stick without legal challenges, industry watchers predict US businesses will send even more advanced work—like product development and data analytics—to their Indian GCCs. That way, they keep control over strategic roles instead of outsourcing them.

Trump inked the proclamation on September 19, slapping a steep $100,000 fee on each new H-1B visa application. He called it an incentive to hire American workers and protect US jobs. The move sparked confusion, with many worrying it would hit existing H-1B holders and make it harder for them to return to the States.

The White House quickly clarified to news outlets that the fee is a one-time charge just for fresh visas. It won’t touch renewals or people already on H-1B visas.

Not long after, the US Department of Homeland Security jumped in with its own proposal to overhaul H-1B rules. The plan ditches the current random lottery for picking winners and switches to a system that prioritizes higher-skilled applicants. Officials say this will better match visas to top talent in fields like tech and engineering.

As US firms eye these H-1B visa changes, India’s GCCs stand ready to absorb the workload, potentially boosting the country’s role in global tech innovation.


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