The potential demise of the H-1B visa program may ultimately benefit both Indian and American workers by addressing systemic issues within the U.S. immigration system.
The Trump administration has recently proposed a significant fee increase for the H-1B visa program, raising it to $103,265. While this move is likely to face legal challenges, it presents an opportunity for a broader discussion on the future of the H-1B visa itself. Rather than protesting this fee hike, the Indian government might consider advocating for the program’s elimination altogether.
The H-1B visa, originally designed to address genuine shortages of specialized skills in the U.S. labor market, has devolved into a mechanism for labor arbitrage. This has resulted in negative consequences for American workers, Indian-Americans, and the overall perception of India.
Historically, the United States has thrived on its ability to attract the world’s best talent through immigration. Indian engineers and scientists have made significant contributions, driving innovation and leading major corporations. However, these achievements have often occurred despite the H-1B visa rather than because of it.
In practice, the H-1B program has become a vehicle for exploitation. Indian outsourcing companies have turned the visa into a business model that prioritizes profit over genuine skill shortages. Many applicants embellish their qualifications, and some even submit entirely fabricated résumés. This has led to a culture where American corporations benefit from a workforce that is vulnerable due to visa restrictions, leaving employees at the mercy of their employers.
Visa holders often find it challenging to change jobs, as doing so can jeopardize their green card applications. This creates a situation where workers are reluctant to demand raises or leave unsatisfactory positions, fearing the loss of their immigration status. The backlog for green cards, coupled with per-country limits, has resulted in a form of indentured servitude for many Indian workers, who may wait decades for permanent residency. The fear of layoffs looms large, as losing a job can mean having only 60 days to secure new employment or face deportation.
Technology companies, while lobbying for more H-1B visas, often neglect to advocate for green cards that could provide their employees with greater security and freedom. This dynamic has created a troubling situation for American workers who have devoted years to their careers. Many face layoffs as companies opt for younger foreign workers, sometimes even requiring them to train their replacements.
For displaced American workers, the consequences of layoffs can be devastating. They may lose their savings, health insurance, and the ability to support their families, all while navigating the challenges of an uncertain job market. Silicon Valley has been criticized for its age discrimination, as experienced workers often command higher salaries, making them targets for layoffs.
The anger directed at the H-1B program is not unfounded. There are real issues of fraud, labor exploitation, and harm to American families. Unfortunately, this resentment often spills over onto innocent Indian-Americans, who contribute positively to society as doctors, scientists, professors, and entrepreneurs. These individuals find themselves unfairly targeted due to the actions of others within the system.
As a result, the broader Indian community faces discrimination, with cultural aspects such as accents and food becoming points of ridicule. Hinduism is often vilified, and the loyalty of Indian-Americans to the U.S. is questioned. This environment fosters division and resentment, ultimately harming both communities.
India should reconsider its stance on the H-1B program, which has become a detrimental force within the U.S. immigration landscape. The program has not only harmed American workers but has also exploited foreign workers and rewarded dishonest intermediaries. It undermines public confidence in skilled immigration, which is crucial for the U.S. economy.
Ending the H-1B program could be a cause for celebration among both Indians and Americans. Contrary to fears that such a move would cripple India’s IT services industry, data indicates that reliance on H-1B visas has already decreased significantly. As of March 31, the six largest IT services companies in India collectively recorded about 11,000 H-1B approvals, a nearly 40% drop from the previous year. Major firms like TCS and Infosys have adapted their business models, hiring more locally and leveraging offshore work.
While the elimination of H-1B visas may lead to some short-term disruptions, the long-term impact on job availability is more concerning. Automation and artificial intelligence are transforming the workforce, reducing the need for large teams in both India and the U.S. The jobs that once relied on H-1B workers are increasingly being automated, meaning that the positions themselves may simply disappear rather than shift from one country to another.
By removing the H-1B program, India could distance itself from the blame for job losses in the U.S. As technology companies continue to streamline operations, the focus will shift away from foreign workers and toward the challenges posed by automation and the treatment of older employees.
Ultimately, the U.S. must rethink its immigration system to ensure that it attracts the talent it needs while treating individuals as future contributors to society rather than as cheap labor. This shift would empower skilled workers to change jobs and start their own companies, fostering innovation and growth.
India has little to gain from defending a program that exploits its citizens and undermines their achievements. The potential end of the H-1B visa program could pave the way for a more equitable and effective immigration system for both Indians and Americans.
This op-ed was first published in the Hindustan Times.