As the U.S. government shutdown continues, thousands of overseas technology professionals, particularly from India, are facing significant disruptions in H-1B visa processes and job security.
The ongoing U.S. government shutdown, now in its fifth week, has left thousands of overseas technology professionals grappling with uncertainty over stalled visa processes and potential job disruptions. Many of those affected are Indian nationals, who comprise over 70% of all H-1B visa holders in the United States.
With key federal departments unable to process Labour Condition Applications (LCAs)—the first step in H-1B filings—immigration attorneys are warning that the shutdown has effectively frozen both visa renewals and new petitions. This situation has deepened anxiety for skilled workers and their employers alike.
“Labor Condition Application (LCA) processing has stopped, forcing clients to halt H-1B filings,” said Matthew Minor, a partner at Corporate Immigration Partners based in Cincinnati. The LCA is a required certification from the Department of Labor (DOL) that employers must complete before hiring foreign professionals under H-1B, H-1B1, or E-3 categories.
With the DOL’s operations stalled, even routine applications are at a standstill. “This effectively halts all H-1B filings—new, change of employer, extension, or amendment,” noted Helene Dang, a Houston-based immigration lawyer and partner at Foster LLP. The disruption has left both companies and workers in a state of limbo.
The impact of the shutdown is particularly severe for Indian nationals, who are facing stalled career moves, delayed project starts, and growing anxiety over maintaining lawful status while their paperwork remains stuck in the system. “The problems facing H-1B workers from India are the same, regardless of which state they work in—petitions cannot be filed now because the shutdown has prevented LCAs from being processed,” explained Richard T. Herman, an immigration attorney based in Cleveland.
The shutdown has also disrupted the DOL’s core responsibilities, including certifying LCAs and determining prevailing wages—both essential steps for H-1B visa processing and employment-based green card applications. While the U.S. Citizenship and Immigration Services (USCIS) continues to operate, employers cannot proceed with filings until their LCAs are approved by the DOL.
According to Dang, the USCIS notice allowing for flexibility in late or incomplete filings under “extraordinary circumstances” offers limited comfort. “It is discretionary—meaning it is not guaranteed,” she said, emphasizing that employers and workers remain at the mercy of unpredictable timelines.
In the current climate, where Immigration and Customs Enforcement (ICE) has been actively enforcing removal powers, relying on this exception is causing significant anxiety for many H-1B workers. They are faced with the difficult choice of either departing the United States or overstaying their authorized period of stay, as noted by Becki Young, founding partner of Grossman Young & Hammond.
The ramifications of the shutdown extend beyond visa paperwork, impacting both livelihoods and business operations. “Moreover, these workers must be removed from payroll until a new H-1B petition can be filed, which disrupts U.S. business and leaves the workers without a paycheck while the shutdown is ongoing,” Young added.
Herman cautioned that the effects of the shutdown may linger well beyond the immediate crisis. “I am hearing of more companies deciding to cease immigration sponsorship in the future—whether H-1B or green card,” he said, noting that the uncertainty has made many employers hesitant to rely on foreign talent amid ongoing policy disruptions.
As the uncertainty deepens, some affected professionals are exploring alternative immigration pathways. Clients are considering options such as the EB-5 investor or EB-1C categories, according to Herman. “Some are also looking at Canada and other countries,” he added.
Unlike the H-1B, which is a temporary visa for specialized workers, the EB-5 program offers a path to permanent residency for investors who create jobs in the U.S. Similarly, the EB-1C visa allows multinational companies to transfer senior executives or managers to their U.S. operations—options that are increasingly appealing amid the ongoing freeze.
The federal shutdown, which began on October 1 after lawmakers failed to reach a funding agreement, has also stalled progress for employment-based green card applicants who depend on the DOL for crucial certifications. Geetha N. Adinata, an immigration attorney based in Los Angeles, warned that the resulting delays could cause serious setbacks for those nearing the end of their visa validity. Without timely submission of the labor market test, known as the PERM application, workers risk falling out of status.
As the situation continues to evolve, the future remains uncertain for many skilled workers navigating the complexities of U.S. immigration policy.
Source: Original article