US President Donald Trump’s move to raise annual H-1B visa application fee to USD 100,000 has raised eyebrows and evoked concern among industry bodies and experts, and apex industry body National Association of Software and Service Companies (Nasscom) is no exception.
The H-1B visa fee ranges from about USD 2,000 to USD 5,000, depending on employer size and other costs.
Addressing the issue on Saturday, Nasscom released a statement in which it said not only are the President’s concerns about H-1B visa professionals being a threat to local American talent unwarranted, there should have been a transition period to allow organisations and individuals to plan effectively and minimise disruption instead of the one-day deadline that ends on September 21 midnight.
"The timeline for implementation (anyone entering the U.S. after 12:01 a.m., September 21) is a concern. A one-day deadline creates considerable uncertainty for businesses, professionals, and students across the world," it said, adding that “policy changes of this scale are best introduced with adequate transition periods, allowing organisations and individuals to plan effectively and minimise disruption since onshore projects may require adjustments as companies need to work closely with clients”.
Also Read: New H-1B fee will spur offshoring in coming time: Ex-Infosys CFO
Indian techies are among the main beneficiaries of the US H-1B visa programme which attracts top talent and expertise from around the globe. The Congressional mandated pool is 6,50,000 such visas every year, along with an additional 20,000 visas reserved for those who have earned advanced degrees in the US.
But, the visa fee blow comes at a time when the USD 283-billion Indian IT sector is already rattled by a turbulent business environment in the world's largest outsourcing market that is marked by delays in client decision-making, macroeconomic uncertainties, tariffs and trade wars, geopolitical tensions, and the changing landscape driven by AI.
Nasscom pointed out that while the US move will impact Indian nationals that are on H-1B visas working for global and Indian companies, it will also hamper innovation in the US as well its wider job economy.
"While we are reviewing the finer details of the order, adjustments of this nature can potentially have ripple effects on America's innovation ecosystem and the wider job economy," the body said.
The non-profit trade organisation said it has been drawing attention to a steady decrease in the reliance of India and India-centric companies on visas such as the H-1B visa as local hiring in the US increases.
It also said these companies follow all necessary governance and compliance in the US for H-1B processes, pay the prevailing wages and contribute to the local economy and innovation partnerships with academia and startups, so they are by no means a threat to US national security.
High-skill talent will always be vital for the American economy to drive innovation, competitiveness, and growth, it added.
Also Read: Amazon, TCS biggest beneficiaries of approved H-1B visas
In the age of advancing AI, therefore, it is imperative that high-skill talent remains central to sustaining America's innovation leadership and long-term economic strength.
"While developments are underway, we will continue to monitor developments closely, engage with industry stakeholders on the potential implications, and seek further clarity on the discretionary waiver process, to be granted by the Secretary of DHS," Nasscom said.
A look at the US Customs and Immigration Services website shows that for FY25 (data as on June 30, 2025), Amazon topped the list of H-1B visa approvals at 10,044.
In that list of top-ten beneficiaries, TCS (5,505) is at the second spot followed by Microsoft Corp (5,189), Meta (5,123), Apple (4,202), Google (4,181), Cognizant (2,493), JP Morgan Chase (2,440), Walmart (2,390) and Deloitte Consulting (2,353). The top 20 list includes Infosys (2,004), LTIMindtree (1,807), and HCL America (1,728).
Adding to the visa rule concerns is the legislative threat of the proposed Halting International Relocation of Employment (HIRE) Act, introduced by Senator Bernie Moreno, which if passed, will curb outsourcing and promote domestic employment by imposing a 25 per cent levy on payments made by American companies to foreign workers for services benefiting US consumers.