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Economic Times
a day ago
- Business
- Economic Times
Explainer: What is the new H-1B wage-based selection all about
ETtech The White House has approved a proposal to select H-1B petitions based on wages in a shift from the current norm of using lottery. The rule, if implemented, will likely impact those at entry-level salaries in the US, and force technology firms to make changes in their overseas talent hiring to a Bloomberg report, the approval from the Office of Information and Regulatory Affairs came on August 8 and will be released to the public soon. Every year, the US Citizenship and Immigration Services (USCIS) approves 85,000 H-1B visas allocated to highly skilled foreign workers through a lottery system, which picks petitions at random. Indians have been one of the largest beneficiaries of the visa. According to the FY24 report from the USCIS, 71% of total H-1B visas, including fresh visas and renewals, issued between October 2023 and September 2024, were to Indian nationals, followed by the Chinese at 12%.The Trump administration now wants to revive the previous proposal by the Department of Homeland Security (DHS) that would select H-1B petitions based on wages. H-1B wage-based selection In the final rule released in 2021, the USCIS said, 'Modifying the H-1B cap selection process will incentivise employers to offer higher salaries, and/or petition for higher-skilled positions, and establish a more certain path for businesses to achieve personnel needs and remain globally competitive.'This means that those with higher salaries will be prioritised, over entry-level employees. For instance, for the role of a software engineer in San Francisco, between Level 1 with annual compensation of $135,699, and Level 4 at $213,512, the latter would be preferred as per the role. The compensation was based on the current wage data from the US Department of Labor. ImpactThis US government decision is likely to impact hiring for entry-level positions. Immigration experts said the move may also hit diversity in hiring talent as it prioritises wages. Indian IT companies and US technology firms may also have to pay higher wages for their employees to qualify, inflating operating costs and pressuring changes yet. In 2021, the new rule for H-1B saw significant push back and was withdrawn by the then Biden administration. It was also blocked by the federal courts. What is next? Now that the White House has approved the proposal, Gnanamookan Senthurjothi, founder, Visa Code, said the USCIS will release it for public feedback in the federal firm Fragomen in a note said after a period of 30-60 days, the agency will take into consideration the comments and will then publish the final rule with the implementation period. 'There is no set time frame for publication of a final rule, though the process typically takes several months,' the note said. Also Read:H-1B children lose green card shot at 21 under new rules Elevate your knowledge and leadership skills at a cost cheaper than your daily tea. As 50% US tariff looms, 6 key steps that can safeguard Indian economy As big fat Indian wedding slims to budget, Manyavar loses lustre Why are mid-cap stocks fizzling out? It's not just about Trump tariffs. The airport lounge war has begun — and DreamFolks is losing Stock Radar: UNO Minda eyeing fresh 52-week high in next few weeks; check target and stop loss for long positions Buy, Sell or Hold: Antique recommends buy on Siemens; Avendus upgrades SBI to Buy post June quarter results Stock picks of the week: 5 stocks with consistent score improvement and upside potential of up to 25% Weekly Top Picks: These stocks scored 10 on 10 on Stock Reports Plus
Time of India
29-07-2025
- Business
- Time of India
US will change visa interview policy from September 2
Academy Empower your mind, elevate your skills Renewal of US work and student visas is facing yet another roadblock, as the Trump administration is set to eliminate the interview waiver provision effective September 2. This is expected to increase interview wait time, impacting many companies that employ workers on H-1B visas as well as students, say immigration US Department of State on July 25 announced that all non-immigrant visa applicants barring B1/B2 categories will require in-person interview. The requirement will also cover the previously excluded category of children below 14 years of age and elderly applicants aged over 79 years. "With the interview waiver, applicants were able to get an appointment in less than a month to drop the documents," said Gnanamookan Senthurjothi, founder of immigration platform Visa Code. "But the process will further increase (now) and with the current job scenario, this will impact highly skilled worker jobs, similar to what is playing out for students," he is also not much clarity on interviews scheduled after September 2. Many Indians have scheduled appointments in India for H-1B renewals with the interview waiver after September 2 for their families, which is now in a limbo, Senthurjothi said. "It is not clear if they need to book a new appointment."Before Covid-19, interview waivers were restricted to certain visa categories or people. After the pandemic, the US expanded the scope of waivers to manage visa application backlogs. The difference between then and now is the increasing scrutiny around visa issuance and Raman, country head, India & GCC Practice Team, Davies & Associates, said the level of scrutiny has increased not just at the consulate level but also at port of entry, where multiple verifications are done. Immigration experts are also seeing increasing demand for biometrics from H-1B workers and requests for evidence (RFEs) related to workers' arrest records."Following the biometrics appointment, depending on the individual's circumstances, the USCIS (US Citizenship and Immigration Services) may issue another RFE related to the beneficiary's arrest record," said Joel Yanovich, immigration attorney at Murthy Law Firm.
