'Returning Indians can leverage their international skills and the strong funding environment for start-ups here.'
On September 19, US President Donald Trump announced a shocking H1B visa fee hike part of his immigration reform.
As per the revised regulations, effective September 21, companies recruiting foreign professionals will have to pay $100,000 as a one-time fee for each new H1B application.
After the announcement, tech giants Microsoft, Amazon, Meta and others asked their employees to return to the US by September 21 or risk being stranded.
Several Indian IT stocks took a serious hit, the sharpest decline in months, with Rs 85,500 crore wiped out from IT stocks.
To avoid further confusion, the US government clarified that the proposed $100,000 H1B fee will apply only to new applicants, while existing visa holders and their employers remain unaffected. This news provided immediate relief to over 700,000 international professionals and the companies that rely on them.
How will the new H1B visa rule affect Indian professionals?
According to career experts, what's happening is not a simple US door slam; it's the beginning of a sharper pivot. The changing landscape will eventually force Indian IT majors to rethink strategy, models and risk.
Sanketh Chengappa K G, director and business head (professional staffing), Adecco India, explains how the new order will affect nearly 50 to 60 per cent of H1B holders who are Indian nationals.
"Looking ahead, the enforcement of the fee could affect an estimated 50K+ future applicants annually, with industries such as IT, engineering and financial services most exposed. Within these sectors, high-demand domains like cloud, AI, cybersecurity and advanced engineering roles are likely to feel the greatest impact," Chengappa says.
Not just working professionals, for those planning higher studies or jobs in the US, the increased costs and stricter requirements imply that they must plan more strategically, advises Dr Karan Gupta, an internationally certified education counsellor, TEDx speaker and the founder of Karan Gupta Consulting.
"Companies may hesitate to sponsor as many candidates so students will have to work harder to stand out through specialised skills and advanced degrees," says Dr Gupta.
"Those already in the US will need to carefully evaluate their long-term prospects, weighing options such as employer-sponsored green cards, switching to alternative visa categories or exploring opportunities in countries with more flexible immigration policies like Canada or the UK," he explains.
Pradeep Pramanik, a placement consultant and director at Fast Track Career Consultants, feels this may affect the remittances to India from NRIs which currently stands at around $130 billion annually and continues to rise.
"India has contributed immensely in shaping America's economy and leading global tech brands like Google (CEO Sundar Pichai), Microsoft (CEO Satya Nadella), Adobe (CEO Shantanu Narayen) and IBM (CEO Arvind Krishna) to name a few," says Pramanik.
"Nearly 10 to 12 per cent of India's GDP comes from the IT/BPM (business process management) sector, which accounts for 53 per cent of our total IT export. A significant portion of this revenue is driven by clients in the United States," he says.
Global workforce strategies, observes Dr Gupta, are being reshaped.
"Employers are expected to prioritise H1B sponsorship for niche, high-impact roles while accelerating offshore delivery and expanding global capability centres (GCCs) in India, which already employ over 1.9 million skilled professionals.
"In the long run, this development could redefine how cross-border talent is deployed, how companies balance cost, capability and continuity and how organisational resilience is built in a rapidly evolving policy environment."
"To meet market demand and ensure survival or growth, giants like Google, Meta, Microsoft, Tesla and Apple are likely to establish larger operations in India; otherwise, they risk losing market share to competitors from China, Japan, Korea, Germany, France, the UK and Taiwan," predicts Pramanik.
What are the possible career opportunities for those planning to return to India this year?
Trump's move was originally designed to nudge large companies toward local hiring, reduce dependence on imported talent and create more American jobs.
But if India plays it right, the constraints could channel demand back into India rather than killing it outright.
In the current scenario, according to Dr Gupta, professionals who may be contemplating returning to India, must look beyond traditional jobs and instead find ways to generate employment within India.
Zoho founder Sridhar Vembu recently took to X to advise Indians to come back home: 'I am sad to say this but for Indians on an H1-B visa in America, this may be that time. Come back home. It may take five years to rebuild your lives but it will make you stronger. Do not live in fear. Make the bold move. You will do well'.
"India's start-up sector, particularly in areas like fintech, health tech and edtech, is booming and values international exposure," says Dr Gupta.
"Roles in product management, data science, digital transformation and strategy are in demand," he points out.
"Established multinationals with strong India operations, such as consulting firms, investment banks and technology majors also actively hire professionals with global experience. For those with entrepreneurial aspirations, returning Indians can leverage both their international skills and the strong funding environment for start-ups here," says Dr Gupta.
Pramanik agrees and adds that "rash and impulsive decisions by President Trump may not harm rivals like China or allies like India but, sooner or later, they could end up damaging America's own industries and markets."
Indians will undoubtedly find local business alternatives to sustain and grow, he believes. "While these alternatives may not seem as rewarding in the beginning, they could help India replace America in several key sectors in the long run," hopes Pramanik.
"For Indians, every such challenge becomes an opportunity to channel our resources towards creating multiple Silicon Valleys within the country."
In short, returning professionals don't have to view this as a setback, advises Dr Gupta. "It can be a chance to lead, innovate and contribute to India's growth story."
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