Article Summary

US firms are adjusting hiring policies following the introduction of a new $100,000 H-1B visa fee, which USCIS clarified applies only to new applications submitted on or after September 21 for workers outside the US. Major companies like Cognizant, TCS, and Walmart are reportedly reducing or halting H-1B sponsorships for certain roles, opting instead for local hires or individuals already possessing work authorization. The fee exempts current H-1B holders, renewals, and those changing visa types within the US, such as from an F-1 student visa.

TNP AI: Key Insights

This development is critical for both prospective H-1B visa holders and employers, as it signals a tightening of the H-1B market and a shift in corporate talent acquisition strategies. For individuals seeking H-1B sponsorship, the pool of available roles requiring employer sponsorship may shrink, intensifying competition.

For US companies, particularly in the tech sector, this new fee adds a substantial cost to hiring foreign talent, pushing them to prioritize local hires or those already possessing work authorization. This policy shift could inadvertently make skilled worker programs in countries like Canada, the UK, and Australia, which are actively courting global talent with streamlined processes, comparatively more attractive, influencing international talent flows and the competitiveness of the US tech industry.