HYDERABAD: A new bill proposed in the US Congress is set to have a debilitating impact on long-established pathways to jobs, residency and mobility in the United States for thousands of Indian professionals if it is passed.The proposed ‘End H-1B Visa Abuse Act of 2026’ bill, if passed, calls for a three-year pause on new H-1B visas and a reduction in the annual cap from 65,000 to 25,000. With Indians accounting for nearly 71% to 72% of all H-1B visa holders, any sharp cut in intake or tighter eligibility rules will disproportionately hit Indians.Steep salary thresholdThe bill also proposes a steep minimum annual salary threshold of $200,000 (Rs 1.9cr approx). For most Indian professionals — particularly those in mid-level IT services, consulting roles and early-career positions — this effectively shuts the door. “At $200,000, only a small fraction of roles will qualify. The bulk of Indian engineers and developers will simply be priced out,” said Ravi Lothumalla, an immigration consultant based in Dallas, Texas. “Indian IT companies rely heavily on placing workers at client sites, and that model has faced consistent regulatory tightening. This bill will accelerate that decline,” he added.
This comes after the Trump govt levied a steep $100,000 fee for hiring H1B workers last year.Restrictions on dependentsThe bill also proposed restrictions on bringing dependents, H4, to the US. “What’s the point of working so hard over the years when I will not be able to get my family here? I pay taxes, follow the rules, and have contributed enough to its economy. This feels like a backstab,” said Aaftab B, an H1B holder who is working as a project manager in Chicago.Indian students currently contribute nearly $12.5 billion annually to the US economy, but that flow could shrink. “Without a reliable pathway to work after graduation, it’s a financial gamble,” said Saumeil Suleman, planning his undergrad degree in artificial intelligence. “Many of us are already considering European countries instead,” he added.Consultants and academics also warn that these changes may backfire by pushing work away from the US rather than protecting domestic jobs. “Companies may shift more projects to India rather than absorb higher visa costs and restrictions. This could strengthen India’s domestic tech ecosystem, as more professionals choose to stay back or return,” said Ankit Jain, an immigration consultant from One Window Overseas Education.There is also substantial excess demand for H-1B visas by American employers and prospective high-skilled immigrants. “With Baby Boomers retiring, and fewer working-age adults in the labour pool, US risks a structural drag on growth if it curbs skilled immigration. If passed, this ban will exacerbate shortages, resulting in lower revenue and profits at businesses. Both Americans and prospective immigrants are harmed,” said Orn Bodvarsson, an economist and retired dean of a university in the US.
