U.S. Proposes $100K H‑1B Fee; India Responds

The Department of Homeland Security proposed replacing the H‑1B random lottery with a wage‑weighted selection favoring higher‑paid and advanced‑degree applicants and imposing a one‑time $100,000 fee on new H‑1B petitions (DHS says it would not apply to renewals or current visa holders). DHS opened a 30‑day public comment period with FAQs and said the measures are meant to protect American workers, though the rule faces likely legal challenges. Economists and industry analysts warn the changes could sharply reduce new work authorizations, shifting approvals toward higher‑wage fields and hurting entry‑level roles and outsourcing firms. India says it is actively engaging with the U.S. government and industry, with the MEA warning of potential humanitarian consequences and the Indian embassy in Washington setting up an emergency helpline for affected nationals (who account for roughly 70% of recent H‑1B approvals), noting the proposal comes amid rising bilateral tensions including recent U.S. tariffs on Indian goods. Responses in the U.S. are divided—some major tech leaders welcomed the change as prioritizing high‑value hires, while startups and critics call the fee a de facto tax that would price out smaller firms—and both governments and industry groups are preparing submissions during the comment window and weighing economic and diplomatic consequences.