Tech Layoffs and Tough Immigration Rules Impact Indian H-1B Visa Holders: 11 Important Things They Must Know : Valley Vision

The U.S. tech sector is currently grappling with widespread layoffs, significantly affecting Indian workers holding H-1B visas. With heightened visa regulations and increased application fees, these workers find themselves in an increasingly challenging position. Compounding their struggles are the lengthy waits for green cards, which leave many facing years—if not decades—of uncertainty.According to a report by the TNN, cited from Layoffs.fyi, over 438 tech companies have collectively let go of around 137,500 employees, placing H-1B visa holders in a precarious situation.
Recent adjustments to U.S. visa regulations have exacerbated these issues. The October 2024 visa bulletin has sparked concerns across various visa categories, including the EB-5 investor visa program. Application fees for H-1B visas have soared from $10 to $215 per beneficiary, marking a staggering 2,150% increase. Additionally, the fees for paper filing have risen from $460 to $780, marking a 70% hike. Green card applicants are also experiencing increased expenses, with the I-30 petition fee now at $675 for paper submissions and $625 for online applications. Furthermore, a new fee of $600 has been introduced for specific asylum petitions, and international students seeking F, M, and J visas are facing heightened scrutiny. Amid this critical situation, the visa holders must have comprehensive details of their rights and important points about this visa.

H-1B Visa: Key Insights and Updates

The H-1B visa is a non-immigrant visa classification in the United States that enables U.S. employers to temporarily employ foreign nationals in specialized fields. H-1B visa holders are permitted to work for their sponsoring employer in the U.S. for a designated duration, typically lasting up to three years, with the option for renewal.
The H-1B visa encompasses several important features. Firstly, it is designed for specialty occupations that require both theoretical and practical expertise, typically necessitating at least a bachelor’s degree. To qualify, a foreign applicant must be sponsored by a U.S. employer, who is responsible for submitting the necessary petitions to U.S. Citizenship and Immigration Services (USCIS). Each year, there is a limit on the number of new H-1B visas issued, and when the demand exceeds this cap, a lottery system is employed to randomly select which applications will be processed. Initially, H-1B status is granted for three years but can be extended if needed. Additionally, holders of this visa are permitted to express the intent to seek permanent residency while maintaining their H-1B status.
The H-1B visa program offers foreign workers the opportunity to live and work in the United States in specialized occupations. However, visa holders must navigate a complex landscape of rights and regulations that impact their employment and residency status. The points provided here outline critical information that H-1B visa holders need to know, including details about wages, benefits, working conditions, and protections against discrimination, as well as options available in the event of job loss. Understanding these aspects is crucial for maintaining compliance and securing one’s future in the U.S.
Wages and Benefits
H-1B visa holders must be paid the actual wage, either the same as other workers with similar experience or the prevailing local wage for the occupation. Employers must also compensate for non-productive time caused by the employer or lack of a permit, and provide fringe benefits like U.S. employees.
Illegal Deductions
Employers cannot charge H-1B workers for petition filing fees, penalties for early resignation, or business expenses like attorney fees.
Working Conditions
H-1B employees are entitled to the same working conditions (hours, shifts, vacations) as their U.S. counterparts, ensuring equality in the workplace.
Notice and Records
Employers must give H-1B workers a copy of the Labor Condition Application and maintain accurate records of wages and hours worked. Employees are encouraged to keep personal records of hours and employer details.
Protection from Discrimination
Employers cannot retaliate against H-1B employees for reporting potential violations of H-1B rules or for cooperating with investigations.
Grace Period
If employment ends, H-1B holders have a 60-day grace period to find new employment or change visa status. This provision allows them to remain legally in the U.S. while exploring other options.
Alternative Visa Options
During the grace period, visa holders can switch to other visa categories, such as F-1 student or B-2 visitor status, as a temporary solution.
H-1B Cap Exemption
If previously counted under the H-1B cap, a worker can transfer to a new employer without waiting for the H-1B cap registration.
Employment with Approved I-140
Workers in the green card process with an approved I-140 petition can change employers within the grace period and can return to the U.S. once their H-1B petition is approved. The I-140 petition is a document submitted by a potential employer to the United States Citizenship and Immigration Services (USCIS) requesting authorization for a foreign national to work in the U.S. on a permanent basis. (What is the grace period?)
Retaining Priority Date
When changing employers, H-1B visa holders can retain the priority date from their initial I-140, maintaining their immigration status.
Job Portability
If an I-485 Adjustment of Status application has been pending for 180 days, the worker can switch to a similar job or even pursue self-employment while keeping their green card process intact. Form I-485, known as the Application to Register Permanent Residence or Adjust Status, is utilised by individuals in the United States seeking to obtain lawful permanent resident status.