H-1B Visa Panic Over? What US Clarification Means for Current Holders | World News | ET Now
Breaking News: The United States has finally clarified the controversial $100,000 H-1B visa fee announced by the Trump administration. The White House confirmed that the fee is not annual, but a one-time payment, and it will not apply to current H-1B visa holders or renewals.
This major clarification comes after panic among Indian techies and the Indian-American community. Watch as we break down: ✅ Who will actually pay the new fee ✅ How it affects current visa holders & their travel plans ✅ Employer responsibilities and possible exemptions ✅ What experts are saying about the long-term impact ✅ India’s official response & next steps
00:00The United States has now clarified on the new H-1B visa rules
00:05saying the fee is actually not applicable to the current visa holders.
00:10That's a clarification that has been issued by the United States
00:13that the fee is not applicable for the current visa holders
00:17and it only applies to new visas and not renewals.
00:22So the old visa holders will not be charged.
00:25It's a one-time fee and not an annual fee that will be applicable.
00:31So these are the details that have come in.
00:32The White House press secretary has also said that this is not an annual fee.
00:38It's a one-time fee that applies only to the petition.
00:42So that's a clarification that has come in from the White House amid a lot of panic
00:46that had been caused by the sudden decision that came in from the White House
00:50Trump signing the executive order after which the White House has issued a clarification
00:56saying those who already hold H-1B visas and are currently outside the country right now
01:02will not be charged the amount that has been mentioned to re-enter.
01:09In fact, the H-1B visa holders can also leave and re-enter the country
01:14to the same extent as they normally would.
01:16So whatever the ability they have to do is not really impacted by the proclamation.
01:23This is the clarification that has been issued.
01:25You're seeing the details on the screens.
01:27The third point going on to say this applies only to the new visas, not the renewals.
01:32So there was a lot of concern among the Indian-American community in the United States
01:38over the new H-1B visa rules.
01:40But now more details coming in that this applies only to the visas, not the renewals
01:45and not the current visa holders.
01:48So to first apply in the next upcoming lottery circle.
01:52So these are the clarifications that have been issued by the United States.
01:56Now, let's break it down for you and get you the details.
02:04What are the scenarios that could play out?
02:06So let's break it down for you and get you the details of what this could actually mean for you.
02:11So if you are an H-1B visa holder, you won't be blocked or asked to leave the United States
02:17because there was a lot of panic on what would happen next.
02:19The detail coming in is that you will not be blocked or even asked to leave the United States.
02:25The new rules may not apply to the existing H-1B visa holders
02:30and they can freely travel out of the country as well and return sans the payment.
02:35Now, let's talk about scenario two as well because the new rules may not apply to the existing H-1B visa.
02:42So this is the scenario that we are talking about.
02:44They can re-enter the United States even after the deadline without any payment whatsoever.
02:51Not just that, there are no hurdles in the entry into the United States
02:54as long as the visa is not actually expired.
02:57Now, let's talk about what could happen when you're applying for these visas as well.
03:03The employer must pay the money.
03:04The money that has been mentioned of the $100,000 must be paid up front by the employer to process your visa.
03:14And the employer may also seek exemption to the Homeland Security.
03:17The Homeland Security may permit it if it's an exceptional case.
03:21And so as long as the existing jobs are concerned, it is unlikely to be impacted.
03:28So a lot of questions have been raised over what could happen next
03:33and what would be the impact on the Indian-American community.
03:37So these are the details of the clarification that has come in from the United States on the rules that apply now.
03:44Now, the details that have been mentioned are that this is not an annual fee.
03:47It's a one-time fee that applies only to the petition
03:50and that those who already hold the H-1B visas and are currently outside the country will not be charged.
04:00Sir Praful Bakshi, a defence expert, joins us on the broadcast.
04:03Thank you for joining us.
04:04How do you look at the decision that has been taken by the United States
04:07and the clarification that has now been issued?
04:11Thank you very much.
04:13You see, at the moment, the United States leadership is a little bit out of control
04:22in the sense that the executive is doing first and then thinking later.
04:30And that's why they have to make changes and they have to bring in modifications to what they have said.
04:36But by itself, it just shows that unreliability of the leadership of America that is on the dangerous side.
04:48And depending too much on Trump now, this is, of course, too much of, you know, pressure to be put on anybody and any community.
05:01And obviously, they have decided to, you know, target the Indian communities.
05:08And they knew very well that most of the maximum effect will be there on Indian people who come to America
05:19because they come and go there and take the jobs of, that's what they say, of the Americans away.
05:27And that is what they were trying to do to dissuade them from coming.
05:31But having said that, once they have passed this, they find that repercussions will be very severe.
05:38And not only this, the other countries may join up with countries like India and then accommodate their people out there.
05:48So President Trump has realized that this is going to be a difficult thing again, as he realizes every time.
05:57And that's why the clarification has come, that it's only one time and those who already have taken will not be effective, etc.
06:08He's further clarification he's giving so that India does not get upset.
06:13But I think Indian leadership has to take a decision as to how much of dependency they must show on Trump.
06:26Okay. All right.
06:28Do stay with us, sir.
06:30Rabinder Sajdev, international expert, is joining us on the broadcast.
06:33Thank you for joining us, Mr. Sajdev.
06:35There has been a lot of worry.
06:37There are a lot of concerns from the Indian-American community, among others as well, in the United States
06:41because there was a sudden panic that they plunged into when the decision was made.
06:46There was no clarity.
06:46Now, of course, the United States has issued some clarifications on the fact that it does not affect those who currently hold these H-1B visas.
06:55But what do you make of these rules that have come in from the United States decision that has been made that affects millions and lakhs of people?
07:03More importantly, it makes it also seem like the United States itself is confused.
07:08How do you look at these new rules and the rule clarification that has been issued by the White House?
07:16Thank you so much.
07:17I mean, yeah, sure.
07:18Without all, it shows in the case where the United States itself is it's not confused.
07:25It is definitely stumbling its way ahead.
07:28That's one in terms of policy.
07:30Secondly, regarding the clarifications, it's obviously correct.
07:33See, I've been on an H-1 visa myself also in fact.
07:37When I took an H-1 visa, the cost that the company which was hiring me had to pay for applying for the H-1B visa was something like only $1,000.
07:48That I'm talking 35 years ago.
07:51The point is, when your company applies for an H-1B on your behalf, okay, it has to pay a certain fee.
08:00So obviously, the fee, whatever it was, if it was $1,000 or now $100,000, would be paid when a new H-1B application is being made.
08:12People who are already on an H-1B, the company does not have to pay any fee for that because they already have that visa.
08:20Yes, it would apply because any H-1B is only for three years.
08:27So somebody who's already on an H-1B, right, it does not apply to them, this new fee.
08:33But yes, maybe after a year or two because let's say it's a three-year duration that they have, the visa has.
08:40The next time when they are going, that is, folks who are in the U.S. and whose company is going to renew the H-1B visa, at that point of time, the additional fee would have to be made.
08:54But what is still not very clear to me is that they are talking about $100,000 a year.
09:01Now, if it's $100,000 a year, I mean, then it means that an H-1B visa is probably of three years.
09:08So would it mean it's actually $300,000 to be paid or yearly $100,000 to be paid?
09:14So that I'm not very clear about yet.
09:16But yes, as of now, those who are on a H-1B visa, they need not worry.
09:24But within a year or within two, whenever their current H-1 of three years would expire, they would need, or rather the company who is hiring them, would need to pay an additional, would need to pay the fee of $100,000 that is being talked about.
09:40Okay, all right.
09:44Mr. Rabindar Shahsev, thank you for joining us on the broadcast.
09:47The questions over the long-term impact of the same also still continues.
09:51But for now, the confusion that continues, that's been cleared.
09:55Prathikrit Payne also joining us on the broadcast, a strategic expert.
09:58What do you make of the United States and the rules that have been brought in?
10:02Well, correction, it's Prathikrit Payne, number one.
10:05Secondly, I think this kind of rule is going to impact the American companies equally badly.
10:12And I think the confusion in terms of whether it is for the existing H-1B visa holder or the ones who would be the fresher, there has been a lot of lack of clarity.
10:21I think if you look at what is happening in terms of first, you know, putting in tariff of 25 percent, then 50 percent, calling India dead economic, targeting India's top industrialists, then, you know, there are this kind of restrictive policies being brought in.
10:39I think all are eventually being targeted to, unfortunately, you know, pressurize the government of India.
10:45You know, I would not be surprised if these are small, you know, elements or tentacles of regime change operations, because these are all – and if you look at the way they are trying to put pressure on the government, on the economy, so that there is, you know, sort of an uprising.
11:04So, but these are going to backfire because this kind of, you know, policy is impacting or would be impacting the American companies extremely badly because H-1B visa restrictions does not necessarily translate into Americans doing the same work, which can be proficiently done by Indians in the same way.
11:24So, there are ways of translating that in terms of creating capability over a period of time instead of something like this.
11:32You know, more of offshoring of work would happen to India instead of people going there.
11:39And I think the American companies or the Wall Street in general will not be very happy or perhaps is not very happy with a decision like this.
11:45But it's true.
11:52Okay. All right.
11:53Mr. Patrikit Pan, thank you for joining us on the broadcast.
11:56So, different perspectives on how this could actually play out on the long term.
12:00But let's also break it down for you and tell you how it all started, the decision that was made and the politics around it as well.
12:07India is studying the full implications of the hike of the H-1B visa fee by the Trump administration.
12:14And in a statement that has been issued yesterday by the Ministry of External Affairs, it stated that the industry in both India and the United States are expected to consult on the best way to move forward.
12:26In fact, India also cited humanitarian consequences by way of disruption that has been caused to the families who hold these H-1B visas, expressing hope that these disruptions can also be addressed suitably by the United States.
12:41Now, this statement by the MEA came even as immigration attorneys and companies had warned that the H-1B visa holders will have to return to the United States immediately or risk being stranded.
12:54Now, sources tell Times now that the government of India has activated its missions abroad, advising all missions to extend all possible help to the Indian nationals who are traveling back to the United States in the next 24 hours or so.
13:10Now, news agency ANI has also quoted a senior U.S. administration official as saying that those who are leaving the country or visiting India do not need to actually rush back before Sunday or pay the fine that has been mentioned.
13:25Now, the official clarified that the fee is only for the new people who are getting the H-1B visas and not for those who are existing with the H-1B visas.
13:36So, not the existing H-1B visas holders, but to those who are applying it newly.
13:41Now, the decision of the Trump administration is likely to impact Indian techies in particular the most since they dominate the H-1B visa program with 70 percent approval under the program going to Indians even last year.
13:56Now, the H-1B visa fee, which currently ranges from 1.76 lakh rupees to 4.4 lakh rupees for Indians will now go up to as much as 88 lakh rupees.
14:08So, you're seeing the difference here from about 2 lakh to 4 lakh rupees is now jumping up to 88 lakh rupees.
14:15So, the Trump administration defended this decision as a measure to protect the American jobs, ensuring that only the very high-skilled workers who are not replaceable by the American workers are actually brought into the country.
14:30What this proclamation will do is raise the fee that companies pay to sponsor H-1B applicants to $100,000.
14:41This will ensure that the people they're bringing in are actually very highly skilled and that they're not replaceable by American workers.
14:49So, it'll protect American workers.
14:51We need workers. We need great workers.
14:53And this pretty much ensures that that's what's going to happen.
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