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Senate Bill Escalates H‑1B Crackdown as Companies Pivot Work to India

It follows a $100,000 one-time fee on new petitions, signaling a tilt toward higher‑paid, higher‑skill hires.

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India is the largest beneficiary of H-1B visas, accounting for over 70% of the approved beneficiaries, while China is second at 12%.
H-1B, L-1 Visa Reform Act reintroduced in US Senate: How will new bill impact hiring by big Tech firms
A bipartisan duo in the Senate has drafted an unprecedented bill to curb the little-known but huge L-1 visa program, which allows multinationals to import hundreds of thousands of white collar workers while paying them home country wages.

Overview

  • Republican Chuck Grassley and Democrat Dick Durbin introduced a bipartisan bill to raise wage and hiring standards, tighten eligibility, and step up enforcement for H‑1B and L‑1 visas, with priority proposed for STEM roles.
  • U.S. Commerce Secretary Howard Lutnick called the current H‑1B process “just wrong,” questioned the lottery, and said significant changes are expected before February 2026, emphasizing selection of higher‑paid engineers and other top‑skill workers.
  • The Department of Labor launched Project Firewall to police H‑1B misuse and ensure employers consider qualified American workers first, with plans to add enforcement capacity.
  • Industry experts report U.S. employers are reassessing hiring and accelerating shifts of high‑value work to India’s Global Capability Centres, which number about 1,700 today and are expanding into AI, R&D, cybersecurity, and finance.
  • The White House clarified the $100,000 charge applies as a one‑time fee on new H‑1B filings, and company leaders say nearshoring to Mexico or Colombia and moves to Canada are also under evaluation.