US Signals H-1B Overhaul Days After Fee Hike, Calls Influx Of Cheap Tech Consultants With Families 'Just Wrong'

(MENAFN- Live Mint) Just as India was grappling with the H-1B visa fee hike, United States Commerce Secretary Howard Lutnick has now indicated that the H-1B visa process will undergo a overhaul before February 2026, when the newly announced fee of USD 100,000 (over ₹88 lakh) takes effect. Declaring the“a significant number of changes”, Lutnik also criticised the notion of“inexpensive” tech consultants entering the United States with their families, calling it“just wrong.”

He said that the incoming reforms in the H-1B visa system would tighten it well ahead of the steep fee hike.

Earlier this month, the Donald Trump administration had announced a H-1B visa fee hike for new workers being brought into the country – an order that will impact the Indian professionals looking to work in the US on the temporary visas.

'Real thoughtful change'

In an interview recently, Howard Lutnick had mentioned that the process goes into effect in February 2026 and there are going to a significant number of changes.“This procedure and process goes into effect in February of 2026, so my guess is going to be, there are going to be a significant number of changes between now and 2026,” Lutnick said.

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Howard Lutnick also said thar a“thoughtful” change will be visible going forward.

“There's going to be a variety of changes; they're talking about changes - how to get the lottery, should it still be a lottery? But that will all be resolved by February,” he said, adding,“but as of right now”, there's going to be a one-time fee of USD 100,000 to get in.

He pointed out that the H-1B visa process functions like a lottery, and recalled a recent discussion with the chiefs of two of the world's largest tech firms, who described the idea of deciding skilled workers' entry into the U.S. through a lottery as“bizarre.”

Lutnick questioned why a nation should bring in skilled workers through a lottery.“That just doesn't make any sense.”

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He said there is consensus that the H1B process, which was set up in 1990 and“sort of butchered along the way”, needs to change.

On 'inexpensive' tech consultants

He said the visas are 7-10 times“oversubscribed”, 74 per cent of it is tech consulting.

“H1B visas are for tech consultants? Like, somehow, that's like important that tech consultants are onshore versus offshore. They're all in other countries anyway,” he said. He added that the H1B lottery needs to be“fixed" and the US should only give "highly-skilled jobs" to the "most highly-skilled people".

He said the engineers that the companies in the US should be highly paid ones.

“The idea of having tech consultants and trainees who are inexpensive should be eliminated. I have a strong opinion that way. I think the President's right with me on those same topics. I am completely on the view that this idea that inexpensive tech consultants should be coming into this country and bringing their families, I find it just wrong, and so it sits wrong with me,” Lutnick said.

(With PTI inputs)

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