The Politics of Shutting Out Skill: What the New H-1B Rules Mean for India

ByDaniyah Tariq
October 19, 20254 min read

“Shushmita’s son got a job in the US.” Translation: Shushmita’s son has made it in life.

When I was a kid, any family that moved to the US was successful; aspirational to us.

We would hang on to each word of theirs. Complaints about the long flight, the terrible driving of the taxiwala, and the traffic caused by the Durga pooja pandal. Most times, we didn’t even know where Chacha’s family was settled in the US, or what kind of job he did there. The technicalities didn’t matter to us; the glossy packages of American brand products and the fake accents were enough to make us imagine ourselves one day going to America, too.

That was The Middle-Class Dream. And with the newly amended H-1B visa, the dreamland itself was calling. Chosen by lottery, Indian workers make up around 70% of the 85,000 visas issued yearly; a supply falling short of the demands of US-based companies, who are more than eager to get the talent and skill for a fraction of the cost. Over the years, H-1B has become the conduit for the fruition of millions of meritocratic hopes. No longer did you need to come from an affluent background, have industry connections, or be limited to the circumstances you were born into. For the first time, access to first-world luxury was starting to look attainable.

Cut to September 19th, US President Donald Trump announced the price of skilled worker permits was to be raised to $100,000. Almost 50 times the original cost.

Image Credits: BBC

This change would secure jobs for American citizens by removing international competition from the picture. A single decision made in the White House; a complete shift in the dynamics of world economics. The consequences of which, of course, will be suffered by the less privileged countries, pawns in the chessboard of geopolitics that America can afford to lose.

But who is really losing here?

The biggest asset the US has had up until now is its access to an international workforce; talent from all over the world that made America what it is today.

According to the 2025 Silicon Valley Index, around 66% of the technology workers in the region are foreign-born. Similarly, the American Medical Association reported in 2025 that international medical graduates make up 25% of their physicians. Over 1.1 million international students contributed about $43 billion to the U.S. economy in the 2023-24 academic year (Badger et al., 2025).

The list can go on and on.

Experts predict that the US will ultimately lose more than India from this change. The number of H-1B visa rejections by the previous Trump administration had India preparing for this shift. Indian outsourcing giants such as TCS and Infosys have been building local workforces and shifting delivery offshore. Only three of the top 10 H-1B employers had ties to India in 2023, down from six in 2016, according to Pew Research.” (Inamdar et al., 2025)

A lot of US-based companies will have to start hiring remote workers offshore, providing employment whilst simultaneously reducing Indians’ reliance on H-1Bs.

Innovative new startups that don’t have the required funding will be denied access to international talent. Founders and CEOs will be prevented from managing their US-based businesses. Overall, the US economy is in for a tumultuous few years.

Improving the job market for US citizens isn’t as simple as removing citizens of other countries from the picture. Increasing polarization and attempts at radical exclusion will only disturb the equilibrium of a once thriving economy, one that is bound to collapse if it ignores the pillars holding it up.

Watching US politics unfold from far away, I wonder if Shushmita would be just as boastful if her son had moved to the US in 2025—would I have envied him?


References:

  1. Travelli, A., & Raj, S. (2025, September 29). Trump’s $100,000 visa upends lives: ‘My dreams were shattered.’ The New York Times. https://www.nytimes.com/2025/09/29/business/india-h1b-visa-trump.html?camp=7JFJX

  2. Ghosh, S. (2025, September 27). What does Trump’s latest H-1B directive state? | Explained. The Hindu. https://www.thehindu.com/news/international/what-does-trumps-latest-h-1b-directive-state-explained/article70103045.ece

  3. Inamdar, S. B. a. N. (2025, September 22). H-1B: What Trump’s $100,000 visa means for India and US industries. https://www.bbc.com/news/articles/ce3yy58lj79o

  4. Badger, E., Bhatia, A., Elkeurti, A., Rich, S., & Singer, E. (2025, May 24). These are the U.S. universities most dependent on international students. The New York Times. https://www.nytimes.com/2025/05/23/upshot/harvard-trump-international-students.html#

  1. Inamdar, S. B. a. N. (2025, September 22). H-1B: What Trump’s $100,000 visa means for India and US industries.https://www.bbc.com/news/articles/ce3yy58lj79o