Indian experts have analyzed the recently proposed rules to revamp the H-1B visa program, concluding that they are more about streamlining the system and could narrow the pool of eligible applicants. This assessment comes shortly after the US Citizenship and Immigration Services (USCIS) announced plans to update regulations governing this non-immigrant work visa.

H-1B visas serve as a means for US employers to hire highly skilled foreign workers, primarily in technical roles, for a defined period. Annually, approximately 85,000 H-1B visas are issued worldwide, with 20,000 of these reserved for applicants holding an American master’s degree or higher.

The noteworthy aspect is that about 70% of these H-1B visas are typically granted to Indian candidates due to the substantial number of applications from India.

The proposed rules, unveiled on October 23, aim to modernize, enhance, and provide more flexibility in the H-1B visa program. They are currently open for suggestions and feedback during a 60-day period.

The National Association of Software and Service Companies (Nasscom), an industry body representing India’s IT sector, will be formally submitting recommendations and has initiated a comprehensive assessment of the proposed rule. Their input will address concerns and challenges in the rule’s provisions.

Nasscom has preliminarily noted that certain aspects of the proposed rule align with previous attempts to limit the H-1B program, raising concerns for the IT industry. The tightening of the definition and requirements for “speciality occupations” is one such example, potentially limiting the pool of eligible H-1B visa candidates.

These changes and other hurdles in the proposed rule may create difficulties for companies seeking to hire skilled workers for currently vacant positions in STEM fields.

According to Kamal Karanth, Co-founder of staffing firm Xpheno, the changes proposed by USCIS encompass administrative governance adjustments and improved participation for talented individuals. Significant changes include the removal of the employer-employee relationship in the lottery process and restrictions on multiple application entries for the same resource.

Nasscom and industry experts generally appreciate the move, recognizing several positive changes in the proposed rules, which align with the Biden administration’s recognition of the skilled labor supply-demand gap.

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