Indian IT industry in a fix as US mulls H1-B visa suspension

Reports of Donald Trump-drove US government wanting to incidentally suspend different visitor specialist visas, including H1-B visas, have caused a vulnerability in the Indian IT/ITes division — the most noteworthy recipient of these visas.

As indicated by US official information, 2,75,000 H1-B visa applications were gotten for FY21 alone. Be that as it may, because of stricter systems and consistence costs, the dismissal rate for these visas remained at 30 percent in the principal quarter of FY20. The dismissal rate for Indian IT/ITes and consultancy firms is considerably higher than the US-headquartered firms. Almost 67 percent of new H1B visa applications for FY21 originated from India, the information appeared.

In the midst of a taking off joblessness rate in the US with 20.5 million occupations having been lost in April alone due to Covid-19 pandemic, four US administrators have written to Trump looking for “suspension of visitor specialist visas for in any event one year from now or until joblessness came back to typical levels.” The letter makes reference to that given the outrageous absence of occupations for American occupation searchers, it resists sound judgment to concede increasingly outside laborers for such constrained business.

“A transition to incidentally suspend the H1-B visas will be remarkable for the Indian IT/ITes area who unquestionably depend on these visas for huge numbers of their agreements inside US. The business needs to receive a pause and-watch strategy to check whether the Republicans likewise vote in favor of the enactment that bans H1-B visas. In the event that at all such a law is passed, it will trigger another influx of enlistment by Indian IT firms inside the US in present moment. For the present, there is a tremendous vulnerability,” Shailesh Shah, CEO, Strta Consulting, told TMS.

The United States Citizenship and Immigration Services prior expanded an elegance time of 60 days for H1-B visa holders who were laid off, in a major help to lakhs of Indian geeks abandoned in the US at this moment. Numerous talented experts from the IT business who were laid off in the present rush of joblessness have been asked to either leave the nation or get a reasonable line of work inside the period.

“Any such law, if at all passed, will be just executed one year from now, given the H1B visa applications process during the current year has just started. Indeed, even an impermanent prohibition on H1-B visas is exceptionally far-fetched as Indian and worldwide tech firms, and Silicon Valley new businesses have been employing Indians on H1-B visas,” said Pareekh Jain, author, EIIRTRend and Pareekh Consulting.