Trump's H-1B crackdown drives tech talent back to India, China

Deepak, a 44-year-old tech professional, dismantled a 15-year life in the United States to return to India. Laid off in October, he found a new job but remained anxious about his H-1B visa status, which required him to secure new employment within 60 days. This uncertainty, fueled by President Donald Trump's immigration crackdown, pushed him to seek the relative stability of his home country.

Trump's administration has tightened immigration regulations, making it more costly and complex for U.S. employers to recruit skilled foreigners. A proposed $100,000 application fee for new H-1B visas, though later struck down by a federal judge, caused significant confusion. The administration has since proposed a $4,000 surcharge for H-1B extensions and renewals, further complicating the process for companies, particularly Big Tech firms that heavily sponsor these visas.

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When Trump announced the US$100,000 (S$128,000) application fee for new H-1B visas, it created a lot of confusion. Companies were not sure if it applied to renewals, transfers as well as new hires.

The anti-H-1B visa environment has made companies hesitant to hire Indian professionals, leaving individuals like Deepak with little choice but to leave. He sold his U.S. properties and furniture, and relocated his family to Kerala, India. This exodus is reflected in talent consulting firm Xpheno's data, which shows a significant increase in Indian professionals returning to India in recent years. While a similar estimate for China was unavailable, China's Ministry of Education reported a rise in student returns, suggesting a diminishing appeal of the American Dream for foreign talent.

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It was nerve-racking and difficult. The anti-H-1B visa environment is strongly affecting the willingness of companies to hire Indians. There was no option but to leave America.