US President Donald Trump has suffered a major setback in the H-1B visa fee issue. The US Court on Monday (June 8) declared the Trump administration’s new H-1B visa fee of $1 lakh illegal and canceled it. Boston District Court Judge Leo Sorokin gave this decision.

The matter had reached the court

The matter reached the court after the Attorney General of 20 Democratic states filed a lawsuit. The Trump administration’s decision to impose an annual fee of $1 lakh on new H-1B visa applications was challenged by the states.

Fees are not fines but taxes – Court

According to Reuters report, Sorokin said in his decision that the huge fees charged for new H-1B visas are not a penalty but a tax. The Republican President had no authority from Congress to issue it. The US State Department and US Citizenship and Immigration Services could not implement this.

The judge further added in the decision that this policy regarding visas is beyond Trump’s jurisdiction and will be harmful to key public sectors including education and healthcare. The district judge said in his decision, ‘The Court finds that this policy imposes a tax on H-1B visa applications without the necessary authority given by Congress.’

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Government said it will appeal against the decision

The US government has said that it will appeal against this decision of the court. White House spokeswoman Taylor Rogers said in a statement that the Trump administration is confident that the order will be overturned on appeal.

H-1B visa is given to 65 thousand foreign workers every year. Apart from this, 20000 additional visas are also given for three to six years for workers with higher education. More than 70 percent of the approved H-1B visas go to Indian professionals. American workers seeking visa for foreign workers usually paid a fee of 2000 to 5000 dollars, but US President Donald Trump had imposed a huge fee of 1 lakh dollars.

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H 1b visa: The US Government Shutdown, which began on 1 October, has completely stalled the H1B visa process. The biggest impact of this is on the Indian professionals who are H1B visa beneficiaries. According to data, more than 71% of Indians are Indian professionals in H1B visa holders.

The US Department of Labor releases the required LCA (Labor Condition Application) before approved any H1B visa application. But due to shutdown, the functioning of the department has stopped.

New visa cannot be released

According to immigration lawyers, if the employees have not taken LCA approval before the shutdown, then no new H1B visa can be given. Apart from this, change in the condition of visa will also not be possible. Sophie Alcorn, an immigration lawyer of Silicon Valley, said that this will have the most impact on new applications. At the same time, there will be no effect on the already ongoing matters as American citizenship and immigration services (USCIs) work on the basis of their fees and are not dependent on the Congress budget.

Employees and their families increased concern

The situation of thousands of technical staff and their families has been affected due to shutdown. The legal status of many employees depends directly on government approval. Startup companies are facing uncertainty about their employees. It also includes the founder who is on a visa himself. The process of recruitment of high skilled employees and visa renewal has stopped completely. O 1 visa people, who are given special abilities in science, art or business, are also facing similar uncertainty as the immigration process has slowed down and affected due to shutdown.

H1B visa fee increase

There is no fixed date of government shutdown. President Trump has recently announced an increase in visa fee for the new H1B visa applicants by $ 1,00,000. Along with this, a plan has been made to change the lottery system to give priority to high -paying employees. This shutdown started on 1 October at 12:01 pm local time and no end date is fixed. The last long shutdown lasted for 35 days during Trump’s tenure, which was the longest in the last four decades. Until the Congress agrees on funding, Indian professionals working in America will have to wait uncertain.

US President Donald Trump has increased the difficulties for India’s IT professionals by increasing the H1B visa fees. Now Indians will have to spend 1 lakh dollars (about 88 lakh rupees) for H1B visa. This decision has made the dream of working in America expensive and concern has increased in India’s IT sector and startups.

What did the Trump administration say?

The Trump administration says that the new ‘Gold Card’ option will help America bring the most efficient professional directly. He argues that the misuse of H1B visa is becoming a threat to American jobs. According to the White House data, in 2003, H1B professionals had 32% IT jobs, which would exceed 65% by 2025.

The new visa fees will think twice before going to the Indian professional America. Experts say that this is both challenge and opportunity for India. Many companies have now reduced their dependence on H1B visas and are increasing recruitment at the local level.

How will India benefit?

Experts in the IT industry believe that the new fees will be forced to return home to the Indian talent working in America. This will increase the flow of skill, experience and capital in India. According to Vivek Wadhwa, CEO of Vionix Biosciences, this will be a financial loss for America but India will benefit.

It is time for the Government of India and companies to increase local opportunities and establish India as a global tech hub. Experts believe that ‘American Dream’ in America will be difficult now, but India will get the benefit in the long time. This change will completely change the scenario of global IT talent and Indian professionals will explore their career and business options under new circumstances.

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