What Happened?
- U.S. government raised H-1B visa application fee to $100,000 (from a few thousand dollars earlier).
- Applies to new applicants, not renewals.
- Expected to disproportionately impact young Indian women.
Relevance
- GS 1(Society): Gender empowerment, social equity.
- GS 2(International Relations): India–U.S. relations, diaspora policies, global migration.
- GS 3(Economy): Skilled workforce, IT services, economic self-reliance, innovation ecosystem.
Contextual Background
- H-1B visa: U.S. non-immigrant work visa for skilled professionals in tech, engineering, medicine, etc.
- India = largest beneficiary (over 70% of approvals).
- Historically, male-dominated pool, but women’s share in new applications is rising (37%).
- Fee hike follows U.S. debates on immigration, protectionism, and election-year politics.
Institutional Angle
- U.S. domestic law: Immigration & Nationality Act governs H-1B.
- For India:
- India–U.S. migration policies, diaspora ties, protection of skilled workers.
- IT sector, services exports, employment generation.
- WTO relevance: Fee may be challenged as non-tariff trade barrier.
Data & Reports
- Gender Gap: FY24 – 74% men vs 26% women in renewals; 63% men vs 37% women in fresh approvals.
- Salary Gap (Initial Employment):
- Women bottom 25%: $71k vs Men: $80k.
- Women median: $91k vs Men: $99k.
- Women top 25%: $125k vs Men: $131k.
- Age Profile: 75% of women <35 yrs (vs 65% men).
- Education: 44% women had Master’s (higher than men at 39%).
- Nationality Skew: Gender gap sharp for Indians, not Chinese.
Multi-Dimensional Overview
- Political:
- U.S. signalling protectionism to appeal to domestic voters.
- Diplomatic strain possible in India–U.S. relations.
- Economic:
- Indian IT exports ($150B+ annually) may face talent bottlenecks.
- Small firms/startups hit harder than tech giants.
- Social:
- Women disproportionately affected despite higher qualifications.
- Entry barriers may reduce gender diversity in tech workforce.
- Geopolitical:
- U.S. risks losing talent to Canada, UK, Australia.
- India may push harder for skilled migration pacts (e.g., mobility partnership).
- Ethical:
- Raises fairness concerns: fee burden not aligned with wages, discriminatory impact on young women.
Arguments & Counter-Arguments
- Arguments for fee:
- Curtails over-dependence on foreign workers.
- Generates revenue for U.S. immigration services.
- Protects local employment opportunities.
- Counter-arguments:
- Discriminatory impact on women and young professionals.
- May reduce U.S. competitiveness in tech and R&D.
- Violates spirit of equal opportunity and open markets.
Way Forward
- For India:
- Diversify skilled migration partnerships (Canada, EU, Japan).
- Strengthen domestic digital ecosystem under Atmanirbhar Bharat.
- Push for mobility chapters in FTAs (UK, EU).
- For U.S.:
- Balance domestic labour concerns with global talent competitiveness.
- Way forward: Collaborative mobility frameworks that ensure affordability + inclusivity, preventing disproportionate impact on women.
