Trump’s H-1B fee plan threatens Indian IT’s onsite model

The US Department of Homeland Security’s proposal to impose an additional $103,265 fee on new cap-subject H-1B petitions could force Indian IT services companies to rethink their traditional model of moving employees trained in India to the US for two-three year assignments, while making them more selective about the talent they deploy onsite.

The proposal marks a fresh attempt by the Trump administration to impose the steep charge after a federal court struck down the earlier $100,000 fee introduced through a Presidential proclamation. Unlike the earlier measure, the new fee is being proposed by the Department of Homeland Security through formal rule-making under its fee-setting authority.