H-1B scare: The US Congress passed a bill to halt the visa program for three years. The implications for Indians

A group of Republican members in the US Congress are proposing a three-year restriction on the H-1B visa program, which US technology businesses use to hire Indian and other foreign workers. This presents another obstacle for the Trump administration. Months after US President Donald Trump proposed a $1,00,000 cost on new applicants, the H-1B visa program faces a new challenge.

A group of Republican members in the US Congress have proposed legislation to suspend the H-1B visa program for three years, claiming that it has been abused to replace American workers with less expensive foreign labor.

The End H-1B Visa Abuse Act of 2026 was filed by Arizona Congressman Eli Crane and co-sponsored by seven other Republican lawmakers.

A minimum wage requirement of $2,00,000 per year, a reduction in the yearly ceiling from 65,000 to 25,000, and a prohibition on H-1B visa holders bringing families into the country are just a few of the changes to the H-1B program outlined in the proposed measure.Legislators from Texas (Brian Babin, Brandon Gill, Wesley Hunt, Keith Self), Tennessee (Andy Ogles), Arizona (Paul Gosar), and California (Tom McClintock) have joined as initial co-sponsors.

Indian professionals make up one of the largest groups of recipients of the H-1B visa program, which is commonly used by US technology companies to hire foreign labor. This makes singling out Indians crucial.

Additional reforms proposed by the bill include replacing the lottery system with a wage-based selection process, requiring employers to verify that they are unable to find qualified American workers and have not made layoffs, banning H-1B workers from holding multiple jobs, and limiting their employment by third-party staffing agencies.

Additionally, it advocates for abolishing Optional Practical Training (OPT), prohibiting federal agencies from employing or sponsoring nonimmigrant workers, and strengthening the temporary nature of nonimmigrant visas by prohibiting H-1B holders from obtaining permanent status. Additionally, before transferring to another nonimmigrant visa category under the proposed modifications, nonimmigrants would need to depart the United States.

The US can theoretically legally halt the H-1B visa program since Congress has the power to do so, according to Rahul Reddy, an immigration lawyer in Houston. According to an Indian Express story, Reddy stated that the administration must put a freeze on a visa category if Congress votes to do so. He cited current limitations that have an impact on specific nations as proof.

Reddy listed the more intricate practical ramifications, stating that “H-1B holders will have to leave the country or move to another visa status” if a freeze is implemented. For many, that might mean switching to a student visa or leaving the US completely.

According to Reddy, Indians who are locked in employment-based green card backlogs—some of whom have been waiting for up to 20 years—are the most susceptible category. They would no longer get the benefits they have been legally receiving for decades due to provisions in the Bill that prevent status modification, which might pose major constitutional issues.

Congressman Crane said the End H-1B Visa Abuse Act of 2026 would expand access to jobs, strengthen safeguards in the visa process, and prioritise American workers. “I am proud to cosponsor Rep Eli Crane’s efforts to reform and tighten our H-1B visa system, ensuring that our immigration system serves American workers first before foreigners,” said Rep Brandon Gill.

The bill, he said, halts what he described as a system stacked against Americans and aims to put domestic jobs first. “If a company can hire an American, they should. No loopholes. No excuses. We’re done subsidising the outsourcing of our own workforce,” Gosar said.

Rep Andy Ogles claimed that American workers are being displaced due to cheaper foreign labour. “We will not bow down to the corporations, and we will not let Americans become strangers in their own country. End the H-1B scam,” he said.