After the H-1B Fee Hike, Global Paths for Indian Students

(UNITED STATES) The United States 🇺🇸 has introduced a new H-1B visa fee of $100,000 for first-time petitions, effective for filings on or after September 21, 2025, reshaping study-to-work plans for many Indian students and early-career tech workers. The change follows a year of softer visa issuances across key destinations, with Indian F-1 issuances to the U.S. dropping from about 131,000 to 86,110 in fiscal 2023–24.

The United Kingdom also saw a fall in sponsored student visas for Indians from roughly 120,000 to 88,732, while Canada 🇨🇦 recorded a 32% decline in study permits for Indians, from 278,000 to 189,000. According to analysis by VisaVerge.com, the price shock tied to the H-1B visa fee is prompting students and employers to examine fresh pathways outside the U.S., especially in Europe, Australia, and parts of Asia.

For Indian students who once planned a straight line from an American degree to H-1B employment, the new upfront cost changes risk calculations for both families and employers. Companies that sponsor H-1B workers typically pay core filing fees and legal costs. A $100,000 one-time charge on new petitions moves the sponsorship decision from routine to exceptional, likely limiting which candidates receive offers or prompting firms to place junior roles in lower-cost markets.

The chill is already visible in student flows. A steep drop in U.S. F-1 visa issuances from India in 2023–24 suggests applicants are waiting to see how job prospects evolve. The United Kingdom’s fall in sponsored student visas for Indian nationals and Canada’s sharp decline in permits reinforce a broader reset in top destinations. As those routes tighten or become costlier, students are weighing programs with clear part-time work rules, simpler post-study options, and realistic employer demand.

Policy changes overview

Under the updated U.S. policy, the H-1B visa fee applies as a one-time payment for new petitions filed on or after September 21, 2025. For context, first-time H-1B filings are typically made by U.S. employers using Form I-129, Petition for a Nonimmigrant Worker. Students and young professionals should know that the employer, not the foreign national, is the petitioner.

When firms review the total cost of a new hire—including wages, compliance, legal, and filing fees—a six-figure charge will weigh heavily on choices about sponsorship, timing, and role location.

• Applicants and employers can review core petition requirements on the official USCIS page for Form I-129 to understand how the process works and what documentation is needed.
• The form instructions outline who can file, fee components, and required evidence.

See the USCIS resource here: Form I-129, Petition for a Nonimmigrant Worker.

The drop in Indian visa issuances to the U.S. in 2023–24 may not be due to one factor alone, but the new H-1B visa fee has added a major unknown for graduating students. Some are betting on other countries with clearer or cheaper post-study routes. Others are delaying applications to reassess budgets, scholarships, and job markets.

Impact on applicants and global alternatives

Several countries are becoming more attractive as alternatives to the U.S. below are the main options and what they offer.

Germany

• Under the Skilled Immigration Act, international students can now work up to 20 hours per week during the semester (up from 10).
• Many English-taught master’s programs are available in engineering, computer science, and applied sciences.
• In select cases—short-term courses and exchange programs—students can secure a gratis (free) visa, reducing upfront costs.
• Practical benefit: more work hours help cover living costs and build local experience.

Austria

• Focused investments in targeted STEM master’s programs for Indian engineering graduates.
• Public universities keep tuition moderate; government subsidies help control expenses.
• Students can work up to 20 hours per week, linking studies to industry placements.
• Popular cities: Vienna and Graz (robotics, clean tech, advanced manufacturing).

France

• Mobility tools and language bridges are opening doors for international students.
• Indian students who complete a semester in France or hold a French certificate can qualify for a five-year short-stay Schengen visa, improving travel across Europe.
• The Classes Internationales initiative allows students to start French language studies in India before moving.
• Increasing number of English-taught graduate programs, combined with French skills for internships and jobs.

Australia

• The MATES program lets young Indian graduates and early-career professionals (aged 30 or under, with a degree and proof of English proficiency) live and work in Australia for up to two years.
• Focus areas: AI, fintech, ICT, renewable energy.
• Strengths: clear bridge from study to work and predictable post-study options employers value.

China

• Proposed K visa aimed at young STEM talent, allowing longer stays, multiple entries, and space for business or startup activity.
• Would consolidate several categories under one scheme, potentially flexible for research, commercialization, and entrepreneurship in semiconductors, advanced materials, and clean energy.

Things families and students should compare

Five recurring themes to guide destination choice:

• Language of instruction: Many European master’s programs are in English, but confirm course catalogs and department pages.
• Work rights during study: Countries set weekly limits and job types—Germany and Austria now allow up to 20 hours per week.
• Post-study routes: Transitions to work or residence permits vary; Germany and Australia often offer smoother transitions.
• Budget planning: Tuition can be low or subsidized in parts of Europe, but living costs (rent, insurance, transport) can be high—build a full-year budget.
• Market demand: Choose degrees tied to employer needs—software, data, cybersecurity, AI, biotech, renewable energy.

The bigger shift is psychological as much as financial. For years, Indian students saw the U.S. path as the default: an F-1 degree, Optional Practical Training (OPT), then H-1B sponsorship. The new H-1B visa fee nudges both students and employers to reconsider costs and risk.

How recruiters and universities are responding

• Recruiters in Germany and Austria report more inquiries from Indian master’s students in machine learning and industrial automation.
• Universities in France report rising interest in programs combining English coursework with strong lab placements and the promise of five-year short-stay Schengen access after study.
• In Australia, tech and clean energy firms continue to attract graduates seeking English-language workplaces and clear post-study rules.
• In China, universities linked to national labs and startup parks are preparing to use the K visa to bring in early-career researchers.

For current F-1 students in the United States 🇺🇸, choices include:

1. Stay the course, use Optional Practical Training (OPT) to gain experience, and hope employers cover the new H-1B visa fee.
2. Transfer internally to company offices in Germany or Australia, then grow careers from those locations.
3. Return to India and join global teams that hire remotely—this avoids relocation costs while offering advanced work.

Practical steps for prospective applicants (recommended)

1. Map two to three country options, with at least one plan that does not rely on U.S. sponsorship.
2. Compare total costs, not just tuition—include rent, food, insurance, and commuting.
3. Look for programs with internships and strong employer partnerships built into the curriculum.
4. Verify weekly work-hour limits and check how part-time roles connect to your field.
5. Track local hiring trends by field, city, and language requirements.

Employers are making adjustments as well. A six-figure H-1B visa fee on new petitions may push companies to:

• Expand graduate pipelines in Europe or Australia,
• Reserve U.S. hiring mainly for senior or hard-to-fill roles,
• Adopt a “graduate elsewhere, transfer later” model—anchoring young hires in lower-cost hubs before rotating top performers to U.S. teams.

Final takeaways

None of this closes the door to the U.S. entirely. America still offers unmatched depth in research, venture capital, and scale. But the cost structure is changing.

For Indian students and recent graduates, the smartest approach is to:

• Build a wider set of options,
• Choose programs that offer real work exposure,
• Focus on fields with clear and steady employer demand.

That strategy keeps doors open—whether the first job is in Berlin, Vienna, Paris, Sydney, Shanghai, Toronto, or Austin. The year ahead will test old assumptions; students who plan carefully on academics, language, work rights, and budgets will find paths that match both ambition and reality.