H-1B Clampdown Is a Temporary Setback, Naidu: Indian Talent Enduring

(ANDHRA PRADESH, INDIA) Andhra Pradesh Chief Minister N. Chandrababu Naidu on Sunday called the latest clampdown on the H‑1B visa in the United States a “temporary setback,” insisting that Indian tech professionals will keep finding paths to global jobs even as rules tighten.

Speaking on 16 November 2025, Naidu said demand for Indian engineers and software workers remains strong worldwide and argued that short-term shocks in US policy will not derail long-term trends in technology hiring.

Context: US policy changes and why they matter

The remarks came amid rising anxiety in India’s IT hubs after a dramatic move by President Donald Trump, who issued a proclamation in September requiring an extra USD 100,000 fee for new H‑1B visa petitions filed after 21 September 2025.

The H‑1B route, detailed by US authorities on the USCIS H‑1B program page, allows US companies to hire foreign workers in “specialty occupations”, mainly in technology and engineering. Indian nationals receive around 70% of all H‑1B approvals, making any tightening feel especially sharp in cities like Bengaluru, Hyderabad, and Visakhapatnam.

Naidu’s message to worried professionals

Naidu directly addressed those fears, saying the current pressure should not be seen as the end of the US dream for Indian tech professionals.

“Some people will suffer. But we have to make use of them,” he said, suggesting that skilled workers who struggle with US visas could feed into India’s own high‑tech plans instead.

He called the fee hike and political attacks on the program “a short‑term hurdle” and repeated that, in his view, “they are bound to depend on us” because of the mix of advanced skills and lower costs that Indian workers offer.

Cost and corporate responses

Naidu argued cost is central to the situation:

• “Cost is very, very important… you (Indian techies) are providing cost‑effective services,” he said.
• Large US clients have built project pipelines around Indian engineers, both onsite and via offshore delivery centers in India.

Even if the H‑1B visa becomes more expensive or harder to obtain, Naidu suggested global companies will still find ways to access the same talent:

• Shifting work to India
• Using other visa routes
• Building larger engineering teams outside the United States

Labor market backdrop

Behind the political drama, industry numbers point to continued demand:

• US technology groups report the jobless rate for computer jobs remains under 2%, well below the national average.
• Analysis by VisaVerge.com cites the tight labor market as a reason business groups warn that sudden H‑1B restrictions could harm American companies as much as Indian workers.

A bill filed by a US congresswoman to phase out the H‑1B route over ten years (with a narrow exception for medical workers) has little chance of passing in its current form. Still, it has contributed to a sense of rising hostility as the 2026 mid‑term elections approach.

How companies and lawyers are reacting

Indian immigration lawyers report companies are already taking protective steps:

• Rush to file L‑1 (intra‑company transfers) and O‑1 (individuals with “extraordinary ability”) applications as insurance against H‑1B shocks.
• Advising key staff to save proof of skills and keep approved Form I‑140 immigrant petitions active, since an approved Form I‑140 helps workers retain a place in line for future US green cards.

Backup plans: Canada and Europe

Many firms and employees are adding second‑country strategies:

• Canada (Toronto, Vancouver) and Europe (Dublin, Warsaw) feature as alternative hubs.
• Indian start‑ups with US branches advise employees to hold valid status or permanent residence in a second country where possible.
• Larger IT firms are evaluating whether more client work can be moved to these locations instead of relying heavily on onsite H‑1B staff.

Opportunities inside India

Naidu emphasized domestic opportunities for returning or blocked talent:

• India is pushing into next‑generation technologies such as indigenous 4G networks, satellites, drones, artificial intelligence, and quantum computing.
• He promised, “We will create opportunities,” arguing that local start‑ups, state‑backed projects, and multinational research centers can absorb part of any reduction in US‑bound roles.

Industry and HR perspectives

Industry bodies and HR teams are reacting with mixed messages:

• Bodies like NASSCOM and the US‑India Strategic Partnership Forum (USISPF) echo concerns that the USD 100,000 fee will hit smaller firms and start‑ups harder than global giants.
• Mid‑level engineers could face fewer chances to gain early‑career experience in the US market.

Inside Hyderabad’s tech parks, HR teams describe tense staff meetings where managers balance reassurance with realism:

• Employees now ask detailed questions about timelines, risk, and alternatives.
• Companies offer internal sessions on other work routes, including transfers to Canada, and explain how H‑1B changes might affect long‑term family immigration plans.

What this means for Andhra Pradesh engineers

For thousands of young engineers in Andhra Pradesh, Naidu’s remarks are both comfort and a call to action:

• Comfort: Global digital growth means skilled coders and system architects will remain in demand even if US access fluctuates.
• Challenge: Professionals are urged to look harder at roles in India’s emerging tech ecosystem—defence, space projects, fintech, and deep‑tech start‑ups—which aim to keep more value and talent at home.

Final takeaway

US officials say the higher H‑1B fee and talk of phasing out the program aim to curb fraud and protect local workers. Yet as long as companies complain they cannot find enough highly trained staff domestically, pressure for some form of high‑skilled visa will likely persist.

For now, Naidu is betting that Indian tech professionals will adapt faster than the politics around them—whether by enduring tougher US rules, shifting to other countries, or seizing new roles inside India’s borders.