OPT in Crisis: Indian Students Face Collapse of Post‑Study Work Pathways

OPT continues in 2025 but with increased scrutiny: more audits, social media checks, narrower interview waivers, and possible FICA tax removal, disproportionately affecting Indian STEM students. Stakeholders must document thoroughly and prefer compliant employers.

VisaVerge.com
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Key takeaways
OPT remains available in 2025, but enforcement, social‑media checks, and interview limits have increased scrutiny.
194,554 students were on OPT in 2024; 95,384 used STEM OPT; Indians made up ~48% of STEM OPT.
Pending FICA changes could add 7.65% payroll tax for OPT workers and employers, raising hiring costs.

(UNITED STATES) The Optional Practical Training program, widely known as OPT, remains in effect in 2025. But the ground under international students—especially those on F-1 visas from India—has shifted. Proposals to scale back or end OPT, tighter checks on employers and students, and longer consular interview wait times are reshaping plans for a large share of the world’s graduating class in the United States 🇺🇸.

The result is a climate of doubt that touches every part of the pipeline: students who count on OPT to start a career, universities that depend on tuition and research talent, and employers that hire graduates in fast-growing fields like AI, cybersecurity, and advanced manufacturing.

OPT in Crisis: Indian Students Face Collapse of Post‑Study Work Pathways
OPT in Crisis: Indian Students Face Collapse of Post‑Study Work Pathways

What OPT is and how it’s changed

At its core, OPT is a bridge from school to work. It lets F-1 students work for up to 12 months in jobs that relate to their field of study. STEM graduates can apply for a 24‑month STEM OPT extension, giving them up to three years after graduation to gain paid experience. That pathway is still open. Yet policy moves in 2024–2025 have made the bridge feel narrower.

Several trends are reshaping the landscape:
Enforcement actions targeting sham jobs and fake training.
Social media checks, new interview waiver limits, and reports of sudden status terminations.
Pending tax proposals that could raise the cost of hiring students.

Indian nationals sit at the center of this story because they represent a large share of OPT users and nearly half of STEM OPT participants—so any change hits them first and hardest.

Recent data and scope

  • 194,554 students were on OPT in 2024, up 21.1% from 2023.
  • 95,384 used STEM OPT.
  • Indian students accounted for about 48% of STEM OPT—roughly 45,800 people—and an estimated 25–30% of all OPT participants.
  • In 2022, there were over 171,600 OPT authorizations.

These figures reflect a broader trend: Indian students are now one of the largest international student groups in the U.S., driving billions in economic activity. As analysis by VisaVerge.com notes, even small policy shifts in OPT ripple through enrollment, research labs, and hiring plans across the country.

Policy changes overview

Officials have not ended OPT, but the direction is toward more scrutiny, fewer shortcuts, and a louder political debate. Key moves in 2024–2025 include:

  • OPT remains available after at least one full academic year in valid status. The 24‑month STEM OPT extension also remains available.
    • Students report stricter review of STEM degree fields, closer checks of job duties, and more site visits to confirm that roles truly match a graduate’s program of study.
    • Applications using vague “training” descriptions face higher denial risk.
  • Social media and activism checks are now part of screening.
    • In 2025, applicants report being asked to disclose public social media accounts.
    • Posts seen as anti‑American or linked to campus protests have been cited in delays or denials of visas, renewals, and re‑entry.
  • Enforcement against sham jobs has escalated.
    • Agencies are focusing on fake payroll, benching without pay, and shell companies.
    • Students tied to non‑compliant employers risk OPT revocation, which can end status and derail immigration plans.
  • Interview waivers have narrowed.
    • As of mid‑February 2025, consulates limit waivers mostly to applicants whose prior visa expired within the past year.
    • More applicants now require in‑person interviews, stretching appointment calendars and creating travel uncertainty.
  • SEVIS record and status terminations have become less predictable.
    • Abrupt terminations linked to institutional problems or record errors have increased.
    • Some institutions faced restrictions, including bans on issuing new Form I-20, leaving students in limbo.
  • Tax changes are on the table.
    • Pending legislation would remove the FICA payroll tax exemption for OPT workers.
    • If enacted, students and employers would each pay 7.65% in payroll taxes on wages—raising hiring costs and potentially shrinking entry‑level offers.

None of this happens in a vacuum: U.S. lawmakers critical of OPT argue it fills labor gaps at the expense of domestic workers and lacks clear statutory authorization. Supporters say the program keeps the country competitive and feeds research and startup ecosystems.

Day-to-day implications for students, universities, and employers

On the ground, policy changes are altering how students plan their final year:

  • Career centers now urge early preparation for OPT.
  • International offices press students to verify that every duty in a job offer matches the major on their Form I-20.
  • Legal clinics teach meticulous recordkeeping—offer letters, pay stubs, supervision schedules, and proof of E‑Verify participation—to be ready for audits.

Process steps remain the same in principle:
1. File Form I-765 to request OPT and receive an Employment Authorization Document (EAD).
2. STEM extension applicants complete Form I-983 training plan with their employer.

But approval odds now hinge as much on the employer’s compliance culture as on the student’s paperwork. Vague job descriptions, unclear supervision, or an employer with a poor record can sink a strong candidate.

💡 Tip
Apply for OPT as early as allowed and keep stamped proof of submission plus all confirmation receipts; this helps if processing delays or audits require evidence of timely filing.

For an official explainer, the Department of Homeland Security’s page on Optional Practical Training remains a primary guide: https://studyinthestates.dhs.gov/optional-practical-training-opt.

Impact on Indian students and U.S. stakeholders

Indian students feel the sharpest impact because they make up the largest group on STEM OPT. When travel rules tighten, employer audits rise, or interview waivers shrink, Indian graduates feel effects first.

Real-world patterns:
– A student from Hyderabad with a CS master’s working at an AI startup prepares detailed logs, company compliance checks, and weighs travel risks due to social media screening.
– Universities report more SEVIS issues, stress over “safe” employers, and students considering backups in Canada 🇨🇦, the UK, and Australia.
– Employers—especially startups—face compliance burdens: larger firms can absorb costs; startups struggle and may shift start dates or prefer hires they can supervise in‑person.

Economic context:
– International students contributed an estimated $40 billion to the U.S. economy in 2024.
– Top tech firms hired thousands of OPT/STEM OPT workers; one company hired more than 12,000.
– Yet colleges reported a double‑digit decline in Indian student enrollment from March 2024 to March 2025—a signal that policy churn has real costs.

Policy advocates are split:
– Critics want a smaller OPT to open entry‑level jobs for U.S. workers and reduce fraud.
– Supporters cite studies that show gains in patents, startups, and regional income when graduates stay.

There is broad agreement that clear, stable rules benefit everyone: students plan better, employers hire earlier, and universities set realistic expectations. Rolling uncertainty raises costs and can drive talent elsewhere.

Practical steps — what students, schools, and employers can do

Students, schools, and employers can reduce risk with concrete actions:

⚠️ Important
Avoid vague ‘training’ descriptions in offer letters—immigration auditors target generic duties; insist on a detailed job duties list, supervision plan, and pay schedule before accepting.
  • Keep status clean
    • Maintain full‑time enrollment until program end dates.
    • Track SEVIS details and respond promptly to school alerts.
    • Ask for written confirmation when issues are resolved.
  • File early and document well
    • Apply for OPT with Form I-765 as soon as eligible and keep copies of submissions.
    • Save pay stubs, supervision logs, and project summaries once employed.
    • For STEM OPT, complete Form I-983 with accurate duties and a real supervision schedule.
  • Match job and degree
    • Ensure job title and daily tasks align with your major.
    • Update records and consult your international office if duties change.
  • Choose employers with care
    • Prefer E‑Verify employers with clear compliance records.
    • Ask about payment schedules, supervision, and real project assignments.
  • Plan travel with caution
    • Check appointment availability, company leave policies, and social media implications before leaving.
    • Bring proof of job, pay, and ties to your program for re‑entry.
  • Use official resources
    • DHS OPT page: https://studyinthestates.dhs.gov/optional-practical-training-opt
    • School international offices can help with SEVIS and reporting.
  • Prepare for taxes
    • Model take‑home pay with and without the FICA exemption.
    • Employers should update offer letters and budgets if tax rules change.
  • Build a Plan B
    • Consider academic extensions, research roles, or co‑ops to maintain status.
    • Explore post‑study options in Canada 🇨🇦, the UK, and Australia if timelines or costs become unworkable.

Important: In a period of higher scrutiny, forms and records are the first line of defense. Keep everything organized and accessible.

Key forms and resources

🔔 Reminder
Maintain immaculate records: pay stubs, timesheets, I-983 updates, and written supervisor evaluations; these documents are often decisive in site visits, audits, or SEVIS inquiries.

These forms function as a shared record among student, school, employer, and government:
Form I-765 — Application for Employment Authorization: https://www.uscis.gov/i-765
Form I-983 — STEM OPT Training Plan (24‑month extension): https://studyinthestates.dhs.gov/form-i-983-training-plan
Form I-20 — Certificate of Eligibility for Nonimmigrant Student Status: https://studyinthestates.dhs.gov/form-i-20

Employer and university responses

  • Employers:
    • Investing in better record‑keeping, clearer job descriptions, and manager training.
    • Shifting start dates to allow longer EAD processing.
    • Adding internal checks to ensure remote work includes real supervision.
  • Universities:
    • Framing OPT as a window with conditions, not an automatic post‑graduation step.
    • Advising early career planning and careful employer selection.
    • Building ties with employers that have solid compliance records.

Policy choice and broader stakes

The debate over OPT is a proxy for a larger question: Will the U.S. remain the top choice for global students who want to study and work here?

  • Supporters warn that losing graduates will hurt research output, startup formation, and university programs.
  • Critics argue a tighter market will benefit domestic workers.

The outcome depends on how rules are written and enforced. Cutting OPT would slow talent inflows; keeping it but adding opaque scrutiny could do the same harm indirectly. Many stakeholders favor a balanced approach: focus enforcement on real fraud while protecting straightforward cases—graduates in jobs that clearly match their degrees with compliant employers.

Final takeaway

Control what you can:
– Keep records clean.
– Choose compliant employers.
– Align jobs with degrees.
– Document training and supervision.
– Plan travel for delays.

None of these steps removes uncertainty, but they reduce avoidable risk. Optional Practical Training’s purpose is unchanged: to give students educated in the U.S. a fair chance to apply their learning in the real world. If rules remain clear and stable, the benefits spread—graduates gain experience, employers fill skill gaps, universities strengthen programs, and communities grow. The months ahead will show whether OPT remains a sturdy bridge—or becomes a narrow path that fewer students can safely cross.

VisaVerge.com
Learn Today
OPT → Optional Practical Training, a post‑study work authorization for F-1 students allowing employment related to their field of study.
F-1 visa → Nonimmigrant student visa for academic studies in the United States that permits limited work through OPT and on‑campus jobs.
STEM OPT extension → A 24‑month extension available to eligible STEM graduates that extends OPT work authorization up to three years total.
SEVIS → Student and Exchange Visitor Information System, the federal database tracking F-1 students’ records and status.
Form I-765 → USCIS application used by noncitizens (including F-1 students) to request employment authorization (EAD).
Form I-983 → STEM OPT Training Plan form documenting the employer’s learning objectives, supervision, and evaluation for the extension.
EAD → Employment Authorization Document, the card that proves legal work authorization for OPT participants.
FICA payroll tax → Federal Insurance Contributions Act tax; proposed changes would remove OPT exemptions, adding 7.65% payroll tax for workers and employers.

This Article in a Nutshell

OPT continues in 2025 but with increased scrutiny: more audits, social media checks, narrower interview waivers, and possible FICA tax removal, disproportionately affecting Indian STEM students. Stakeholders must document thoroughly and prefer compliant employers.

— VisaVerge.com
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Sai Sankar is a law postgraduate with over 30 years of extensive experience in various domains of taxation, including direct and indirect taxes. With a rich background spanning consultancy, litigation, and policy interpretation, he brings depth and clarity to complex legal matters. Now a contributing writer for Visa Verge, Sai Sankar leverages his legal acumen to simplify immigration and tax-related issues for a global audience.
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