H-1B visa applications for FY26 witnessed a significant 25% drop to 358,737, with selections declining 27% to 120,141. Experts attribute this downturn to increased visa fees, economic uncertainties leading to layoffs, and stricter immigration norms under President Trump. Many students are choosing to leave the US after their studies due to fear of OPT opportunities.
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The number of H-1B visa applications filed for FY26 fell 25% to 358,737 from the year earlier, according to data released by the United States Citizenship and Immigration Services (USCIS). Those shortlisted declined 27% to 120,141. From among these, a total 85,000 H-1B visas will be issued.
In FY25, the total number of applications filed was 479,953, of which 135,137 were shortlisted. The previous year, 780,884 applications were submitted, with 188,400 lakh shortlisted.
The selected registrations, the lowest since FY22, come amid a steep increase in the visa fee and a downturn in that economy leading to layoffs. US President Donald Trump's anti-immigration stance and tighter norms are also key factors, experts told ET. Apart from social media accounts being subject to scrutiny, those applying for US work visas are also facing intensified demands for additional documentation, they added.
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India is one of the largest beneficiaries of the 85,000 skilled worker H-1B visa the US issues every year, with several American companies as well as Indian IT companies using them to send skilled talent abroad. The USCIS opened H-1B registrations for FY26 from March 7-24. Those selected in the lottery will file their petitions for the fiscal year.
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The biggest deterrent has been the cost, which has been increased to $215 from $10, said Poorvi Chothani, founder and managing partner at LawQuest, a US immigration firm. "Earlier, even if companies had estimated they need 20–30 people, they would file for 30 to be on safer side," she said. "This time they have made a thorough analysis and have taken conservative approach."
Besides, tech giants such as Microsoft and Meta have shed staff. "All these had an impact on the lower numbers this year," Chothani said.
In addition, students who don't have an urgent need to shift to a work visa after their education and stay on in the US, are choosing to leave. "There was fear among students who had potential OPT (Optional Practical Training) opportunities," Chothani said. "In this uncertain environment, even a little run-in with the law can get you into trouble. They have decided to play safe and go home.
ET reported in April that science, technology, engineering and mathematics (STEM) overseas students in the US are faced with the threat of having to leave the country within a year of their studies getting over.
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