US proposes H-1B visa reforms including wage hikes and grace period cuts

The United States is considering several significant changes to the H-1B visa program that could impact foreign professionals, particularly those from India. The Department of Homeland Security has proposed eliminating the discretionary 60-day grace period that currently allows non-immigrant workers a window to find new employment after their current role ends.

Additionally, proposals aim to curtail work authorizations for H-4 dependent spouses, potentially reversing a 2015 rule that allowed certain spouses of H-1B workers to obtain employment authorization documents.

Separately, the US Department of Labor has proposed a major overhaul of wage rules. This could increase prevailing-wage benchmarks by approximately 21% to 33%, with entry-level positions potentially seeing minimum salaries rise to around $97,000. While this could lead to higher pay for some, experts warn that employers may become more hesitant to sponsor entry-level foreign workers due to increased costs.