HIRE Act: How the H-1B visa quota may rise to 1,30,000 from 65,000

The Bill, backed by ITServe Alliance, proposes raising the H-1B quota to 1,30,000 and removing the advanced-degree cap as the programme faces steep fees, political pressure and allegations of fraud

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As H-1B visas get more expensive and some Americans push back against firms hiring from abroad, Democrat lawmaker Raja Krishnamoorthi said last week that he has reintroduced the High-Skilled Immigration Reform for Employment (HIRE) Act. The proposal would raise the annual H-1B quota from 65,000 to 1,30,000.

 

Krishnamoorthi said the legislation is built around a dual approach, bringing in more global talent to ease workforce shortages while increasing federal support for American STEM education to build the domestic pipeline.

 

What is the HIRE Act?

 

The HIRE Act, backed by ITServe Alliance, would double the main H-1B cap to 1,30,000 so employers in fast-growing and high-tech sectors have a larger pool of skilled workers to draw from. It would also remove the 20,000-seat limit set aside for applicants with advanced US degrees.

 

The Bill directs money towards science, technology, engineering and maths programmes in American schools as well.

 

“To build the jobs and industries of tomorrow, America must stay at the forefront of innovation by strengthening our own workforce while continuing to welcome top talent from around the globe,” said Krishnamoorthi.

 

“By growing our domestic talent pipeline and ensuring employers can recruit the skilled workers they need, we can create good-paying jobs and secure America’s leadership in the technologies of the future,” he said.

 

What is the H-1B debate?

 

The H-1B visa has long been a flashpoint, a trend that accelerated during Donald Trump’s first campaign and presidency. Immigration became a central line of attack, and the visa programme faced repeated questions over who benefits and who does not.

 

Ahead of the 2024 elections, a YouGov poll showed that 14.6 per cent of registered voters saw immigration as the most important issue, compared with just 2.1 per cent in 2012.

 

In September, Trump, now back in office, signed a proclamation that will raise the fee for companies hiring through the H-1B route to $100,000 a year.

 

According to the proclamation, “The H-1B nonimmigrant visa program was created to bring temporary workers into the United States to perform additive, high-skilled functions, but it has been deliberately exploited to replace, rather than supplement, American workers with lower-paid, lower-skilled labour.”

 

“The large-scale replacement of American workers through systemic abuse of the program has undermined both our economic and national security,” it said.

 

Indians are the largest beneficiaries

 

Indian nationals remain the biggest users of the H-1B system. US government figures show they have accounted for over 70 per cent of all approved H-1B petitions every year since 2015.

 

Between October 2022 and September 2023, 72 per cent of the nearly four lakh H-1B visas issued went to people born in India.

 

Commerce Secretary Howard Lutnick recently called the programme a “scam,” saying American firms should be hiring domestically.

 

A senior US diplomat also claimed that “industrialised fraud” was happening within the system, alleging that 80–90 per cent of work visas issued to Indian nationals were obtained through “fraudulent” means.