New Delhi: The recent changes about the wage-weighted selection mechanism for H-1B visas proposed by the USA’s Department of Homeland Security represent a significant departure from the long-standing, neutral lottery system and raise important legal, economic, and operational concerns, according to a Nasscom statement.
The apex trade body for India’s IT software sector pointed out that while the intent behind the proposed changes, to promote high-skill employment, curb misuse, and protect U.S. wages, is well understood, a transparent, trusted visa framework is essential to maintain the strength of the U.S. technology ecosystem.
By assigning multiple selection entries based on Occupational and Employment Wage Statistics levels, the framework risks moving beyond the statutory focus on “speciality occupation” and toward wage ranking, potentially introducing regional and occupational distortions.
Wage levels vary significantly by geography and role, and a weighted model could inadvertently disadvantage small and mid-sized enterprises, startups, research institutions, and university-linked employers that operate with moderate but market-appropriate wage structures, according to the statement.
While H-1B professionals constitute a small share of the overall U.S. workforce supported by Nasscom member companies, they play a major role in driving innovation, productivity, and job creation across the digital economy, the statement said.
H-1B petitions at Level I and Level II wage bands frequently represent entry-level roles for graduates of U.S. universities in science, engineering, and computing disciplines. These positions form a vital part of the STEM talent pipeline, enabling early-career professionals to gain industry experience and progress into mid- and senior-level innovation roles over time.
Under a weighted system, opportunities at the entry level could weaken the future talent base and discourage international students from pursuing advanced education in the United States, Nasscom has further stated.
Nasscom member companies collectively support more than 1.6 million skilled jobs across the United States, contributing $198 billion to the U.S. GDP—an impact larger than that of over 20 state economies.
With over 264,500 employees directly in the U.S. and a presence in more than 25 major American communities, Nasscom companies help strengthen both established and emerging technology hubs.
