Proposed Legislation Seeks to Raise H-1B Salary Threshold for Visa-Dependent Firms
TL;DR
- New bills propose raising the H-1B salary exemption threshold to $145,600.
- The change would require more employers to follow strict U.S.-worker hiring protections.
- Data suggests IT services and computer systems firms would be most impacted.
- Small businesses, startups, and non-profits may face increased financial burdens.
Proposed federal legislation aims to increase the salary cutoff for H-1B-dependent employers to approximately $145,600. This adjustment would replace the current $60,000 threshold with a figure calculated as twice the national average wage index.
Employers who do not meet this new salary requirement would no longer be exempt from specific hiring protections. These protections include mandates to recruit American workers first and ensure no U.S. employees in similar roles have been laid off within a 90-day window of an H-1B petition.
Analysis indicates that IT services and computer systems design companies account for the vast majority of filings that could lose their exemption status. Major firms, including Cognizant, Infosys, Tata Consultancy Services, and Capgemini, represent a significant portion of potentially affected cases.
Industry experts noted that while the tech sector faces the most direct impact, the change could also create financial challenges for small businesses, startups, and non-profit organizations. The proposal remains subject to legislative review as part of a broader series of federal actions aimed at tightening H-1B regulations.
Why It Matters
This legislative proposal directly impacts the H-1B visa program, which is heavily utilized by Indian professionals and major Indian-based IT service companies. By increasing the salary threshold for exemptions, the policy could significantly alter recruitment strategies and operational costs for firms that rely on H-1B workers, many of which are key players in the U.S.-India technology sector.
Oct 28, 2026 · Updated 10/28/2026, 10:38:59 PM · Reported with: VisaVerge
Sources (1)
NRI Bytes writes its own articles from the reporting below.
VisaVerge — Proposed H-1B Rule Raises Salary Threshold for Visa-Dependent Employers, SSA Data ShowsUp next · Immigration
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