{"id":306,"date":"2020-11-18T14:04:02","date_gmt":"2020-11-18T14:04:02","guid":{"rendered":"https:\/\/www.veriipro.com\/blog\/?p=306"},"modified":"2026-03-10T08:33:58","modified_gmt":"2026-03-10T08:33:58","slug":"new-h1b-immigration-rule-impact-on-it-sector","status":"publish","type":"post","link":"https:\/\/veriipro.com\/blog\/new-h1b-immigration-rule-impact-on-it-sector\/","title":{"rendered":"New H1b Immigration Rule – Impact on It Sector"},"content":{"rendered":"

The rumor has it that the rules pertaining to H1B immigrants are going to be modified to become further stringent. As expected it came to live, only a bit earlier than anticipated in the middle of the pandemic. On 06-Oct-2020, the US Department of Labor(DOL) had issued a rule to increase the existing wages of H1B employees by as much as 40% on an average, for all level 1 to level 5 employments
\nBelow is an example supporting the same:
\nLevel 1 Software developer was previously paid 61,900 dollars annually and now
\nthe new H1B up takings or the ones being renewed has to be paid 91,600 approximately
\nLikewise, it is going to impact employment on all the levels<\/p>\n

Now let us see the impact of this on the IT sector as classified below:<\/h1>\n
    \n
  1. Impact on the Global IT industry<\/li>\n
  2. Impact on Indian IT industry<\/li>\n
  3. Impact on the US IT industry<\/li>\n<\/ol>\n

    Impact on Global IT industry:<\/h2>\n

    Without further ado, let’s first understand how an immigrant actually drives business to the IT sector. H1B immigrants are proven professionals who actively boost the income of the corporate in terms of delivery, research, and development, thereby creating more employment opportunities.
    \nApart from their proven work record, their current pay scale is less than what the local professional of the same cadre may demand. So, the companies encourage this model to the core to get the proven benefits
    \nHowever, with these new wage hikes, the IT companies are at risk of compromising their profit margin if they want the immigrant system to continue. The small and medium IT sector is most adversely impacted and this will force the companies to hire local employees in place of immigrants which more or less puts their business at risk. This change could impact global IT companies which hire H1B workers on a great scale<\/p>\n

    Impact on Indian IT:<\/h2>\n

    As many 400K Indian H1B holders and applicants, considering both the current applicants as well as the renewals, are at risk of layoff.
    \nThe Indian IT giants like TCS, Wipro who have their long-standing presence abroad are cornered as well in this aspect. They have to either let go of their immigrants and hire local force or to comprise their profit margin in the middle of the pandemic. Hence, the Indian IT sector would be badly hit in terms of business.<\/p>\n

    Impact on the US IT industry:<\/h2>\n

    The already badly hit economy of the US due to corona further sees a downfall with this move as it is said that “Immigrants can create America more jobs and they play a major role in the country’s growth”. The layoff of immigrants which; if happens, may further cause unemployment and the fall of the economy.<\/p>\n

    Putting all the above-stated facts together, one can say that this will have a bad impact on the IT industry as a whole. The final word by the IT Serve, an association of IT organizations is that this move is pointless and random without any proper logic.
    \nThe immigration attorneys have gone a step further and filed a lawsuit against the Department of Labor (DOL) for this decision.<\/p>\n","protected":false},"excerpt":{"rendered":"

    The rumor has it that the rules pertaining to H1B immigrants are going to be modified to become further stringent. As expected it came to live, only a bit earlier…<\/p>\n","protected":false},"author":14,"featured_media":309,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[5,6],"tags":[],"powerkit_post_featured":[],"class_list":["post-306","post","type-post","status-publish","format-standard","has-post-thumbnail","category-immigration-advice","category-visa-processing"],"acf":[],"yoast_head":"\nNew H1b Immigration Rule - Impact on It Sector - VeriiPro Blog<\/title>\n<meta name=\"description\" content=\"Understand how new H-1B immigration rule changes impact the IT sector, tech hiring trends, and international professionals.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/veriipro.com\/blog\/new-h1b-immigration-rule-impact-on-it-sector\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"New H1b Immigration Rule - Impact on It Sector - VeriiPro Blog\" \/>\n<meta property=\"og:description\" content=\"Understand how new H-1B immigration rule changes impact the IT sector, tech hiring trends, and international professionals.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/veriipro.com\/blog\/new-h1b-immigration-rule-impact-on-it-sector\/\" \/>\n<meta property=\"og:site_name\" content=\"VeriiPro Blog\" \/>\n<meta property=\"article:published_time\" content=\"2020-11-18T14:04:02+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2026-03-10T08:33:58+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/veriipro.com\/blog\/wp-content\/uploads\/2020\/11\/H1B_.png\" \/>\n\t<meta property=\"og:image:width\" content=\"1080\" \/>\n\t<meta property=\"og:image:height\" content=\"680\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Hemani Patel\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Hemani Patel\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"New H1b Immigration Rule - Impact on It Sector - VeriiPro Blog","description":"Understand how new H-1B immigration rule changes impact the IT sector, tech hiring trends, and international professionals.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/veriipro.com\/blog\/new-h1b-immigration-rule-impact-on-it-sector\/","og_locale":"en_US","og_type":"article","og_title":"New H1b Immigration Rule - Impact on It Sector - VeriiPro Blog","og_description":"Understand how new H-1B immigration rule changes impact the IT sector, tech hiring trends, and international professionals.","og_url":"https:\/\/veriipro.com\/blog\/new-h1b-immigration-rule-impact-on-it-sector\/","og_site_name":"VeriiPro Blog","article_published_time":"2020-11-18T14:04:02+00:00","article_modified_time":"2026-03-10T08:33:58+00:00","og_image":[{"width":1080,"height":680,"url":"https:\/\/veriipro.com\/blog\/wp-content\/uploads\/2020\/11\/H1B_.png","type":"image\/png"}],"author":"Hemani Patel","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Hemani Patel","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/veriipro.com\/blog\/new-h1b-immigration-rule-impact-on-it-sector\/","url":"https:\/\/veriipro.com\/blog\/new-h1b-immigration-rule-impact-on-it-sector\/","name":"New H1b Immigration Rule - Impact on It Sector - VeriiPro Blog","isPartOf":{"@id":"https:\/\/veriipro.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/veriipro.com\/blog\/new-h1b-immigration-rule-impact-on-it-sector\/#primaryimage"},"image":{"@id":"https:\/\/veriipro.com\/blog\/new-h1b-immigration-rule-impact-on-it-sector\/#primaryimage"},"thumbnailUrl":"https:\/\/veriipro.com\/blog\/wp-content\/uploads\/2020\/11\/H1B_.png","datePublished":"2020-11-18T14:04:02+00:00","dateModified":"2026-03-10T08:33:58+00:00","author":{"@id":"https:\/\/veriipro.com\/blog\/#\/schema\/person\/e5d7e10b5d3fd9e0c9caf70a4b437718"},"description":"Understand how new H-1B immigration rule changes impact the IT sector, tech hiring trends, and international professionals.","breadcrumb":{"@id":"https:\/\/veriipro.com\/blog\/new-h1b-immigration-rule-impact-on-it-sector\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/veriipro.com\/blog\/new-h1b-immigration-rule-impact-on-it-sector\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/veriipro.com\/blog\/new-h1b-immigration-rule-impact-on-it-sector\/#primaryimage","url":"https:\/\/veriipro.com\/blog\/wp-content\/uploads\/2020\/11\/H1B_.png","contentUrl":"https:\/\/veriipro.com\/blog\/wp-content\/uploads\/2020\/11\/H1B_.png","width":1080,"height":680,"caption":"New H1B Immigration Rule: Impact on IT Sector"},{"@type":"BreadcrumbList","@id":"https:\/\/veriipro.com\/blog\/new-h1b-immigration-rule-impact-on-it-sector\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/veriipro.com\/blog\/"},{"@type":"ListItem","position":2,"name":"New H1b Immigration Rule – Impact on It Sector"}]},{"@type":"WebSite","@id":"https:\/\/veriipro.com\/blog\/#website","url":"https:\/\/veriipro.com\/blog\/","name":"VeriiPro Blog","description":"VeriiPro blog","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/veriipro.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/veriipro.com\/blog\/#\/schema\/person\/e5d7e10b5d3fd9e0c9caf70a4b437718","name":"Hemani Patel","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/veriipro.com\/blog\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/5a73a5b759eec993e1f763a5987453f3ac6b8d1ed526ae983aed2b19be93a05d?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/5a73a5b759eec993e1f763a5987453f3ac6b8d1ed526ae983aed2b19be93a05d?s=96&d=mm&r=g","caption":"Hemani Patel"},"sameAs":["http:\/\/www.veriipro.com"]}]}},"_links":{"self":[{"href":"https:\/\/veriipro.com\/blog\/wp-json\/wp\/v2\/posts\/306","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/veriipro.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/veriipro.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/veriipro.com\/blog\/wp-json\/wp\/v2\/users\/14"}],"replies":[{"embeddable":true,"href":"https:\/\/veriipro.com\/blog\/wp-json\/wp\/v2\/comments?post=306"}],"version-history":[{"count":9,"href":"https:\/\/veriipro.com\/blog\/wp-json\/wp\/v2\/posts\/306\/revisions"}],"predecessor-version":[{"id":3054,"href":"https:\/\/veriipro.com\/blog\/wp-json\/wp\/v2\/posts\/306\/revisions\/3054"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/veriipro.com\/blog\/wp-json\/wp\/v2\/media\/309"}],"wp:attachment":[{"href":"https:\/\/veriipro.com\/blog\/wp-json\/wp\/v2\/media?parent=306"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/veriipro.com\/blog\/wp-json\/wp\/v2\/categories?post=306"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/veriipro.com\/blog\/wp-json\/wp\/v2\/tags?post=306"},{"taxonomy":"powerkit_post_featured","embeddable":true,"href":"https:\/\/veriipro.com\/blog\/wp-json\/wp\/v2\/powerkit_post_featured?post=306"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}