US companies are pulling back from hiring foreign workers, with H-1B visa sponsorships dropping sharply following policy changes under the Trump administration. Job postings offering visa sponsorship have declined from 10.9% in 2023 to just 1.9% in 2025, with the technology sector experiencing the steepest fall. This trend reflects growing barriers for skilled foreign workers and international students aiming to build careers in the US.
Indian nationals, who made up over 70% of H-1B visa recipients in 2024, are facing heightened job insecurity as companies become more cautious amid a slowing labor market and stricter visa regulations. Unemployment for young adults aged 22-27 reached 5.8% in April 2025, the highest since 2021. As a result, many international students are applying to more jobs but with lower chances of success, while companies hesitate to sponsor visas.
Several new measures have intensified challenges for foreign workers. These include a $100,000 fee for H-1B visa applications, the end of automatic Employment Authorization Document (EAD) extensions for some visa holders (including H-1B spouses), and the proposed HIRE Act, which could tax firms outsourcing jobs abroad. These policies aim to prioritize American workers and curb visa misuse, but they also discourage some companies from hiring international talent.
To navigate these obstacles, experts suggest expanding Global Capability Centers (GCCs), where multinational companies operate in-house facilities abroad, as a potential strategy to mitigate talent shortages domestically. The policy shifts highlight increasing hurdles for skilled immigrants and raise questions about the US remaining an attractive destination for international talent in the future.
