What Mass Layoffs In US Tech Mean For Indian Students?
With the changes in immigration for international students and H1B workers under the trump administration, mass layoffs in US tech industry is quite common. Around 100,000+ tech jobs vanished in 2025. This could mean that your career plans might be next to be impacted under the current layoffs in US tech. If you're an Indian student planning to study in US for a degree or a tech job, you need to consider many aspects as it changes visa chances, internships, hiring pipelines and salary expectations overnight. Read more to understand what mass layoffs in the IT industry of the US job market mean for Indian students.
This Story also Contains
- Mass Layoffs in Tech Industry in USA: Current Situation
- US Visa Changes for International Students and H1B Workers
- Challenges for Fresh International Graduates With Current Changes in US Tech Hiring
- What Indian Students Must Do Now While Preparing for Work in US?
- Reconsider US with mass layoffs in US tech for Indian students
- Conclusion
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Mass Layoffs in Tech Industry in USA: Current Situation
More than 100,000 tech roles were cut in 2025 as giants restructured for AI and automation, including Amazon (14,000 corporate roles), Microsoft, Intel, and dozens of others led waves of reductions. The scale of cuts signals structural change, not a one-off slowdown.
Why this hits Indian students is because many college internships, entry-level hires and H-1B sponsorships originate from those same teams. Fewer entry roles generally means tougher competition for fresh international graduates and longer job search timelines.
US Visa Changes for International Students and H1B Workers
US immigration policy moves in 2025 tightened the environment for non-immigrant work visas; the White House flagged restrictions targeting certain temporary worker entries which is a change that reshapes employer willingness to sponsor international hires. At the same time, work-permit administration changes with no more automatic EAD renewals in some cases increase uncertainty for students transitioning from F-1/OPT to employer sponsorship.
This creates a sense of uncertainty for international students. Even if you get an offer, visa processing and employer risk assessments are now major bottlenecks. Plan for delays, backup options and contingency funding.
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Challenges for Fresh International Graduates With Current Changes in US Tech Hiring
Now, international students who are freshly graduated from US universities and colleges will face fiercer competition in the tech industry and lower starting pay in some markets. Companies are reallocating budgets into AI stacks and infrastructure, not entry-level hiring. That shift is already depressing pay in parts of India while raising premium pay for a smaller set of elite AI roles. This means that fewer mid-tier offers and more “fight for internships.” So, it is a crucial aspect for you to consider. What it means for you is to expect more technical interviews, fewer blind offers, and the need to show project impact (not just GPA).
Reskilling helps to overcome the current challenges
Reskilling might be a promise, “reskill and you’ll be fine,” but 2025 layoffs show companies cutting even AI-related roles to focus on productized teams. Reskilling must be strategic, tied with learning to measurable product outcomes, domain knowledge, or niche tools where demand still outpaces supply. You should pick one domain (eg, MLOps, cloud infra, data engineering for healthcare) and build 2 to 3 portfolio projects that show end-to-end impact.
What Indian Students Must Do Now While Preparing for Work in US?
Here is what Indian students focus on now with the mass layoffs in the tech sector of US industry:
Stack 3 marketable skills, not 10 half-finished ones. Employers now prefer depth in a business-relevant stack.
that it measures how your projects reduced cost, sped up something, or increased metNetwork with alumni and recruiters as hiring is increasingly internal or referral-driven.
Save an emergency buffer as visa delays and job-search months are real. Aim for 3 to 6 months of living costs.
Diversify plans and consider back-up destinations (Canada, Europe, or India) where hiring for certain tech roles is still robust.
Show ROI in interviews, so RICS.
Reconsider US with mass layoffs in US tech for Indian students
Universities and research institutions in US are experiencing revenue problems as international enrollment drops, with estimates showing potential billions in losses if trends continue. That weakens one of the core magnets for international students, which is a classroom-to-company pipeline. On the other hand, the old linear path where international students study in US, then go for OPT, then H-1B, to finally a green card is fraying. Treat a US degree as one route, not the only route to a global tech career.
Conclusion
Yes, the 2025 layoff wave is real, structural and will tighten opportunities for international students in the short term. Hence, international students looking to study and work in 2026 must consider all aspects. But opportunity hasn’t disappeared. It’s just re-segmented. Deep technical specialists, people who combine domain knowledge with engineering, and those who can show measurable business impact will be the most resilient hires.
If you’re planning to study or work in US tech, don’t panic and take action if you have skills. You must sharpen your 1 to 2 measurable skills, build outcome-driven projects, and control the controllables (network, savings, backups). The future belongs to the adaptable, not the complacent.
Frequently Asked Questions (FAQs)
Q: What is happening with Indian students in the USA?
A:
Indian students continue to enrol in US universities in large numbers; in fact, one report noted that Indian students made up about 27% of all international students in the US in 2024. However, when it comes to staying on for jobs after graduation, many face increasing obstacles including a slowing job market, tougher visa transitions (like from OPT to H-1B), and higher competition for work roles.
Q: Why are US tech companies laying off employees?
A:
Tech layoffs in the US in 2025 are driven by a few big factors: cost-cutting pressures, restructuring towards newer business areas (especially AI/automation), and companies saying they need fewer workers because technology does more.
Q: Are Indians getting jobs in the USA in 2025?
A:
Yes, some of the Indians are getting jobs in US. However, the career path is tougher than previously. The current scenario is not quite good for international students and H1B workers in US as the tech firms are inclined towards mass layoffs, creating a sense of havoc.
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