Why Ending OPT is Worse for Indian Students than Rising H-1B Fee for US Tech Workers?

What Are OPT and the New H1B Fee?

OPT (Optional Practical Training): This is a popular program in USA linked to the F1 student visa that gives US graduates the chance to work in their field of study for a limited time of around 12 months. If the students are STEM graduates, then they will be eligible for the OPT extension of an additional 24 months. This program has been an important step for Indian students looking to enter the US job market and eventually get the H1B visa for long-term work.

H1B Visa Fees: The H1B visa is a temporary work visa for international skilled workers. US companies sponsor skilled workers through the H1B visa. There has been a recent increase in H1B visa fees of $100,000 for new H-1B visa applications, starting from applications submitted after September 21, 2025. The administration has made it clear that this new fee will not affect visa renewals or those who already hold an H1B. Unfortunately, smaller companies and startups, which often work on tight budgets, will be impacted by this decision.

Also Read

Why is OPT Important for Indian Students?

A report from the US Immigration and Customs Enforcement revealed that in 2024, 194,554 students were on OPT. Among them, 95,384 students were on STEM-OPT. Indian students were around 48% of all STEM-OPT participants which means that almost 45,800 Indian students were working as engineers, coders, analysts, and scientists in USA. In 2024, Amazon hired 5,379 OPT students, making it a popular company amongst international students. Following are some of the reasons why ending OPT is worse for Indian students rather than raising H1B visa fees.

• Initial step for international students: Many Indian students arrive in the USA with the intention of working in USA after graduation. OPT serves as the first step towards entering the job market and allows them to showcase their skills and build connections. After OPT, the majority of students plan to get an H1B. If OPT is removed, then this pathway towards H1B is also removed.

• Gateway for entry-level jobs: The biggest challenge for Indian students in USA is the high competition for entry- and mid-level positions. If OPT is removed, it would reduce the skilled international workers in entry-level jobs, which would majorly impact Indian students.

• OPT as a bridge between H1B: For many Indian students, OPT acts as a buffer year to secure an H1B sponsor. Without OPT, students will not get the time to gain experience or enter the job market in USA.

• Contributes to ROI: To study in USA, many Indian families invest heavily in tuition, living expenses, loans etc. After graduation, the expectation of achieving a good job opportunity in USA will be affected if OPT is removed. With limited to no opportunity to gain back the invested money, it will negatively impact the return on their investment. While the H1B fee increase is a challenge in itself, removing OPT will be a bigger concern for Indian students.

Impact of H1B Fees Hike on Indian Students

H1B visa fee hike will also have an impact on Indian students. This is because, in 2024, 71% of H1B approvals were given to Indians. These included a mix of both Indian skilled workers coming from India and Indian students who graduated in USA. The H1B visa fee hike impact on Indian students is as follows:

• Higher hiring costs: The USD 100,000 H1B fee will make companies selective and sponsor only very highly skilled workers, rather than entry-level workers as for each applicant, the H1B visa will be USD 100,000.

• Fewer job offers: Startups and mid-sized companies might not hire international students, which limits the job opportunities for Indian students in USA.

• High competition: Even if companies hire people on H1B, the competition for the position will be higher than before. This also results in limited opportunities for Indian students.

• Uncertain career path: Indian students could find it tough to transition from OPT to H-1B, which might mean they will have no option other than to come back to India.

Conclusion

Indian students heavily depend on OPT as their pathway from education to employment. This H1B fee hike affects the US companies as much as international workers, but eliminating OPT would remove any opportunity for international students in USA, affecting their career and financial investments. For many Indian graduates, the H1B visa is an option only after completing OPT. Eliminating OPT will eliminate their chances of securing long-term employment in the USA. Hence, ending OPT will be worse for Indian students as compared to the H1B visa fee hike.

Also Read