New Delhi [India], September 21 (ANI): Former Indian diplomat Veena Sikri has expressed concerns over US President Trump's recent Executive Order to raise the fee for H-1B visa sponsorships to $100,000.

Sikri, while talking to ANI, stated that the decision was a big blow, especially to tech companies akin to Google, Microsoft, etc, as they mostly hire Indian workers. Sikri added that the decision appears to be an attempt by Trump to appease his 'Make America Great Again' (MAGA) base.

'But I think that, judging from the reaction, both within India and in America, from companies like Amazon, Google, Microsoft and Meta, all of them that employ the largest number of H1B visa-holding workers, they are worried because they think that there will be a big problem for them because they depend so much on these workers. We know the majority of H1B visa holders are from India, 70% or more of the total visas issued are from India,' she said.

Sikri urged India to develop its own expertise and employability to mitigate the effects of the decision.

'So the maximum impact will be on India, and India has to think about it...We should pick up this challenge and meet it and develop our own expertise and ability to employ these people and give them good salaries,' she said.

'I think this decision by President Trump has come as a big surprise, although there was discussion about it, and there is a lot of talk that President Trump is trying to please his own constituency, the MAGA constituency, by showing that he is more concerned about employment within America and wants talent within America to be employed,' she added.

Meanwhile, there is significant relief for existing H-1B visa holders. A senior US Administration official clarified on Friday (local time) that the USD 100,000 annual fee targets new H-1B visa petitions, not existing holders or renewals.

According to the official, individuals currently holding H-1B visas, including those visiting India or abroad, don't need to rush back to the US before Sunday or pay the steep $100,000 fee.

'Those who are visiting or leaving the country, or visiting India, don't need to rush back before Sunday or pay the $100,000 fee. $100,000 is only for new and not current existing holders,' the official told ANI.

With 71-72% of H-1B visas going to Indians, the move has sparked concerns about its effects on Indian tech professionals and remittances.

The government has advised all its Missions/ Posts to extend all possible help to Indian nationals who are travelling back to the US in the next 24 hours or so.

The government said on Saturday that the full implications of the US decision to impose a USD 100,000 annual fee on H-1B visa applications are being studied by all concerned, including the Indian industry, and that the measure is likely to have humanitarian consequences by way of the disruption caused for families.

In a statement regarding restrictions to the US H1B visa programme, the Official Spokesperson of the Ministry of External Affairs said the industry in both India and the US has a stake in innovation and creativity and can be expected to consult on the best path forward.

'The Government has seen reports related to the proposed restrictions on the US H1B visa program. The full implications of the measure are being studied by all concerned, including by Indian industry, which has already put out an initial analysis clarifying some perceptions related to the H1B program,' the statement said.

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'Industry in both India and the US has a stake in innovation and creativity and can be expected to consult on the best path forward,' it added.

The statement said that skilled talent mobility has contributed to innovation and wealth creation in the United States and India, and policymakers will assess recent steps.

'Skilled talent mobility and exchanges have contributed enormously to technology development, innovation, economic growth, competitiveness and wealth creation in the United States and India. Policy makers will therefore assess recent steps taken into account mutual benefits, which include strong people-to-people ties between the two countries,' it said.

Indian IT industry body Nasscom has expressed concerns following the US decision of a new USD 100,000 annual fee on H-1B visa applications, calling the move potentially disruptive to global business continuity and the innovation ecosystem in the United States.

In a statement issued on Saturday, Nasscom said that while it is reviewing the finer details of the proclamation, such significant adjustments to the skilled worker visa programme could have far-reaching implications.

'Adjustments of this nature can potentially have ripple effects on America's innovation ecosystem and the wider job economy. It will also impact Indian nationals that are on H-1B visas working for global and Indian companies. India's technology services companies will also be impacted as business continuity will be disrupted for onshore projects which may require adjustments. Companies will work closely with clients to adapt and manage transitions,' the industry body said.

Nasscom said the effectiveness of proclamation gives only a one-day window for implementation which is unrealistic and disruptive.

'The timeline for implementation (anyone entering the U.S. after 12:01 a.m., September 21) is also a concern. A one-day deadline creates considerable uncertainty for businesses, professionals, and students across the world. Policy changes of this scale are best introduced with adequate transition periods, allowing organizations and individuals to plan effectively and minimize disruption,' Nasscom said. (ANI)