Daijiworld Media Network - Washington
Washington, Dec 6: A senior US senator has called on the Trump Administration to intensify oversight of how corporations — particularly major technology companies — are using the H-1B visa programme, warning that firms continue recruiting thousands of foreign professionals even as they lay off large numbers of American workers.
In a strongly worded letter addressed to Labour Secretary Lori Chavez-DeRemer, USCIS Director Joseph Edlow, and Attorney General Pam Bondi, Senator Ruben Gallego said high-skilled immigration must support economic growth without becoming a tool to “undercut or replace US employees.” His remarks carry significant implications for Indian tech workers, who constitute the largest share of H-1B visa holders.
Concern Over Layoffs Followed by Foreign Hiring
Gallego cited federal data showing that large technology companies have laid off “hundreds of thousands” of employees in recent years, even as they secured approvals to hire more than 30,000 H-1B workers in fiscal year 2025.
He said the contradiction between elevated unemployment among young American tech graduates and continued employer demand for foreign labour warrants urgent review by labour and immigration agencies.
The senator also highlighted a steep decline in the number of young employees at major US tech firms:
• Workers aged 21–25 comprised 15% of the workforce in early 2023
• By July 2025, the figure had plunged to 6.7%
“These numbers make clear that young Americans are eager and available to fill these roles,” Gallego wrote.
Gen Z Facing Unprecedented Barriers
Gallego warned that structural pressures on young workers extend far beyond hiring patterns. Citing new research, he pointed out that:
• Over 13% of unemployed Americans in July were new entrants or jobseekers with no prior experience — the highest share since 1988
• The average student now carries over $30,000 in loan debt
• US home prices have risen 55.7% since 2020
• Childcare costs exceed rent in 17 states and surpass in-state college tuition in 38 states
He argued that these financial burdens make it even more urgent to ensure that American workers are not being displaced by large-scale H-1B hiring.
“Grow—Not Replace—the Workforce”: Gallego
Reaffirming the original purpose of the programme, he stated:
“The intent of the H-1B visa program is to grow the economy and supplement the US workforce — not replace it.”
He urged tighter enforcement to prevent corporations from hiring foreign workers while “simultaneously laying off” Americans with similar qualifications.
Questions for Project Firewall
Gallego pressed the Administration for clarity on Project Firewall, a multi-agency initiative launched in September to strengthen H-1B oversight. His questions included:
• How many new investigations will be opened?
• Will firms that have recently laid off US workers face targeted scrutiny?
• How will the government ensure compliance with rules requiring employers to consider qualified US candidates before turning to foreign hires?
• Will the Labour Secretary’s requirement to personally certify investigation openings slow down or compromise enforcement?
He also sought assurances that the process will not introduce new “red tape,” or create opportunities for “corruption or pay-to-play” influence.
A Critical Issue for India
With Indian engineers, STEM graduates, and IT professionals forming the majority of H-1B beneficiaries, any tightening of compliance or shifts in corporate recruitment patterns could have immediate repercussions for India’s tech workforce.
Indian IT firms and US multinationals alike depend heavily on the programme for specialised talent, making US regulatory changes a matter of close interest in New Delhi and across India’s export-led technology sector.
Gallego concluded that strengthening oversight is essential for both economic fairness and national competitiveness:
“We must ensure that corporations using H-1B visas honor the intent of the program and do not displace American workers… so young Americans can achieve the American dream.”