US govt shutdown hits H-1B visa processing, leaves Indian techies in limbo

Among the disruptions is a pause in H-1B visa processing, a move that could impact thousands of skilled workers, especially from India and China.

Immigration attorney Nicole Gunara explained that while the US Citizenship and Immigration Services (USCIS) will continue to function as it is fee-funded, the Department of Labor (DOL), responsible for approving Labour Condition Applications (LCAs), relies on congressional appropriations and will suspend operations until funding resumes.

“No one can get a new H-1B, transfer employers, or change status to H-1B unless they already had the LCA certified and downloaded before today,” Gunara said.

The shutdown compounds uncertainty in the tech sector, where H-1B visas are crucial for hiring highly skilled foreign workers.

Trump’s administration has already imposed a steep hike in fees, raising the annual charge from $215 to $100,000, and signaled an overhaul of the visa lottery.

The proposed changes would prioritize applicants at higher wage levels, reshaping the talent pipeline for US companies.

Meanwhile, the US Embassy in India said on X that scheduled passport and visa services at missions overseas will continue “as the situation permits.”

Still, immigration experts warn that the suspension of DOL functions effectively freezes new H-1B petitions, job transfers, and status changes until Congress ends the funding deadlock.