The U.S. government’s latest decision to impose a one-time $1,00,000 fee on new H-1B visa applications — a steep jump from the current fee of a few thousand dollars — is likely to hit young Indian women applicants the hardest, according to data.
H-1B visa workers are predominantly male. In FY24, among workers approved for continuing their jobs (extending or changing their jobs), 74% were men and only 26% were women. The below chart shows the approved H-1B beneficiaries by type of petition and gender in FY 2024 (in %)
Among workers approved for initial employment, 37% were women. This indicates that while men historically dominated the pool of H-1B holders, women are catching up as their share is relatively high among fresh applications. As the new fee targets new applicants, women’s prospects look dim.
Also, the annual salaries earned by for those seeking initial employment through the H-1B route are relatively low. For instance, if we line up 100 H-1B beneficiaries approved for initial employment in FY24, the bottom quarter (25th percentile) earned about $77,000, the middle worker (50th percentile) earned $97,000, and the top quarter (75th percentile) earned around $1,30,000 or more. Among continuing workers, the bottom quarter earned about $1,02,000, the middle-range salary was $1,32,000, and the top quarter earned above $1,69,000. The below chart shows the annual compensation of H-1B beneficiaries by petition type in FY2024 (Figures in $)
With the new visa cost consuming most or even all of the workers’ annual pay, sponsoring initial employment beneficiaries may become economically unviable for employers. This raises questions about the future of the H-1B programme for new entrants. For instance, if a company sponsors a new beneficiary, the total cost in the first year will far exceed that of supporting an experienced worker seeking continued employment.
This impact will be particularly felt on women beneficiaries, as they generally earn less than men in the H-1B programme, especially in the bottom quarter of workers. If we line up 100 H-1B beneficiaries who were approved for initial employment in FY24, the bottom quarter of women earned about $71,000 compared with the $80,000 that men earned. At the median level, women earned $91,000, while men earned $99,000. In the top quarter, women earned $1,25,000, while men earned $1,31,000. Across all percentiles, women H-1B workers earned less than men, which makes it an even tougher choice for employers to sponsor them. The below chart shows the annual compensation of H-1B beneficiaries (initial employment) by gender in FY2024 (Figures in $)
This peculiar skew is more pronounced among Indian women beneficiaries than those from most other countries. For instance, if we examine India and China alone, which together accounted for 83% of the beneficiaries in FY24, the gender skew is evident in India but not in China. Among Chinese H-1B workers, the share of women and men were similar in both categories: new workers and those continuing employment. The below chart shows approved H-1B beneficiaries by type of petition and gender in FY2024, among Indians and Chinese (by birth place)
The burden of the new fee also falls heavily on younger applicants, particularly women. Among women approved for new jobs in FY24, 75% were under 35 years of age, compared with 65% of men. This means the entry cost will hit a larger share of women who are beginning their careers . The below chart shows the H-1B petitions approved (initial employment) by age and gender of beneficiaries in FY 2024
Among women approved for new employment in FY24, 44% had completed a Master’s degree, compared with only 39% of men. The share of women with a Bachelor’s degree alone was lower. At the doctorate and professional levels, the difference between men and women was negligible. Since the new fee applies only to new petitioners, it will impact women more heavily, despite their higher educational qualifications relative to men. The below chart shows the H-1B petitions approved (initial employment) by level of education and gender of beneficiaries
While much of the above data refers to H-1B beneficiaries in general, the picture is largely shaped by Indians who made up 60% of the female and 75% of the male beneficiaries in FY24. As a result, the overall trends largely reflect what Indian H-1B workers earn, study, and how they are distributed by age.
Published – September 23, 2025 07:00 am IST
