The US Congress Committee is trying to pass a law that could make life tougher for companies hiring the people on H1-B visa. The law involves a substantial hike in minimum salary from $60,000 to $90,000 and this makes it impossible to replace Americans with works of H1-B visa. To be clear, the proposed law says to recruit works of H1-B visa, the firms will have to pay a huge salary.
The House Judiciary Committee, in the media release, said that the companies must ‘pay the lower of USD 135,000 – which is indexed for inflation or the average wage for the occupation in the area of employment but with a floor of USD 90,000.’
In case, if the proposed law passes, it will have a major impact on the IT companies as their revenue model is dependent on H1-B and L1 visas.