US bill seeks to replace H-1B visa system

A Republican lawmaker has proposed replacing America's H-1B visa selection system with a merit-based framework that would prioritise highly skilled, better-paid foreign workers, while sharply restricting family-sponsored immigration and eliminating the Diversity Visa lottery.

Congressman David Schweikert of Arizona, chairman of the Joint Economic Committee, outlined the Securing Migration, Addressing Reform, and Talent Enhancement and Retention (SMARTER) Act in an October 19 announcement.

The legislation, H.R. 10460, was introduced in the House of Representatives on September 16 and referred to the Judiciary Committee.

It has not become law.

Under the proposal, the existing H-1B selection framework would be replaced by a system designed to give preference to applicants based on their economic contribution, qualifications and labour-market demand.

The legislation proposes to establish a five-member Skilled Migration and Recruitment of Talent Board. It would determine annual immigration limits and allocate employment visas among industries.

The board would consider labour shortages, unemployment, wages, productivity and economic growth when determining how many foreign workers should be admitted.

The initial numerical limit for the proposed H-1B replacement system would be 85,000, with subsequent adjustments based on economic conditions.

The bill would also introduce a points-based system for employment-based permanent immigration, assessing applicants on age, education, English proficiency, salary and exceptional achievements.

Applicants aged 26 to 30 would receive the highest age-related points, while higher qualifications, particularly would improve their scores.

Salary would carry substantial weight, with applicants offered compensation significantly above the median household income in their state receiving additional points.

The proposal would also remove existing country-specific numerical limits on employment-based immigration, a provision potentially relevant to Indian nationals facing lengthy green-card backlogs.

However, the impact on waiting times would depend on the overall visa limits and the operation of the proposed selection system.

Schweikert argued that immigration policy should address America's ageing population and growing demand for skilled workers while protecting domestic employment.

"If we are serious about tackling our debt, growing our economy, and safeguarding our earned federal benefits, we must cultivate a workforce that continues to compete globally at the highest level," he said.

He called for prioritising selective, highly skilled employment-based immigration over family-sponsored and diversity-based migration.

The Joint Economic Committee's Republican staff estimated that the proposal could reduce federal expenditure by approximately $335 billion and increase US gross domestic product by at least $549 billion over 10 years.

Those figures are projections advanced by the bill's proponents, not independently established economic outcomes.

Beyond employment visas, the legislation proposes restricting family-sponsored immigration primarily to spouses and minor children.

It would remove several existing family-preference categories and end the Diversity Visa Programme.

The bill also includes a proposed gold-card immigration programme under which qualifying applicants could obtain immigrant visas through substantial financial payments.

Another provision would direct the Department of Homeland Security to use artificial intelligence to identify people who remain in the United States after their authorised visa stays expire.

The legislation contains transitional provisions for certain existing immigration applications and would allow some long-delayed employment-based applicants greater flexibility to change jobs.

The H-1B programme has long been an important pathway for Indian technology professionals working in the United States. Employment-based green-card backlogs have also been a longstanding concern for Indian applicants because of numerical limits and high demand.