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'We're going to change H-1B prog, Green Card': US commerce secretary signals wage-based model

'We're going to change H-1B prog, Green Card': US commerce secretary signals wage-based model

Lutnick confirmed he is involved in proposals to replace the current lottery-based H-1B allocation with a wage-based model

Business Today Desk
Business Today Desk
  • Updated Aug 27, 2025 7:33 AM IST
'We're going to change H-1B prog, Green Card': US commerce secretary signals wage-based modelThe secretary also disclosed details of a proposed 'Gold Card' programme.

 

US Commerce Secretary Howard Lutnick has described the H-1B visa system as a “scam” that displaces American workers, sharpening the focus on reforms that could deeply affect Indian professionals, who dominate the program.

“The current H-1B visa system is a scam that lets foreign workers fill American job opportunities. Hiring American workers should be the priority of all great American businesses,” Lutnick said in an interview with Fox News host Laura Ingraham.

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Reform plans and green card criticism

Lutnick confirmed he is involved in proposals to replace the current lottery-based H-1B allocation with a wage-based model. “We’re going to change that programme because that’s terrible. We’re going to change the green card,” he said.

He also criticised the income profile of immigrants who receive green cards. “We give green cards – the average American makes $75,000 a year and the average green card recipient $66,000 a year. Why are we doing that? It’s like picking the bottom core,” he added.

The “Gold Card” proposal

The secretary disclosed that the Trump administration is preparing to launch a ‘Gold Card’ program, offering permanent US residency to foreigners who invest at least $5 million.

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Lutnick claimed demand is already strong. “That’s the gold card that’s coming. And that’s where we’re gonna start picking the best people to come into this country. It’s time for that to change,” he said, adding that 250,000 potential applicants could generate as much as $1.25 trillion in investment.

He framed the shift as a hallmark of Trump-era immigration policy: “That’s why Donald Trump is going to change it – that’s where the Gold Card is coming, and with that we’re going to start picking the best people.”

Trump’s position on H-1B

The remarks follow President Trump’s own endorsement of the H-1B program in January. “You got to get the best people. We have to have the quality people coming in. By doing that, we’re expanding businesses, and that takes care of everybody,” Trump told reporters.

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Indian professionals most exposed

Indians remain the most dependent on the H-1B system. In fiscal 2023, more than 72% of approved H-1B petitions were for Indian nationals, compared to just under 12% for Chinese applicants.

With 65,000 annual visas plus 20,000 for advanced-degree holders, the cap is currently distributed by lottery. A wage-based system or a high-investment “Gold Card” track could dramatically reshape the outlook for Indian professionals who have long relied on the H-1B as their gateway to the United States.

Published on: Aug 27, 2025 7:33 AM IST
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