US Commerce Secretary Howard Lutnick has called the H-1B visa program as a “scam” that displaces American workers, setting the stage for reforms that could have sweeping consequences for Indian professionals, who make up the overwhelming majority of H-1B holders.

“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.

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

Lutnick criticised the current green card system, pointing to the income levels of recipients as evidence of misplaced priorities. “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 said.

He argued that under Donald Trump’s leadership, immigration policy will shift toward attracting wealth and skill. “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.”

GOLD CARD PLAN

The secretary also disclosed details of a proposed ‘Gold Card’ programme being considered by the Trump administration. The proposal would grant permanent US residency to foreigners who invest at least $5 million.

Lutnick claimed that demand is already sky-high, with 250,000 potential applicants lined up. If realised, the scheme could generate as much as $1.25 trillion in investment.

“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,” Lutnick said.

The remarks come even as President Trump has reaffirmed support for the H-1B programme itself, calling it essential for bringing “competent” and “great” individuals to the US.

In January, Trump told reporters, “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.”

INDIA MOST AFFECTED

Any shake-up to the visa system would have major implications for Indian professionals. In fiscal year 2023, more than 72% of approved H-1B petitions were for Indian nationals, far outpacing China at 11.7%. The cap for H-1B visas currently stands at 65,000, plus 20,000 slots reserved for US advanced-degree holders, all allocated through a lottery system.

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With inputs from agencies