A Potential Shock to the American Dream
The Trump administration is considering a US$100,000 fee—nearly ₹95 lakh—for foreign graduates seeking to work in the United States through the Optional Practical Training (OPT) programme. Although no final rule has been issued and the proposal remains under discussion, its potential impact is enormous, particularly for Indian students. If implemented, the fee could transform the economics of studying in America, making the traditional journey from US education to employment and eventually H-1B sponsorship far more difficult for middle-class Indian families.
What Is OPT and What Is Being Proposed?
OPT is a work-authorisation programme linked to the F-1 student visa. It allows international graduates to work in jobs related to their field of study for up to 12 months, while STEM graduates can generally receive an extension taking the total period to three years.
The proposed measure reportedly emerged from discussions within the Department of Homeland Security (DHS). The exact mechanism remains unclear, including whether the fee would be paid by students, employers or universities. A White House official has indicated there is no imminent rule change, but the proposal itself has not been ruled out.
Why Is OPT So Important to Foreign Students?
· Bridge from education to employment: OPT gives international graduates valuable US work experience after completing their degrees.
· Critical STEM pathway: Engineering, computer science, data analytics and other STEM graduates can potentially work for up to three years.
· Gateway to H-1B: Many foreign graduates use OPT to secure employment and seek employer sponsorship for H-1B visas.
· Return on education investment: Students and families often factor post-study employment into decisions involving substantial tuition and living expenses.
· Access to US professional networks: OPT enables graduates to establish careers, gain experience and compete in the American job market.
How Does This Hurt Indian Students?
India is the largest source of international students in the US and represents the biggest national group using OPT. Around 98,000 Indian graduates were employed through OPT in 2024, out of roughly 419,000 international OPT workers.
A US$100,000 fee could therefore have particularly serious consequences:
· Massive additional financial burden: Nearly ₹95 lakh would be beyond the reach of many middle-class Indian families already spending tens of lakhs on education.
· American education becomes less attractive: Students may reconsider US universities if post-study employment carries such a substantial additional cost.
· H-1B pathway weakened: The traditional study–OPT–H-1B progression could become financially unsustainable.
· Greater appeal of alternatives: The UK, Canada, Germany and Australia could attract students with comparatively predictable post-study work opportunities.
· Opportunity becomes wealth-dependent: OPT could effectively become accessible mainly to wealthy students or those whose employers are willing to absorb the cost.
US Universities and Employers Could Also Pay a Price
The consequences would extend beyond students. Universities could face declining international enrolments and reduced revenues, while technology, healthcare and engineering companies could lose an important source of highly skilled entry-level talent.
Employers might respond by relocating certain operations or expanding recruitment in countries offering more predictable immigration pathways. Competing education markets could consequently benefit from a redirection of global talent.
A Policy Proposal That Could Redefine the American Dream
The proposed fee is not yet a final policy, and formal regulations, legal challenges or political opposition could still prevent or substantially alter it. Nevertheless, the proposal signals a potentially fundamental shift in US immigration policy.
For Indian students, the issue goes beyond one additional fee. If a six-figure charge becomes reality, the established pathway from American education to American employment could become inaccessible to a large section of India's aspiring middle class. The American Dream may not disappear—but its price could become so high that only the wealthiest or exceptionally supported students can realistically pursue it.
(With agency inputs)