As the U.S. government shutdown drags into its fifth week, thousands of overseas technology professionals, many from India, are facing mounting anxiety over stalled visa processes and job disruptions. With key federal departments unable to process Labour Condition Applications, the first step in H-1B filings, immigration attorneys warn that the shutdown has effectively frozen visa renewals and new petitions, deepening uncertainty for skilled workers and employers alike.
“Labor Condition Application (LCA) processing has stopped, forcing clients to halt H-1B filings,” said Cincinnati-based Matthew Minor, partner at Corporate Immigration Partners. The LCA, a required certification from the Department of Labor, is the first step employers must complete before hiring foreign professionals under H-1B, H-1B1, or E-3 categories.
READ: ‘Shutdown Indian immigration’: Anti-India backlash surges online amid US-India tensions (
With the DOL’s operations stalled by the shutdown, even routine applications are at a standstill. “This effectively halts all H-1B filings — new, change of employer, extension or amendment,” said Houston-based immigration lawyer Helene Dang, partner at Foster LLP, adding that the disruption has left both companies and workers in limbo.
The fallout is particularly severe for Indian nationals, who make up more than 70% of all H-1B visa holders in the United States. For many of them, the shutdown has meant stalled career moves, delayed project starts, and growing anxiety over maintaining lawful status while their paperwork remains stuck in the system.
“The problems facing H-1B workers from India are the same, regardless of which state they work in—petitions cannot be filed now because the shutdown has prevented LCAs from being processed,” said Cleveland-based immigration attorney Richard T Herman.
The shutdown has also disrupted the Department of Labor’s core responsibilities, including certifying LCAs and determining prevailing wages, both essential steps for H-1B visa processing and employment-based green card applications. While the U.S. Citizenship and Immigration Services (USCIS) continues to function, employers are unable to proceed with filings until their LCAs are approved by the DOL.
According to Dang, the USCIS notice allowing for flexibility in late or incomplete filings under “extraordinary circumstances” offers limited comfort. “It is discretionary — meaning it is not guaranteed,” she said, emphasising that employers and workers remain at the mercy of unpredictable timelines.
“In the current climate where ICE (Immigration and Customs Enforcement) has been vigorously flexing its removal powers, relying on this exception is anxiety-triggering for most H-1B workers, who are forced to either depart the United States or overstay their authorised period of stay,” said Washington-based immigration attorney Becki Young, founding Partner, Grossman Young & Hammond.
The shutdown’s impact extends beyond visa paperwork, affecting both livelihoods and business operations. “Moreover, these workers must be removed from payroll until a new H-1B petition can be filed, which disrupts U.S. business and leaves the workers without a pay cheque while the shutdown is ongoing,” she said.
Immigration attorney Richard T. Herman cautioned that the effects may last well beyond the immediate crisis. “I am hearing of more companies deciding to cease immigration sponsorship in the future — whether H-1B or green card,” he said, noting that the uncertainty has made many employers wary of relying on foreign talent amid recurring policy disruptions.
As the uncertainty deepens, some affected professionals are weighing other immigration pathways. Clients are exploring alternative routes such as the EB-5 investor or EB-1C categories, Herman said, adding, “Some are also looking at Canada and other countries.”
Unlike the H-1B, which is a temporary visa for specialised workers, the EB-5 program offers a path to permanent residency for investors who generate jobs in the U.S. Similarly, the EB-1C visa allows multinational companies to transfer senior executives or managers to their U.S. operations, options that are increasingly drawing interest amid the ongoing freeze.
READ: Indians now largest group of emigrants in the world (
The federal shutdown, which began on October 1 after lawmakers failed to reach a funding agreement, has also stalled progress for employment-based green card applicants who depend on the Department of Labor for crucial certifications.
Los Angeles-based immigration attorney Geetha N. Adinata of FordHarrison warned that the resulting delays could cause serious setbacks for those nearing the end of their visa validity. Without timely submission of the labor market test, known as the PERM application, workers risk falling out of status.