How to Rethink Outsourcing & Global Talent Strategies

On September 21, 2025, a new executive order went into effect requiring a $100,000 fee for any new H-1B visa petition.
This is more than just an immigration update, it’s a structural shift that will reshape how U.S. companies access and deploy global talent. For startups, mid-market and enterprise businesses that rely on outsourcing partners, the ripple effects are immediate and far-reaching.

At ISHIR, we work with clients who depend on a mix of onsite, nearshore, and offshore delivery models.
Here’s our perspective on how this change will affect businesses and what you should be doing now to prepare.

Why the $100K H-1B Fee Matters

Traditionally, the H-1B program allowed U.S. companies (and their outsourcing partners) to bring skilled workers onsite at a manageable cost. The new $100K fee changes that calculus overnight.

• Onsite roles become prohibitively expensive. The cost to sponsor mid-level engineers or support staff is no longer justifiable. Only the most critical, high-value roles may still warrant H-1B sponsorship.
• Outsourcing models will shift. Expect fewer foreign workers onsite and more reliance on offshore or nearshore teams to deliver outcomes.
• Competitiveness is at stake. Larger firms may absorb the cost. Mid-market businesses will need smarter strategies to compete for the same talent and maintain project velocity.

The Business Implications To Plan For

1. Cost Structures Will Change: If your outsourcing strategy depended on bringing teams onsite, your project budgets could increase substantially. This shift requires rethinking where and how work gets done.

2. Talent Shortages Onsite: With fewer H-1B petitions, there will be fewer engineers and consultants physically present in the U.S. That means more projects will be coordinated remotely.

3. Offshoring and Nearshoring Acceleration: Partners will scale up offshore centers in India and Eastern Europe, and nearshore centers in Latin America, to fill the gap. Businesses will need to strengthen processes for managing distributed teams.

4. Automation and AI Adoption: To reduce dependency on expensive onsite roles, businesses will accelerate adoption of AI, low-code/no-code, and automation tools to streamline delivery.

5. Risk of Falling Behind: Companies that fail to adapt may see delays in product launches, slower digital transformation, and reduced competitiveness in their markets.

How Businesses Should Respond To H-1B Changes

The $100K H-1B fee doesn’t mean your growth has to stall. It means your operating model must evolve.

Audit Your Talent Mix
Identify roles that absolutely require U.S. presence versus those that can be effectively delivered from offshore or nearshore locations.

Plan for Outsourcing Shifts
Build delivery models that assume fewer onsite consultants. Strengthen your ability to manage distributed, global teams.

Leverage Automation & AI
Embrace AI-powered engineering, RPA, and digital accelerators to reduce reliance on visa-dependent talent.

Explore Alternative Visa Pathways
For critical hires, work with partners who understand L-1, O-1, or TN visa strategies that may reduce costs or risk.

Partner Strategically
Choose outsourcing partners who bring more than warm bodies partners who can provide clarity, foresight and a global footprint to keep your initiatives moving forward.

How ISHIR Helps Clients Navigate This Shift

At ISHIR, we are already working with clients to:

• Redesign outsourcing delivery models to minimize visa exposure.
• Stand up nearshore and offshore teams that deliver with the same quality as onsite resources.
• Embed AI and automation into delivery to reduce dependency on visa-based staffing.
• Ensure clarity and confidence by aligning outsourcing strategies with business outcomes.

H-1B Visa Fee Is More Than A Policy Change

The $100K H-1B visa fee is not just a policy change, it’s a signal that global talent strategies must evolve. Businesses that adapt quickly will not only manage costs but also unlock new efficiencies and competitive advantages.

At ISHIR, we believe this is an opportunity to rethink outsourcing, redesign delivery models, and accelerate digital transformation without being slowed down by policy changes.

If your business is reassessing its global talent or outsourcing strategy, our team can help you navigate these changes with clarity and confidence.