US employers hiring foreign skilled workers must now pay a $100,000 application fee. This price hike adds pressure to consulting firms’ talent strategies, boosting competition for expertise and accelerating offshoring. Consulting firms face a staffing problem with the new H-1B fee, affecting firms like Deloitte, EY, KPMG, and PwC.

The H-1B program allows employers to hire foreign skilled workers for specialized jobs, with nearly 50% of applications related to professional, scientific, and technical services. The $100,000 H-1B application fee raises concerns over talent acquisition among consulting leaders like Deloitte, EY, and Accenture.

Top firms like Deloitte, EY, and Accenture may absorb higher visa costs to maintain staffing continuity, shifting staffing models accordingly. Smaller consulting firms will need to attract domestic talent to compete. The competition for tech talent intensifies as firms race to develop strong AI offerings amid increasing pressure from the H-1B executive order.

Consulting firms competing for technical specialists will face increased competition and pressure from the H-1B executive order, potentially making offshoring hubs more attractive. Firms can relocate resources to bypass visa disruption, relying on offshore centers in countries like India, Mexico, and the Philippines.

Firms like PwC plan to cut graduate hiring by a third over the next three years, accelerating the shift to leverage models with onshore client-facing work and offshore delivery hubs. Nearshore hubs like those in Canada become more attractive, particularly Toronto, due to the H-1B price hike and offshore strategy changes.

Read more at Yahoo Finance: Trump’s $100,000 H-1B visa adds more pressure to consulting’s growing recruitment woes