The global tech industry is undergoing a major transformation this year, with companies like Microsoft and Meta laying off thousands of employees as part of an artificial intelligence revolution that is proving to be a double-edged sword. While executives focus on cutting costs, the human cost of job loss—including financial instability and shattered career trajectories—is often overlooked.
Founder's Account of AI-Driven Layoffs
Shveta, founder of Artha AI, recently highlighted on X how Indian workers are disproportionately affected by AI-caused layoffs. She shared the story of an Indian engineer at Meta who was laid off via email at 11 pm Bangalore time. His wife is in the United States on an H-4 dependent visa, and his child is in third grade. “His Bellevue apartment lease has 8 months left. His H-1B clock just started ticking—60 days. Meta's stock went up on the news. Zuck called it becoming more efficient,” she wrote.
“This is what AI transformation actually looks like for 2 lakh Indians abroad. AI's impact on Indians abroad is highest,” she added. Many users echoed her sentiments, with one commenting, “This is the harsh reality nobody talks about. For many Indians abroad, one layoff doesn’t just mean losing a job. It can mean visa pressure, school disruption for kids, relocation stress, financial uncertainty, and identity crisis overnight. AI won’t just replace jobs. It will redefine job security itself.” Another user noted, “The 60-day H-1B countdown is the real cruelty here. Stock bumps while families scramble to restructure their lives across continents.”
Impact of Layoffs on Indian Immigrants
According to data from Layoffs.fyi, more than 110,000 technology workers have lost their jobs globally so far this year. A significant proportion of those affected are foreign workers in the United States, particularly Indians, who constitute the largest share of H-1B visa holders. For Indian employees on H-1B visas, the repercussions extend beyond unemployment. Under USCIS rules, workers who lose their jobs have a 60-day grace period—or until the expiration of their I-94 validity—to find a sponsoring employer, switch visa categories, or leave the country. Since the grace period begins from the last official working day, the countdown starts immediately after termination.
These effects ripple into children’s schooling, healthcare coverage, rental obligations, ongoing mortgages, and more. Many affected workers revert to filing for a B-1 or B-2 visitor visa through Form I-539. For decades, the American tech industry has offered lucrative opportunities for Indian engineers and software developers, but with tightening H-1B visa rules and the AI revolution, this migration trend may finally face a significant downturn.
