OPT programme under threat as US lawmakers push for termination, new taxes, and stricter rules
2 Min Read
The United States Optional Practical Training (OPT) programme, a crucial pathway for international students to gain work experience, is facing renewed calls for termination, stricter oversight, and potential new taxes. The developments could have serious implications for thousands of students aspiring to study in the US.
The OPT programme allows F-1 visa holders to work for up to 12 months before or after their academic studies, with an additional 24-month extension available to students with STEM degrees. In 2024 alone, 194,554 foreign students received work authorisations under OPT, including 95,384 under STEM OPT and 130,586 under Curricular Practical Training (CPT).
However, the programme is now under attack from both US lawmakers and immigration authorities. Jessica Vaughan, Director of Policy Studies at the Center for Immigration Studies, has called for tighter management of visa categories and even the elimination of OPT. Meanwhile, Joseph Edlow, a former USCIS official poised for a leadership role, has argued that the agency should strip F-1 students of work rights beyond their academic period, claiming the law does not authorise such employment.
Adding to the challenges, lawmakers have proposed subjecting OPT earnings to Social Security and Medicare taxes. Currently, foreign students on OPT are exempt from Federal Insurance Contributions Act (FICA) taxes, a benefit that would disappear if the proposals pass. This would significantly increase the financial burden on both students and employers.
The tightening environment is not limited to policy changes. Immigration and Customs Enforcement (ICE) has already issued warnings to OPT students who fail to report their employment within 90 days, with the risk of deportation looming. Authorities are also cracking down on fraudulent payroll practices where employers falsely list students as employed, an act deemed immigration fraud that can lead to the cancellation of I-20 forms.
For international students considering the US, the future of the OPT programme looks increasingly uncertain. With growing political pressure, the programme may undergo drastic reforms, forcing students to rethink their study abroad and career strategies.
Source: FINANCIAL EXPRESS
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