A group of Republican lawmakers is asking the White House to shut down the Optional Practical Training (OPT) program, IANS reported. Lawmakers claim this long-standing program, which lets foreign students work in the US after finishing their studies, was never approved by Congress and has become “costly and unregulated.”
In a letter dated December 4 to White House officials, the lawmakers described OPT as “dangerously unauthorised, abused, and costly to the American taxpayer” and said it “has never been riper for repeal.” The letter was signed by 13 Republican lawmakers and shared with the press on Monday.
Republicans target OPT program
The OPT program, set up in 1992, allows international students on F-1 visas to work in the US for up to three years. Most of these students come from STEM background. Lawmakers argued that OPT “circumvents the H-1B visa cap” and lets employers hire foreign graduates at lower wages, calling it a huge disadvantage for American students.
The letter mentioned that the program can be ended if the President allows, and warned that any partial changes could accidentally make the program permanent, similar to DACA. “Luckily, OPT was created by a pen and can be terminated by the President’s pen,” the letter said, according to IANS.
Impact of OPT crackdown on Indian students
According to federal data, in 2024, 194,554 foreign students received work authorisation through OPT. 95,384 foreign students used STEM OPT programs. Most students were from India and China. Since about 25% of all international students in the US are from India, any big change to OPT rules could affect a large and growing group.
The lawmakers also cited ICE, saying the total number of foreign students working could be even higher than the number of authorisations issued. Labelling OPT the” largest unregulated guest worker program in the US”, lawmakers claimed, big corporations and universities benefit, while smaller domestic businesses lose out on payroll taxes. They also warned that OPT workers can access sensitive areas like defence research, telecommunications, semiconductors, and missile and space systems.
The program also exempts OPT workers from Social Security and Medicare taxes, costing trust funds an estimated $4 billion a year, according to lawmakers.
OPT fair tax act
Recently, Senator Tom Cotton introduced the OPT Fair Tax Act, which would require OPT workers and their employers to pay FICA taxes for the first time. Currently, most F-1 students on OPT don’t pay Social Security or Medicare taxes.
The law would reduce take-home pay for students and increase hiring costs for employers. The effect would be strongest in STEM fields, where OPT use is highest.
FICA taxes include Social Security (6.2% each for employee and employer, up to a wage cap) and Medicare (1.45% each, no cap). The bill would end the exemption, meaning both the worker and employer would contribute at the same rate as if the employee were American. Many international students choose the US because of the OPT program, which allows work experience for 12 to 24 months after graduation.