India calls JD Vance’s ‘indentured servants’ remark on H-1B workers deeply offensive

India on Friday strongly criticised US Vice President JD Vance for describing H-1B visa workers as “indentured servants”, calling the remark deeply offensive and insensitive to the historical and colonial associations of the term.

The Ministry of External Affairs (MEA) said Vance’s comments failed to recognise the contribution of Indian professionals to the US economy, technological development and innovation. It stressed that the movement of skilled workers benefits both countries by supporting research, productivity, competitiveness and job creation.

“We believe that such descriptions are unwarranted and ignore the fact that Indian professionals in the United States are highly educated and skilled contributors to its economy and innovation ecosystem,” the MEA said in a statement.

It added that generations of immigrants had helped shape the United States through their labour, enterprise and innovation. Using language associated with painful historical and colonial legacies, the ministry said, was “deeply offensive”.

Vance accuses foreign firms of undercutting American wages

The MEA’s response followed Vance’s remarks at a news conference on Thursday, where he accused foreign outsourcing companies of hiring overseas workers at lower salaries and replacing American employees to cut costs.

Vance claimed that H-1B visa holders earned $20,000 less than American citizens hired for similar positions. He further alleged that workers brought in by foreign outsourcing firms earned $48,000 less than Americans in comparable roles.

He argued that companies were using overseas recruitment to reduce labour costs while laying off American workers.

“You bring in indentured servants from outside the country, you lay off American workers and, if you’re a corporation, you make a ton of money by undercutting the wages of American workers,” Vance said.

He also questioned whether some of the foreign workers brought into the country should be in the US in the first place.

MEA clarifies impact of PERM suspension

The MEA also addressed the US Department of Labor’s decision concerning the Permanent Labor Certification (PERM) programme for certain companies, clarifying that it is separate from the H-1B visa system.

The ministry said the suspension of PERM applications would not automatically affect existing H-1B visas or the legal status of visa holders and their dependants.

However, it warned that the decision could affect the Green Card process for eligible employees of the companies concerned.

PERM is part of the process through which certain US employers seek labour certification before sponsoring foreign workers for employment-based permanent residency.

India highlights mutual benefits of skilled migration

The MEA maintained that skilled Indian professionals contribute significantly to American businesses by bringing expertise that supports innovation, research and economic growth. Their work also helps US companies remain competitive and create jobs, it said.

The ministry emphasised that talent mobility was an area of mutual benefit for India and the US, creating opportunities for Indian workers while strengthening American businesses.

It said the latest US measures did not advance the shared ambitions of the two countries and urged all stakeholders to recognise the value of skilled migration.