The U.S. engineering sector continues to face a critical talent shortage. More than 50% of firms report that they’re turning down new projects because they simply can’t find enough engineers, according to The Economic Assessment & Forecast report, developed annually by the American Council of Engineering Companies (ACEC) Research Institute.
These gaps directly impact infrastructure, technological progress, and global competitiveness. As such, talent acquisition leaders are under increased pressure to look beyond traditional pipelines, and many are considering international talent. In these instances, immigration programs, particularly the H-1B visa program, come into play.
About the H-1B Visa Program
The H-1B visa program allows U.S. employers to temporarily hire foreign workers in “specialty occupations.” The program is capped at 65,000 new visas issued annually, with an additional 20,000 reserved for foreign workers who have advanced degrees from U.S. colleges and universities. Demand for these visas routinely outpaces supply, leaving many international graduates unable to remain in the U.S.
The program was originally designed to help employers fill critical skills gaps by bringing in international workers with specialized skills. However, the Presidential Proclamation Restriction on Entry of Certain Nonimmigrant Workers, issued on Sept. 19, 2025, poses potential limitations for the H-1B program and its value to employers.
Restriction on Entry of Certain Non-Immigrant Workers
The proclamation limits the issuance of H-1B visas to individuals whose petitions filed with U.S. Citizenship and Immigration Services (USCIS) are accompanied or supplemented by a payment of $100,000.
This change significantly raises fees, which typically ranged from $2,000 to $5,000, and may influence hiring strategies, potentially increasing demand for U.S. engineering talent.
Note: The proclamation applies only to individuals seeking visa issuance or entry into the U.S. based on H-1B petitions filed with the USCIS after Sept. 21, 2025. No visas have been revoked under the proclamation.
How the Proclamation May Impact the Engineering Sector
International enrollment in U.S. engineering programs has experienced significant growth in recent years. In 2024, more than half of international students across academic levels pursued STEM fields, and nearly one in five specifically studied engineering, according to the Institute of International Education’s Open Doors Report.
While engineering and STEM programs continue to rise in popularity among international students, the new proclamation creates unique challenges for graduates and employers. Many international graduates may be unable to stay in the U.S. because of new visa limitations.
Creating a Balanced Talent Acquisition Strategy
From a talent acquisition perspective, priority number one is ensuring organizations have access to engineers who can drive innovation and infrastructure. To fill critical roles, talent leaders should consider the benefits and potential challenges associated with hiring both international and domestic talent.
International Talent Considerations
International students bring a host of benefits to a company’s workforce, including:
- Visa flexibility: International STEM graduates can often work for up to three years on Optional Practical Training (OPT) before requiring H-1B sponsorship. This can serve as a built-in “trial period” for employers.
- Relocation willingness: International graduates may be more open to relocating for work opportunities.
- Global value-add: Language skills, cultural knowledge, and international networks can make international graduates attractive to multinational employers.
However, employers must also understand the realities of H-1B availability and weigh the risks of building long-term teams around uncertain visa pathways.
Domestic Talent Considerations
Equally critical to considering international hires is recognizing and investing in the U.S. graduate pool. Building the U.S. graduate pipeline is essential, yet not all graduates are job-ready upon graduation, nor do they all enter the profession. Targeted mentorship, internships, and early-career programs can close that gap. With 83% of the workforce still male as of 2023, the industry must also expand female participation, attract young talent, embrace skilled immigration, and leverage automation to meet future demand.
How Employers and Talent Leaders Can Move Forward
There is no single solution for the engineering talent shortage. Employers, universities, and policymakers each have a role to play in aligning education, immigration policies, and workforce development.
Talent acquisition leaders should take a balanced approach, advocating for pathways that allow international students already trained in the U.S. to contribute long-term, and investing in programs that upskill existing talent and accelerate the careers of domestic graduates.
Employers can strengthen their engineering talent pipeline by:
- Revisiting internship and co-op programs to convert students into full-time hires.
- Partnering with universities and colleges to align programs with industry needs and provide early exposure to real-world projects.
- Investing in mentorship and training for entry-level engineers to bridge skills gaps and accelerate readiness.
- Engaging overlooked talent pools, including U.S. graduates who may need development but have strong long-term potential.
By broadening strategies, employers and talent acquisition leaders can address immediate hiring gaps and build a more sustainable and diverse engineering workforce. To explore talent solutions designed for the engineering sector, connect with our team at CBIZ today.
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