An aerial view of the skyline from the Pirellone during the conference Disegniamo il futuro dell’abitare per costruire il domani della Lombardia on regional housing policies at Palazzo Pirelli in Milan, Italy, on January 20, 2025.
Nurphoto | Nurphoto | Getty Images
U.S. President Donald Trump’s revamp of the H-1B visa program has rekindled the scramble to hire top global talent, with some touting Europe’s work-life balance as a key competitive advantage.
The Trump administration recently raised the H-1B visa application fee to $100,000, seeking to protect American jobs and prevent “abuse” of the program that it says has undermined economic and national security.
The surprise move jolted Big Tech and financial firms which have long counted on the visa program to recruit highly skilled foreign workers, particularly from India and China.
Talent hubs in the U.K., Europe, Middle East and Asia are widely expected to be among those that stand to benefit.
Paul Achleitner, former chair of Deutsche Bank’s supervisory board, described quality of life in Europe as a “very important competitive factor” when it comes to attracting skilled foreign workers.
“If there’s one thing we have in Europe, it’s quality of life. And you know, I don’t have to elaborate on that, from social systems to healthcare systems to educational systems,” Achleitner told CNBC’s Annette Weisbach on Monday.
“Increasingly, we may actually also be the beneficiaries of a potential rigorous brain drain, because in the past, we have had all the very talented individuals wanting to go to the U.S. And, given the fact that that is not quite as easy as it used to be, maybe some of that talent actually find their way to us,” he added.
President Donald Trump signs an executive order in the Oval Office at the White House on September 19, 2025 in Washington, DC.
Andrew Harnik | Getty Images
Recent research suggests work-life balance has soared in importance for workers across the globe.
In fact, work-life balance has surpassed pay as the most important priority for thousands of employees in Europe, Asia-Pacific and the Americas, according to an annual review of the world of work by recruitment company Randstad. Published in January, it was the first time in the report’s 22-year history that work-life balance ranked higher than pay.
‘A unique opportunity’
Peter Specht, general partner at European venture capital firm Creandum, told CNBC that the prospect of attracting even more top global talent to the European ecosystem was “a unique opportunity” and “one that we shouldn’t let slip.”
In the short term, Sprecht said that increasing the talent density in the U.K. and Europe would be “an immediate win,” adding that improvements to the region’s research and development capabilities could be one of the longer-term benefits.
“It’s also a reminder that policy matters, and that we should be doing everything we can to establish Europe as a highly attractive place for founders and startups,” Sprecht said.
Some of measures he cited included an affordable visa system for top talent, standardized EU-wide stock options for founders, pan-EU mobility for employees and incentives to deepen expertise in forward-looking research fields, such as artificial intelligence.
CNBC has contacted the European Commission, the European Union’s executive arm, for comment on how the 27-nation bloc could respond to the H-1B visa shake-up.
In stark contrast to the U.S., the U.K. is reportedly looking at abolishing some visa fees for top global talent.
One option under the consideration of British Prime Minister Keir Starmer is a proposal to drop visa charges for top-level professionals, the Financial Times reported on Monday, citing people familiar with the matter.
CNBC has asked Downing Street to comment. A Home Office spokesperson told the Financial Times that the country’s global talent routes “attract and retain high-skilled talent, particularly in science, research and technology.”
Louise Haycock, partner at Fragomen, a global immigration services firm, said that the U.K. was an interesting case study in its pursuit of top talent, noting that the government recently raised both the salary and skills thresholds for “Skilled Worker” visas.
“One thing I would say about the U.K. immigration system, which puts it apart from many other systems, is that it is transparent and it is very, very quick,” Haycock told CNBC’s “Squawk Box Europe” on Tuesday.
“And that is really liked by employers, because it does give them the certainty that they need to be able to plan that talent pipeline,” she added.
‘A global war for talent’
Not everyone is convinced that European countries, particularly the U.K., will be able to capitalize on the Trump administration’s H-1B visa fee hike.
“We are in a global war for talent,” Harry Stebbings, founder of VC fund and podcast 20VC, told CNBC on Tuesday.
“We are fighting Dubai. Dubai is an incredible place to build a business. They are doing everything they can to get great talent. We are fighting against Milan; there’s a lot of tax incentives there. This is not us against the U.S.,” Stebbings said.
The Millennium Bridge backdropped by St. Paul’s Cathedral in central London on Nov. 15, 2024.
Henry Nicholls | Afp | Getty Images
The 20VC founder said that more than 30 U.S.-based entrepreneurs have been in contact with him since the H-1B visa fee hike to say that London could be their next home.
Yet, when asked whether he expected this to provide a boost to the UK’s startup scene, Stebbings said: “No, because we’ve hung a sign up that says ‘closed for business.'”
He added: “Why would you come and build here, when Dubai hangs up an ‘open for business’ [sign], with zero percent capital gains and everything you could ever dream of? They sell a dream.”
— CNBC’s Michael Considine & Sawdah Bhaimiya contributed to this report.
