Given how difficult it is to get H-1B (488k apps this year) and the GC backlog for Indians while other nationals can easily get their GC while on F-1 OPT/STEM, will companies just flat out start rejecting Indian candidates because of the immigration mess?
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But, given the choice, most employers will go with a candidate already authorized to work in the US.
What employers can’t do is use race or nation of origin as a deciding factor in filling a role.
In the context of OP’s question, employers can’t decide that they don’t want to sponsor and use being Indian (race) or being from India (nation of origin) as part of the decision to reject a candidate.