Introduction
On September 19, 2025, the US government announced a significant change to the H-1B visa program, imposing an annual fee of $100,000 on companies seeking to hire highly skilled foreign workers. This move is part of a broader effort by the administration to reform the US immigration system.
Details of the New Fee
The new fee applies to companies sponsoring H-1B visa applications and is aimed at pressuring companies to train American workers for high-skilled jobs covered by the visa, rather than bringing in talent from abroad. According to Commerce Secretary Howard Lutnick, the measure is intended to encourage companies to invest in training domestic workers.
The fee will be $100,000 per year and will apply to new applications. Existing H-1B visa holders re-entering the country will not be subject to the fee.
Impact on Companies and Workers
The new fee is expected to have a significant impact on companies that rely heavily on H-1B visas, particularly in the tech industry. Companies like Microsoft, Amazon, and Cognizant, which are among the biggest H-1B employers, could face a new fee burden in excess of $1 billion a year.
The change has caused anxiety among H-1B visa holders, particularly those from India and China, who make up more than 70% of H-1B visa holders. Many workers have been forced to abandon travel plans and rush back to the US amid confusion and panic over the new rules.
Reaction from India
The Indian government has expressed concerns over the potential disruption caused by the new fee. With over 70% of H-1B visa holders being from India, the country is likely to be significantly affected by the changes.
Clarification on Existing Visa Holders
The White House has clarified that the new fee will not apply to existing H-1B visa holders who are re-entering the country. This clarification comes after concerns were raised that the fee would apply to all visa holders, prompting panicked advice to clients to return to the US before the rules took effect.
Background
The H-1B visa program has been a major flashpoint between the Trump administration's conservative base and the tech industry. The program allows US companies to temporarily employ foreign workers in specialty occupations, such as tech and engineering.
The Trump administration has been cracking down on both illegal and legal immigration to the US. As part of this effort, the administration has introduced several changes to the H-1B visa program, including the new fee.
Implications
The new fee is likely to have significant implications for companies and workers relying on the H-1B visa program. The change is part of a broader effort to reform the US immigration system and prioritize domestic workers.
Conclusion
The imposition of a $100,000 annual fee for H-1B visas is a significant change to the US immigration system. The move is aimed at pressuring companies to train American workers and prioritize domestic talent. However, the change has caused anxiety among H-1B visa holders and is likely to have a significant impact on companies relying on the program.
Additional Context
The H-1B visa program is an important part of the US immigration system, allowing companies to temporarily employ foreign workers in specialty occupations. The program has been subject to controversy and debate, with some arguing that it allows companies to circumvent domestic labor laws.
The new fee is part of a broader effort to reform the US immigration system and prioritize domestic workers. The change is likely to have significant implications for companies and workers relying on the H-1B visa program.
Future Developments
The US government has announced plans to conduct a survey on Korean workers who returned from Georgia detention. The survey aims to gather accounts that could be used in visa reform talks with Washington.
The development of the H-1B visa program and its implications for companies and workers will continue to be closely watched.
Final Remarks
The imposition of a $100,000 annual fee for H-1B visas is a significant change to the US immigration system. The move is aimed at pressuring companies to train American workers and prioritize domestic talent. However, the change has caused anxiety among H-1B visa holders and is likely to have a significant impact on companies relying on the program.