US President Donald Trump has announced a new executive order that will require a $100,000 annual payment for applicants under the H-1B visa program, which is used by skilled foreign workers.
The move marks a huge increase from the current administrative fees of around $1,500. According to US Commerce Secretary Howard Lutnick, companies must now decide whether a foreign worker is valuable enough to justify such a high cost, or if they should instead employ American workers.
Trump’s order is set to take effect on 21 September and will only apply to new applicants. The H-1B program is currently capped at 85,000 visas per year, with tech giants like Amazon, Microsoft, Meta, Apple, and Google among the biggest users.
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Critics say the steep fee could drive smaller businesses and start-ups out of the program, as they cannot afford to pay such costs. Immigration attorney Tahmina Watson described the policy as devastating for her clients, stressing that most employers seek foreign workers only when local candidates cannot fill those roles.
The $100,000 fee on H-1B visas has sparked concern across the tech industry and beyond. Jorge Lopez, chair of the immigration and global mobility practice group at Littler Mendelson PC, warned that the new policy could harm American competitiveness by making it harder for companies to attract and retain top global talent.
Some businesses might even consider relocating operations outside the United States, though this option is not easy in practice. The move has also drawn criticism in India, the largest source of H-1B applicants, where many workers aspire to join leading US firms.
The order comes after years of debate over the H-1B program. While critics argue it undercuts American jobs, supporters like Elon Musk believe it helps the US remain a leader in innovation.
During his first term, Trump tightened scrutiny on H-1B visas, leading to a surge in rejections. Despite once suggesting green cards for skilled graduates, his new order appears to signal a tougher stance. Industry leaders fear the fee could severely impact innovation and weaken the US economy.
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