Business & Finance
Trump administration proposes $100,000 fee for H-1B skilled worker visa applications
The Department of Homeland Security opened a 30-day public comment period on a proposed rule to impose a new six-figure fee on employers applying for H-1B visas.
The short version
- The Trump administration published a proposed rule that would require employers to pay a one-off fee of over $100,000 for each new H-1B visa application.
- Unlike a presidential proclamation suspended by a federal judge in June, the new rule would also apply to foreign nationals already in the U.S., such as student visa holders.
- The publication opens a 30-day public comment period before the proposed regulation can take effect.
- It remains uncertain whether the proposal will survive anticipated legal challenges or how significantly it will deter employers from applying.
Key facts
- The U.S. government published a proposed regulation in the Federal Registry to mandate a one-time fee exceeding $100,000 for new H-1B temporary skilled work visa applications.[France 24]
- The proposal initiates a 30-day public feedback period for employers, industry representatives, and citizens.[France 24]
- A previous presidential proclamation issued last September that placed a temporary $100,000 fee on overseas H-1B applications was halted by a federal judge in June after being deemed an unlawful tax.[France 24]
- The federal government allocates approximately 85,000 H-1B visas each year, including 20,000 reserved for applicants holding advanced degrees from domestic institutions, while annual applications exceeded 344,000 last year.[France 24]
- Indian-born individuals account for about three-quarters of H-1B recipients, while Chinese-born workers make up just over 10 percent.[France 24]
- A separate Labor Department rule proposed in March aims to raise the minimum prevailing wage floor for H-1B holders from the 17th percentile to the 34th percentile.[France 24]
What remains uncertain
- It is unknown when or if the regulation will take effect following the public comment period and potential judicial reviews.[France 24]
- Economists disagree on the wage impact of H-1B workers; George Borjas published findings that H-1B holders are paid 16 percent less on average than comparable U.S.-born workers, a conclusion disputed by other economists.[France 24]