A new executive order issued by former US President Donald Trump has introduced changes to the H-1B visa program. The fee for the visa has been increased to $100,000, with an implementation deadline of September 21st. This decision primarily impacts Indian H-1B visa holders, who constitute approximately 70% of the total. The new rules primarily affect companies that employ a significant number of Indian IT professionals. While the order introduces exemptions, the impact will not be uniform.
The new directive mandates that companies applying for an H-1B visa for an employee from outside the US must provide proof of having paid the $100,000 fee. This applies to the companies, not the visa holders themselves.
Exemptions to the fee include current H-1B visa holders residing in the US. However, individuals who have been outside the US for over 12 months must return before September 21st, 2025, to avoid the fee. Additionally, the Secretary of Homeland Security may grant exemptions if an employee or company is associated with national security, economic interests, or public welfare. Employees working in defense, healthcare, or essential technical fields that benefit the US may also be exempt.
Indians are expected to be the most affected, as approximately 71% of H-1B visa applications in 2024 were from India, with a majority being IT professionals. The new order is initially for a period of 12 months, with potential for extension.
Trump stated the H-1B visa’s original purpose was to attract high-skilled workers, but it was allegedly misused by companies to replace American citizens with lower-wage foreign workers. He believes these new regulations will safeguard American jobs and ensure only genuine talent is admitted.
Legal experts have expressed concerns, suggesting that the $100,000 fee may face legal challenges. Former US immigration officials have stated that such a high fee might not withstand legal scrutiny.
