U.S. President Donald Trump signed a proclamation on Friday dramatically increasing the H-1B visa sponsorship fee for employers to $100,000, a move officials claim will prioritize American workers while reshaping global talent recruitment. The policy, effective September 21, applies to foreign nationals seeking entry under the visa program unless their employer pays the new six-figure fee.
The H-1B program, which allocates 85,000 new visas annually, has long been a gateway for tech firms to hire specialized professionals like software engineers. Companies previously paid fees averaging a few thousand dollars per application. Analysts warn the steep hike could disrupt industries reliant on international expertise, particularly Silicon Valley giants such as Amazon, Microsoft, and Google.
"This ensures companies hire Americans first," Trump stated during the White House signing ceremony. U.S. Commerce Secretary Howard Lutnick added, "If a worker isn’t worth $100,000 to the government, maybe they should head home."
Critics argue the policy risks unintended consequences. CBS reported it might accelerate offshoring of R&D roles and deter international students from U.S. universities—a key talent pipeline. The U.S. Chamber of Commerce cautioned that reduced access to global skills could weaken competitiveness in tech-driven sectors.
For Asian professionals and firms, the shift introduces fresh challenges. India, which accounts for 70% of H-1B recipients, may see reduced opportunities for IT workers, while multinationals weigh relocating teams to Canada or Europe. Academics note the decision could reshape migration patterns and cross-border collaboration in AI, engineering, and healthcare.
