A coalition of labor unions, academic institutions, and faith-based organizations has launched a legal battle against former U.S. President Donald Trump's controversial plan to impose a $100,000 fee on new H-1B visas for skilled foreign workers. The lawsuit, filed in San Francisco federal court, marks the first formal challenge to Trump's October 2020 proclamation aimed at tightening U.S. immigration policies.
Who's Challenging the Policy?
Plaintiffs including the United Auto Workers union and the American Association of University Professors argue the measure exceeds presidential authority. They contend Congress alone holds power to set visa fees under the Immigration and Nationality Act that established the H-1B program in 1990.
Economic Implications for Tech Sector
The proposed fee – 20-50 times higher than current costs – could disrupt hiring practices for U.S. tech giants and universities that rely on the program to fill specialized roles. Employers currently pay $2,000-$5,000 in fees per H-1B worker, with the visas valid for 3-6 years.
Security vs. Workforce Needs
While the Trump administration framed the fee as necessary to protect American jobs and national security, critics warn it could exacerbate talent shortages in STEM fields. The lawsuit claims the policy creates a 'pay-to-play' system vulnerable to bureaucratic discretion, potentially slowing innovation in competitive global markets.
The outcome could significantly impact over 85,000 annual H-1B visa holders and U.S. companies competing for technical talent. Legal experts suggest the case may test constitutional boundaries of executive power in immigration policy.
