President Donald Trump, on September 19, signed a proclamation imposing a $100,000 annual fee on H-1B visas for highly skilled foreign workers.
The order also requires that no H-1B visa holders may enter the United States beginning Sunday, September 21, unless they pay $100,000.
New H-1B visas and extensions are subject to the same $100,000 processing fee and $100,000 annual maintenance fee.
H-1B visas are issued to foreign workers with at least a bachelor’s degree in specialty occupations.
The program is widely used in sectors such as technology, healthcare, and higher education to fill roles that are often difficult for staff domestically.
Historically, H-1B processing fees have been modest, approximately $215, making the new $100,000 annual fee a substantial increase.
What the Executive Visas Order Means and Its Effect
The H-1B executive order means the following:
Entry ban: No H-1B visa holder may enter the United States beginning Sunday, September 21st, including current visa holders, unless they pay $100,000 to enter.
Visa fee: New H-1B and H-1B extensions require a $100,000 fee for processing, with an additional $100,000 fee per year to maintain them.
This will effectively end the H-1B program completely.
No one, even the highest-paid at $ 500K, will be paying an extra $ 100K a year to the government.
It will destroy the health care, higher education, and technology sectors as we know them if this isn’t struck down in court.
Industry Implications
Commerce Secretary Howard Lutnick said the order may lead to fewer H-1B visas being issued, stating that the program “is just not economic anymore” for many employers.
“If you have a very sophisticated engineer and you want to bring them in … then you can pay $100,000 a year for your H-1B visa,” he said.
Tech companies, including Amazon, Microsoft, Apple, and Google, have not publicly commented on the order.
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Historically, these companies have been the largest recipients of H-1B visas, which are allocated through a lottery system.
California has the highest concentration of H-1B visa holders in the country. Analysts say that the steep fees could make it financially unviable for companies to continue hiring H-1B workers at previous levels.
Trump to sell gold card
Trump also announced he will start selling a “gold card” visa with a path to U.S. citizenship for $1 million after vetting.
For companies, it will cost $2 million to sponsor an employee. The “Trump Platinum Card” will be available for a $5 million fee and allow foreigners to spend up to 270 days in the U.S. without being subject to U.S. taxes on non-U.S. income.
Trump announced a $5 million gold card in February to replace an existing investor visa; this is now the platinum card.
“We anticipate the Trump Gold Card will generate well over $100 billion very quickly. This money will be used for reducing taxes, pro-growth projects, and paying down our debt,” said Trump.
Lutnick said the gold and platinum cards would replace employment-based visas that offer paths to citizenship, including for professors, scientists, artists, and athletes.
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Critics of H-1B visas, who say they are used to replace American workers, applauded the move.
U.S. Tech Workers, an advocacy group, called it “the next best thing” to abolishing the visas altogether.
Doug Rand, a senior official at U.S. Citizenship and Immigration Services during the Biden administration, said the proposed fee increase was “ludicrously lawless.”
“This isn’t real policy it’s fan service for immigration restrictionists,” Rand said.
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