On Friday, September 19, 2025, the Trump administration announced a new $100,000 one-time fee on H-1B visa petitions. The policy took effect on September 21, 2025, at 12:01 a.m. EDT, reshaping how companies approach international hiring (AP News; USCIS FAQ).
What the Fee Covers—and Who It Affects
The U.S. Citizenship and Immigration Services (USCIS) confirmed that the fee applies only to new H-1B petitions filed after the effective date. Renewal petitions for existing workers are exempt, meaning current H-1B holders do not need to pay the fee each year they extend their visa (Greenberg Traurig; USCIS FAQ).
However, gray areas remain. It is unclear whether petitions tied to a change of employer or amendments to job duties will count as “new” filings subject to the fee. Likewise, questions remain about whether exemptions traditionally applied to universities and nonprofit research organizations will continue (AP News).
The U.S. typically issues 65,000 new H-1B visas annually, plus an additional 20,000 for individuals with advanced degrees, distributed by lottery (AP News). With the fee in place, employers sponsoring new candidates must now factor in an enormous upfront cost.
Areas of Uncertainty
While the broad outline of the rule is clear, implementation details are not:
- Payment process: The government has not yet explained how companies should submit the $100,000 fee (AP News).
- Exemptions: Universities, research nonprofits, and cap-exempt employers remain in limbo, awaiting official guidance (AP News).
- International travel: Current H-1B holders traveling abroad will not be stranded, but companies remain concerned about how reentry rules will be enforced (AP News).
These uncertainties leave many businesses hesitant to move forward with sponsorships until regulatory details stabilize.
Who Stands to Be Most Affected?
Technology and Startups
Large tech companies like Amazon, which rely heavily on H-1B workers (especially from India, which accounted for 71% of approvals last year), face a direct hit (The Guardian). While tech giants may absorb the cost, startups and smaller firms may struggle, with leaders like Cornell Tech’s Greg Morrisett saying there is “no way” many young companies can pay the fee (AP News).
Healthcare, Education, and Food Industries
Beyond tech, the healthcare, education, and food sectors are also expected to feel the pinch, as they have relied on H-1B workers to address skill shortages (AP News).
Indian Workforce Pipeline
India has historically been the biggest beneficiary of the H-1B program, and the new fee is expected to disproportionately affect Indian professionals (The Guardian; AP News).
Corporate Response
Some companies are already reacting. Intuitive, a Silicon Valley medtech firm, announced it would pause offers requiring H-1B visas until the situation becomes clearer (Business Insider).
Broader Economic Concerns
Critics argue the H-1B program suppresses U.S. wages, pointing to studies showing many visa roles pay below the median wage (AP News). At the same time, economists warn the fee may undercut U.S. competitiveness, making it harder to attract top global talent in STEM and healthcare fields (The Guardian).
The policy may therefore have a double-edged effect: discouraging both potential foreign applicants and the U.S. companies that depend on them.
Conclusion
The $100,000 H-1B visa fee marks one of the most significant shifts in U.S. skilled immigration policy in decades. While existing visa holders are safe for now, the rule introduces major uncertainties for employers, workers, and entire industries. Until clearer guidance emerges from USCIS and the Department of Labor, businesses—particularly startups and globally dependent industries—will face tough choices in hiring strategy.
[References]
AP News (Sept 22, 2025) : https://apnews.com/article/h1b-visa-trump-immigration-explainer-7d5dae2c65b2fa27a7730be3c6833d32
Business Insider (Sept 26, 2025) : https://www.businessinsider.com/intuitive-silicon-valley-medtech-company-pauses-h-1b-hiring-2025-9?
Greenberg Traurig (Sept 24, 2025) : https://www.gtlaw.com/en/insights/2025/9/the-new-100000-h1b-filing-fee-employer-considerations?
The Guardian (Sept 22, 2025) : https://www.theguardian.com/business/2025/sep/22/trump-h-1b-visa-fees-us-economy-tech-india?
USCIS FAQ (Sept 21, 2025) : https://www.uscis.gov/newsroom/alerts/h-1b-faq?
