Executive Order on H1-B Visa Fee Increase
On September 19, 2025, U.S. President Donald Trump signed a proclamation significantly raising the fee for H1-B visas to $100,000 annually. This move is part of the administration's effort to reform immigration policies and protect American workers.
Rationale Behind the Fee Increase
- The H1-B visa program is described as one of the "most abused" systems in the U.S. immigration framework, intended to bring in highly skilled foreign labor.
- The fee hike is aimed at ensuring only "truly extraordinary" individuals are brought into the U.S. and to prevent them from replacing American workers.
- President Trump emphasized the need for "great workers" and suggested the new fee structure would guarantee that outcome.
Economic Implications
- White House Staff Secretary Will Scharf stated that historically, the Green Card program let in individuals who were earning below the average American wage and more likely to use government assistance.
- The new fee is expected to raise over $100 billion for the U.S. Treasury, which will be used to cut taxes and reduce national debt.
Impact on Indian Professionals
The fee increase is expected to have a significant impact on Indian technology workers who rely on H1-B visas for employment in the U.S.
- H1-B visas are initially valid for three years and can be renewed for another three years, potentially requiring companies to pay the fee multiple times.
- Many Indian professionals are caught in long waiting periods for Green Cards, and the increased cost may affect their continued stay if companies choose not to pay the fee.
New Visa Pathway: 'The Gold Card'
- President Trump also announced a new visa pathway called 'The Gold Card', targeting foreigners of extraordinary ability.
- Individuals or corporations can pay $1 million or $2 million, respectively, for expedited visa processing and a path to a Green Card.
Reactions and Future Outlook
Despite the potential challenges, President Trump asserted that tech companies are supportive of the change, as it would allow them to retain top talent.
- Commerce Secretary Howard Lutnick emphasized that the policy would encourage companies to hire Americans and ensure that only the most valuable foreign workers are retained.
- The administration believes this approach will enhance productivity and contribute positively to the U.S. economy.