US President Donald Trump has issued a new executive order introducing a steep $100,000 application fee for the H-1B visa programme, which is widely used by foreign professionals seeking employment in America.
The order cites “misuse” of the system and makes entry conditional upon payment of the fee. Trump and his advisers argue the move will protect American workers from being undercut, while critics warn it could drive skilled talent elsewhere, reports several news agencies.
Supporters of the visa, such as tech entrepreneur Elon Musk, contend that the programme helps the US recruit the brightest minds from around the world. In contrast, Trump also announced a separate “gold card” scheme – an expedited visa pathway – with starting fees of £1 million for select applicants.
During the signing at the Oval Office, Commerce Secretary Howard Lutnick praised the measure, stating: “One hundred thousand dollars a year for H-1Bs, and the big firms are with us. Employers should train graduates from US universities, not bring in workers who displace them.”
The H-1B system, capped at 85,000 applications annually since 2004, has until now required relatively modest administrative fees of roughly $1,500.
According to US Citizenship and Immigration Services (USCIS), filings for the upcoming fiscal year have dropped to around 359,000—a four-year low. Last year, Amazon topped the list of corporate H-1B sponsors, followed by Microsoft, Google, Meta, Apple, and Tata Consultancy Services.
Immigration experts say the drastic fee increase could cripple small businesses and start-ups.
Tahmina Watson, founder of Watson Immigration Law, warned that the cost would shut out many of her clients, “This barrier will devastate smaller employers who simply can’t afford it. Most of them hire foreign workers only because they cannot otherwise fill those roles.”
Jorge Lopez, who heads Littler Mendelson’s immigration and mobility practice, echoed the concern, noting that the change could weaken US competitiveness across multiple industries, “A $100,000 fee risks driving innovation abroad, even though relocating outside the US is not an easy option.”
Debates over the H-1B programme have long divided Trump’s allies. Figures like Steve Bannon have called for curbing it, while others have urged more openness to foreign talent. Trump himself has acknowledged both sides, once proposing permanent residency for foreign graduates during his campaign.
Earlier in his presidency, Trump had already tightened H-1B scrutiny through a 2017 executive order, which pushed visa rejection rates to a record 24% in 2018 – up sharply from single-digit levels under Presidents Obama and Biden.
The move drew strong opposition from tech companies that rely heavily on skilled international hires.
The new $100,000 charge is expected to have major ripple effects, particularly in India, the largest source of H-1B applicants. Industry leaders fear it will discourage skilled professionals and force companies to reconsider their investment strategies in the US.
