
In a sweeping executive action set for signing on Friday, President Donald Trump will impose a staggering $100,000 application fee for H-1B visas, targeting what the administration calls rampant overuse of the program that has “displaced U.S. workers.”
The directive, confirmed by a White House official to multiple outlets, requires the hefty payment to accompany any H-1B entry application, marking a dramatic escalation in Trump’s ongoing push to overhaul immigration policies.
This comes just two days after Trump wrapped up high-level talks with UK Prime Minister Keir Starmer at Chequers in Aylesbury, England, on September 18, where the duo discussed transatlantic trade and security amid global economic tensions.
At its core, the executive order frames the H-1B program — a staple for hiring skilled foreign workers in fields like tech and engineering — as a vulnerability exploited by companies to undercut American labor. “Abuse of the H-1B pathway has displaced U.S. workers,” the order states, according to the official. Without the fee, entry under the program will be restricted, potentially reshaping hiring strategies for industries reliant on international talent.
The H-1B visa, renewable for up to six years, allows U.S. employers to bring in foreign professionals for specialty occupations.
Economists have long championed it as a vital tool for bolstering American competitiveness, arguing that access to global talent spurs innovation, business expansion, and — counterintuitively — more domestic job creation.
Yet, with annual caps at 65,000 visas (plus 20,000 for U.S. advanced degree holders), demand far outstrips supply, fueling a contentious lottery system that leaves thousands of applicants in limbo.
Tech giants like Google, Microsoft, and emerging startups have leaned heavily on H-1Bs to fill skill gaps in areas such as AI, software development, and data science.
Small firms, too, tout the program as essential for survival in a talent-scarce market.
The new fee could price out many applicants, forcing companies to either absorb the cost or pivot to domestic recruitment — a shift that could ripple through Silicon Valley and beyond.
From Foe to Fan and Back Again
Trump’s relationship with the H-1B program has been anything but steady, mirroring broader fault lines within his MAGA coalition.
During his 2016 campaign, he lambasted it as a tool for “substituting for American workers at lower pay,” accusing corporations of gaming the system to slash wages.
In 2020, amid the COVID-19 economic fallout, his administration slapped multiple restrictions on the visa, curbing legal immigration flows as unemployment soared.
But signals shifted during his 2024 bid for a second term.
Trump floated openness to legal status for foreign graduates of U.S. universities, a nod to merit-based immigration.
Then, in a December 2024 interview with the New York Post, he went further: “I’ve always liked the visas, I have always been in favor of the visas.
That’s why we have them,” Trump declared, positioning himself as a pragmatic supporter.
That pivot drew fire from immigration hardliners in his base, who view any foreign worker influx as a betrayal of “America First” principles.
The debate ignited anew when tech mogul Elon Musk and entrepreneur Vivek Ramaswamy — Trump’s initial picks to helm the Department of Government Efficiency — vocally defended H-1Bs.
Their stance amplified calls from industry allies but provoked backlash from loyalists demanding tighter borders.
This latest fee proposal threads the needle: a tough-on-immigration gesture that doesn’t outright gut the program, yet hikes barriers enough to appease critics.
“It’s a surgical strike against abuse, not the talent pipeline itself,” the White House official emphasized, though details on fee allocation — whether to fund worker training or enforcement — remain under wraps.
Industry Backlash and Broader Implications
Reactions are already pouring in.
Tech advocacy groups warn of a “brain drain” that could cede ground to competitors in China and India, where skilled workers abound without such hurdles.
“This fee isn’t just a number; it’s a barrier to the innovation that powers America’s economy,” said one Silicon Valley executive, speaking anonymously ahead of the signing.
On the flip side, labor unions and displaced worker advocates hail it as overdue accountability.
The program has faced scrutiny for years over wage suppression and “body shop” firms that chain H-1B holders to low-bid contracts.
As Trump prepares to ink the order — potentially on September 21 — eyes turn to Congress, where bipartisan bills to reform H-1B caps have stalled.
With midterms looming in 2026, this could supercharge the immigration wars, pitting economic nationalists against globalist entrepreneurs in a battle that defines Trump’s second act.
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