Trump slaps $100,000 annual fee on H-1B visas: How it will impact Indian workers?

$100,000 H-1B visa fees executive order: Read full text here

US President Donald Trump on Friday signed a proclamation restricting the entry of H-1B visa holders and sharply increasing the application fee to $100,000, a move that could deeply affect Indian professionals.

The H-1B program allows U.S. companies to hire foreign workers for high-skilled roles that cannot be easily filled by American citizens or permanent residents. Under the new order, employers seeking to sponsor foreign workers must now pay $100,000 per visa annually, a drastic rise from previous costs.

#WATCH | President Donald J Trump signs an Executive Order to raise the fee that companies pay to sponsor H-1B applicants to $100,000.

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White House staff secretary Will Scharf says, "One of the most abused visa systems is the H1-B non-immigrant visa programme. This is supposed to… pic.twitter.com/25LrI4KATn

— ANI (@ANI) September 19, 2025

Lutnick further said that the idea is that no more will big tech companies or other big companies train foreign workers. "They have to pay the government $100,000, then they have to pay the employee. So it's just not economic. If you're going to train somebody, you're going to train one of the recent graduates from one of the great universities across our land, train Americans, stop bringing in people to take our jobs. That's the policy here. All of the big companies are on board," he added.

The decision is being viewed as a major setback for the U.S. tech sector, which depends heavily on skilled workers from countries such as India and China.

Meanwhile, White House Staff Secretary Will Scharf emphasised that the proclamation will ensure that companies bring very high-skilled workers to the US, those who are not replaceable by American employees.

Impact on Indian workers

Indian professionals account for the largest share of H-1B visa holders, particularly in technology, consulting, healthcare, research, and administrative services. While highly skilled workers with specialized expertise may still find opportunities, those in junior or entry-level roles could see fewer openings as employers face steeper sponsorship costs.

Startups and smaller firms are expected to be hit hardest, as they may struggle to absorb the added financial burden, potentially limiting access for new international hires. Critics argue that the H-1B system has historically enabled companies to employ foreign workers at lower wages for routine positions, while paying Americans more for similar roles.

The new fee aims to address this disparity by making the cost of hiring foreign employees comparable to domestic recruitment. It may also prompt renewed debate over lottery reforms and wage-based prioritization, aligning visa access more closely with highly skilled and higher-paying positions.