The U.S. Department of Homeland Security (DHS) has unveiled a proposal that would charge employers $103,265 for each H-1B visa application, a significant hike from the existing filing fees, which typically range from a few hundred to a few thousand dollars depending on the category. The proposed fee, first reported by Al Jazeera, aims to codify a temporary rule introduced earlier in the Trump administration that has been the subject of litigation.
The H-1B visa program allows U.S. companies to employ foreign workers in specialty occupations, particularly in the technology sector. Critics of the high fee argue it would disproportionately burden smaller businesses and startups, which rely heavily on the program to access global talent. Supporters contend that the fee is necessary to protect American workers and ensure the program is not exploited.
The temporary rule, which introduced the $100,000-plus fee, was challenged in federal court by several tech industry groups and immigrant rights organisations, who argued it exceeded the administration's authority and would harm innovation. The new proposal seeks to make the fee permanent through formal rulemaking, a process that includes a public comment period.
The White House has defended the proposal as part of broader efforts to tighten immigration policies and prioritise American workers. In a statement, a DHS spokesperson said the fee would help fund enforcement measures and offset costs associated with the visa programme, though specific details on how the revenue would be used remain unclear.
Tech industry leaders have voiced strong opposition. The Information Technology Industry Council (ITI), a trade association representing companies like Apple, Google, and Microsoft, called the proposed fee "a tax on innovation" that would drive talent away from the United States. "This is not a cost American businesses can easily absorb," said ITI CEO Jason Oxman. "It will ultimately hurt the economy and undermine U.S. competitiveness."
Immigrant advocacy groups have also condemned the move, warning it could deter skilled workers from countries like India and China, which are the largest sources of H-1B recipients. "This is a regressive policy that singles out immigrants for burdensome costs while doing nothing to address genuine labor shortages," said a spokesperson for the American Immigration Lawyers Association.
The proposal is now open for public comment, with a final decision expected later this year.