President Donald Trump just dropped a bombshell on the immigration front. According to the BBC, his administration is adding a $100,000 fee for skilled worker visas such as the H-1B, a program that U.S. tech companies depend on to bring in talent from around the world.
The announcement caught a lot of people off guard. Up until now, fees for these visas were in the thousands, not six figures. Companies that bring in software engineers, data scientists, or biotech specialists from abroad are suddenly staring at an annual price tag that might be hard to justify. For smaller startups already strapped for cash, this move could shut the door entirely on hiring foreign talent.
Supporters of the policy argue that it will encourage firms to train and hire more American workers instead of looking overseas. Trump has long said the H-1B program was being abused by companies to cut costs and drive down wages. A $100,000 barrier, in his view, makes sure only the very best – and most essential – workers are sponsored.
But critics say this could backfire. Tech giants like Google, Microsoft, and Apple all rely on skilled visa holders to fill gaps that the domestic labor market struggles to cover. If the cost of sponsorship shoots up, some firms may move jobs overseas instead. That would mean losing out on innovation and economic activity at home. India’s massive IT sector, one of the biggest suppliers of H-1B workers, has already expressed concern that the policy could hit both countries’ economies.
The administration has hinted that some exemptions might apply in areas like healthcare and certain engineering specialties, but details remain fuzzy. Immigration lawyers are also warning that lawsuits could follow since Congress typically controls visa rules, and a sweeping executive order like this one could be challenged in court.
Meanwhile, foreign workers are left scrambling. Those already in the U.S. are being told not to travel unless absolutely necessary, and applicants abroad fear their dreams of working in Silicon Valley may now be out of reach.
Whether this fee sticks or gets walked back later, it’s already sending shockwaves through the immigration system. With the world’s most valuable tech companies depending on skilled labor from abroad, this change could reshape not only U.S. hiring practices but also America’s role in the global talent race.