The Trump administration said on Friday it would ask companies to pay $100,000 annually for each H-1B visa. The move could have a significant impact on the technology sector, which relies heavily on skilled workers from India and China.
- The Trump administration proposes charging $100,000 annually for each H-1B visa.
- This marks a significant shift in U.S. immigration and work visa policies.
- The H-1B visa program is essential to industries like technology, which heavily rely on skilled workers from India and China.
- Critics fear the changes will deter global talent, while supporters argue that it ensures hiring domestic workers.
The Trump administration said on Friday it would ask companies to pay $100,000 annually for each H-1B visa.
“We need great workers, and this pretty much ensures that that’s what’s going to happen,” Trump said from the Oval Office.
Since taking office in January, President Trump has pursued a sweeping immigration crackdown, including measures to restrict certain types of legal immigration.
The proposed changes to the H-1B program mark the administration’s most prominent effort yet to reshape temporary employment visas.
“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,” U.S. Commerce Secretary Howard Lutnick said.
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He noted that the payment structure is still under discussion with the Department of Homeland Security, in terms of “whether we’re going to charge the $300,000 up front or $100,000 a year for the three years.”
Changes risk slowing tech growth
The H-1B visa is a work visa that’s valid for three years and can be renewed for another three years. The move could have a significant impact on the technology sector, which relies heavily on skilled workers from India and China.
Each year, the program offers 65,000 visas, with an additional 20,000 reserved for holders of advanced degrees from U.S. institutions. Because demand consistently outpaces supply, applicants are selected through a lottery system.
Currently, applicants pay a modest fee to enter the visa lottery, while employers bear the bulk of the subsequent costs, which can total several thousand dollars. H-1B visas are typically valid for three to six years.
India remains the largest source of H-1B workers, making up 71% of approved beneficiaries last year, followed by China at 11.7%, government data show.
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Critics, including many American technology workers, argue the program undercuts wages and displaces qualified U.S. workers.
Supporters, such as Tesla CEO Elon Musk, counter that it helps companies fill critical talent shortages and remain competitive. Musk, a South African-born naturalised U.S. citizen, once held an H-1B visa himself.
In the first half of 2025, Amazon.com and its cloud unit AWS secured approvals for more than 12,000 H-1B visas, while Microsoft and Meta each received over 5,000.
Critics warn that the proposed $100,000 annual fee for H-1B visas could discourage global talent from coming to the United States.
Trump also signed an executive order on Friday establishing the “Gold Card” visa, an idea he floated earlier this year that would allow wealthy foreigners to obtain residency in the United States for a high cost.
