US President Donald Trump has signed an executive order imposing a $100,000 (£74,000) fee for H-1B visa applications, intended to attract skilled workers from abroad in specific industries.
The proclamation highlights abuse of the H-1B program and mandates payment to gain entry. Critics claim that these visas undermine American jobs, while advocates, including notable figures like Elon Musk, contend they help attract the world's best talent.
Alongside this change, Trump has introduced a new gold card that fast-tracks visas for specific immigrants for fees beginning at £1 million.
At a press conference, US Commerce Secretary Howard Lutnick emphasized support from major corporations, stating, A hundred thousand dollars a year for H-1B visas, and all of the big companies are on board. If you're going to train somebody, train Americans. Stop bringing in people to take our jobs. Since 2004, the cap for H-1B applications has been set at 85,000 annually.
The number of H-1B applications has declined to approximately 359,000, marking a four-year low. Major recipients of these visas last year included tech giants like Amazon, Tata, Microsoft, Meta, Apple, and Google.
Critics like Tahmina Watson, an immigration attorney, predict devastating impacts on small businesses and startups that may find this fee prohibitive. She noted, Almost everyone's going to be priced out, and many small to medium-sized companies cannot find workers for essential roles.
Jorge Lopez, chair of an immigration practice group, warned that the $100,000 fee could hinder American competitiveness across tech and other industries, potentially leading some firms to consider moving operations abroad.
Trump's stance on H-1B visas has caused internal divisions among his advisers, often pitting vocal supporters against critics like former strategist Steve Bannon. Trump himself acknowledged complexities surrounding the issue, having previously vowed to facilitate talent attraction during his campaign.
Concerns regarding proposed limitations to the H-1B program resonate strongly in countries such as India, the primary source of H-1B visa applicants. This latest executive order adds another layer of scrutiny to an already contentious and significant component of US immigration policy.
