Companies React To Reported H-1B Fee Hike

Sara Wazowski
companies react reported fee hike

Businesses that rely on high-skilled foreign workers rushed to assess their options after President Donald Trump reportedly raised the H-1B visa fee to $100,000 on Friday. The statement set off immediate concern in technology, healthcare, and research, where employers use H-1B visas to fill specialized roles. With little detail on timing or implementation, the announcement created uncertainty for companies in the middle of hiring cycles.

The H-1B program allows U.S. employers to hire foreign workers in specialty occupations, often in engineering and computing. A sudden jump to a six-figure fee would be an unprecedented shift from current costs and could reshape hiring plans, budgets, and project timelines across the country.

“President Donald Trump raised the fee for an H-1B visa to $100,000 on Friday, leaving companies scrambling to respond.”

What the Change Would Mean

If enacted as described, the fee increase would be a major break from the current system. Today, employers typically pay government filing fees in the low thousands of dollars per petition, depending on company size and case type. Many also pay for premium processing to speed up decisions and cover legal expenses.

Experts note that employers already face a capped supply of H-1B visas. Each year, 85,000 new H-1B slots are available, with demand far exceeding supply and a lottery deciding who gets selected. A $100,000 fee would add a cost barrier on top of that scarcity.

Immigration attorneys warn that smaller firms and startups would be hit hardest. Large multinationals might absorb the cost for key roles, but younger companies could delay projects, move work abroad, or change hiring strategies.

Industry Stakes and Early Reactions

Tech firms depend on H-1B workers for roles in software, data science, and chip design. Hospitals and biotech companies hire H-1B professionals for physician roles, clinical research, and lab operations. Universities and research institutes also rely on these visas for postdoctoral researchers and specialized staff.

Some executives immediately questioned whether they could afford visa sponsorship at that price point for multiple hires per year. Others explored near-shoring or offshoring, especially for teams that can operate remotely.

  • Smaller companies fear losing out on talent to larger competitors.
  • Outsourcing firms may shift more work overseas to keep costs down.
  • Universities worry about research delays and lab staffing gaps.

Worker advocates argue the program should ensure fair wages and protect U.S. workers. They also contend that pricing out access is a blunt tool that could punish good-faith employers and reduce innovation.

It was not immediately clear how the fee change would be implemented or under what authority. Major fee changes often require a formal rulemaking process with public notice and comment. Courts have at times blocked immigration fee rules that did not follow required procedures or lacked sufficient economic analysis.

Given the stakes, business groups and universities would likely seek clarification, request a pause, or challenge the change if it moves forward without standard review.

Historical Context and Data

Over the past decade, H-1B usage has stayed high in sectors with strong demand for STEM skills. Employers pay several existing charges, including training and fraud prevention fees, and some face additional fees based on company size and workforce composition. Government filing costs have risen in recent years, but nothing close to a $100,000 charge per petition.

The program’s cap structure and lottery already limit access. Many eligible candidates never receive visas, forcing employers to juggle timelines and staffing. A large fee increase would add another constraint, likely lowering the number of employers able to participate.

What Comes Next

Companies are reviewing hiring plans, pausing new offers, and reevaluating budgets until there is formal guidance. Recruiters are advising candidates about potential delays and alternative visa paths, such as O-1 for individuals with exceptional ability or TN for eligible Canadian and Mexican professionals.

Policy analysts expect a wave of requests for clarification from industry groups and universities. If a rule is proposed, public comments will likely focus on economic impact, labor market effects, and the risk of driving jobs and research abroad.

The reported fee hike has already sent shockwaves through employers that rely on specialized talent. Without official details, planning remains difficult and costly. Businesses will watch for formal notices, timelines, and any legal challenges that could pause or reshape the change. For now, the message for companies is caution, contingency planning, and close monitoring of developments in the coming days.

Sara pursued her passion for art at the prestigious School of Visual Arts. There, she honed her skills in various mediums, exploring the intersection of art and environmental consciousness.