The US has indeed introduced a new rule requiring employers hiring foreign workers under the H-1B visa program to pay $100,000 per worker annually. This move aims to reform the skilled worker program and protect American tech jobs. Here are the key details:
– Effective Date: The new rule is expected to take effect on September 21, 2025, or soon after, impacting the 2026 cap season.
– Fee Structure: Employers will need to pay $100,000 per year for each H-1B worker, a significant increase from the current fees of $215 for lottery registration and $780 for Form I-129 petition.
– Impact on Employers: The new fee may discourage mass applications for H-1B visas, particularly affecting startups and small businesses that struggle to absorb the higher upfront cost.
– Impact on Workers: The fee could shift focus back to American tech workers and reduce opportunities for H-1B-dependent workers. Nigerian professionals seeking US employment may face significant challenges due to this new rule.
– Industry Reaction: Companies like Microsoft, JPMorgan, and Amazon have advised H-1B visa holders to remain in the US or return quickly before the new fee takes effect. Industry groups and immigration lawyers are preparing potential litigation, noting that the fee could deter global talent from coming to the US.
– Rationale: The Trump administration argues that the H-1B program has been abused, allowing companies to hire foreigners at lower wages for entry-level roles while paying Americans more for the same jobs. The new fee aims to curb this abuse and prioritize high-wage, high-skill foreign workers.
Potential Consequences
– Reduced Innovation: The new fee could add millions of dollars in costs for companies, potentially forcing them to move high-value work overseas and hampering America’s position in the AI race with China.
– Talent Migration: The fee may lead to a shift in talent migration, with international graduates of US universities potentially looking to Canada or Europe instead of staying in the US.
– Litigation: The legality of the new fees has been questioned, with some arguing that Congress has only authorized the government to set fees to recover the cost of adjudicating an application.
