The Trump administration has proposed making a $103,265 fee for new H-1B visas permanent. This plan revives a controversial policy that has faced legal challenges. The U.S. Department of Homeland Security (DHS) released the proposed regulation. It aims to make a fee first introduced through a temporary proclamation last year permanent. A federal judge ruled the fee illegal in June, stopping collection efforts. The proposal is now open for a 30-day public comment period and could be finalized by the end of the year.
Key Details
The H-1B program allows U.S. employers to hire foreign workers in specialty occupations. There is an annual cap of 65,000 visas, plus an additional 20,000 for workers with advanced degrees. Before Trump's order, standard fees ranged from $2,000 to $5,000. Critics argue that companies exploit the program to hire foreign workers at lower wages instead of American labor. Business groups say the program is crucial for addressing domestic skilled labor shortages and attracting global talent.
Background
According to court filings, about 70 employers had paid the $100,000 fee on 85 visa applications as of late February. The lawsuit against the fee was brought by the U.S. Chamber of Commerce, several Democratic-led states, and a coalition of unions. Trump used executive authority under immigration law to restrict foreign nationals whose entry could harm U.S. interests.
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The proposed fee could significantly raise costs for U.S. employers in sectors like technology and healthcare. These sectors rely heavily on H-1B workers. This may lead to increased labor costs and changes in hiring practices. Investors will watch for responses from business groups during the public comment period. They will also look for any developments in ongoing legal challenges to the fee.
Based on reporting by: independent.co.uk, livemint.com