9 hrs ago
Trump Extends $100,000 H-1B Fee Through September 2027
The United States will keep charging many employers $100,000 when they apply for new H-1B workers until September 21, 2027.
H-1B visas allow companies to hire certain skilled workers from other countries.
Indian workers may be especially affected because Indian nationals received most approved H-1B petitions in fiscal year 2024.
The government says some companies used the program to replace American workers and reduce technology wages.
Officials will examine whether employers recently laid off, or plan to lay off, U.S. workers.
The fee does not apply to some international students already in the United States who move from F-1 student status to H-1B status.
Existing H-1B renewals are also exempt.
Companies may face higher costs and could expand technology operations in Indian cities instead of moving workers to the United States.
Courts are still considering challenges to the fee, creating uncertainty for employers and workers.
The Trump administration extended the $100,000 employer fee for covered new H-1B petitions until September 21, 2027.
Labor, State, and Homeland Security officials must review employers’ recent or planned layoffs of U.S. workers before approving foreign-worker petitions.
The administration says the 2025 fee reduced H-1B registrations from major IT outsourcing firms by 92% and consular-processing requests by nearly 97%.
Indian nationals accounted for 71% of approved H-1B petitions in fiscal year 2024, according to USCIS figures cited by the article.
F-1 students already in the United States transitioning to H-1B status and existing H-1B renewals remain exempt, while court challenges continue.
- Who
- The Trump administration, U.S. government departments, employers seeking H-1B workers, foreign skilled workers, and Indian IT professionals.
- What
- The administration extended a $100,000 employer fee for covered new H-1B petitions and ordered closer reviews of employers’ layoffs of U.S. workers.
- Where
- The policy concerns H-1B employment in the United States and may influence technology hiring in Indian hubs including Bengaluru, Hyderabad, and Pune.
- When
- The fee is extended until September 21, 2027; the original order was issued in September 2025.
- Why
- The administration says the H-1B system was abused by some staffing and outsourcing firms to displace U.S. workers and depress technology wages.
Administration rationale
Employer and worker concerns
Effect on U.S. workers
Administration rationale
The administration says some employers, third-party placement groups, and outsourcing firms used foreign labor to undercut and displace U.S. workers and reduce domestic technology wages.
Employer and worker concerns
Employers and foreign professionals face substantially higher costs and additional administrative scrutiny, which may make U.S. hiring and relocation more difficult.
Impact on companies
Administration rationale
The administration presents the fee and tighter reviews as effective measures, citing declines in outsourcing-firm registrations and consular-processing requests.
Employer and worker concerns
Companies may shift expansion toward global capability centers in India, including Bengaluru, Hyderabad, and Pune, rather than sponsoring onshore relocations in the United States.
Legal and policy uncertainty
Administration rationale
The administration is continuing the restriction while defending it in court and appealing adverse lower-court rulings.
Employer and worker concerns
Federal challenges leave corporate immigration plans uncertain while courts review whether the fee can remain in effect.
Key facts
- Employer fee
- $100,000 for covered new H-1B petitions
- Extension deadline
- September 21, 2027
- Indian share
- Indian nationals accounted for 71% of approved H-1B petitions in fiscal year 2024, according to cited USCIS figures.
- Layoff review
- The Departments of Labor, State, and Homeland Security will review recent or planned layoffs of U.S. workers.
- Administration-reported effect
- H-1B registrations from major IT outsourcing firms fell 92% and consular-processing requests fell nearly 97% after the 2025 fee order, according to the administration.
- Exemptions
- Some F-1 students already in the United States transitioning to H-1B status and existing H-1B renewals remain exempt.
- Legal status
- Federal court challenges to the fee remain ongoing, with the administration appealing adverse lower-court rulings.
Quotes
Donald Trump
US president whose executive order is quoted in the article
“Instead, the program has been widely abused by certain employers, third-party placement groups, and outsourcing firms to undercut and displace the supply of skilled United States labour”
businesstoday.in
Sources
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