The White House has confirmed that the new $100,000 H-1B visa fee will not apply to existing visa holders. The policy, which came into effect on Sunday, will only be imposed once per petition and not as an annual charge.
A petition refers to a request filed by a company in the United States to bring in a skilled worker from abroad. The new fee therefore targets fresh H-1B applications, while current visa holders remain unaffected.
Fee Clarification and Policy Reversal
White House spokesperson Karoline Leavitt emphasized that this is a one-time petition fee. She clarified that existing H-1B visa holders traveling abroad will not be charged $100,000 when re-entering the country.
This clarification reversed earlier comments made by Commerce Secretary Howard Lutnick, who had suggested the fee would be paid annually. Following his statement, uncertainty spread among workers and employers. Some leading technology firms even advised employees holding H-1B visas to avoid international travel until more details were provided.
Concerns Among Tech Companies and Workers
Major companies such as Microsoft, JPMorgan, and Amazon reportedly encouraged employees with H-1B visas to remain inside the United States. Internal communications at firms like Goldman Sachs urged employees to exercise caution with overseas travel.
The initial confusion created widespread anxiety among thousands of workers who rely on the visa for employment in the US technology and finance sectors. Reports also surfaced of workers rushing back to the United States within hours of arriving abroad, fearing unexpected costs.
Purpose of the New Fee
According to the White House, the new policy aims to protect American workers who are often replaced with lower-paid foreign labor. Officials stated that the fee is part of broader efforts to address alleged misuse of the H-1B program.
President Donald Trump signed the proclamation imposing the $100,000 fee on new visa petitions. The move, however, allows for case-by-case exemptions when an application is deemed to serve the national interest.
Potential Impact on Global Technology Operations
The new measure could disrupt the operations of international technology services companies, particularly Indian IT firms that frequently send skilled professionals to the United States. Industry representatives have warned that the change may increase costs and reduce workforce flexibility.
The White House distributed a fact sheet noting that the share of IT workers on H-1B visas has risen from 32 percent in 2003 to over 65 percent in recent years. Officials argued that higher costs will reduce dependency on foreign labor while encouraging companies to hire domestically.
Next Steps and Regulatory Changes
The proclamation also directs the Department of Labour and the Department of Homeland Security to issue joint guidance on enforcement, audits, and penalties. It further instructs the Labour Secretary to revise wage levels for the program and prioritize high-skilled, high-paid H-1B workers.
Officials stressed that the measure is designed not only to protect wages but also to strengthen US national security. The administration stated that by increasing costs, the government aims to discourage misuse of the program while rewarding companies that sponsor highly skilled talent.
Key Takeaway
For now, the new H-1B visa fee applies only to fresh petitions. Existing visa holders can continue traveling without paying the additional charge. However, the broader regulatory changes suggest that the H-1B landscape in the United States is entering a period of significant transformation.
