US President Donald Trump shocked the world as soon as once more with a brand new steep price on the H-1B visa. The brand new rule, which costs $100,000 per visa, is considered an enormous setback to the worldwide IT group, with a serious hit for Indian engineers and know-how specialists. The motion has prompted quite a lot of confusion, and this is the reason of the brand new regulation and its results.
Comprehending The New $100,000 Payment
From September 21, 2025, US companies have to remit a price of $100,000 per H-1B software for international worker entry or re-entry into the nation. The price doesn’t rely on whether or not the worker is a brand new addition, re-entering after journey, or switching employers. Staff can not return to the US till the corporate has paid the price.
The coverage announcement is just not a congressional invoice; it already is an lively US coverage by presidential proclamation. It’ll live on till repealed or amended by Congress or a succeeding administration.
Key Questions About The Coverage
Is the $100,000 an annual price? The proclamation solely refers to it as a “fee,” with out specifying if it is a one-time or an annual cost. This means it applies to each new entry or re-entry into the US. It stays unclear if it will likely be an annual price for present staff who don’t journey.
What if an worker goes overseas? If an H-1B employee departs the US after September 21, she or he won’t be able to re-enter till the corporate pays the additional $100,000 price. This has prompted a number of tech companies like Microsoft to instruct employees to cancel journey plans.
Who will employers pay for? Employers will solely pay the premium for his or her most extremely certified, senior, or project-critical workers. This can trigger a large disaster for mid-level and entry-level staff.
What then of H-4 dependents? Whereas H-4 dependents (youngsters and spouses) should not talked about within the proclamation, households are being advised by corporations to remain within the US or return house in the event that they occur to be exterior. The worry is that the brand new coverage will inadvertently influence the standing of a dependent.
What if the worker will get fired? The 60-day window for buying a brand new job nonetheless exists. The $100,000 price, nonetheless, could be an unlimited deterrent for any new enterprise and would make it almost unimaginable for laid-off employees, notably junior employees, to achieve new jobs.
Is that this the loss of life of the Inexperienced Card for H-1B holders? Formally, no, however the best way has develop into much less sure. With higher PERM labor scrutiny and already prolonged Inexperienced Card queues, the trail to everlasting residency is now tougher.
Coverage Rationale And ‘Mission Firewall’
Trump has stated that the brand new coverage is a method to stop abuse of the H-1B visas and make employers rent Americans first. The brand new initiative by the administration, or ‘Mission Firewall,’ will audit companies that abuse the visa program by sharing data amongst authorities businesses and charging penalties.
The coverage will hit Indian tech employees most critically, who account for greater than 70% of all H-1B visa recipients. Indian IT companies akin to Infosys and TCS, in addition to American tech companies akin to Google and Microsoft, are all more likely to undergo from recruitment issues.
Is The Rule Reversible?
Sure. The regulation has a provision for a 30-day necessary overview after the subsequent H-1B lottery. The Secretary of Labor and different authorities might advise the president to proceed, amend, or revoke the regulation. Nonetheless, till it’s formally repealed, the $100,000 cost stands.
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