President Donald Trump signed a proclamation on Friday raising the fee that employers pay to sponsor H-1B applicants to $100,000. The move aims to ensure that U.S. companies bring in only top-tier talent when American workers can't fill the role.
"The large-scale replacement of American workers through systemic abuse of the program has undermined both our economic and national security," the proclamation reads.
Under the new rule, foreign nationals entering the United States after September 21 on H-1B visas must be backed by a six-figure sponsorship fee. Companies typically pay only a few thousand dollars today—so this change represents a major cost hike.
At a White House signing, Trump said that higher fees will encourage firms to hire more Americans: "There's an incentive to hire American," he explained. Commerce Secretary Howard Lutnick, who joined the ceremony, added, "The company needs to decide—is the person valuable enough to have a $100,000 payment to the government? Or should they go hire an American?"
Big tech players like Amazon, Microsoft and Google, which rely heavily on H-1B workers (especially software developers), are expected to feel the pinch most. Critics warn the policy could backfire by pushing jobs overseas and making the U.S. less attractive to international students in specialized fields like research and development. 🚀💼
Reference(s):
cgtn.com
