(WASHINGTON, D.C.) – September 21, 2025 – The U.S. H-1B visa program for skilled foreign workers is undergoing its most significant shakeup in years. A new presidential proclamation, signed on September 19, 2025, introduces immediate financial hurdles and signals future reforms aimed at "protecting American workers" and "curbing abuses."
The most immediate and startling change is a massive, one-time $100,000 fee attached to new H-1B petitions.
The $100,000 Question: What You Need to Know
The new rule is simple in its cost but complex in its implications. Here’s a breakdown:
- Who Pays? Any employer filing a new H-1B visa petition.
- When Does It Start? Effective 12:01 a.m. EDT on September 21, 2025. This means it applies to the upcoming FY 2026 H-1B lottery and all new petitions filed after that deadline.
- Is It a Fee or a Fine? It's framed as a mandatory payment that accompanies the petition. Its sheer size is intended to discourage companies from using the program for lower-wage roles and to incentivize the hiring of only top-tier, specialized talent.
Who is EXEMPT from this new fee?
This is crucial for current visa holders and their employers. The $100,000 fee does NOT apply to:
- ✅ H-1B Renewals: If you are extending your stay with the same employer.
- ✅ Transfer Petitions: If you are switching jobs to a new H-1B sponsor.
- ✅ Amendments: Changes to an existing, approved petition.
- ✅ Past Petitions: Any application submitted before the September 21, 2025, deadline.
Beyond the Fee: The "Upskilling" of the H-1B Program
The $100,000 fee is just the "initial step." The proclamation outlines a two-pronged approach for deeper reform:
- Higher Wage Requirements: The Department of Labor (DOL) will initiate a rulemaking to significantly increase the "prevailing wages" that H-1B employers must pay. The goal is to ensure that H-1B workers are not used as a source of cheaper labor, but are compensated at a level that matches or exceeds the average for similar American workers.
- A Smarter Lottery: The Department of Homeland Security (DHS) will change the H-1B lottery from a random selection to a wage-based prioritization system. This means petitions offering the highest salaries will be selected first, effectively phasing out the chances for applicants in lower-wage occupations.
H-1B Visa Reform 2025: FAQ
1. What did President Trump’s September 19, 2025 proclamation change?
The proclamation introduced a mandatory $100,000 petition fee for all new H-1B visa filings submitted on or after September 21, 2025 at 12:01 a.m. EDT. It also directed DHS and DOS to coordinate enforcement and begin broader reforms to the H-1B system.
2. Does this affect current H-1B visa holders?
No. The proclamation does not apply to existing H-1B holders or petitions filed before the effective date. Holders of valid H-1B visas can continue to live, work, and travel in and out of the U.S. as before.
3. Are H-1B renewals or extensions subject to the new $100,000 fee?
No. The fee applies only to new petitions, not renewals or extensions. Employers filing for current workers to extend or amend their status do not face the new charge.
4. Will this impact the 2026 H-1B lottery?
Yes. Any petition for the 2026 lottery filed after September 21, 2025, must include the $100,000 payment. This will significantly increase the cost for employers entering the lottery.
5. Why is the government imposing a $100,000 fee?
According to the administration, the goal is to:
- Reduce misuse of the program.
- Limit filings by employers relying on low-wage petitions.
- Ensure the program is used primarily for highly skilled, highly paid workers.
6. What additional changes are coming?
Two rulemakings are expected:
- Department of Labor (DOL): To raise prevailing wage levels for H-1B jobs.
- Department of Homeland Security (DHS): To prioritize high-wage, high-skilled workers in the lottery selection process.
7. How many H-1B visas are issued each year?
The cap remains at 85,000 per fiscal year, including 65,000 for the general pool and 20,000 for advanced U.S. degree holders. In 2024, there were over 750,000 registrations for these limited spots.
8. Who are the top H-1B employers in the U.S.?
Historically, the largest H-1B sponsors include Amazon, Google, Microsoft, Meta, Infosys, Tata Consultancy Services, and Accenture. Together, they file tens of thousands of petitions annually.
9. How will this affect foreign workers seeking H-1B sponsorship?
The new fee makes it far more expensive for employers to file petitions, which may reduce opportunities for mid-level roles and limit sponsorship primarily to firms hiring for high-salary or critical skill positions.
10. Where can I find official guidance on these changes?
- USCIS Guidance: U.S. Citizenship and Immigration Services
- CBP Guidance: U.S. Customs and Border Protection
- DOS Guidance: U.S. Department of State
The Bottom Line for Employers and Workers
- For U.S. Companies: The cost of sponsoring a new H-1B employee has skyrocketed overnight. This will likely force a strategic shift, reserving the visa for only the most critical, high-level, and highly compensated roles.
- For Prospective H-1B Workers: The pathway to a new H-1B visa has become dramatically more competitive and expensive. Success in the 2026 lottery will now heavily depend on being in a high-salary, specialized field that justifies your employer's six-figure investment.
- For Current H-1B Holders: You can breathe a sigh of relief for now. Your status, renewals, and ability to travel are unaffected. However, the upcoming wage rule changes could impact future job changes or adjustments.
This proclamation marks a fundamental pivot in U.S. immigration policy for skilled workers, moving from a volume-based model to one focused on high wages and elite skills.
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