[UPDATE]: The White House clarified that the new fee structure for H-1B visas will not affect current visa holders who are re-entering the United States or those seeking to renew their existing visas. The updated fees will only apply to new applicants participating in the upcoming H-1B lottery cycle. This ensures that individuals who already hold an H-1B visa or are in the process of renewal will not experience any changes or additional costs under the new policy.
To be clear:
1.) This is NOT an annual fee. It’s a one-time fee that applies only to the petition.
2.) Those who already hold H-1B visas and are currently outside of the country right now will NOT be charged $100,000 to re-enter.
H-1B visa holders can leave and re-enter the…
— Karoline Leavitt (@PressSec) September 20, 2025
Earlier
The United States has announced a major change to its H-1B visa programme, with Donald Trump’s administration introducing a new annual fee of $100,000 for every application filed by employers, effective September 21, 2025. Notably, the H-1B visa is one of the most widely used routes for skilled foreign workers (particularly in the technology sector) to take jobs in the US. Tech Companies have long relied on this programme to bring in engineers, software developers, and other specialists from around the world. While the majority (~ 70%) of H-1B holders come from India, the rule is expected to have a significant impact not only on Indian professionals but also on American tech firms that depend on their expertise.
The Trump administration has said that the hefty fee is aimed at protecting American workers and reducing what it views as an over-reliance on foreign labour. Actually, by raising costs for employers, the government hopes companies will give priority to hiring US citizens and permanent residents. The White House also said the move would push firms to bring in only the most highly paid and highly skilled workers, rather than relying on large numbers of mid-level employees from overseas.
However, for the tech industry, the announcement comes as a major shock. Many of the world’s largest tech companies (including Google, Microsoft, Meta, Apple, OpenAI and more), along with thousands of smaller startups, have built their growth strategies around access to skilled international workers through the H-1B system. Engineers and programmers from abroad play a vital role in areas like artificial intelligence (AI), cloud computing, and cybersecurity. But now, with the cost of sponsorship rising to unprecedented levels, companies will have to make tough decisions about whether to continue hiring from outside the US or to scale back their projects. Clearly, the fee is expected to hit smaller firms the hardest.
Even soon after the White House confirmed the $100,000 annual fee on H-1B visa petitions, several major US companies began taking urgent steps to protect their employees. For example, Microsoft reportedly sent an advisory to all its foreign staff, especially those on H-1B and H-4 visas, asking them to return to the United States immediately if they were abroad. The company also urged employees already inside the country to avoid travelling for the time being, saying the situation remained uncertain and rules could change quickly once the new policy takes effect.
At the same time, other big names in the tech and finance world (including Amazon, JPMorgan, and Meta) also issued similar instructions. Amazon reportedly advised its foreign workers to come back to the US before the deadline (12:00 am ET on September 21), while Meta asked its staff to stay in the country for at least two weeks until more clarity emerged. JPMorgan also sent out guidance asking employees not to leave the US unless necessary.
For India, the newly introduced H‑1B rules could not just reduce opportunities for skilled professionals to work in the US, but Indian IT companies serving American clients could also face disruptions in their projects and business operations. The global tech industry may also shift, with some multinational companies moving offices and projects to countries with easier visa rules. Even legal challenges are expected, as critics question whether the government can impose such a high fee on employers.
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