Donald Trump Extends $100,000 H-1B Visa Fee Through 2027
President Donald Trump extended a $100,000 H-1B visa fee and ordered federal agencies to scrutinize employers who lay off American workers.
President Donald Trump signed a presidential proclamation and executive order on September 19, 2026, extending a $100,000 fee for certain H-1B non-immigrant visa petitions through September 21, 2027. The administration argues the fee prevents IT outsourcing firms from replacing American workers with lower-paid foreign labor, claiming the initial 2025 measure reduced registrations from large outsourcing firms by 92 percent.
The accompanying executive order directs the Departments of State, Labor, and Homeland Security to scrutinize whether sponsoring employers have conducted or planned layoffs of similarly situated U.S. workers. The Department of Labor's Wage and Hour Division has 30 days to review previous labor condition applications to determine if further action against employers is warranted. Six federal agencies, including the Departments of Commerce and Education, will share employment data to support these reviews.
The policy faces significant legal hurdles. A U.S. district court vacated the guidance implementing the fee in June, and a Boston-based appeals court is currently reviewing a judge's decision that the fee was illegal. The United States Hispanic Chamber of Commerce has also challenged the hike.
Reactions have been mixed. The Foundation for India and Indian Diaspora Studies supported anti-fraud efforts but warned that broad scrutiny could hinder innovation in AI and cybersecurity. In India, Pawan Khera of the Indian National Congress criticized the move, claiming it would cause a talent drain and that Prime Minister Narendra Modi failed to protect Indian interests.